N-CSR 1 d795694dncsr.htm HARTFORD MUTUAL FUNDS INC/CT HARTFORD MUTUAL FUNDS INC/CT

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT

INVESTMENT COMPANIES

Investment Company Act file number: 811-07589

THE HARTFORD MUTUAL FUNDS, INC.

(Exact name of registrant as specified in charter)

690 Lee Road, Wayne, Pennsylvania 19087

(Address of Principal Executive Offices) (Zip Code)

Thomas R. Phillips, Esquire

Hartford Funds Management Company, LLC

690 Lee Road

Wayne, Pennsylvania 19087

(Name and Address of Agent for Service)

Registrant’s telephone number, including area code: (610) 386-4068

Date of fiscal year end: October 31

Date of reporting period: October 31, 2019

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.


Item 1.  Reports to Stockholders.


LOGO


LOGO

Dear Fellow Shareholders:

Thank you for investing in Hartford Funds. The following is the Funds’ Annual Report covering the fiscal period from November 1, 2018 to October 31, 2019.

Market Review

During the 12 months ended October 31, 2019, U.S. stocks, as measured by the S&P 500 Index,1 gained 14.33% despite volatility throughout the period.

Political uncertainty has been a core driver of this increased market volatility. Escalating trade tensions between the U.S. and China, continued debate over how

 

the UK will handle its departure from the European Union, and the September announcement of an impeachment inquiry against President Trump all contributed to choppy market conditions.

However, July 1, 2019 marked a significant milestone: the U.S. entered the longest period of economic expansion on record, according to The National Bureau of Economic Research. Strong consumer spending in the U.S. has continued to buoy the domestic economy, helped by an unemployment rate that stayed at or below 4% throughout the 12 month period ended October 31, 2019.

Nevertheless, signs of a slowing global economy prompted central banks around the world to shift to more accommodating monetary policy. The U.S. Federal Reserve cut interest rates three times in 2019 to bring down the federal funds rate target down to a range of 1.50 – 1.75% as of October 31, 2019, while the European Central Bank, which already had established negative interest rates, further cut its rate to -0.50% as of September 18, 2019.

Politics, both at home and abroad, are likely to continue to play a key role in market movements this year. For this reason, we encourage you to maintain a strong relationship with your financial advisor, who can help guide you through shifting markets confidently. He or she can help you proactively build a portfolio that takes market uncertainty into account, along with your unique investment goals and risk tolerances. Your financial advisor can help you find a fit within our family of funds as you work toward those goals.

Thank you again for investing in Hartford Funds. For the most up-to-date information on our funds, please take advantage of all the resources available at hartfordfunds.com.

 

LOGO

James Davey

President

Hartford Funds

 

1

S&P 500 Index is a market capitalization-weighted price index composed of 500 widely held common stocks.

 

The index is unmanaged and not available for direct investment. Past performance is not indicative of future results.


Hartford Domestic Equity Funds

Table of Contents

 

Fund Overview

     2  

Benchmark Glossary (Unaudited)

     38  

Expense Examples (Unaudited)

     39  

Financial Statements:

  

Schedules of Investments:

  

The Hartford Capital Appreciation Fund

     42  

Hartford Core Equity Fund

     47  

The Hartford Dividend and Growth Fund

     50  

The Hartford Equity Income Fund

     53  

The Hartford Growth Opportunities Fund

     55  

The Hartford Healthcare Fund

     58  

The Hartford MidCap Fund

     61  

The Hartford MidCap Value Fund

     64  

Hartford Quality Value Fund

     66  

The Hartford Small Cap Growth Fund

     68  

Hartford Small Cap Value Fund

     71  

The Hartford Small Company Fund

     73  

Glossary

     76  

Statements of Assets and Liabilities

     77  

Statements of Operations

     81  

Statements of Changes in Net Assets

     83  

Financial Highlights

     87  

Notes to Financial Statements

     100  
Report of Independent Registered Public Accounting Firm      127  
Directors and Officers (Unaudited)      128  

How to Obtain a Copy of each Fund’s Proxy Voting Policies and Voting Records (Unaudited)

     132  

Quarterly Portfolio Holdings Information (Unaudited)

     132  
Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited)      133  

The views expressed in each Fund’s Manager Discussion contained in the Fund Overview section are views of that Fund’s sub-adviser and portfolio management team through the end of the period and are subject to change based on market and other conditions. Each Fund’s Manager Discussion is for informational purposes only and does not represent an offer, recommendation or solicitation to buy, hold or sell any security. The specific securities identified and described, if any, do not represent all of the securities purchased or sold and you should not assume that investments in the securities identified and discussed will be profitable. Holdings and characteristics are subject to change. Fund performance reflected in each Fund’s Manager Discussion reflects the returns of such Fund’s Class A shares, before sales charges. Returns for such Fund’s other classes differ only to the extent that the classes do not have the same expenses.


The Hartford Capital Appreciation Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 7/22/1996

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks growth of capital.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     16.32%        8.72%        11.12%  

Class A2

     9.86%        7.50%        10.50%  

Class C1

     15.45%        7.94%        10.33%  

Class C2

     14.49%        7.94%        10.33%  

Class I1

     16.66%        9.04%        11.45%  

Class R31

     15.91%        8.37%        10.79%  

Class R41

     16.27%        8.71%        11.13%  

Class R51

     16.64%        9.03%        11.46%  

Class R61

     16.74%        9.13%        11.57%  

Class Y1

     16.71%        9.12%        11.57%  

Class F1

     16.75%        9.10%        11.48%  

Russell 3000 Index

     13.49%        10.31%        13.62%  

S&P 500 Index

     14.33%        10.78%        13.70%  

 

1

Without sales charge

2

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.07%        1.07%  

Class C

     1.82%        1.82%  

Class I

     0.79%        0.79%  

Class R3

     1.43%        1.43%  

Class R4

     1.11%        1.11%  

Class R5

     0.81%        0.81%  

Class R6

     0.71%        0.71%  

Class Y

     0.80%        0.75%  

Class F

     0.71%        0.71%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  2  

 


The Hartford Capital Appreciation Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Gregg R. Thomas, CFA

Senior Managing Director and Director, Investment Strategy

Wellington Management Company LLP

Tom S. Simon, CFA, FRM

Senior Managing Director and Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Capital Appreciation Fund returned 16.32%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s benchmarks, the Russell 3000 Index and the S&P 500 Index, which returned 13.49% and 14.33%, respectively, for the same period. For the same period, Class A shares of the Fund also outperformed the 11.56% average return of the Lipper Multi-Cap Core Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by an accommodative shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, as measured by the S&P 500 Index, outperformed both mid- and small-cap stocks, as measured by the S&P MidCap 400 Index and Russell 2000 Index, respectively.

Ten out of eleven sectors in the Russell 3000 Index posted positive returns during the period. Strong performers included the Real Estate (+25.1%), Utilities (+23.1%), and Information Technology (+22.6%) sectors; the Energy sector (-14.8%) was the sole detractor.

The Fund outperformed the Russell 3000 Index primarily due to strong stock selection within the Healthcare, Consumer Discretionary, and Information Technology sectors. Conversely, weak selection within the Industrials, Communication Services, and the Energy sectors detracted from returns relative to the Russell 3000 Index during the period. Sector allocation, a result of bottom-up stock selection, was positive during the period primarily due to the Fund’s underweight to the Energy sector. An underweight to the Information Technology sector, as well as an overweight to the Healthcare sector, detracted from performance relative to the Russell 3000 Index.

Top contributors to performance relative to the Russell 3000 Index included Shopify (Information Technology), Insulet (Healthcare), and Chipotle Mexican Grill (Consumer Discretionary). Shopify is a cloud-based commerce platform designed for small- and medium-sized businesses. The stock price moved significantly higher during the period as the company has consistently outperformed consensus estimates for revenue and gross profits on a quarterly basis. More recently, Shopify’s stock price has moved lower as the market reacted negatively to an announced acquisition and lower-than-expected earnings per share (EPS). We sold the Fund’s position in the stock during the period. Insulet is a medical device company focused on the development of insulin infusion systems for individuals with insulin-dependent diabetes. The stock price moved higher following two consecutive quarters of results coming in above consensus estimates. Management of Insulet also raised guidance for the coming year ending December 2019, as management expects increased adoption rates for its Omnipod product. As of the end of the period, we continued to hold this position in the Fund. Chipotle Mexican Grill is a fast-casual, fresh Mexican food restaurant. The company’s share price marched higher over the period on the back of consistent quarterly results that were in line with or in excess of market expectations. We sold the Fund’s position in this company. American Tower (Real Estate), Chipotle, and Shopify contributed positively to performance on an absolute basis over the period.

We Co. (Industrials), Microsoft (Information Technology), and Uber Technologies (Industrials) were among the top detractors from performance relative to the Russell 3000 Index over the period. The Fund’s position in We Co., a U.S.-based provider of shared workspaces and services, was the top detractor from relative performance during the period. The fair valuation of private placement We Co. declined during the period as the result of various well-publicized negative events that ultimately led to a failed initial public offering (IPO) and the departure of

 

 

 

  3  

 


The Hartford Capital Appreciation Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

the Chief Executive Officer (CEO) and founder. As of the end of the period, we continued to hold this position in the Fund. The Fund’s underweight exposure to Microsoft relative to the Russell 3000 Index was another top detractor from performance. Growth in Azure, Microsoft’s commercial cloud offering, helped propel the stock price higher and helped overcome some of the weakness within Microsoft’s gaming unit. The Fund remained underweight relative to the Russell 3000 Index’s exposure and we trimmed the Fund’s position during the period. Uber Technologies, a technology platform for the mobility of people and things, also detracted from performance relative to the Russell 3000 Index during the period. The company, which is best known for its ride hailing service, delivered mixed results during its first quarterly earnings call as a public company. During the period, the company struggled to show that it could turn a profit and navigate regulatory hurdles such as the classification of drivers as employees. As of the end of the period, we continued to hold this position in the Fund. We Co., Altria Group (Consumer Staples), and Uber Technologies were among the largest detractors from performance on an absolute basis over the period.

Strategies included in the Fund are chosen based on extensive analysis of qualitative and quantitative factors. Risk factors managed within the overall portfolio include but are not limited to: growth, value, momentum, contrarian, high volatility, low volatility, quality and leverage. During the period, factor impact on the Fund was positive. Exposure to value and momentum factors contributed positively to performance, while the Fund’s exposure to higher volatility equities and dividend yield detracted from performance during the period.

International exposure (country and currency) contributed positively to results, particularly driven by exposure to North America (United States and Canada), Europe (Netherlands), and emerging markets (China).

The Fund, at times, used derivative instruments such as currency forwards to hedge currency risk and/or equity index futures to hedge market risk. During the period, the use of these derivatives did not have a significant impact on performance.

What is the outlook as of the end of the period?

Macro challenges continue to weigh on markets; however, we believe that opportunities to generate alpha still exist. In particular, we believe that unresolved trade tensions, slowing global growth, and growing policy uncertainty have dampened investor risk appetite and impacted corporate fundamentals for companies and industries most exposed to these risks. Further, we believe that a multi-strategy factor-based approach to capital allocation can help manage risk amidst uncertainty and reduce excess drawdown in the event of market shocks.

As we look across the factor landscape, we maintain conviction in our diversified factor exposures. We are closely monitoring the Fund’s exposure to trend-following factors (e.g., growth and momentum) as they are exhibiting higher beta, which may also represent more downside risk. Similarly, we have been re-evaluating the Fund’s more defensive exposures in order to determine whether they will continue to be defensive if market conditions change. Risk-averse factors, such as low volatility, have outperformed recently and appear overvalued on some metrics. However, our research indicates that low volatility (in particular) has historically provided downside protection even in instances where it appeared overvalued. In contrast, value-oriented and

contrarian approaches continue to look attractive on most valuation frameworks. While a catalyst for any value recovery continues to be uncertain, we have maintained the Fund’s exposure as it may help the Fund participate in any potential cyclical rally if the aforementioned macro tensions subside.

At the end of the period, the Fund’s largest overweights were to the Consumer Discretionary and Healthcare sectors, while the Fund’s largest underweights were to Information Technology and Energy sectors, relative to the Russell 3000 Index.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund’s strategy for allocating assets among portfolio management teams may not work as intended. Mid-cap securities can have greater risks and volatility than large-cap securities. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks are generally greater for investments in emerging markets. The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     8.2

Consumer Discretionary

     14.4  

Consumer Staples

     7.4  

Energy

     1.4  

Financials

     11.6  

Health Care

     16.3  

Industrials

     10.3  

Information Technology

     15.9  

Materials

     3.9  

Real Estate

     4.9  

Utilities

     3.5  
  

 

 

 

Total

     97.8
  

 

 

 

Short-Term Investments

     2.5  

Other Assets & Liabilities

     (0.3
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  4  

 


Hartford Core Equity Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 4/30/1998

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks growth of capital.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     16.60%        11.60%        14.21%  

Class A2

     10.19%        10.35%        13.57%  

Class C1

     15.71%        10.79%        13.39%  

Class C2

     14.71%        10.79%        13.39%  

Class I1

     16.91%        11.87%        14.35%  

Class R31

     16.18%        11.25%        13.93%  

Class R41

     16.59%        11.60%        14.28%  

Class R51

     16.90%        11.92%        14.62%  

Class R61

     17.01%        12.00%        14.69%  

Class Y1

     16.94%        11.98%        14.68%  

Class F1

     17.00%        11.93%        14.38%  

S&P 500 Index

     14.33%        10.78%        13.70%  

 

1

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class I shares commenced operations on 3/31/15. Performance prior to that date is that of the Fund’s Class A shares (excluding sales charges). Class R6 shares commenced operations on 3/31/15 and performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares from 3/31/15 through 2/27/17 and Class A shares (excluding sales charges) prior to 3/31/15.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     0.75%        0.75%  

Class C

     1.49%        1.49%  

Class I

     0.47%        0.47%  

Class R3

     1.10%        1.10%  

Class R4

     0.79%        0.79%  

Class R5

     0.49%        0.49%  

Class R6

     0.39%        0.39%  

Class Y

     0.48%        0.45%  

Class F

     0.39%        0.39%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  5  

 


Hartford Core Equity Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Mammen Chally, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

David A. Siegle, CFA

Managing Director and Equity Research Analyst

Wellington Management Company LLP

Douglas W. McLane, CFA

Managing Director and Equity Research Analyst

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Core Equity Fund returned 16.60%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s benchmark, the S&P 500 Index, which returned 14.33% for the same period. For the same period, Class A shares of the Fund also outperformed the 13.41% average return of the Lipper Large-Cap Core Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by a cautious shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, as measured by the S&P 500 Index, outperformed small-cap and mid-cap stocks, as measured by the Russell 2000 Index and S&P MidCap 400 Index, respectively.

Ten out of eleven sectors in the S&P 500 Index rose during the period, with the Real Estate (+27%), Utilities (+24%), Information Technology (+23%), and Consumer Discretionary (+16%) sectors performing the best. The Energy sector (-11%) lagged the broader S&P 500 Index during the period.

Overall, outperformance versus the S&P 500 Index was driven by strong security selection, primarily within the Consumer Staples, Healthcare, and Industrials sectors. This was partially offset by weaker stock selection within the Energy and Consumer Discretionary sectors, which detracted from relative performance. Sector allocation, a result of the bottom-up stock selection process, also contributed positively to relative performance primarily driven by the Fund’s underweight to the Energy sector and overweight allocation to the Utilities sector. This was partially offset by the Fund’s overweight to the Healthcare sector, which detracted from relative performance.

The top contributors to performance relative to the S&P 500 Index were Teradyne (Information Technology), NextEra Energy (Utilities), and not owning Exxon Mobil (Energy), a constituent in the S&P 500 Index. Teradyne is a U.S.-based developer and supplier of automatic test equipment. Shares of the company’s stock rose during the period after reporting strong earnings. NextEra Energy is a U.S.-based company involved in the generation, transmission, distribution, and sale of electric energy in the U.S. and Canada. The company’s stock price outperformed during the period after reporting strong earnings in the last three periods. Shares of U.S.-based global integrated oil and gas company, Exxon Mobil, declined during the period. Despite reporting strong second quarter 2019 results, shares continued to sell off as fears over an escalating trade war between the U.S. and China weighed on investor sentiment. Top absolute contributors included Microsoft (Information Technology) and Procter & Gamble (Consumer Staples).

The top detractors from performance relative to the S&P 500 Index included EOG Resources (Energy), Continental Resources (Energy), and NetApp (Information Technology). EOG Resources is a U.S.-based oil and gas production company. Shares of the company’s stock declined during the period due to prolonged weakness in crude oil pricing, which impacted their upstream energy projects. Shares of Continental

 

 

 

  6  

 


Hartford Core Equity Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Resources, another U.S.-based oil and gas production company, also fell during the period as a result of negative earnings estimate revisions. The company was also impacted by weaker crude oil and natural gas prices, which more than offset a rise in production. As of the end of the period, we maintained the Fund’s position. Shares of NetApp, a U.S.-based software systems and services provider for the management and storage of customer data, declined during the period. The company announced that sales would be well below expectations in the current year due to broad slowdown in technology hardware spending. We eliminated the Fund’s position in the stock as the industry dynamics have clearly become more competitive. Top absolute detractors for the period included EOG Resources (Energy) and Continental Resources (Energy).

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

Since the middle of 2018, there has been a change to the near-term market outlook, driven by the change in the U.S. bond market yield curve. The 10-year Treasury yield is near the lows it experienced in 2016. After nine rate increases in 0.25% increments from late 2015 to late 2018, the Fed has now cut interest rates three times. Through all of this, the U.S. dollar has continued to strengthen against the major currencies and China has allowed its currency to weaken. In the U.S., we are now seeing some weakening of exports and capital investment. However, we believe that indicators such as credit, jobless claims, housing activity, and consumer confidence do not signify a recession at this point. Moreover, our conversations with companies indicate that, in general, competition for labor is among the bigger constraints for growth rather than a decrease in demand.

Against this backdrop, we now have the possibility that the House of Representatives will start impeachment proceedings against President Trump. As investors, we are concerned about potential ramifications on items scheduled on the legislative calendar, such as the necessary ratification of USMCA (United States-Mexico-Canada Agreement, which is the proposed replacement for the North American Free Trade Agreement). We believe the pressure on profits and the need to pass on costs will become critical if we have a combination of tariffs and the lack of a ratified USMCA.

Over the next few quarters, we believe that there will be more to analyze given that we are approaching an election year. It is clear there are several policy proposals that could have an impact on stocks the Fund holds, and while we are working to understand the implications, we believe it is too early to act one way or another.

At the end of the period, the Fund’s largest overweight sectors relative to the S&P 500 Index were to Consumer Staples and Healthcare sectors, while the Fund’s largest underweights were to the Energy and Communication Services sectors.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     7.6

Consumer Discretionary

     9.4  

Consumer Staples

     10.3  

Energy

     1.3  

Financials

     13.0  

Health Care

     15.3  

Industrials

     10.0  

Information Technology

     19.5  

Materials

     1.8  

Real Estate

     2.1  

Utilities

     4.8  
  

 

 

 

Total

     95.1
  

 

 

 

Short-Term Investments

     5.0  

Other Assets & Liabilities

     (0.1
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  7  

 


The Hartford Dividend and Growth Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 7/22/1996

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks a high level of current income consistent with growth of capital.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     13.75%        9.17%        11.85%  

Class A2

     7.49%        7.94%        11.22%  

Class C1

     12.92%        8.35%        11.03%  

Class C2

     11.92%        8.35%        11.03%  

Class I1

     14.08%        9.43%        12.13%  

Class R31

     13.33%        8.79%        11.50%  

Class R41

     13.71%        9.12%        11.85%  

Class R51

     14.05%        9.46%        12.19%  

Class R61

     14.16%        9.54%        12.28%  

Class Y1

     14.10%        9.53%        12.28%  

Class F1

     14.15%        9.48%        12.16%  

S&P 500 Index

     14.33%        10.78%        13.70%  

Russell 1000 Value Index

     11.21%        7.61%        11.96%  

 

1 

Without sales charge

2

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.00%        1.00%  

Class C

     1.76%        1.76%  

Class I

     0.73%        0.73%  

Class R3

     1.35%        1.35%  

Class R4

     1.05%        1.05%  

Class R5

     0.74%        0.74%  

Class R6

     0.65%        0.65%  

Class Y

     0.74%        0.69%  

Class F

     0.64%        0.64%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  8  

 


The Hartford Dividend and Growth Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Edward P. Bousa, CFA*

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Matthew G. Baker

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Nataliya Kofman

Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Mark E. Vincent

Managing Director and Equity Research Analyst

Wellington Management Company LLP

* Mr. Bousa announced his plan to retire, and effective June 30, 2020, he will no longer serve as a portfolio manager for the Fund.

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Dividend and Growth Fund returned 13.75%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming one of the Fund’s benchmarks, the S&P 500 Index, which returned 14.33% for the same period. For the same period, Class A shares of the Fund outperformed the Fund’s other benchmark, the Russell 1000 Value Index, which returned 11.21%. For the same period, Class A shares of the Fund outperformed the 10.99% average return of the Lipper Equity Income Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by an accommodative shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded

consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, measured by the S&P 500 Index, outperformed mid- and small-cap stocks, measured by the S&P MidCap 400 Index and Russell 2000 Index, respectively.

Ten out of eleven sectors in the S&P 500 Index rose during the period, with the Real Estate (+27%), Utilities (+24%), and Information Technology (+23%) sectors leading the index higher. The Energy sector (-11%) was the only sector to post negative returns during the period.

Security selection contributed positively to performance relative to the S&P 500 Index over the period. Stock selection effects were strongest within the Financials, Energy, Industrials, and Healthcare sectors. This was partially offset by weaker selection within the Real Estate, Utilities, and Information Technology sectors. Sector allocation, a result of the bottom-up stock selection process, detracted from relative performance over the period. An overweight to the Energy sector and an underweight to the Information Technology sector detracted the most from relative returns. This was slightly offset by an overweight to the Utilities sector, which contributed positively to performance relative to the S&P 500 Index.

The Fund’s top detractors from absolute performance as well as from performance relative to the S&P 500 Index included DXC Technology (Information Technology), HP (Information Technology), and EnCana (Energy). DXC Technology detracted from returns relative to the S&P 500 Index, and we eliminated the Fund’s position during the period. We underestimated the impact of the transition to the cloud and the speed at which DXC could transition from legacy to digital technology. As our investment thesis for this position was not materializing, we felt we had better opportunities elsewhere. The Fund’s position in HP detracted from

 

 

 

  9  

 


The Hartford Dividend and Growth Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

returns relative to the S&P 500 Index over the period due to concerns that the printing segment is coming under pressure. HP has recently announced a restructuring program, and while we have trimmed some of the Fund’s position during the period due to the risk in the new printing model, we believe that this turnaround strategy makes sense and as of the end of the period, continued to believe in the longer-term prospects of the company. EnCana detracted from relative returns driven by lower oil prices due to growing concerns around a slowdown in the global macroeconomic environment.

The Fund’s top contributors to relative performance versus the S&P 500 Index during the period were KLA (Information Technology), NextEra Energy (Utilities), and not holding Johnson & Johnson (Healthcare), a constituent of the S&P 500 Index. KLA continued to outperform its semiconductor equipment peer group with strong fiscal fourth quarter 2019 earnings and guidance for September above consensus expectations. As of the end of the period, we continued to maintain the Fund’s position as we believe KLA has a sustainable competitive advantage that is not fully reflected in the current share price. NextEra Energy reported strong third quarter earnings and reaffirmed that it would deliver at the high end of expectations through 2022. Not holding Johnson & Johnson contributed positively to relative performance over the period as the company’s share price has been under pressure due to ongoing litigation risk surrounding its various products. Top absolute performers during the period included Microsoft (Information Technology) and Bank of America (Financials).

Derivatives were not used in a significant manner in the Fund during the period, and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We remain cautious on equity markets in the near term as we are beginning to see early signs of pressures on earnings growth. Despite the recent easing of geopolitical tensions between the U.S. and China, we continue to believe that the ongoing trade negotiations between the two countries remain a key input to our outlook, and we expect continued heightened market volatility through the end of the year and into 2020. Should trade policy issues get resolved and interest rates remain at low levels, our outlook on the market would become more constructive.

In our view, the U.S. market is expensive by most measures. We believe traditional defensive areas are highly valued and do not provide the downside protection we seek. We have maintained the Fund’s overweight position in the Financials sector longer than we typically would at this point in the cycle, but we continue to believe that the valuations and the quality of the businesses are attractive in this sector. We have been selectively increasing the Fund’s exposure to the Healthcare sector as opportunities present themselves.

At the end of the period, the Fund’s largest sector overweights relative to the S&P 500 Index were to the Financials, Energy, and Healthcare sectors, while the Fund’s largest underweights were to the Information Technology, Consumer Discretionary, and Consumer Staples sectors.

We continue to rely on our process and philosophy as we construct the Fund.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. For dividend-paying stocks, dividends are not guaranteed and may decrease without notice. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     9.9

Consumer Discretionary

     5.2  

Consumer Staples

     5.9  

Energy

     7.1  

Financials

     19.8  

Health Care

     15.3  

Industrials

     8.8  

Information Technology

     13.4  

Materials

     3.7  

Real Estate

     2.8  

Utilities

     4.3  
  

 

 

 

Total

     96.2
  

 

 

 

Short-Term Investments

     3.7  

Other Assets & Liabilities

     0.1  
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  10  

 


The Hartford Equity Income Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 8/28/2003

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks a high level of current income consistent with growth of capital.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     13.88%        8.55%        11.89%  

Class A2

     7.62%        7.33%        11.26%  

Class C1

     13.00%        7.75%        11.07%  

Class C2

     12.00%        7.75%        11.07%  

Class I1

     14.17%        8.82%        12.17%  

Class R31

     13.48%        8.16%        11.51%  

Class R41

     13.85%        8.50%        11.85%  

Class R51

     14.14%        8.82%        12.20%  

Class R61

     14.29%        8.92%        12.30%  

Class Y1

     14.21%        8.90%        12.29%  

Class F1

     14.24%        8.87%        12.20%  

Russell 1000 Value Index

     11.21%        7.61%        11.96%  

 

1

Without sales charge

2

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.00%        1.00%  

Class C

     1.75%        1.75%  

Class I

     0.75%        0.75%  

Class R3

     1.37%        1.37%  

Class R4

     1.06%        1.06%  

Class R5

     0.76%        0.76%  

Class R6

     0.66%        0.66%  

Class Y

     0.77%        0.71%  

Class F

     0.66%        0.66%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  11  

 


The Hartford Equity Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

W. Michael Reckmeyer, III, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Ian R. Link, CFA*

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Adam H. Illfelder, CFA

Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Matthew Hand, CFA

Managing Director and Equity Research Analyst

Wellington Management Company LLP

* Effective December 31, 2019, Ian R. Link, CFA will no longer serve as a portfolio manager for the Fund.

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Equity Income Fund returned 13.88%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s benchmark, the Russell 1000 Value Index, which returned 11.21% for the same period. For the same period, Class A shares of the Fund also outperformed the 10.99% average return of the Lipper Equity Income Funds peer group, a group of funds with investment strategies similar to that of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by a cautious shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain

economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

During the period, ten out of eleven sectors within the Russell 1000 Value Index posted positive absolute returns with the Real Estate (+25%), Utilities (+23%), and Information Technology (+22%) sectors performing the best. The Energy (-12%) sector was the only sector that declined during the period.

Outperformance relative to the Russell 1000 Value Index was driven by security selection, primarily within the Energy, Financials, and Healthcare sectors. This more than offset less favorable selection within the Consumer Staples and Materials sectors. Sector allocation, a result of our bottom-up stock selection process, detracted from relative performance due to the Fund’s underweight position in the Real Estate sector and overweight position in the Energy sector. This was partially offset by the Fund’s overweight positions in the Utilities and Industrials sectors.

Top contributors to performance relative to the Russell 1000 Value Index during the period included KLA (Information Technology), Analog Devices (Information Technology), and Crown Castle (Real Estate). KLA is a leading supplier of process control and yield management equipment for the semiconductor industry. Shares jumped during the third quarter of 2019, a result of strong quarterly results and guidance that was above expectations due to increased development spending by foundry and logic customers. Analog Devices is a U.S.-based company that designs, manufactures, and markets semiconductor equipment and technology. Shares rose during the period as the company posted earnings that beat estimates in each of the last four quarters. Crown Castle is a U.S.-based company, owning a nationwide portfolio of communications infrastructure. The company’s stock rose over the period due to strong earnings and tailwinds from expectations of increased business as customers build out 5G infrastructure.

 

 

 

  12  

 


The Hartford Equity Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Top detractors from results relative to the Russell 1000 Value Index included Suncor Energy (Energy) and not owning benchmark constituents Procter & Gamble (P&G) (Consumer Staples) or AT&T (Communication Services). Suncor Energy is a Canadian company primarily focused on developing petroleum resource basins. Shares have traded lower over the trailing twelve months, and the company reported third-quarter earnings that missed estimates. Integrated companies, like Suncor, were weighed down by the government’s mandatory oil production cuts which sharply reduced the price discount on Canadian versus U.S. oil. Shares of P&G moved higher as strong organic sales growth continued, driven by reinvestment, innovation, and organizational realignment. Growth was broad-based across all ten categories. Additionally, management guidance suggests continued gross margin expansion into fiscal year 2020. AT&T is a U.S.-based provider of telecommunication, media, and technology services. The company has positioned itself competitively in the media streaming space with its acquisition of HBO earlier this year. The stock rose over the period and performance was boosted by third-quarter earnings that beat estimates.

Derivatives were not used in a significant manner in the Fund during the period, and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe we are in the latter stages of the business cycle. As such, we have positioned the portfolio more defensively as of the end of the period. We have been focusing on companies that appear attractively valued over a variety of potential economic scenarios. While we do not expect a recession in the near term, we are mindful of broader macro and political risks and want to be positioned defensively ahead of any potentially negative developments.

The Healthcare, Information Technology, and Industrials sectors represented the Fund’s largest sector overweights relative to the Russell 1000 Value Index, while the Real Estate, Consumer Discretionary, and Financials sectors were the Fund’s largest underweights at the end of the period.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. For dividend-paying stocks, dividends are not guaranteed and may decrease without notice. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market. The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     6.0

Consumer Discretionary

     3.2  

Consumer Staples

     9.6  

Energy

     8.6  

Financials

     20.5  

Health Care

     16.8  

Industrials

     11.4  

Information Technology

     9.3  

Materials

     2.5  

Real Estate

     2.2  

Utilities

     7.8  
  

 

 

 

Total

     97.9
  

 

 

 

Short-Term Investments

     2.1  

Other Assets & Liabilities

     0.0
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  13  

 


The Hartford Growth Opportunities Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 3/31/1963

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     13.64%        12.29%        14.65%  

Class A2

     7.33%        11.02%        14.01%  

Class C1

     12.79%        11.46%        13.83%  

Class C2

     12.04%        11.46%        13.83%  

Class I1

     13.94%        12.56%        14.96%  

Class R31

     13.25%        11.92%        14.32%  

Class R41

     13.57%        12.25%        14.67%  

Class R51

     13.92%        12.58%        15.01%  

Class R61

     14.03%        12.69%        15.12%  

Class Y1

     14.00%        12.68%        15.11%  

Class F1

     14.07%        12.62%        14.99%  

Russell 3000 Growth Index

     16.34%        13.05%        15.26%  

Russell 1000 Growth Index

     17.10%        13.43%        15.41%  

 

1 

Without sales charge

2

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.11%        1.11%  

Class C

     1.85%        1.85%  

Class I

     0.83%        0.83%  

Class R3

     1.46%        1.46%  

Class R4

     1.15%        1.15%  

Class R5

     0.85%        0.85%  

Class R6

     0.74%        0.74%  

Class Y

     0.82%        0.79%  

Class F

     0.74%        0.74%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  14  

 


The Hartford Growth Opportunities Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Michael T. Carmen, CFA*

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Stephen Mortimer

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Mario E. Abularach, CFA, CMT

Senior Managing Director and Equity Research Analyst

Wellington Management Company LLP

* Effective March 1, 2020, Michael T. Carmen, CFA will no longer serve as a portfolio manager for the Fund.

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Growth Opportunities Fund returned 13.64%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming the Fund’s benchmarks, the Russell 3000 Growth Index and the Russell 1000 Growth Index, which returned 16.34% and 17.10%, respectively, for the same period. For the same period, the Class A shares of the Fund underperformed the 14.00% average return of the Lipper Multi-Cap Growth Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by an accommodative shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its

intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, measured by the S&P 500 Index, outperformed mid- and small-cap stocks, measured by the S&P MidCap 400 Index and Russell 2000 Index, respectively.

Ten out of eleven sectors in the Russell 3000 Growth Index rose during the period, with the Utilities (+34%), Real Estate (+27%), and Materials (+24%) sectors performing the best. The Energy (-22%) sector lagged on a relative basis during the period.

Sector allocation, a result of our bottom-up stock selection process, detracted from performance relative to the Russell 3000 Growth Index during the period, due to an underweight to the Information Technology sector and an overweight to the Consumer Discretionary sector. This was partially offset by the positive impact of an overweight to the Communication Services sector, which contributed positively to performance relative to the Russell 3000 Growth Index. Security selection contributed positively to performance relative to the Russell 3000 Growth Index during the period, with strong selection in the Healthcare and Information Technology sectors. This positive performance was partially offset by weaker selection within the Communication Services and Industrials sectors, which detracted from performance relative to the Russell 3000 Growth Index.

Top detractors from performance relative to the Russell 3000 Growth Index during the period included Microsoft (Information Technology), We Co. (Industrials), and 2U (Information Technology). The Fund’s lack of exposure to Microsoft negatively affected performance the most. Microsoft delivered impressive results across the board, with acceleration in Office, double-digit growth in Server/Database, high single-digit growth in PC Windows, and operating margin improvement. We Co. is a U.S.-based provider of shared workspaces and services. During the period, the company pulled its initial public offering registration statement filing. Investor concerns over the Chief Executive Officer (CEO) and business model viability (among other things) caused valuations of We Co. to decline. Shares of 2U, a provider of cloud-based software for online education courses, traded down after management meaningfully lowered their full-year guidance and turned focus away from top-line growth towards profitability in their July earnings release. The company cited increasing competition in its graduate degree

 

 

 

  15  

 


The Hartford Growth Opportunities Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

segment as a challenge to top-line growth. We Co. (Industrials) and 2U (Information Technology) were among the top absolute detractors during the period.

Top contributors to performance relative to the Russell 3000 Growth Index during the period included Shopify (Information Technology), Insulet (Healthcare), and Advanced Micro Devices (Information Technology). Shares of Shopify, a cloud-based commerce platform operator for small and medium-sized businesses, rose after announcing a strong fourth quarter of 2018, beating consensus expectations across the board. Net ads, gross merchandise volume (GMV) growth, and merchant growth in non-core geographies all were strong. We eliminated the Fund’s position in Shopify after the stock exceeded our price target. Shares of Insulet, a medical device maker, rose after the company reported quarterly earnings that exceeded both management guidance and market expectations as all three revenue segments outperformed. Notably, adoption rates of the company’s Omnipod DASH system showed signs of growth. Shares of Advanced Micro Devices (AMD), a semiconductor company, rose due to an announced multi-year partnership with Samsung Electronics in ultralow-power, high-performance mobile graphics chips based on AMD Radeon technologies. Additionally, Microsoft unveiled several new Surface laptops using AMD CPU chips. Investors viewed these moves as a positive for AMD’s latest CPUs and its competitive positioning against Intel. We increased the Fund’s position during the period. Shopify (Information Technology) and Advanced Micro Devices (Information Technology) were among the top absolute contributors during the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

In our opinion, there is still much uncertainty surrounding geopolitics globally and the upcoming U.S. presidential election. During the escalating U.S. and China trade tensions, we have been avoiding U.S. companies with notable exposure to China and are focused on idiosyncratic opportunities that we believe are more insulated from geopolitical issues and macro uncertainty. The growth outlook has marginally come down over the past year as a result of trade tensions, but we think recession fears are just suspicions and not a certainty.

We aim to keep a steady hand for the time being until we see significant fundamental change, striving to not be overly reactive to negative market sentiment. Accordingly, we have not made any wholesale changes to the Fund as of the end of the period.

At the end of the period, the Fund’s largest overweights were to the Consumer Discretionary and Healthcare sectors. The Fund’s largest underweight was to the Information Technology sector.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. Mid-cap securities can have greater risks and volatility than large-cap securities. The Fund’s focus on

investments in particular sectors may increase its volatility and risk of loss if adverse developments occur. Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     13.0

Consumer Discretionary

     23.0  

Consumer Staples

     3.1  

Financials

     4.5  

Health Care

     20.3  

Industrials

     6.8  

Information Technology

     28.7  

Real Estate

     0.3  
  

 

 

 

Total

     99.7
  

 

 

 

Short-Term Investments

     2.8  

Other Assets & Liabilities

     (2.5
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  16  

 


The Hartford Healthcare Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/01/2000

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     12.02%        8.51%        15.46%  

Class A2

     5.86%        7.28%        14.81%  

Class C1

     11.17%        7.71%        14.64%  

Class C2

     10.17%        7.71%        14.64%  

Class I1

     12.36%        8.80%        15.80%  

Class R31

     11.66%        8.17%        15.16%  

Class R41

     12.00%        8.49%        15.51%  

Class R51

     12.32%        8.81%        15.85%  

Class R61

     12.42%        8.92%        15.95%  

Class Y1

     12.40%        8.91%        15.95%  

Class F1

     12.48%        8.86%        15.84%  

S&P Composite 1500 Health Care Index

     7.94%        9.31%        15.45%  

S&P 500 Index

     14.33%        10.78%        13.70%  

 

1

Without sales charge

2

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares. Class R6 shares commenced operations on 2/28/19. Performance prior to that date is that of the Fund’s Class Y shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.28%        1.28%  

Class C

     2.03%        2.03%  

Class I

     1.00%        1.00%  

Class R3

     1.61%        1.61%  

Class R4

     1.30%        1.30%  

Class R5

     1.02%        1.02%  

Class R6

     0.90%        0.90%  

Class Y

     1.01%        0.96%  

Class F

     0.90%        0.90%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  17  

 


The Hartford Healthcare Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Jean M. Hynes, CFA

Senior Managing Director and Global Industry Analyst

Wellington Management Company LLP

Ann C. Gallo

Senior Managing Director and Global Industry Analyst

Wellington Management Company LLP

Robert L. Deresiewicz

Senior Managing Director and Global Industry Analyst

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Healthcare Fund returned 12.02%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming one of the Fund’s benchmarks, the S&P Composite 1500 Health Care Index, which returned 7.94% for the same period. For the same period, Class A shares of the Fund underperformed the Fund’s other benchmark, the S&P 500 Index, which returned 14.33% for the same period. For the same period, the Class A shares of the Fund outperformed the 9.89% average return of the Lipper Global Health and Biotechnology peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Healthcare stocks (7.94%) underperformed both the broader U.S. equity market (14.3%) and the global equity market (13.2%) during the period, as measured by the S&P Composite 1500 Health Care Index, the S&P 500 Index, and the MSCI All Country World (ACWI) Index (Gross), respectively.

Within the S&P Composite 1500 Health Care Index, two of the five sub-sectors posted positive absolute returns during the period. The Medical Technology (+20.7%) and Large-cap Biopharma (+6.6%) sub-sectors rose during the period. The Small-cap Biopharma (-18.9%), Mid-cap Biopharma (-16.5%), and Healthcare Services (-1.8%) sub-sectors posted negative absolute returns during the period.

Security selection was the primary contributor to performance relative to the S&P Composite 1500 Health Care Index during the period, while sector allocation detracted from relative returns. Security selection was strongest in small-cap and mid-cap biopharma sub-sectors during the period. Within the sub-sector allocation, as a result of our bottom-up stock selection process, an overweight allocation to mid-cap and small-cap biopharma detracted most from performance relative to the S&P Composite 1500 Health Care Index during the period.

Seattle Genetics (mid-cap biopharma), Loxo Oncology (small-cap biopharma), and not owning Johnson & Johnson (large-cap biopharma), a constituent of the S&P Composite 1500 Health Care Index, contributed positively to results relative to the S&P Composite 1500 Health Care Index. Seattle Genetics is a biopharmaceutical company that develops monoclonal antibody-based targeted therapies for the treatment of cancer and autoimmune diseases. Shares of Seattle Genetics

outperformed over the period relative to the S&P Composite 1500 Health Care Index, most notably driven by positive trial results of tucatinib, which satisfied the trial’s primary endpoint of progression-free survival in treating patients with certain types of breast cancer. Loxo Oncology, a U.S.-based oncology-focused biopharmaceutical company, agreed to be acquired by Eli Lilly at a 68% premium in January 2019. We eliminated the Fund’s position during the period to take the acquisition profits. Not owning Johnson & Johnson, a global pharmaceutical and consumer products company, contributed positively to performance relative to the S&P Composite 1500 Health Care Index as shares traded lower on concerns about lawsuits the company faces regarding its talc-based baby powder and role in the opioid crisis. Top absolute contributors to performance included Seattle Genetics, Loxo Oncology, and Abbott Laboratories.

Alkermes (mid-cap biopharma), Merck (large-cap biopharma), and Celgene (large-cap biopharma) were the top detractors from performance relative to the S&P Composite 1500 Health Care Index over the period. Alkermes, a biopharmaceutical company commercializing neuropsychiatric drugs, reported disappointing first-quarter sales for one of its key growth products, Aristada. However, the company has a phase III drug, which is anticipated to be a safer version of the generic drug Zyprexa, used for treating schizophrenia. The drug has shown positive results and is expected to be filed with the FDA by end of the year. Not owning Merck, a U.S.-based pharmaceutical company, detracted from performance relative to the S&P Composite 1500 Health Care Index over the period. Shares of Merck moved higher on FDA approval of Keytruda in combination with chemotherapy for the first-line treatment of metastatic squamous non-small cell lung cancer. The Fund’s underweight to Celgene detracted from performance relative to the S&P Composite 1500 Health Care Index as shares traded higher on news that Bristol-Myers Squibb was acquiring the firm at a significant premium. Subsequently, we eliminated the position from the Fund after the good news was reflected in the stock price. Alkermes, Amneal Pharmaceuticals, and Mylan were top absolute detractors from performance.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

With the approaching 2020 presidential election in the U.S., we believe that the macro overhang on healthcare stocks has intensified. Key focus

areas for investors include the proposed nationalization of healthcare in

 

 

 

  18  

 


The Hartford Healthcare Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

the form of “Medicare for All,” as proposed by several leading Democratic candidates for president, as well as the potential for greater governmental involvement in drug pricing, some form of which seems to enjoy bipartisan support. Despite the heightened rhetoric, we continue to believe that fundamental structural reform is unlikely. We believe “Medicare for All” has little chance of becoming law, regardless of the outcome of the 2020 elections. As for drug pricing, we believe that the biotech and pharma industries are willing to forgo some of their profits in order to reduce patient out-of-pocket drug costs and thus hopefully avoid the worst-case outcome of drug price setting by the government. It remains to be seen whether any drug pricing legislation or regulation will come to pass, as we believe Washington, D.C. is currently preoccupied with other issues.

In selecting stocks for the Fund, we seek to find companies that develop innovative products designed to address important unmet medical needs. Over the long term, we believe that the tailwinds of innovation, an aging population, and the globalization of demand for cutting-edge Western-style medicines should continue to drive growth of the sector.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Risks of focusing investments on the healthcare related sector include regulatory and legal developments, patent considerations, intense competitive pressures, rapid technological changes, potential product obsolescence, and liquidity risk. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Small- and mid-cap securities can have greater risks and volatility than large-cap securities.

Composition by Subsector(1)

as of October 31, 2019

 

Subsector    Percentage of
Net Assets
 

Equity Securities

 

Biotechnology

     23.0

Health Care Equipment & Supplies

     24.3  

Health Care Providers & Services

     16.3  

Health Care Technology

     1.5  

Life Sciences Tools & Services

     6.1  

Pharmaceuticals

     26.9  
  

 

 

 

Total

     98.1
  

 

 

 

Short-Term Investments

     4.9  

Other Assets & Liabilities

     (3.0
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These subsector classifications are used for financial reporting purposes.

 

 

 

  19  

 


The Hartford MidCap Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 12/31/1997

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term growth of capital.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     14.93%        10.34%        13.89%  

Class A2

     8.61%        9.10%        13.25%  

Class C1

     14.10%        9.52%        13.08%  

Class C2

     13.14%        9.52%        13.08%  

Class I1

     15.25%        10.60%        14.18%  

Class R31

     14.54%        9.97%        13.55%  

Class R41

     14.89%        10.31%        13.90%  

Class R51

     15.23%        10.64%        14.24%  

Class R61

     15.37%        10.75%        14.36%  

Class Y1

     15.32%        10.72%        14.35%  

Class F1

     15.36%        10.66%        14.21%  

S&P MidCap 400 Index

     9.02%        8.37%        13.21%  

 

1

Without sales charge

2

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.11%        1.11%  

Class C

     1.86%        1.86%  

Class I

     0.82%        0.82%  

Class R3

     1.47%        1.47%  

Class R4

     1.16%        1.16%  

Class R5

     0.85%        0.85%  

Class R6

     0.75%        0.75%  

Class Y

     0.85%        0.79%  

Class F

     0.75%        0.75%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  20  

 


The Hartford MidCap Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Philip W. Ruedi, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Mark A. Whitaker, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford MidCap Fund returned 14.93%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s benchmark, the S&P MidCap 400 Index, which returned 9.02% for the same period. For the same period, the Class A shares of the Fund underperformed the 15.51% average return of the Lipper Mid-Cap Growth Funds peer group, a group of funds with investment strategies similar to that of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by a cautious shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, as measured by the S&P 500 Index, outperformed small- and mid-cap stocks, as measured by the Russell 2000 Index and S&P MidCap 400 Index, respectively.

 

Within the S&P MidCap 400 Index, nine of the eleven sectors posted positive returns during the period. The Information Technology (+21%), Industrials (+18%), and Real Estate (+17%) sectors performed best, while the Energy (-47%) and Consumer Staples (-1%) sectors lagged the S&P MidCap 400 Index during the period.

The Fund outperformed the S&P MidCap 400 Index during the period primarily as a result of positive stock selection. Selection effects were particularly strong within the Healthcare, Materials, and Consumer Discretionary sectors. This was partially offset by weak selection in the Information Technology, Communication Services, and Utilities sectors, which detracted from performance. Sector allocation, a result of our bottom up stock selection process, also contributed positively to outperformance relative to the S&P MidCap 400 Index. This was primarily due to an overweight allocation to the Information Technology sector and an underweight to the poorly performing Energy sector. However, this was partially offset by an overweight to the Healthcare sector and an underweight to the Real Estate sector, which detracted from relative performance.

Top contributors to performance relative to the S&P MidCap 400 Index included Roku (Consumer Discretionary), Seattle Genetics (Healthcare), and Genpact (Information Technology). Roku is a manufacturer of a variety of digital media players that allow customers to access internet-streamed video or audio services through televisions. During the period, the stock rose on the back of strong quarterly results which served to reinforce the company’s strong position within the fast-growing video-streaming market. As of the end of the period, the Fund continued to hold the stock. Seattle Genetics is a biotechnology company focused on developing and commercializing innovative, empowered monoclonal antibody-based therapies for the treatment of cancer. Shares of Seattle Genetics rose during the second quarter of 2019 due to the sales growth of the company’s blood cancer drug. Shares of Seattle Genetics continued to climb during the remainder of the period on positive trial results for a combination of one of its drugs with Merck’s immunotherapy Keytruda as a first-line treatment of bladder cancer. Genpact engages in business process management, outsourcing, shared services, and information outsourcing. Shares of Genpact jumped early in 2019 as significant client wins helped drive Genpact’s revenue growth above the consensus and the stock price higher, leading to raised revenue guidance.

Top detractors to performance relative to the S&P MidCap 400 Index included Aerie Pharmaceutical (Healthcare), CommScope Holding (Information Technology), and 2U (Information Technology). Aerie Pharmaceutical is a biotech company focused on diseases of the eye. Shares lowered during the period on concerns that sales of Rhopressa and Rocklatan will not meet expectations; however, as of the end of the period, we have maintained the Fund’s position. CommScope provides

 

 

 

  21  

 


The Hartford MidCap Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

infrastructure for communications networks. While slowing capital expenditure for cable infrastructure has negatively affected the stock price, we added to the Fund’s position as we believe capital expenditure spending in this area will rebound. Lastly, shares of 2U, a cloud-based platform for offering university degree programs online, declined as the company lowered guidance for the full year due to slowdowns in some of its more mature programs. We eliminated the Fund’s position during the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

Our outlook for the U.S. economy is satisfactory, but less positive than it was earlier this year. Several factors may cause volatility in coming quarters, including slowing global growth, trade uncertainties, tariffs, and political developments. At the end of the period, the Fund had its largest overweights to the Information Technology, Healthcare, and Industrials sectors, and had the largest underweights to the Real Estate, Materials, and Financials sectors relative to the S&P MidCap 400 Index.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Mid-cap securities can have greater risks and volatility than large-cap securities.  The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     3.4

Consumer Discretionary

     10.6  

Energy

     0.7  

Financials

     13.3  

Health Care

     19.0  

Industrials

     17.9  

Information Technology

     27.5  

Materials

     3.0  

Real Estate

     2.1  

Utilities

     2.5  
  

 

 

 

Total

     100.0
  

 

 

 

Short-Term Investments

     1.2  

Other Assets & Liabilities

     (1.2
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  22  

 


The Hartford MidCap Value Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 4/30/2001

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     12.74%        5.70%        11.45%  

Class A2

     6.54%        4.51%        10.82%  

Class C1

     11.99%        4.93%        10.64%  

Class C2

     11.03%        4.93%        10.64%  

Class I1

     13.20%        6.00%        11.79%  

Class R31

     12.42%        5.39%        11.21%  

Class R41

     12.77%        5.72%        11.54%  

Class R51

     13.14%        6.04%        11.85%  

Class Y1

     13.23%        6.13%        11.94%  

Class F1

     13.27%        6.08%        11.84%  

Russell Midcap Value Index

     10.08%        6.95%        12.90%  

Russell 2500 Value Index

     6.10%        6.36%        11.85%  

 

1

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class I shares commenced operations on 5/28/10. Performance prior to that date is that of the Fund’s Class A shares (excluding sales charges). Class R3, R4 and R5 shares commenced operations on 5/28/10. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares from 5/28/10 through 2/27/17 and Class A shares (excluding sales charges) prior to 5/28/10.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Effective 3/31/19, the Russell 2500 Value Index is no longer one of the Fund’s benchmarks. Hartford Funds Management Company, LLC, the investment manager, believes that the Russell Midcap Value Index better reflects the Fund’s investment strategy.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.22%        1.22%  

Class C

     1.98%        1.98%  

Class I

     0.90%        0.90%  

Class R3

     1.52%        1.52%  

Class R4

     1.22%        1.22%  

Class R5

     0.91%        0.91%  

Class Y

     0.91%        0.85%  

Class F

     0.80%        0.80%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  23  

 


The Hartford MidCap Value Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Gregory J. Garabedian

Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford MidCap Value Fund returned 12.74%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s benchmark, the Russell Midcap Value Index, which returned 10.08% for the same period. For the same period, the Class A shares of the Fund also outperformed the Russell 2500 Value Index, which returned 6.10% for the period, and the 6.34% average return of the Lipper Mid-Cap Value Fund peer group, a group of funds with investment strategies similar to those of the Fund. Effective March 31, 2019, the Russell 2500 Value Index is no longer one of the Fund’s benchmarks.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by an accommodative shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period; large-cap stocks, as measured by the S&P 500 Index, outperformed mid- and small-cap stocks, as measured by the S&P MidCap 400 Index and Russell 2000 Index, respectively. Returns within the mid-cap space varied by style, as the Russell Midcap Growth Index outperformed the Russell Midcap Value Index.

Nine of the eleven sectors in the Russell Midcap Value Index gained during the period, with the Real Estate (+24%), Industrials (+21%), and Utilities (+19%) sectors performing the best, while the Energy (-29%) and Communication Services (-3%) sectors lagged during the period.

The Fund’s outperformance relative to the Russell Midcap Value Index over the twelve-month period was driven primarily by security selection within the Information Technology, Materials, and Consumer Staples sectors, which was partially offset by weak selection within the Financials, Utilities, and Energy sectors. Sector allocation, a result of the bottom-up stock selection process, also added to returns relative to the Russell Midcap Value Index, in part due to an overweight to the Information Technology sector and an underweight to the Consumer Staples sector. An underweight to the Utilities sector negatively impacted relative performance.

Top contributors to returns relative to the Russell Midcap Value Index included L3Harris Technologies Industrials), Reliance Steel & Aluminum (Materials), and not owning PG&E (Utilities). Shares of aerospace and defense giant, L3Harris, outperformed during the period. The merger between L3 Technologies and Harris was finalized at the end of June 2019. The post-merger company continued on its positive trajectory over the period, giving the investment community confidence in the combined company’s ability to realize synergies and generate strong free cash flow growth in the coming years. Reliance Steel & Aluminum is a U.S.-based company that distributes and processes steel and aluminum. The company’s stock jumped towards the end of the period after reporting third-quarter results that were ahead of expectations. The company’s results trended down from the previous quarter but we believe this indicated that business is holding up well in a tough operating environment. PG&E is a U.S.-based electric utilities company. Shares of the company’s stock plummeted during the period for being blamed for the California wildfire outbreak, and not holding the stock benefited the Fund.

Top absolute and relative detractors from the Russell Midcap Value Index returns included EnCana (Energy), Diamondback Energy (Energy), and Noble Energy (Energy). Shares of these oil- and gas-producing companies came under pressure the past year due to a decrease in crude oil and natural gas prices amid escalating concerns of a slowing macroeconomic environment.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

While we expect continued volatility in the near term, we have continued to seek cyclical opportunities where stock prices appear attractively valued in multiple economic scenarios. At the end of the period, the Information Technology, Materials, and Financials sectors represented the Fund’s largest sector overweights relative to the Russell Midcap Value Index, while the largest underweights were to the Utilities, Consumer Discretionary, and Real Estate sectors.

 

 

 

  24  

 


The Hartford MidCap Value Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Mid-cap securities can have greater risks and volatility than large-cap securities. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur. Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     3.9

Consumer Discretionary

     5.1  

Consumer Staples

     2.3  

Energy

     5.7  

Financials

     20.2  

Health Care

     6.9  

Industrials

     12.1  

Information Technology

     11.3  

Materials

     9.3  

Real Estate

     12.8  

Utilities

     6.3  
  

 

 

 

Total

     95.9
  

 

 

 

Short-Term Investments

     3.9  

Other Assets & Liabilities

     0.2  
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  25  

 


Hartford Quality Value Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 1/02/1996

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns (as of 10/31/19)

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     13.10%        6.75%        11.15%  

Class A2

     6.88%        5.55%        10.52%  

Class C1

     12.23%        5.98%        10.33%  

Class C2

     11.23%        5.98%        10.33%  

Class I1

     13.49%        7.11%        11.49%  

Class R31

     12.78%        6.45%        10.87%  

Class R41

     13.17%        6.80%        11.21%  

Class R51

     13.46%        7.10%        11.53%  

Class R61

     13.57%        7.21%        11.60%  

Class Y1

     13.50%        7.17%        11.59%  

Class F1

     13.58%        7.16%        11.52%  

Russell 1000 Value Index

     11.21%        7.61%        11.96%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

The returns include the Fund’s performance when the Fund pursued a different investment objective and principal investment strategy prior to 11/1/17.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares. Class R6 shares commenced operations on 2/28/18. Performance prior to that date is that of the Fund’s Class Y shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     0.98%        0.96%  

Class C

     1.74%        1.71%  

Class I

     0.64%        0.64%  

Class R3

     1.27%        1.18%  

Class R4

     0.97%        0.88%  

Class R5

     0.67%        0.63%  

Class R6

     0.55%        0.46%  

Class Y

     0.66%        0.57%  

Class F

     0.55%        0.46%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  26  

 


Hartford Quality Value Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Matthew G. Baker

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Quality Value Fund returned 13.10%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming its benchmark, the Russell 1000 Value Index, which returned 11.21% for the same period. For the same period, the Class A shares of the Fund outperformed the 10.38% average return of the Lipper Large-Cap Value Fund peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by a cautious shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, measured by the S&P 500 Index, outperformed mid- and small-cap stocks, measured by the S&P MidCap 400 Index and Russell 2000 Index, respectively.

Ten out of eleven sectors in the Russell 1000 Value Index rose during the period, with the Real Estate (+25%), Utilities (+23%), and Information

Technology (+22%) sectors performing the best. The Energy (-12%) sector was the only sector that posted negative returns during the period.

Security selection was the primary driver of outperformance relative to the Russell 1000 Value Index over the period. Strong stock selection within the Financials, Information Technology, Industrials, and Healthcare sectors were the top contributors to relative performance. This was partially offset by weaker security selection within the Consumer Staples, Utilities, and Real Estate sectors. Sector allocation, a result of our bottom-up stock selection process, detracted from performance relative to the Russell 1000 Value Index during the period, due to an underweight to the Real Estate, Utilities, and Communication Services sectors. This was partially offset by an overweight to the Information Technology and Industrials sectors, which contributed positively to relative performance.

Top contributors to performance relative to the Russell 1000 Value Index over the period were KLA (Information Technology), Ball (Materials), and not owning Johnson & Johnson (Healthcare). KLA was the top relative contributor to performance during the period, driving strong performance within the Information Technology sector. The company, which is one of the leading suppliers of process control and yield management solutions to the semiconductor industry, benefited from improving demand trends for chips globally. Additionally, the emergence of the 5th generation (5G) cellular technology, which is beginning to be deployed globally, is also helping demand. Within the Materials sector, the Fund’s overweight to Ball was another top contributor to relative performance over the period. Ball posted solid results this year and continued to demonstrate improved competitive discipline since its merger with Rexam a few years ago. Not holding Johnson & Johnson contributed positively to relative performance over the period, as the company’s share price has been under pressure due to ongoing litigation risk surrounding its various products. KLA, JP Morgan (Financials), and Bank of America (Financials) were the top absolute contributors to performance during the period.

The largest detractors from relative performance were Halliburton (Energy), not holding Procter & Gamble (Consumer Staples), and Methanex (Materials). Halliburton detracted from relative returns as lower oil prices have pressured the company’s stock price over the past year. A lack of an allocation to Procter & Gamble also detracted from relative performance, as the company reported strong first quarter fiscal 2020 results driven by organic sales growth and margin expansion. Methanex was among the top relative detractors during the period and we subsequently eliminated the Fund’s position. The company has struggled to produce adequate returns over the prior two years due to both operational issues and persistently low gas prices. Walgreens (Consumer Staples), Halliburton, and EOG Resources (Energy) were the top absolute detractors from performance during the period.

 

 

 

  27  

 


Hartford Quality Value Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe that tariffs remain a major impediment to the continued economic expansion in the U.S., and for the reacceleration of growth globally. We believe tariffs represent a self-imposed limit to economic growth that has the potential to be removed and could serve as a positive catalyst for the economy and stock valuations. In our view, the combination of reduced tariffs and/or trade agreements with China specifically, but also Europe and other regions, combined with global easing by central banks, could provide significant economic stimulus at a time where global growth is sluggish and appears to be slowing. We believe that the probability of a favorable outcome may increase as we move towards the 2020 elections, which may put mounting pressure on President Trump to deliver on economic growth.

However, in the absence of reduced tariffs, U.S. growth is returning to trend levels of approximately 2% after a period of heightened growth since the recent tax reform. While we currently view recessionary risks as contained, largely due to the health of the consumer, we do worry about the knock-on effects of the strength of the dollar, mainly the potential slowing of fixed investment by U.S. companies. This could cause business momentum to slow and lead to less wage growth for consumers, an outcome we think would result in significantly lower equity valuations. However, the Fed appears aware of these risks and is responding in the form of rate cuts to curb slowing investment. A question remains as to how effective these cuts will be.

Furthermore, with an election approaching in the U.S. and the prospect of a wide range of policy outcomes after the election, we are somewhat concerned that equity valuations are not properly discounting this uncertainty. As a result, with the political and economic backdrop being so uncertain at this point, we believe our strategy of focusing on quality businesses, with a history of consistent capital allocation, defensive characteristics, and reasonable valuations is prudent.

At the end of the period, the Fund had the largest overweights in the Information Technology, Industrials, and Healthcare sectors, and the largest underweights in the Communication Services, Real Estate, and Financials sectors, relative to the Russell 1000 Value Index.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. For dividend-paying stocks, dividends are not guaranteed and may decrease without notice. The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur.  Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     5.8

Consumer Discretionary

     4.5  

Consumer Staples

     8.5  

Energy

     8.4  

Financials

     21.9  

Health Care

     13.3  

Industrials

     11.3  

Information Technology

     11.6  

Materials

     2.9  

Real Estate

     3.7  

Utilities

     5.9  
  

 

 

 

Total

     97.8
  

 

 

 

Short-Term Investments

     2.2  

Other Assets & Liabilities

     0.0
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  28  

 


The Hartford Small Cap Growth Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 1/04/1988

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     8.99%        8.28%        14.30%  

Class A2

     2.99%        7.06%        13.66%  

Class C1

     8.27%        7.54%        13.50%  

Class C2

     7.54%        7.54%        13.50%  

Class I1

     9.41%        8.62%        14.65%  

Class R31

     8.72%        7.99%        14.02%  

Class R41

     9.05%        8.33%        14.38%  

Class R51

     9.40%        8.66%        14.72%  

Class R61

     9.49%        8.74%        14.82%  

Class Y1

     9.44%        8.75%        14.82%  

Class F1

     9.49%        8.69%        14.69%  

Russell 2000 Growth Index

     6.40%        8.38%        13.38%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous additional sub-adviser, Hartford Investment Management Company. As of 7/21/10, Hartford Investment Management Company no longer served as a sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

The Fund is closed to new investors, subject to certain exceptions. For more information, please see the Fund’s prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.22%        1.22%  

Class C

     1.90%        1.90%  

Class I

     0.84%        0.84%  

Class R3

     1.48%        1.48%  

Class R4

     1.17%        1.17%  

Class R5

     0.87%        0.87%  

Class R6

     0.77%        0.77%  

Class Y

     0.86%        0.80%  

Class F

     0.76%        0.76%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  29  

 


The Hartford Small Cap Growth Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Mammen Chally, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

David A. Siegle, CFA

Managing Director and Equity Research Analyst

Wellington Management Company LLP

Douglas W. McLane, CFA

Managing Director and Equity Research Analyst

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Small Cap Growth Fund returned 8.99%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s benchmark, the Russell 2000 Growth Index, which returned 6.40%. For the same period, Class A shares of the Fund outperformed the 7.14% average return of the Lipper Small-Cap Growth Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by a cautious shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, as measured by the S&P 500 Index, outperformed mid-cap and small-cap stocks, as measured by the S&P MidCap 400 Index and Russell 2000 Index, respectively. Seven out of eleven sectors in the Russell 2000 Growth Index had positive returns during the period. The Utilities (+33%), Information Technology (+22%), and Real Estate (+19%) sectors increased the most, while the Energy (-39%) and Communication Services (-10%) sectors lagged the broader Russell 2000 Growth Index.

Security selection was the primary driver of outperformance relative to the Russell 2000 Growth Index during the period. Strong selection within the Consumer Discretionary, Healthcare, and Industrials sectors contributed positively to relative performance, but was slightly offset by weaker selection in the Communication Services, Financials, and Information Technology sectors, which detracted from relative performance. Sector allocation, a result of bottom-up stock selection, made a small but positive contribution to relative performance, primarily driven by the Fund’s underweight allocation to the Communication Services sector and an overweight in the Information Technology sector.

The top contributors to performance relative to the Russell 2000 Growth Index during the period were TopBuild (Consumer Discretionary), Reata Pharmaceuticals (Healthcare), and Entegris (Information Technology). Shares of TopBuild, a U.S.-based company that provides insulation and installation services, rose during the period. Reata Pharmaceuticals is a U.S.-based pharmaceuticals company. Shares of Reata surged over 150% towards the end of the period after the company reported positive phase 2 results for omaveloxolone, a treatment for Friendrich’s ataxia, a rare genetic disease. Based on the positive results, and subject to discussions with regulatory authorities, the company plans to proceed with the submission of regulatory filings for marketing approval in the U.S. and internationally. Shares of Entegris, a U.S.-based provider of specialty chemical and materials used in semiconductor manufacturing, rose during the period. The year has been challenging for Entegris as the company reported weaker-than-expected second-quarter 2019 results. However, the company signaled an improving business climate in the second half of 2019. Top contributors to absolute performance for the period included TopBuild (Consumer Discretionary) and Loxo Oncology (Healthcare).

The top detractors from performance relative to the Russell 2000 Growth Index included 2U (Information Technology), Amneal Pharmaceuticals (Healthcare), and ICU Medical (Healthcare). Shares of 2U, a U.S.-based

 

 

 

  30  

 


The Hartford Small Cap Growth Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

online educational services company, fell during the period. The company’s stock plummeted in July after an announcement that it will lower the average enrollment expectations for its core graduate program business due to increased competition. We eliminated the Fund’s position in 2U. Amneal Pharmaceuticals, a U.S.-based generics and specialty pharmaceutical company, declined after the company announced a restructuring effort in light of continued weakness in the generic-drug markets. We eliminated the Fund’s position in this stock. ICU Medical is a U.S.-based company that develops, manufactures, and sells disposable medical connection systems for use in intravenous (IV) therapy applications. ICU shares plunged in August after the company lowered its full-year earnings outlook. As of the end of the period, we maintained the Fund’s position as we believe the company’s new CEO has instilled focus on margin improvements and the company is benefiting from stable demand for its products. Top detractors from absolute performance for the period included Amneal Pharmaceuticals (Healthcare) and Merit Medical System (Healthcare).

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

Since the middle of 2018, there has been a change to the near-term market outlook, led by the change in the U.S. bond market yield curve. The 10-year Treasury yield is near the lows it last experienced in 2016. After nine rate increases in 0.25% increments from late 2015 to late 2018, the Fed has now cut interest rates three times. Through all of this, the U.S. dollar has continued to strengthen against the major currencies and China has allowed its currency to weaken. In the U.S., we are now seeing some weakening of exports and capital investment. However, we believe that indicators such as credit, jobless claims, housing activity, and consumer confidence do not signify a recession at this point. Moreover, our conversations with companies indicate that, in general, competition for labor is among the bigger constraints for growth rather than a decrease in demand.

Against this backdrop, we now have the possibility that the House of Representatives will start impeachment proceedings against President Trump. As investors, we are concerned about potential ramifications on items scheduled on the legislative calendar, such as the necessary ratification of USMCA (United States-Mexico-Canada Agreement, which is the proposed replacement for the North American Free Trade Agreement). We believe the pressure on profits and the need to pass on costs will become critical if there is a combination of tariffs and a lack of a ratified USMCA.

Over the next few quarters, we believe that there will be more to analyze given that we are approaching an election year. It is clear there are several policy proposals that could have an impact on stocks the Fund holds, and while we are working to understand the implications, we believe it is too early to act one way or another.

At the end of the period, the Fund’s largest overweights were to the Consumer Discretionary, Financials, and Materials sectors, while the Fund’s largest underweights were to the Utilities, Real Estate, and Communication Services sectors, relative to the Russell 2000 Growth Index.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Small-cap securities can have greater risks and volatility than large-cap securities. The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur. Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     1.0

Consumer Discretionary

     14.0  

Consumer Staples

     4.0  

Energy

     0.7  

Financials

     7.7  

Health Care

     28.1  

Industrials

     19.1  

Information Technology

     17.1  

Materials

     3.7  

Real Estate

     3.4  
  

 

 

 

Total

     98.8
  

 

 

 

Short-Term Investments

     3.8  

Other Assets & Liabilities

     (2.6
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  31  

 


Hartford Small Cap Value Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 1/01/2005

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     3.46%        4.89%        10.74%  

Class A2

     -2.23%        3.71%        10.11%  

Class C1

     2.60%        4.10%        9.92%  

Class C2

     1.87%        4.10%        9.92%  

Class I1

     3.77%        5.18%        10.89%  

Class R31

     3.31%        4.68%        10.65%  

Class R41

     3.52%        4.97%        10.90%  

Class R51

     3.82%        5.28%        11.17%  

Class R61

     3.99%        5.36%        11.22%  

Class Y1

     3.94%        5.35%        11.21%  

Class F1

     3.99%        5.26%        10.93%  

Russell 2000 Value Index

     3.22%        6.24%        11.08%  

Russell 2000 Index

     4.90%        7.37%        12.27%  

 

1 

Without sales charge

2

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R3, R4 and R5 shares commenced operations on 9/30/11. Performance prior to that date is that of the Fund’s Class Y shares. Class I shares commenced operations on 03/31/15. Performance prior to that date is that of the Fund’s Class A shares (excluding sales charges). Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares from 3/31/15 through 2/27/17 and Class A shares (excluding sales charges) prior to 3/31/15. Class R6 shares commenced operations on 2/28/18. Performance prior to that date is that of the Fund’s Class Y shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes the Fund’s performance when it invested, prior to 2/1/10, at least 80% of its assets in common stocks of mid-capitalization companies and prior to 7/10/15, at least 80% of its assets in common stocks of small-capitalization and mid-capitalization companies. Performance information prior to 11/1/18 includes the Fund’s performance when the Fund used a quantitative multifactor approach to bottom-up stock selection and pursued different principal investment strategies.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company. As of 6/4/12, Hartford Investment Management Company no longer served as the sub-adviser to the Fund.

Effective 11/1/18, the Fund changed its benchmark to the Russell 2000 Value Index from the Russell 2000 Index because Hartford Funds Management Company, LLC, the investment manager, believes it better reflects the Fund’s revised investment strategy.

You cannot invest directly in an index.

 

 

 

  32  

 


Hartford Small Cap Value Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.30%        1.30%  

Class C

     2.08%        2.05%  

Class I

     0.98%        0.98%  

Class R3

     1.58%        1.50%  

Class R4

     1.28%        1.20%  

Class R5

     0.98%        0.90%  

Class R6

     0.87%        0.80%  

Class Y

     0.97%        0.85%  

Class F

     0.86%        0.80%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

Portfolio Managers

Sean M. Kammann

Managing Director, Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Small Cap Value Fund returned 3.46%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming its benchmark, the Russell 2000 Value Index, which returned 3.22% for the same period. For the same period, the Class A shares of the Fund outperformed the -0.59% average return of the Lipper Small-Cap Value Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by a cautious shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite

elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, as measured by the S&P 500 Index, outperformed mid- and small-cap stocks, as measured by the S&P MidCap 400 Index and Russell 2000 Value Index, respectively.

Five of the eleven sectors in the Russell 2000 Value Index rose during the period, with the Information Technology (+27%), Utilities (+21%), and Real Estate (+20%) sectors performing best. Conversely, the Energy (-44%), Healthcare (-18%), and Communication Services (-12%) sectors lagged over the period.

Sector allocation, a result of our bottom-up stock selection process, contributed to positive returns relative to the Russell 2000 Value Index during the period. The Fund’s lack of a position in the Energy sector and overweight to the Information Technology sector drove relative outperformance, while the Fund’s lack of exposure to the Utilities sector and an underweight to the Real Estate sector partially offset these results. Security selection detracted from results relative to the

 

 

 

  33  

 


Hartford Small Cap Value Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Russell 2000 Value Index during the period due to weak stock selection in the Consumer Discretionary, Information Technology, and Real Estate sectors, which was partially offset by strong stock selection in the Healthcare, Materials, and Consumer Staples sectors.

The largest contributors to performance relative to the Russell 2000 Value Index over the period were Tempur Sealy (Consumer Discretionary), CSG Systems (Information Technology), and Carriage Services (Consumer Discretionary). Shares of Tempur Sealy, a manufacturer of the TEMPUR, Sealy, and Stearns & Foster bedding/pillow brands, rose over the period as the company recaptured market share, demonstrated re-accelerating revenue growth, and continued to move past shorter-term weakness related to a strategic decision to terminate its relationship with its largest customer, Mattress Firm. CSG Systems provides business support solutions primarily to the communications industry. The stock traded higher over the period on strong earnings and investor optimism around the growing market opportunity amidst some customer consolidation. Carriage Services, a provider of funeral and cemetery services and merchandise, traded higher after posting earnings well above estimates in each of the last two quarters after the company had pre-announced positive results in January and management conveyed urgency to improve upon fixable operational issues.

The largest detractors from performance relative to the Russell 2000 Value Index during the period were Stamps.com (Consumer Discretionary), Conduent (Information Technology), and Briggs & Stratton (Industrials). Shares of Stamps.com, a provider of internet-based mailing and shipping solutions, fell early in the year when the company announced it would be ending its exclusive partnership with the U.S. Postal Service and highlighted increasing pressure from Amazon’s move into shipping services. The stock was again weighed down in May 2019, when the company cut its profit outlook for the full year. Conduent is a provider of business process outsourcing services. Shares of the company dropped after disappointing first-quarter 2019 results and news that the CEO would be stepping down. Earnings continued to lag estimates in the second quarter of 2019 as the company conducted a strategic review of its business. As of the end of the period, we continued to hold the position in the Fund, as we believe the market is not giving credit for the company’s divesting of the lower growth businesses and we believe revenue is poised to re-accelerate.

Briggs & Stratton is one of the world’s largest producers of gasoline engines for outdoor power equipment. The stock experienced some weakness on the back of disappointing results and expected further softness due to the Sears bankruptcy. We sold the position in the Fund during the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We see the inversion of the yield curve as a reflection of the growing political uncertainty (globally and within the U.S.) and building fears of a recession. We anticipate the global economy will likely stabilize after a period of deceleration, with expected lower levels of economic growth as our base case.

 

At the end of the period, the Fund’s largest overweights were in the Information Technology and Industrial sectors, and the Fund’s largest underweights were in the Real Estate, Utilities, and Energy sectors, relative to the Russell 2000 Value Index.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Small-cap securities can have greater risks and volatility than large-cap securities.  The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     1.8

Consumer Discretionary

     11.2  

Consumer Staples

     5.4  

Financials

     29.3  

Health Care

     1.6  

Industrials

     20.7  

Information Technology

     19.2  

Materials

     3.9  

Real Estate

     4.9  
  

 

 

 

Total

     98.0
  

 

 

 

Short-Term Investments

     3.7  

Other Assets & Liabilities

     (1.7
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  34  

 


The Hartford Small Company Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 7/22/1996

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks growth of capital.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     14.08%        7.29%        12.50%  

Class A2

     7.75%        6.08%        11.87%  

Class C1

     13.24%        6.49%        11.68%  

Class C2

     12.33%        6.49%        11.68%  

Class I1

     14.48%        7.56%        12.79%  

Class R31

     13.84%        7.07%        12.29%  

Class R41

     14.20%        7.40%        12.63%  

Class R51

     14.56%        7.72%        12.96%  

Class R61

     14.60%        7.79%        13.06%  

Class Y1

     14.56%        7.79%        13.06%  

Class F1

     14.63%        7.66%        12.84%  

Russell 2000 Growth Index

     6.40%        8.38%        13.38%  

 

1

Without sales charge

2

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous additional sub-adviser, Hartford Investment Management Company. As of 7/21/10, Hartford Investment Management Company no longer served as a sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.35%        1.35%  

Class C

     2.13%        2.13%  

Class I

     1.08%        1.08%  

Class R3

     1.64%        1.56%  

Class R4

     1.33%        1.26%  

Class R5

     1.04%        0.96%  

Class R6

     0.92%        0.91%  

Class Y

     1.00%        0.96%  

Class F

     0.92%        0.91%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  35  

 


The Hartford Small Company Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Steven C. Angeli, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

John V. Schneider, CFA

Vice President and Equity Research Analyst

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Small Company Fund returned 14.08%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming its benchmark, the Russell 2000 Growth Index, which returned 6.40%. For the same period, the Class A shares of the Fund also outperformed the 7.14% average return of the Lipper Small-Cap Growth Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ended October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of slowing growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, lifted by an accommodative shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the first quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S. economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose, with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in effort to sustain economic expansion and mitigate the risks of slowing growth and trade frictions. In October, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. The U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Returns varied by market cap during the period, as large-cap stocks, as measured by the S&P 500 Index, outperformed mid-cap and small-cap stocks, as measured by the S&P MidCap 400 Index and Russell 2000 Index, respectively. Seven out of eleven sectors in the Russell 2000

Growth Index had positive returns during the period. The Utilities (+33%), Information Technology (+22%), and Real Estate (+19%) sectors increased the most, while the Energy (-38%), Communication Services (-10%), and Healthcare (-2%) sectors lagged the broader Russell 2000 Growth Index over the period.

During the period, security selection was the primary driver of outperformance relative to the Russell 2000 Growth Index. Strong selection in the Consumer Discretionary, Healthcare, and Information Technology sectors contributed positively to performance relative to the Russell 2000 Growth Index, but was slightly offset by weak selection in the Industrials, Financials, and Energy sectors. Sector allocation, a result of our bottom-up stock selection process, also contributed positively to performance relative to the Russell 2000 Growth Index, which was primarily driven by the Fund’s underweight allocation to the Communication Services and Energy sectors.

The top contributors to performance relative to the Russell 2000 Growth Index were Insulet (Healthcare), Globant (Information Technology), and Wayfair (Consumer Discretionary). Shares of Insulet, a medical device maker, rose after the company reported quarterly earnings that exceeded both management guidance and market expectations as all three of its revenue segments outperformed. Notably, adoption rates of the company’s Omnipod DASH system showed signs of growth. Globant, an IT consulting company with global operations, posted solid results and reiterated strong guidance of greater than 20% organic growth. Shares of Wayfair, an e-commerce home furnishings company, rose after the company reported strong fourth quarter 2018 results driven by customer growth and higher gross margins. The company continues to invest heavily in its national distribution network. Top contributors to absolute performance for the period included Insulet (Healthcare), and The Trade Desk (Information Technology).

The top detractors from performance relative to the Russell 2000 Growth Index included Centennial Resource Development (Energy), Merit Medical Systems (Healthcare), and 2U (Information Technology). Shares of Centennial Resource Development, a Permian basin focused oil and gas producer fell early in the period due to concerns about capital efficiency following management’s 2019 production and capital spending guidance. Shares of Merit Medical Systems, a manufacturer of disposable medical devices, declined after management released results that fell below analyst expectations and lowered its 2019 revenue guidance. The company also lowered fiscal year 2019 earnings per share (EPS) amid concerns over the pace of integrating recent acquisitions. Shares of 2U, a provider of cloud-based software for online education courses, traded down after management meaningfully lowered its full-year guidance and turned its focus away from top-line growth towards profitability in its July 2019 earnings release. The company cited

 

 

 

  36  

 


The Hartford Small Company Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

increasing competition in its graduate degree segment as a challenge to top-line growth. Top detractors from absolute performance for the period included Centennial Resources (Energy), Merit Medical Systems (Healthcare), and 2U (Information Technology).

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

Overall, we believe the U.S. economy remains healthy, and we continue to monitor policy decisions and economic trends that may impact the Fund’s holdings. We anticipate a more challenging macro environment in the upcoming year. We remain consistent in adhering to our disciplined portfolio construction process that we believe allows us to assess risk, weight individual positions accordingly, and in the process build a Fund that focuses largely on stock selection in seeking to generate outperformance relative to the Russell 2000 Growth Index.

At the end of the period, the Fund’s largest overweights were to the Consumer Discretionary, Financials, and Materials sectors, while the Fund’s largest underweights were to the Utilities, Consumer Staples, and Information Technology sectors, relative to the Russell 2000 Growth Index.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Small-cap securities can have greater risks and volatility than large-cap securities. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur. Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     1.3

Consumer Discretionary

     18.6  

Consumer Staples

     1.7  

Energy

     0.5  

Financials

     6.6  

Health Care

     25.3  

Industrials

     18.1  

Information Technology

     16.0  

Materials

     3.3  

Real Estate

     4.4  
  

 

 

 

Total

     95.8
  

 

 

 

Short-Term Investments

     6.2  

Other Assets & Liabilities

     (2.0
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  37  

 


Hartford Domestic Equity Funds

Benchmark Glossary (Unaudited)

 

 

 

Russell 1000 Growth Index (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of those Russell 1000 Index companies with higher price-to-book ratios and higher forecasted growth values. The Russell 1000 Index is designed to measure the performance of the 1,000 largest companies in the Russell 3000 Index based on their market capitalization and current index membership.

Russell 1000 Value Index (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of those Russell 1000 Index companies with lower price-to-book ratios and lower forecasted growth values. The Russell 1000 Index is designed to measure the performance of the 1,000 largest companies in the Russell 3000 Index based on their market capitalization and current index membership.

Russell 2000 Growth Index (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of those Russell 2000 Index companies with higher price-to-book ratios and higher forecasted growth values. The Russell 2000 Index is an index comprised of 2,000 of the smallest U.S.-domiciled company common stocks based on a combination of their market capitalization and current index membership.

Russell 2000 Value Index (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of those Russell 2000 Index companies with lower price-to-book ratios and lower forecasted growth values. The Russell 2000 Index is an index comprised of 2,000 of the smallest U.S.-domiciled company common stocks based on a combination of their market capitalization and current index membership.

Russell 2000 Index (reflects no deduction for fees, expenses or taxes) is an index comprised of 2,000 of the smallest U.S.-domiciled company common stocks based on a combination of their market capitalization and current index membership.

Russell 2500 Value Index (reflects no deduction for fees, expenses or taxes) measures the performance of those Russell 2500 Index companies with lower price-to-book ratios and lower forecasted growth values. The Russell 2500 Index measures the performance of the 2,500 smallest U.S. companies based on their market capitalization and current index membership.

Russell 3000 Growth Index (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of those Russell 3000 Index companies with higher price-to-book ratios and higher forecasted growth values. The Russell 3000 Index is designed to measures the performance of the 3,000 largest U.S. companies based on total market capitalization.

Russell 3000 Index (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of the 3,000 largest U.S. companies based on total market capitalization.

Russell Midcap Value Index (reflects no deduction for fees, expenses or taxes) measures the performance of the mid-cap value segment of the U.S. equity universe. It includes those Russell Midcap Index companies with lower price-to-book ratios and lower forecasted growth values.

S&P 500 Index (reflects no deduction for fees, expenses or taxes) is a float-adjusted market capitalization-weighted index composed of 500 widely held common stocks.

S&P Composite 1500 Health Care Index (reflects no deduction for fees, expenses or taxes) is a float-adjusted market capitalization-weighted index comprised of those companies included in the S&P Composite 1500 that are classified as members of the Global Industry Classification Standard (GICS®) health care sector.

S&P MidCap 400 Index (reflects no deduction for fees, expenses or taxes) is a float-adjusted market capitalization-weighted index designed to measure the performance of the mid-cap segment of the market. The index is composed of 400 constituent companies.

 

 

 

  38  

 


Hartford Domestic Equity Funds

Expense Examples (Unaudited)

 

 

 

Your Fund’s Expenses

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, if any, and contingent deferred sales charges (CDSC), if any, and (2) ongoing costs, including investment management fees, distribution and/or service (12b-1) fees, if any, and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period of May 1, 2019 through October 31, 2019. To the extent a Fund was subject to acquired fund fees and expenses during the period, acquired fund fees and expenses are not included in the annualized expense ratios below.

Actual Expenses

The first set of columns of the table below provides information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the line under the heading entitled “Expenses Paid During The Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second set of columns of the table below provides information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (front-end sales loads and CDSC). Therefore, the second set of columns of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would be higher. Expenses for a class of a Fund are equal to the class’ annualized expense ratio multiplied by average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford Capital Appreciation Fund

 

Class A

   $     1,000.00      $     1,022.30      $     5.45      $     1,000.00      $     1,019.81      $     5.45        1.07

Class C

   $ 1,000.00      $ 1,019.20      $ 8.70      $ 1,000.00      $ 1,016.59      $ 8.69        1.71

Class I

   $ 1,000.00      $ 1,023.90      $ 3.98      $ 1,000.00      $ 1,021.27      $ 3.97        0.78

Class R3

   $ 1,000.00      $ 1,020.70      $ 7.23      $ 1,000.00      $ 1,018.05      $ 7.22        1.42

Class R4

   $ 1,000.00      $ 1,022.60      $ 5.61      $ 1,000.00      $ 1,019.66      $ 5.60        1.10

Class R5

   $ 1,000.00      $ 1,024.00      $ 4.03      $ 1,000.00      $ 1,021.22      $ 4.02        0.79

Class R6

   $ 1,000.00      $ 1,024.30      $ 3.57      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

Class Y

   $ 1,000.00      $ 1,024.30      $ 3.78      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class F

   $ 1,000.00      $ 1,024.40      $ 3.57      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

Hartford Core Equity Fund

 

Class A

   $ 1,000.00      $ 1,049.70      $ 3.82      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class C

   $ 1,000.00      $ 1,045.80      $ 7.58      $ 1,000.00      $ 1,017.80      $ 7.48        1.47

Class I

   $ 1,000.00      $ 1,051.10      $ 2.43      $ 1,000.00      $ 1,022.84      $ 2.40        0.47

Class R3

   $ 1,000.00      $ 1,047.60      $ 5.73      $ 1,000.00      $ 1,019.61      $ 5.65        1.11

Class R4

   $ 1,000.00      $ 1,049.70      $ 3.72      $ 1,000.00      $ 1,021.58      $ 3.67        0.72

Class R5

   $ 1,000.00      $ 1,051.10      $ 2.53      $ 1,000.00      $ 1,022.74      $ 2.50        0.49

Class R6

   $ 1,000.00      $ 1,051.50      $ 1.96      $ 1,000.00      $ 1,023.29      $ 1.94        0.38

Class Y

   $ 1,000.00      $ 1,051.20      $ 2.27      $ 1,000.00      $ 1,022.99      $ 2.24        0.44

Class F

   $ 1,000.00      $ 1,051.40      $ 1.96      $ 1,000.00      $ 1,023.29      $ 1.94        0.38

 

 

  39  

 


Hartford Domestic Equity Funds

Expense Examples (Unaudited) – (continued)

 

 

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford Dividend and Growth Fund

 

Class A

   $     1,000.00      $     1,049.40      $ 5.17      $ 1,000.00      $ 1,020.16      $ 5.09        1.00

Class C

   $ 1,000.00      $ 1,046.20      $ 8.82      $ 1,000.00      $ 1,016.59      $ 8.69        1.71

Class I

   $ 1,000.00      $ 1,051.10      $ 3.83      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class R3

   $ 1,000.00      $ 1,047.90      $ 6.97      $ 1,000.00      $ 1,018.40      $ 6.87        1.35

Class R4

   $ 1,000.00      $ 1,049.50      $ 5.32      $ 1,000.00      $ 1,020.01      $ 5.24        1.03

Class R5

   $ 1,000.00      $ 1,051.00      $ 3.83      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class R6

   $ 1,000.00      $ 1,051.50      $ 3.31      $ 1,000.00      $ 1,021.98      $ 3.26        0.64

Class Y

   $ 1,000.00      $ 1,051.20      $ 3.57      $ 1,000.00      $ 1,021.73      $ 3.52        0.69

Class F

   $ 1,000.00      $ 1,051.60      $ 3.31      $ 1,000.00      $ 1,021.98      $ 3.26        0.64

The Hartford Equity Income Fund

 

Class A

   $ 1,000.00      $ 1,039.50      $ 5.14      $ 1,000.00      $ 1,020.16      $ 5.09        1.00

Class C

   $ 1,000.00      $ 1,035.70      $ 8.98      $ 1,000.00      $ 1,016.38      $ 8.89        1.75

Class I

   $ 1,000.00      $ 1,041.70      $ 3.65      $ 1,000.00      $ 1,021.63      $ 3.62        0.71

Class R3

   $ 1,000.00      $ 1,038.00      $ 6.93      $ 1,000.00      $ 1,018.40      $ 6.87        1.35

Class R4

   $ 1,000.00      $ 1,039.80      $ 5.50      $ 1,000.00      $ 1,019.81      $ 5.45        1.07

Class R5

   $ 1,000.00      $ 1,040.90      $ 3.91      $ 1,000.00      $ 1,021.37      $ 3.87        0.76

Class R6

   $ 1,000.00      $ 1,041.30      $ 3.40      $ 1,000.00      $ 1,021.88      $ 3.36        0.66

Class Y

   $ 1,000.00      $ 1,041.10      $ 3.60      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

Class F

   $ 1,000.00      $ 1,041.50      $ 3.40      $ 1,000.00      $ 1,021.88      $ 3.36        0.66

The Hartford Growth Opportunities Fund

 

Class A

   $ 1,000.00      $ 961.50      $ 5.49      $ 1,000.00      $ 1,019.61      $ 5.65        1.11

Class C

   $ 1,000.00      $ 957.90      $ 9.08      $ 1,000.00      $ 1,015.93      $ 9.35        1.84

Class I

   $ 1,000.00      $ 963.00      $ 4.21      $ 1,000.00      $ 1,020.92      $ 4.33        0.85

Class R3

   $ 1,000.00      $ 959.80      $ 7.31      $ 1,000.00      $ 1,017.75      $ 7.53        1.48

Class R4

   $ 1,000.00      $ 961.30      $ 5.73      $ 1,000.00      $ 1,019.36      $ 5.90        1.16

Class R5

   $ 1,000.00      $ 962.80      $ 4.21      $ 1,000.00      $ 1,020.92      $ 4.33        0.85

Class R6

   $ 1,000.00      $ 963.20      $ 3.71      $ 1,000.00      $ 1,021.43      $ 3.82        0.75

Class Y

   $ 1,000.00      $ 963.00      $ 3.96      $ 1,000.00      $ 1,021.17      $ 4.08        0.80

Class F

   $ 1,000.00      $ 963.40      $ 3.66      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

The Hartford Healthcare Fund

 

Class A

   $ 1,000.00      $ 1,062.00      $ 6.81      $ 1,000.00      $ 1,018.60      $ 6.67        1.31

Class C

   $ 1,000.00      $ 1,058.10      $     10.53      $     1,000.00      $     1,014.97      $     10.31        2.03

Class I

   $ 1,000.00      $ 1,063.80      $ 5.20      $ 1,000.00      $ 1,020.16      $ 5.09        1.00

Class R3

   $ 1,000.00      $ 1,060.30      $ 8.41      $ 1,000.00      $ 1,017.04      $ 8.24        1.62

Class R4

   $ 1,000.00      $ 1,062.00      $ 6.86      $ 1,000.00      $ 1,018.55      $ 6.72        1.32

Class R5

   $ 1,000.00      $ 1,063.80      $ 5.31      $ 1,000.00      $ 1,020.06      $ 5.19        1.02

Class R6

   $ 1,000.00      $ 1,063.90      $ 4.73      $ 1,000.00      $ 1,020.62      $ 4.63        0.91

Class Y

   $ 1,000.00      $ 1,063.90      $ 5.10      $ 1,000.00      $ 1,020.27      $ 4.99        0.98

Class F

   $ 1,000.00      $ 1,064.20      $ 4.73      $ 1,000.00      $ 1,020.62      $ 4.63        0.91

The Hartford MidCap Fund

                    

Class A

   $ 1,000.00      $ 1,000.30      $ 5.60      $ 1,000.00      $ 1,019.61      $ 5.65        1.11

Class C

   $ 1,000.00      $ 997.10      $ 9.26      $ 1,000.00      $ 1,015.93      $ 9.35        1.84

Class I

   $ 1,000.00      $ 1,001.60      $ 4.39      $ 1,000.00      $ 1,020.82      $ 4.43        0.87

Class R3

   $ 1,000.00      $ 998.50      $ 7.30      $ 1,000.00      $ 1,017.90      $ 7.38        1.45

Class R4

   $ 1,000.00      $ 1,000.30      $ 5.80      $ 1,000.00      $ 1,019.41      $ 5.85        1.15

Class R5

   $ 1,000.00      $ 1,001.60      $ 4.29      $ 1,000.00      $ 1,020.92      $ 4.33        0.85

Class R6

   $ 1,000.00      $ 1,002.20      $ 3.73      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class Y

   $ 1,000.00      $ 1,002.20      $ 3.89      $ 1,000.00      $ 1,021.32      $ 3.92        0.77

Class F

   $ 1,000.00      $ 1,002.20      $ 3.73      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

 

 

  40  

 


Hartford Domestic Equity Funds

Expense Examples (Unaudited) – (continued)

 

 

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford MidCap Value Fund

 

Class A

   $     1,000.00      $     1,032.90      $ 6.30      $ 1,000.00      $ 1,019.01      $ 6.26        1.23

Class C

   $ 1,000.00      $ 1,029.50      $ 9.92      $ 1,000.00      $ 1,015.43      $ 9.86        1.94

Class I

   $ 1,000.00      $ 1,035.50      $ 4.46      $ 1,000.00      $ 1,020.82      $ 4.43        0.87

Class R3

   $ 1,000.00      $ 1,031.20      $ 7.78      $ 1,000.00      $ 1,017.54      $ 7.73        1.52

Class R4

   $ 1,000.00      $ 1,033.20      $ 6.15      $ 1,000.00      $ 1,019.16      $ 6.11        1.20

Class R5

   $ 1,000.00      $ 1,035.30      $ 4.57      $ 1,000.00      $ 1,020.72      $ 4.53        0.89

Class Y

   $ 1,000.00      $ 1,035.20      $ 4.36      $ 1,000.00      $ 1,020.92      $ 4.33        0.85

Class F

   $ 1,000.00      $ 1,035.50      $ 4.10      $ 1,000.00      $ 1,021.17      $ 4.08        0.80

Hartford Quality Value Fund

                    

Class A

   $ 1,000.00      $ 1,046.10      $ 4.69      $ 1,000.00      $ 1,020.62      $ 4.63        0.91

Class C

   $ 1,000.00      $ 1,042.10      $ 8.44      $ 1,000.00      $ 1,016.94      $ 8.34        1.64

Class I

   $ 1,000.00      $ 1,047.70      $ 2.84      $ 1,000.00      $ 1,022.43      $ 2.80        0.55

Class R3

   $ 1,000.00      $ 1,044.80      $ 5.98      $ 1,000.00      $ 1,019.36      $ 5.90        1.16

Class R4

   $ 1,000.00      $ 1,046.30      $ 4.44      $ 1,000.00      $ 1,020.87      $ 4.38        0.86

Class R5

   $ 1,000.00      $ 1,047.90      $ 3.05      $ 1,000.00      $ 1,022.23      $ 3.01        0.59

Class R6

   $ 1,000.00      $ 1,048.30      $ 2.43      $ 1,000.00      $ 1,022.84      $ 2.40        0.47

Class Y

   $ 1,000.00      $ 1,047.80      $ 2.99      $ 1,000.00      $ 1,022.28      $ 2.96        0.58

Class F

   $ 1,000.00      $ 1,048.30      $ 2.37      $ 1,000.00      $ 1,022.89      $ 2.35        0.46

The Hartford Small Cap Growth Fund

 

Class A

   $ 1,000.00      $ 986.80      $ 6.26      $ 1,000.00      $ 1,018.90      $ 6.36        1.25

Class C

   $ 1,000.00      $ 984.10      $ 9.15      $ 1,000.00      $ 1,015.98      $ 9.30        1.83

Class I

   $ 1,000.00      $ 988.90      $ 4.06      $ 1,000.00      $ 1,021.12      $ 4.13        0.81

Class R3

   $ 1,000.00      $ 985.80      $ 7.36      $ 1,000.00      $ 1,017.80      $ 7.48        1.47

Class R4

   $ 1,000.00      $ 987.20      $ 5.81      $ 1,000.00      $ 1,019.36      $ 5.90        1.16

Class R5

   $ 1,000.00      $ 988.90      $ 4.21      $ 1,000.00      $ 1,020.97      $ 4.28        0.84

Class R6

   $ 1,000.00      $ 989.20      $ 3.81      $ 1,000.00      $ 1,021.37      $ 3.87        0.76

Class Y

   $ 1,000.00      $ 989.00      $ 3.96      $ 1,000.00      $ 1,021.22      $ 4.02        0.79

Class F

   $ 1,000.00      $ 989.10      $ 3.81      $ 1,000.00      $ 1,021.37      $ 3.87        0.76

Hartford Small Cap Value Fund

 

Class A

   $ 1,000.00      $ 962.80      $ 6.38      $ 1,000.00      $ 1,018.70      $ 6.56        1.29

Class C

   $ 1,000.00      $ 958.30      $     10.07      $     1,000.00      $     1,014.92      $     10.36        2.04

Class I

   $ 1,000.00      $ 963.80      $ 4.45      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

Class R3

   $ 1,000.00      $ 961.50      $ 7.12      $ 1,000.00      $ 1,017.95      $ 7.32        1.44

Class R4

   $ 1,000.00      $ 962.90      $ 5.94      $ 1,000.00      $ 1,019.16      $ 6.11        1.20

Class R5

   $ 1,000.00      $ 964.50      $ 4.46      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

Class R6

   $ 1,000.00      $ 965.40      $ 4.01      $ 1,000.00      $ 1,021.12      $ 4.13        0.81

Class Y

   $ 1,000.00      $ 965.30      $ 4.21      $ 1,000.00      $ 1,020.92      $ 4.33        0.85

Class F

   $ 1,000.00      $ 965.60      $ 3.96      $ 1,000.00      $ 1,021.17      $ 4.08        0.80

The Hartford Small Company Fund

 

Class A

   $ 1,000.00      $ 991.20      $ 6.62      $ 1,000.00      $ 1,018.55      $ 6.72        1.32

Class C

   $ 1,000.00      $ 987.40      $ 10.67      $ 1,000.00      $ 1,014.47      $ 10.82        2.13

Class I

   $ 1,000.00      $ 993.10      $ 4.97      $ 1,000.00      $ 1,020.22      $ 5.04        0.99

Class R3

   $ 1,000.00      $ 989.80      $ 7.77      $ 1,000.00      $ 1,017.39      $ 7.88        1.55

Class R4

   $ 1,000.00      $ 991.30      $ 6.27      $ 1,000.00      $ 1,018.90      $ 6.36        1.25

Class R5

   $ 1,000.00      $ 993.00      $ 4.77      $ 1,000.00      $ 1,020.42      $ 4.84        0.95

Class R6

   $ 1,000.00      $ 993.10      $ 4.52      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

Class Y

   $ 1,000.00      $ 993.10      $ 4.82      $ 1,000.00      $ 1,020.37      $ 4.89        0.96

Class F

   $ 1,000.00      $ 993.60      $ 4.52      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

 

 

  41  

 


The Hartford Capital Appreciation Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.0%  
      Automobiles & Components - 0.2%  
  195,930    

Aptiv plc

  $ 17,545,532  
   

 

 

 
      Banks - 3.7%  
  1,310,935    

Bank of America Corp.

    40,992,937  
  376,337    

Comerica, Inc.

    24,619,967  
  293,824    

IBERIABANK Corp.

    21,563,743  
  458,480    

JP Morgan Chase & Co.

    57,273,322  
  1,834,862    

KeyCorp.

    32,972,470  
  297,725    

PNC Financial Services Group, Inc.

    43,676,257  
  728,672    

Zions Bancorp NA

    35,318,732  
   

 

 

 
    256,417,428  
 

 

 

 
      Capital Goods - 6.0%  
  115,273    

Boeing Co.

    39,182,445  
  82,626    

Deere & Co.

    14,388,491  
  144,521    

Dover Corp.

    15,014,287  
  464,434    

Gardner Denver Holdings, Inc.*

    14,782,934  
  327,170    

General Dynamics Corp.

    57,843,656  
  806,800    

HF Global, Inc.(1)(2)(3)

    13,699,464  
  420,352    

Ingersoll-Rand plc

    53,338,465  
  972,468    

JELD-WEN Holding, Inc.*

    16,619,478  
  293,209    

L3Harris Technologies, Inc.

    60,491,949  
  171,404    

Lockheed Martin Corp.

    64,564,459  
  65,281    

Northrop Grumman Corp.

    23,010,247  
  81,970    

Raytheon Co.

    17,394,854  
  560,517    

SPX FLOW, Inc.*

    25,380,210  
   

 

 

 
    415,710,939  
 

 

 

 
      Commercial & Professional Services - 2.4%  
  282,860    

Clean Harbors, Inc.*

    23,324,636  
  200,227    

Copart, Inc.*

    16,546,759  
  31,468    

CoStar Group, Inc.*

    17,292,295  
  149,893    

Equifax, Inc.

    20,491,872  
  4,595    

Klarna Holding AB(1)(2)(3)

    1,077,403  
  498,862    

Republic Services, Inc.

    43,655,414  
  309,325    

TransUnion

    25,556,431  
  203,200    

Waste Connections, Inc.

    18,775,680  
   

 

 

 
    166,720,490  
 

 

 

 
      Consumer Durables & Apparel - 4.0%  
  538,222    

Kontoor Brands, Inc.*

    20,452,436  
  1,031,256    

Lennar Corp. Class A

    61,462,857  
  871,565    

NIKE, Inc. Class B

    78,048,646  
  391,400    

Peloton Interactive, Inc. Class A*(4)

    9,342,718  
  129,030    

Roku, Inc.*

    18,993,216  
  602,183    

Steven Madden Ltd.

    24,797,896  
  973,097    

Under Armour, Inc. Class A*(4)

    20,094,453  
  2,441,884    

Under Armour, Inc. Class C*

    45,174,854  
   

 

 

 
    278,367,076  
 

 

 

 
      Consumer Services - 3.9%  
  784,574    

Aramark

    34,332,958  
  5,654,566    

DraftKings, Inc.(1)(2)(3)

    17,924,974  
  177,849    

Grand Canyon Education, Inc.*

    16,354,994  
  430,775    

Hilton Worldwide Holdings, Inc.

    41,767,944  
  556,076    

Las Vegas Sands Corp.

    34,387,740  
  189,642    

Marriott Vacations Worldwide Corp.

    20,847,345  
  375,234    

McDonald’s Corp.

    73,808,528  
  212,684    

Planet Fitness, Inc. Class A*

    13,539,464  
  64,155    

Vail Resorts, Inc.

    14,907,697  
   

 

 

 
    267,871,644  
 

 

 

 
      Diversified Financials - 2.3%  
  653,974    

American Express Co.

    76,698,071  
  1,589,286    

APi Group Corp.*(1)(2)

    15,654,464  
  308,657    

Blackstone Group, Inc. Class A

    16,408,206  
  1,083,984    

Morgan Stanley

    49,917,463  
   

 

 

 
    158,678,204  
 

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.0% - (continued)  
      Energy - 1.4%  
  487,596    

Diamondback Energy, Inc.

  $ 41,816,233  
  217,200    

Marathon Petroleum Corp.

    13,889,940  
  829,246    

Noble Energy, Inc.

    15,971,278  
  201,416    

Phillips 66

    23,529,417  
   

 

 

 
    95,206,868  
 

 

 

 
      Food & Staples Retailing - 2.2%  
  574,436    

US Foods Holding Corp.*

    22,787,876  
  1,103,243    

Walmart, Inc.

    129,366,274  
   

 

 

 
    152,154,150  
 

 

 

 
      Food, Beverage & Tobacco - 4.4%  
  1,527,315    

Altria Group, Inc.

    68,408,439  
  1,363,465    

Coca-Cola Co.

    74,213,400  
  1,244,598    

Diageo plc

    50,942,611  
  376,826    

Lamb Weston Holdings, Inc.

    29,407,501  
  361,959    

Monster Beverage Corp.*

    20,316,759  
  443,532    

PepsiCo., Inc.

    60,839,284  
   

 

 

 
    304,127,994  
 

 

 

 
      Health Care Equipment & Services - 9.3%  
  95,513    

ABIOMED, Inc.*

    19,826,589  
  496,490    

Acadia Healthcare Co., Inc.*

    14,889,735  
  324,650    

Alcon, Inc.*

    19,242,005  
  705,678    

Baxter International, Inc.

    54,125,503  
  314,971    

Cerner Corp.

    21,140,854  
  285,378    

Danaher Corp.

    39,330,796  
  73,654    

DexCom, Inc.*

    11,360,393  
  358,552    

Encompass Health Corp.

    22,954,499  
  231,139    

Haemonetics Corp.*

    27,905,411  
  217,650    

Hill-Rom Holdings, Inc.

    22,785,778  
  449,209    

Hologic, Inc.*

    21,701,287  
  288,294    

Insulet Corp.*

    41,894,884  
  39,110    

Intuitive Surgical, Inc.*

    21,625,874  
  1,054,702    

Medtronic plc

    114,857,048  
  148,341    

Penumbra, Inc.*

    23,136,746  
  198,008    

Stryker Corp.

    42,823,190  
  65,765    

Teleflex, Inc.

    22,847,419  
  294,614    

UnitedHealth Group, Inc.

    74,448,958  
  101,364    

Veeva Systems, Inc. Class A*

    14,376,456  
  61,312    

WellCare Health Plans, Inc.*

    18,185,139  
   

 

 

 
    649,458,564  
 

 

 

 
      Household & Personal Products - 0.8%  
  844,558    

Colgate-Palmolive Co.

    57,936,679  
   

 

 

 
      Insurance - 5.5%  
  953,232    

Aflac, Inc.

    50,673,813  
  507,174    

Arthur J Gallagher & Co.

    46,264,412  
  180,901    

Assurant, Inc.

    22,806,189  
  443,897    

Chubb Ltd.

    67,658,781  
  1,491,110    

CNO Financial Group, Inc.

    23,335,872  
  349,144    

Lincoln National Corp.

    19,719,653  
  434,727    

Marsh & McLennan Cos., Inc.

    45,046,412  
  161,894    

Reinsurance Group of America, Inc.

    26,302,918  
  1,788,817    

Unum Group

    49,264,020  
  162,621    

Willis Towers Watson plc

    30,393,865  
   

 

 

 
    381,465,935  
 

 

 

 
      Materials - 3.9%  
  403,617    

Cabot Corp.

    17,593,665  
  338,569    

Carpenter Technology Corp.

    16,596,652  
  232,338    

Celanese Corp.

    28,147,749  
  303,235    

CF Industries Holdings, Inc.

    13,751,707  
  204,377    

Eastman Chemical Co.

    15,540,827  
  810,941    

FMC Corp.

    74,201,102  
  514,099    

Linde plc

    101,971,537  
   

 

 

 
    267,803,239  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  42  

 


The Hartford Capital Appreciation Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.0% - (continued)  
      Media & Entertainment - 6.0%  
  237,928    

Activision Blizzard, Inc.

  $ 13,331,106  
  43,214    

Alphabet, Inc. Class A*

    54,397,783  
  568,330    

Cinemark Holdings, Inc.

    20,800,878  
  981,693    

Comcast Corp. Class A

    43,999,480  
  386,086    

Facebook, Inc. Class A*

    73,993,382  
  1,862,198    

Interpublic Group of Cos., Inc.

    40,502,806  
  337,138    

Ocean Outdoor Ltd.*(5)

    2,604,391  
  2,159,890    

Pinterest, Inc. Class A*(4)

    54,299,635  
  275,025    

Spotify Technology S.A.*

    39,686,108  
  302,797    

TripAdvisor, Inc.*

    12,232,999  
  461,021    

Walt Disney Co.

    59,895,848  
   

 

 

 
    415,744,416  
 

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 7.0%  
  251,707    

Agilent Technologies, Inc.

    19,066,805  
  268,273    

Alnylam Pharmaceuticals, Inc.*

    23,270,000  
  372,192    

AstraZeneca plc ADR

    18,248,574  
  1,310,461    

Elanco Animal Health, Inc.*

    35,408,656  
  106,333    

Exact Sciences Corp.*

    9,250,971  
  129,797    

Galapagos N.V.*

    23,897,807  
  176,913    

Heron Therapeutics, Inc.*(4)

    3,759,401  
  310,423    

Ionis Pharmaceuticals, Inc.*

    17,296,770  
  963,187    

Johnson & Johnson

    127,179,212  
  741,031    

Merck & Co., Inc.

    64,217,746  
  27,584    

Mettler-Toledo International, Inc.*

    19,445,065  
  1,733,524    

Pfizer, Inc.

    66,515,316  
  162,039    

Seattle Genetics, Inc.*

    17,402,989  
  127,980    

Thermo Fisher Scientific, Inc.

    38,647,400  
   

 

 

 
    483,606,712  
 

 

 

 
      Real Estate - 4.6%  
  107,349    

Alexandria Real Estate Equities, Inc. REIT

    17,041,654  
  156,826    

American Tower Corp. REIT

    34,200,614  
  232,696    

AvalonBay Communities, Inc. REIT

    50,648,611  
  125,295    

Boston Properties, Inc. REIT

    17,190,474  
  13,494    

Crown Castle International Corp. REIT

    1,872,832  
  43,731    

Equinix, Inc. REIT

    24,785,856  
  679,983    

Gaming and Leisure Properties, Inc. REIT

    27,444,114  
  623,861    

Highwoods Properties, Inc. REIT

    29,196,695  
  124,114    

Jones Lang LaSalle, Inc. REIT

    18,185,183  
  227,805    

Life Storage, Inc. REIT

    24,812,521  
  239,549    

Public Storage REIT

    53,385,890  
  138,759    

Simon Property Group, Inc. REIT

    20,908,206  
  8,145    

We Co. Class A(1)(2)(3)

    89,633  
   

 

 

 
    319,762,283  
 

 

 

 
      Retailing - 6.7%  
  111,436    

Alibaba Group Holding Ltd. ADR*

    19,687,398  
  63,171    

Amazon.com, Inc.*

    112,233,389  
  103,167    

Burlington Stores, Inc.*

    19,825,602  
  305,275    

Delivery Hero SE*(5)

    14,324,323  
  394,041    

Expedia Group, Inc.

    53,849,643  
  127,554    

Five Below, Inc.*

    15,958,281  
  398,508    

Floor & Decor Holdings, Inc. Class A*

    18,263,622  
  128,260    

Home Depot, Inc.

    30,087,231  
  10,615    

JAND, Inc. Class A(1)(2)(3)

    161,985  
  827,482    

Kohl’s Corp.

    42,416,727  
  613,765    

Lowe’s Cos., Inc.

    68,502,312  
  944,594    

TJX Cos., Inc.

    54,455,844  
  316,327    

Tory Burch LLC*(1)(2)(3)

    17,552,967  
   

 

 

 
    467,319,324  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 2.9%  
  1,059,117    

Advanced Micro Devices, Inc.*

    35,935,840  
  310,958    

Analog Devices, Inc.

    33,157,452  
  414,923    

Ichor Holdings Ltd.*

    12,078,408  
  844,535    

Marvell Technology Group Ltd.

    20,598,209  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.0% - (continued)  
      Semiconductors & Semiconductor Equipment - 2.9% - (continued)  
  1,060,393    

Micron Technology, Inc.*

  $ 50,421,687  
  211,643    

MKS Instruments, Inc.

    22,904,005  
  221,542    

NXP Semiconductors N.V.

    25,184,895  
   

 

 

 
    200,280,496  
 

 

 

 
      Software & Services - 8.4%  
  209,981    

Accenture plc Class A

    38,934,677  
  308,284    

Amdocs Ltd.

    20,100,117  
  59,854    

Fair Isaac Corp.*

    18,198,010  
  82,852    

FleetCor Technologies, Inc.*

    24,376,716  
  644,601    

Genpact Ltd.

    25,249,021  
  147,712    

Global Payments, Inc.

    24,989,916  
  638,376    

GoDaddy, Inc. Class A*

    41,513,591  
  266,193    

Guidewire Software, Inc.*

    30,010,599  
  215,197    

Leidos Holdings, Inc.

    18,556,437  
  414,269    

Microsoft Corp.

    59,393,747  
  262,742    

PayPal Holdings, Inc.*

    27,351,442  
  219,098    

ServiceNow, Inc.*

    54,174,172  
  766,130    

Slack Technologies, Inc. Class A*(4)

    16,854,860  
  317,784    

Splunk, Inc.*

    38,121,369  
  227,202    

SS&C Technologies Holdings, Inc.

    11,816,776  
  66,264    

Trade Desk, Inc. Class A*

    13,305,811  
  116,011    

VeriSign, Inc.*

    22,044,410  
  202,227    

Visa, Inc. Class A

    36,170,321  
  82,806    

WEX, Inc.*

    15,665,239  
  275,427    

Workday, Inc. Class A*

    44,663,242  
   

 

 

 
    581,490,473  
 

 

 

 
      Technology Hardware & Equipment - 3.6%  
  200,299    

Apple, Inc.

    49,826,379  
  195,241    

CDW Corp.

    24,973,276  
  102,309    

Coherent, Inc.*

    15,235,856  
  197,411    

Itron, Inc.*

    15,054,563  
  324,443    

Lumentum Holdings, Inc.*

    20,329,599  
  550,984    

TE Connectivity Ltd.

    49,313,068  
  898,541    

Western Digital Corp.

    46,409,643  
  125,601    

Zebra Technologies Corp. Class A*

    29,876,710  
   

 

 

 
    251,019,094  
 

 

 

 
      Telecommunication Services - 1.9%  
  1,659,830    

AT&T, Inc.

    63,886,856  
  514,965    

T-Mobile US, Inc.*

    42,567,007  
  413,108    

Verizon Communications, Inc.

    24,980,641  
   

 

 

 
    131,434,504  
 

 

 

 
      Transportation - 2.4%  
  488,145    

Canadian National Railway Co.

    43,659,161  
  439,735    

CSX Corp.

    30,900,178  
  274,101    

Uber Technologies, Inc.*(4)

    8,634,182  
  1,025,459    

Uber Technologies, Inc.*(2)(3)

    32,194,285  
  288,365    

Union Pacific Corp.

    47,712,873  
   

 

 

 
    163,100,679  
 

 

 

 
      Utilities - 3.5%  
  470,310    

Dominion Energy, Inc.

    38,824,091  
  643,165    

Duke Energy Corp.

    60,624,733  
  529,355    

NRG Energy, Inc.

    21,237,723  
  215,483    

Sempra Energy

    31,139,448  
  1,007,961    

Southern Co.

    63,158,836  
  579,897    

UGI Corp.

    27,643,690  
   

 

 

 
    242,628,521  
 

 

 

 
 

Total Common Stocks
(cost $5,893,447,125)

  $ 6,725,851,244  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  43  

 


The Hartford Capital Appreciation Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CONVERTIBLE PREFERRED STOCKS - 0.8%  
      Commercial & Professional Services - 0.0%  
  33,739    

Rubicon Global Holdings LLC Series C*(1)(2)(3)

  $ 794,553  
   

 

 

 
      Consumer Services - 0.0%  
  10,074    

Airbnb, Inc. Series E*(1)(2)(3)

    1,268,216  
   

 

 

 
      Diversified Financials - 0.1%  
  348,919    

Social Finance, Inc. Series F*(1)(2)(3)

    5,429,180  
   

 

 

 
      Real Estate - 0.3%  
  674,436    

WE Co. Series D1*(1)(2)(3)

    9,831,254  
  599,094    

WE Co. Series D2*(1)(2)(3)

    8,732,993  
   

 

 

 
      18,564,247  
   

 

 

 
      Retailing - 0.2%  
  448,670    

Coupang LLC*(1)(2)(3)

    2,382,438  
  278,194    

Honest Co., Inc. Series E*(1)(2)(3)

    10,671,522  
  28,025    

Honest Co., Inc. Series C*(1)(2)(3)

    880,265  
  23,702    

JAND, Inc. Series D*(1)(2)(3)

    365,248  
   

 

 

 
      14,299,473  
   

 

 

 
      Software & Services - 0.2%  
  566,622    

Essence Group Holdings Corp. Series 3*(1)(2)(3)

    1,303,231  
  77,707    

Lookout, Inc. Series F*(1)(2)(3)

    549,388  
  95,031    

MarkLogic Corp. Series F*(1)(2)(3)

    924,652  
  47,064    

Sharecare, Inc. Series B2*(1)(2)(3)

    10,852,958  
   

 

 

 
      13,630,229  
   

 

 

 
 

Total Convertible Preferred Stocks
(cost $58,124,963)

  $ 53,985,898  
   

 

 

 
ESCROWS - 0.0%(6)  
      Capital Goods - 0.0%  
  372,334    

Lithium Technology Corp.*(1)(2)(3)

  $ 3,723  
   

 

 

 
      Consumer Durables & Apparel - 0.0%  
  83,332    

One Kings Lane, Inc.*(1)(2)(3)

    13,333  
   

 

 

 
      Software & Services - 0.0%  
  143,626    

Birst, Inc.*(1)(2)(3)

    7,469  
  58,205    

Veracode, Inc.*(1)(2)(3)

    31,663  
   

 

 

 
    39,132  
 

 

 

 
 

Total Escrows
(cost $—)

  $ 56,188  
   

 

 

 
 

Total Long-Term Investments
(cost $5,951,572,088)

  $ 6,779,893,330  
   

 

 

 
SHORT-TERM INVESTMENTS - 2.5%  
      Other Investment Pools & Funds - 2.1%  
  146,649,197    

Fidelity Institutional Government Fund, Institutional Class, 1.70%(7)

  $ 146,649,197  
   

 

 

 
      Securities Lending Collateral - 0.4%  
  1,579,801    

Citibank NA DDCA, 1.80%, 11/1/2019(7)

    1,579,801  
  22,164,889    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(7)

    22,164,889  
  355,561    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(7)

    355,561  
  2,940,109    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(7)

    2,940,109  
  4,271,614    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(7)

    4,271,614  
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 2.5% - (continued)  
      Securities Lending Collateral - 0.4% - (continued)  
  284,048    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(7)

  $ 284,048  
   

 

 

 
    31,596,022  
 

 

 

 
 

Total Short-Term Investments
(cost $178,245,219)

  $ 178,245,219  
   

 

 

 
 

Total Investments
(cost $6,129,817,307)

    100.3    $ 6,958,138,549  
 

Other Assets and Liabilities

    (0.3 )%       (16,501,249
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 6,941,637,300  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Investment valued using significant unobservable inputs.

 

(2) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $152,397,261, which represented 2.2% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(3) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $136,742,798 or 2.0% of net assets.

 

Period
Acquired
   

Security Name

   Shares/
Par Value
     Base
Total Cost
     Base
Market Value
 
  06/2015     Airbnb, Inc. Series E Convertible Preferred      10,074      $ 937,833      $ 1,268,216  
  03/2015     Birst, Inc.      143,626               7,469  
  11/2014     Coupang LLC Convertible Preferred      448,670        1,396,764        2,382,438  
  12/2014     DraftKings, Inc.      5,654,566          20,596,932          17,924,974  
  05/2014     Essence Group Holdings Corp. Series 3 Convertible Preferred      566,622        895,999        1,303,231  
  06/2015     HF Global, Inc.      806,800        10,846,942        13,699,464  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  44  

 


The Hartford Capital Appreciation Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Period
Acquired
    

Security Name

  Shares/
Par Value
    Base
Total Cost
    Base
Market Value
 
  08/2015      Honest Co., Inc. Preferred     278,194     $   12,728,766     $   10,671,522  
  08/2014      Honest Co., Inc. Series C Convertible Preferred     28,025       758,281       880,265  
  04/2015      JAND, Inc. Class A     10,615       121,916       161,985  
  04/2015      JAND, Inc. Series D
Convertible Preferred
    23,702       272,225       365,248  
  08/2015      Klarna Holding AB     4,595       503,982       1,077,403  
  08/2013      Lithium Technology Corp.     372,334             3,723  
  07/2014      Lookout, Inc. Series F Convertible Preferred     77,707       887,655       549,389  
  04/2015      MarkLogic Corp. Series F Convertible Preferred     95,031       1,103,709       924,652  
  01/2014      One Kings Lane, Inc.     83,332             13,333  
  09/2015      Rubicon Global Holdings LLC
Series C
Convertible Preferred
    33,739       673,447       794,553  
  03/2015      Sharecare, Inc. Series B2
Convertible Preferred
    47,064       11,759,882       10,852,958  
  09/2015      Social Finance, Inc. Series F Convertible Preferred     348,919       5,504,651       5,429,180  
  11/2013      Tory Burch LLC     316,327       24,792,580       17,552,967  
  06/2014      Uber Technologies,
Inc.
    1,025,459       15,907,997       32,194,285  
  04/2017      Veracode, Inc.     58,205             31,663  
  12/2014      We Co. Class A     8,145       135,624       89,633  
  12/2014      We Co. Series D1 Convertible Preferred     674,436       11,230,142       9,831,254  
  12/2014      We Co. Series D2 Convertible Preferred     599,094       9,975,610       8,732,993  
      

 

 

   

 

 

 
       $   131,030,937     $   136,742,798  
      

 

 

   

 

 

 
(4) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(5) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $16,928,714, representing 0.2% of net assets.

 

(6) 

Share amount represents shares of the issuer previously held that resulted in receipt of the escrow.

 

(7) 

Current yield as of period end.

 
Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

S&P 500 (E-Mini) Future

     776        12/20/2019      $     117,789,040      $     1,418,881  
           

 

 

 

Total futures contracts

 

   $ 1,418,881  
           

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  45  

 


The Hartford Capital Appreciation Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 17,545,532      $ 17,545,532      $      $  

Banks

     256,417,428        256,417,428                

Capital Goods

     415,710,939        402,011,475               13,699,464  

Commercial & Professional Services

     166,720,490        165,643,087               1,077,403  

Consumer Durables & Apparel

     278,367,076        278,367,076                

Consumer Services

     267,871,644        249,946,670               17,924,974  

Diversified Financials

     158,678,204        143,023,740               15,654,464  

Energy

     95,206,868        95,206,868                

Food & Staples Retailing

     152,154,150        152,154,150                

Food, Beverage & Tobacco

     304,127,994        253,185,383        50,942,611         

Health Care Equipment & Services

     649,458,564        649,458,564                

Household & Personal Products

     57,936,679        57,936,679                

Insurance

     381,465,935        381,465,935                

Materials

     267,803,239        267,803,239                

Media & Entertainment

     415,744,416        415,744,416                

Pharmaceuticals, Biotechnology & Life Sciences

     483,606,712        459,708,905        23,897,807         

Real Estate

     319,762,283        319,672,650               89,633  

Retailing

     467,319,324        435,280,049        14,324,323        17,714,952  

Semiconductors & Semiconductor Equipment

     200,280,496        200,280,496                

Software & Services

     581,490,473        581,490,473                

Technology Hardware & Equipment

     251,019,094        251,019,094                

Telecommunication Services

     131,434,504        131,434,504                

Transportation

     163,100,679        130,906,394        32,194,285         

Utilities

     242,628,521        242,628,521                

Convertible Preferred Stocks

     53,985,898                      53,985,898  

Escrows

     56,188                      56,188  

Short-Term Investments

     178,245,219        178,245,219                

Futures Contracts(2)

     1,418,881        1,418,881                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     6,959,557,430      $     6,717,995,428      $     121,359,026      $     120,202,976  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, investments valued at $62,015,157 were transferred out of Level 3 due to the expiration of trading restrictions and to the initiation of a vendor providing prices that are based on market activity which has been determined to be significant observable input. Investments valued at $12,120,837 were transferred into Level 3 due to the unavailability of active market pricing.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

The following is a rollforward of the Fund’s investments that were valued using unobservable inputs (Level 3) for the year ended October 31, 2019:

 

     Common
Stocks
    Convertible
Preferred
Stocks
    Escrows     Total  

Beginning balance

   $ 50,975,578     $     186,128,188     $ 85,346     $ 237,189,112  

Purchases

     2,569,647                   2,569,647  

Sales

     (2,571,372     (12,054,844         (30,545     (14,656,761

Total realized gain/(loss)

     1,778,477       4,303,873       30,544       6,112,894  

Net change in unrealized appreciation/(depreciation)

     6,630,621       (67,719,060     (29,157     (61,117,596

Transfers into Level 3

     12,120,837                   12,120,837  

Transfers out of Level 3

     (5,342,898     (56,672,259           (62,015,157
  

 

 

   

 

 

   

 

 

   

 

 

 

Ending balance

   $     66,160,890     $ 53,985,898     $ 56,188     $     120,202,976  
  

 

 

   

 

 

   

 

 

   

 

 

 

The change in net unrealized appreciation/(depreciation) relating to the Level 3 investments held at October 31, 2019 was $(57,749,271).

 

The accompanying notes are an integral part of these financial statements.

 

 

  46  

 


Hartford Core Equity Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.1%  
      Banks - 7.5%  
  4,381,440    

Bank of America Corp.

  $ 137,007,629  
  1,648,114    

Fifth Third Bancorp

    47,927,155  
  1,192,107    

JP Morgan Chase & Co.

    148,918,006  
  647,280    

PNC Financial Services Group, Inc.

    94,955,976  
   

 

 

 
    428,808,766  
 

 

 

 
      Capital Goods - 5.9%  
  696,157    

AMETEK, Inc.

    63,802,789  
  1,186,580    

Fortune Brands Home & Security, Inc.

    71,254,129  
  402,090    

Illinois Tool Works, Inc.

    67,784,332  
  410,590    

Raytheon Co.

    87,131,304  
  288,276    

Snap-on, Inc.

    46,893,857  
   

 

 

 
    336,866,411  
 

 

 

 
      Commercial & Professional Services - 2.7%  
  293,675    

Equifax, Inc.

    40,148,309  
  749,003    

IHS Markit Ltd.*

    52,445,190  
  696,183    

Republic Services, Inc.

    60,922,975  
   

 

 

 
    153,516,474  
 

 

 

 
      Consumer Durables & Apparel - 3.4%  
  869,109    

NIKE, Inc. Class B

    77,828,711  
  601,896    

PVH Corp.

    52,461,255  
  735,282    

VF Corp.

    60,506,356  
   

 

 

 
    190,796,322  
 

 

 

 
      Consumer Services - 2.8%  
  629,931    

Hilton Worldwide Holdings, Inc.

    61,078,110  
  498,173    

McDonald’s Corp.

    97,990,629  
   

 

 

 
    159,068,739  
 

 

 

 
      Diversified Financials - 2.1%  
  493,421    

American Express Co.

    57,868,415  
  644,393    

Capital One Financial Corp.

    60,089,647  
   

 

 

 
    117,958,062  
 

 

 

 
      Energy - 1.3%  
  916,738    

Continental Resources, Inc.*

    27,016,269  
  668,473    

EOG Resources, Inc.

    46,331,863  
   

 

 

 
    73,348,132  
 

 

 

 
      Food & Staples Retailing - 3.1%  
  288,451    

Costco Wholesale Corp.

    85,701,677  
  784,371    

Walmart, Inc.

    91,975,343  
   

 

 

 
    177,677,020  
 

 

 

 
      Food, Beverage & Tobacco - 3.4%  
  354,673    

Constellation Brands, Inc. Class A

    67,504,912  
  1,225,849    

Kellogg Co.

    77,878,187  
  876,344    

Monster Beverage Corp.*

    49,189,189  
   

 

 

 
    194,572,288  
 

 

 

 
      Health Care Equipment & Services - 9.9%  
  890,540    

Abbott Laboratories

    74,458,049  
  206,495    

Anthem, Inc.

    55,563,675  
  1,122,823    

Baxter International, Inc.

    86,120,524  
  390,644    

Danaher Corp.

    53,838,556  
  1,196,831    

Hologic, Inc.*

    57,818,906  
  357,176    

Laboratory Corp. of America Holdings*

    58,851,890  
  791,145    

Medtronic plc

    86,155,690  
  366,905    

UnitedHealth Group, Inc.

    92,716,893  
   

 

 

 
    565,524,183  
 

 

 

 
      Household & Personal Products - 3.8%  
  1,100,392    

Colgate-Palmolive Co.

    75,486,891  
  1,141,835    

Procter & Gamble Co.

    142,169,876  
   

 

 

 
    217,656,767  
 

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.1% - (continued)  
      Insurance - 3.4%  
  604,670    

Allstate Corp.

  $ 64,348,981  
  802,659    

Athene Holding Ltd. Class A*

    34,795,268  
  607,047    

Chubb Ltd.

    92,526,104  
   

 

 

 
    191,670,353  
 

 

 

 
      Materials - 1.8%  
  254,074    

Ecolab, Inc.

    48,799,993  
  417,500    

PPG Industries, Inc.

    52,237,600  
   

 

 

 
    101,037,593  
 

 

 

 
      Media & Entertainment - 5.9%  
  115,761    

Alphabet, Inc. Class A*

    145,719,947  
  31,725    

Alphabet, Inc. Class C*

    39,976,990  
  314,645    

Facebook, Inc. Class A*

    60,301,714  
  687,346    

Walt Disney Co.

    89,299,992  
   

 

 

 
    335,298,643  
 

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 5.4%  
  288,370    

Allergan plc

    50,784,841  
  756,900    

Eli Lilly & Co.

    86,248,755  
  995,922    

Merck & Co., Inc.

    86,306,601  
  279,333    

Thermo Fisher Scientific, Inc.

    84,352,979  
   

 

 

 
    307,693,176  
 

 

 

 
      Real Estate - 2.1%  
  301,909    

American Tower Corp. REIT

    65,840,315  
  403,294    

Boston Properties, Inc. REIT

    55,331,937  
   

 

 

 
    121,172,252  
 

 

 

 
      Retailing - 3.2%  
  39,763    

Amazon.com, Inc.*

    70,645,331  
  19,570    

Booking Holdings, Inc.*

    40,094,429  
  1,195,472    

TJX Cos., Inc.

    68,918,961  
   

 

 

 
    179,658,721  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 3.0%  
  986,364    

Micron Technology, Inc.*

    46,901,608  
  1,565,777    

ON Semiconductor Corp.*

    31,941,851  
  393,582    

QUALCOMM, Inc.

    31,659,736  
  1,018,063    

Teradyne, Inc.

    62,325,817  
   

 

 

 
    172,829,012  
 

 

 

 
      Software & Services - 10.9%  
  430,112    

Global Payments, Inc.

    72,766,348  
  941,279    

GoDaddy, Inc. Class A*

    61,211,373  
  894,554    

Leidos Holdings, Inc.

    77,137,391  
  391,207    

Mastercard, Inc. Class A

    108,290,010  
  1,205,057    

Microsoft Corp.

    172,769,022  
  402,696    

salesforce.com, Inc.*

    63,017,897  
  741,388    

SS&C Technologies Holdings, Inc.

    38,559,590  
  178,161    

Workday, Inc. Class A*

    28,890,588  
   

 

 

 
    622,642,219  
 

 

 

 
      Technology Hardware & Equipment - 5.6%  
  727,105    

Apple, Inc.

    180,874,640  
  430,925    

CDW Corp.

    55,119,617  
  492,473    

Motorola Solutions, Inc.

    81,908,109  
   

 

 

 
    317,902,366  
 

 

 

 
      Telecommunication Services - 1.7%  
  1,637,283    

Verizon Communications, Inc.

    99,006,503  
   

 

 

 
      Transportation - 1.4%  
  298,569    

Norfolk Southern Corp.

    54,339,558  
  785,989    

Uber Technologies, Inc.*(1)

    24,758,654  
   

 

 

 
    79,098,212  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  47  

 


Hartford Core Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.1% - (continued)  
      Utilities - 4.8%  
  1,012,135    

American Electric Power Co., Inc.

  $ 95,535,423  
  469,453    

NextEra Energy, Inc.

    111,889,428  
  663,151    

Pinnacle West Capital Corp.

    62,415,772  
   

 

 

 
    269,840,623  
 

 

 

 
 

Total Common Stocks
(cost $4,229,694,472)

  $ 5,413,642,837  
   

 

 

 
SHORT-TERM INVESTMENTS - 5.0%  
      Other Investment Pools & Funds - 4.5%  
  257,011,420    

Fidelity Institutional Government Fund, Institutional Class, 1.70%(2)

  $ 257,011,420  
   

 

 

 
      Securities Lending Collateral - 0.5%  
  1,261,899    

Citibank NA DDCA, 1.80%, 11/1/2019(2)

    1,261,899  
  17,704,664    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(2)

    17,704,664  
  284,012    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(2)

    284,012  
  2,348,473    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(2)

    2,348,473  
  3,412,040    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(2)

    3,412,040  
  226,890    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(2)

    226,890  
   

 

 

 
    25,237,978  
 

 

 

 
 

Total Short-Term Investments
(cost $282,249,398)

  $ 282,249,398  
   

 

 

 
 

Total Investments
(cost $4,511,943,870)

    100.1    $     5,695,892,235  
 

Other Assets and Liabilities

    (0.1 )%       (3,981,477
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 5,691,910,758  
   

 

 

    

 

 

 
Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Current yield as of period end.

 
Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

S&P 500 (E-Mini) Future

     845        12/20/2019      $     128,262,550      $ 1,593,093  
           

 

 

 

Total futures contracts

 

   $     1,593,093  
           

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  48  

 


Hartford Core Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Banks

   $ 428,808,766      $ 428,808,766      $      $  

Capital Goods

     336,866,411        336,866,411                

Commercial & Professional Services

     153,516,474        153,516,474                

Consumer Durables & Apparel

     190,796,322        190,796,322                

Consumer Services

     159,068,739        159,068,739                

Diversified Financials

     117,958,062        117,958,062                

Energy

     73,348,132        73,348,132                

Food & Staples Retailing

     177,677,020        177,677,020                

Food, Beverage & Tobacco

     194,572,288        194,572,288                

Health Care Equipment & Services

     565,524,183        565,524,183                

Household & Personal Products

     217,656,767        217,656,767                

Insurance

     191,670,353        191,670,353                

Materials

     101,037,593        101,037,593                

Media & Entertainment

     335,298,643        335,298,643                

Pharmaceuticals, Biotechnology & Life Sciences

     307,693,176        307,693,176                

Real Estate

     121,172,252        121,172,252                

Retailing

     179,658,721        179,658,721                

Semiconductors & Semiconductor Equipment

     172,829,012        172,829,012                

Software & Services

     622,642,219        622,642,219                

Technology Hardware & Equipment

     317,902,366        317,902,366                

Telecommunication Services

     99,006,503        99,006,503                

Transportation

     79,098,212        79,098,212                

Utilities

     269,840,623        269,840,623                

Short-Term Investments

     282,249,398        282,249,398                

Futures Contracts(2)

     1,593,093        1,593,093                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     5,697,485,328      $     5,697,485,328      $     —      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  49  

 


The Hartford Dividend and Growth Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.2%  
      Automobiles & Components - 0.5%  
  556,087    

Autoliv, Inc.

  $ 43,285,812  
   

 

 

 
      Banks - 9.4%  
  10,707,576    

Bank of America Corp.

    334,825,901  
  1,142,657    

Bank of Nova Scotia

    65,508,526  
  2,727,643    

JP Morgan Chase & Co.

    340,737,164  
  757,636    

PNC Financial Services Group, Inc.

    111,145,201  
   

 

 

 
    852,216,792  
 

 

 

 
      Capital Goods - 6.9%  
  724,246    

Deere & Co.

    126,120,198  
  896,000    

Eaton Corp. plc

    78,050,560  
  533,832    

General Dynamics Corp.

    94,381,498  
  1,583,466    

Johnson Controls International plc

    68,611,582  
  181,966    

Lockheed Martin Corp.

    68,542,953  
  306,858    

Raytheon Co.

    65,118,336  
  846,927    

United Technologies Corp.

    121,601,779  
   

 

 

 
    622,426,906  
 

 

 

 
      Consumer Services - 0.9%  
  824,544    

Hilton Worldwide Holdings, Inc.

    79,947,786  
   

 

 

 
      Diversified Financials - 4.1%  
  749,754    

American Express Co.

    87,931,149  
  160,493    

BlackRock, Inc.

    74,099,618  
  552,774    

Charles Schwab Corp.

    22,503,430  
  999,224    

Intercontinental Exchange, Inc.

    94,246,808  
  941,656    

Northern Trust Corp.

    93,864,270  
   

 

 

 
    372,645,275  
 

 

 

 
      Energy - 7.1%  
  429,848    

BP plc ADR

    16,295,538  
  1,711,517    

Chevron Corp.

    198,775,584  
  1,396,562    

ConocoPhillips

    77,090,223  
  6,407,362    

Encana Corp.(1)

    25,180,933  
  492,262    

Exxon Mobil Corp.

    33,262,143  
  831,928    

Hess Corp.

    54,699,266  
  697,278    

Marathon Petroleum Corp.

    44,590,928  
  2,368,101    

Noble Energy, Inc.

    45,609,625  
  2,875,893    

Suncor Energy, Inc.

    85,385,263  
  1,230,221    

Total S.A. ADR

    64,746,531  
   

 

 

 
    645,636,034  
 

 

 

 
      Food & Staples Retailing - 2.0%  
  1,194,280    

Sysco Corp.

    95,387,144  
  719,823    

Walmart, Inc.

    84,406,445  
   

 

 

 
    179,793,589  
 

 

 

 
      Food, Beverage & Tobacco - 3.5%  
  2,344,017    

Coca-Cola Co.

    127,584,846  
  1,194,657    

Kellogg Co.

    75,896,559  
  789,189    

PepsiCo., Inc.

    108,253,055  
   

 

 

 
    311,734,460  
 

 

 

 
      Health Care Equipment & Services - 5.9%  
  714,908    

Abbott Laboratories

    59,773,458  
  1,489,750    

CVS Health Corp.

    98,904,503  
  278,008    

HCA Healthcare, Inc.

    37,125,188  
  1,464,732    

Medtronic plc

    159,509,315  
  662,685    

UnitedHealth Group, Inc.

    167,460,499  
  105,614    

Universal Health Services, Inc. Class B

    14,517,700  
   

 

 

 
    537,290,663  
 

 

 

 
      Household & Personal Products - 0.4%  
  594,800    

Unilever N.V.

    35,235,952  
   

 

 

 
      Insurance - 6.3%  
  1,735,738    

American International Group, Inc.

    91,924,684  
  300,785    

Arthur J Gallagher & Co.

    27,437,608  
  1,137,602    

Chubb Ltd.

    173,393,297  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.2% - (continued)  
      Insurance - 6.3% - (continued)  
  479,509    

Marsh & McLennan Cos., Inc.

  $ 49,686,722  
  1,342,670    

Principal Financial Group, Inc.

    71,671,725  
  1,732,349    

Prudential Financial, Inc.

    157,886,288  
   

 

 

 
    572,000,324  
 

 

 

 
      Materials - 3.7%  
  490,993    

Celanese Corp.

    59,483,802  
  530,153    

DuPont de Nemours, Inc.

    34,942,384  
  839,416    

FMC Corp.

    76,806,564  
  1,937,688    

International Paper Co.

    84,638,212  
  679,903    

Livent Corp.*

    4,664,135  
  624,884    

PPG Industries, Inc.

    78,185,486  
   

 

 

 
    338,720,583  
 

 

 

 
      Media & Entertainment - 5.6%  
  215,876    

Alphabet, Inc. Class A*

    271,744,709  
  5,296,400    

Comcast Corp. Class A

    237,384,648  
   

 

 

 
    509,129,357  
 

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 9.4%  
  1,084,077    

Agilent Technologies, Inc.

    82,118,833  
  2,952,821    

AstraZeneca plc ADR

    144,776,814  
  1,721,517    

Bristol-Myers Squibb Co.

    98,763,430  
  978,531    

Eli Lilly & Co.

    111,503,607  
  1,459,741    

Merck & Co., Inc.

    126,501,155  
  1,061,487    

Novartis AG ADR

    92,816,423  
  4,919,199    

Pfizer, Inc.

    188,749,666  
   

 

 

 
    845,229,928  
 

 

 

 
      Real Estate - 2.8%  
  352,886    

American Tower Corp. REIT

    76,957,379  
  397,229    

Boston Properties, Inc. REIT

    54,499,819  
  58,385    

Essex Property Trust, Inc. REIT

    19,099,485  
  1,066,990    

Host Hotels & Resorts, Inc. REIT

    17,487,966  
  545,053    

Simon Property Group, Inc. REIT

    82,128,586  
   

 

 

 
    250,173,235  
 

 

 

 
      Retailing - 3.8%  
  345,526    

Expedia Group, Inc.

    47,219,583  
  524,044    

Home Depot, Inc.

    122,930,242  
  807,438    

Lowe’s Cos., Inc.

    90,118,155  
  1,363,402    

TJX Cos., Inc.

    78,600,125  
   

 

 

 
    338,868,105  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 2.5%  
  2,401,611    

Intel Corp.

    135,763,070  
  276,032    

KLA Corp.

    46,660,449  
  914,099    

Micron Technology, Inc.*

    43,465,408  
   

 

 

 
    225,888,927  
 

 

 

 
      Software & Services - 6.2%  
  218,111    

Accenture plc Class A

    40,442,142  
  543,040    

International Business Machines Corp.

    72,620,739  
  3,135,423    

Microsoft Corp.

    449,525,595  
   

 

 

 
    562,588,476  
 

 

 

 
      Technology Hardware & Equipment - 4.7%  
  491,954    

Apple, Inc.

    122,378,477  
  2,584,972    

Cisco Systems, Inc.

    122,812,020  
  3,176,251    

HP, Inc.

    55,171,480  
  739,852    

Motorola Solutions, Inc.

    123,052,184  
   

 

 

 
    423,414,161  
 

 

 

 
      Telecommunication Services - 4.3%  
  2,062,764    

AT&T, Inc.

    79,395,786  
  5,150,816    

Verizon Communications, Inc.

    311,469,844  
   

 

 

 
    390,865,630  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  50  

 


The Hartford Dividend and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.2% - (continued)  
      Transportation - 1.9%  
  1,155,507    

Delta Air Lines, Inc.

  $ 63,645,325  
  640,080    

Union Pacific Corp.

    105,907,637  
   

 

 

 
    169,552,962  
 

 

 

 
      Utilities - 4.3%  
  1,530,643    

Dominion Energy, Inc.

    126,354,580  
  536,076    

Edison International

    33,719,180  
  2,329,572    

Exelon Corp.

    105,972,230  
  506,323    

NextEra Energy, Inc.

    120,677,024  
   

 

 

 
    386,723,014  
 

 

 

 
 

Total Common Stocks
(cost $6,082,740,136)

  $ 8,693,367,971  
   

 

 

 
SHORT-TERM INVESTMENTS - 3.7%  
      Other Investment Pools & Funds - 3.6%  
  332,438,620    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(2)

  $ 332,438,620  
   

 

 

 
      Securities Lending Collateral - 0.1%  
  227,100    

Citibank NA DDCA, 1.80%, 11/1/2019(2)

    227,100  
  3,186,253    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(2)

    3,186,253  
  51,113    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(2)

    51,113  
  422,647    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(2)

    422,647  
  614,054    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(2)

    614,054  
  40,833    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(2)

    40,833  
   

 

 

 
    4,542,000  
 

 

 

 
 

Total Short-Term Investments
(cost $336,980,620)

  $ 336,980,620  
   

 

 

 
 

Total Investments
(cost $6,419,720,756)

    99.9    $     9,030,348,591  
 

Other Assets and Liabilities

    0.1      12,970,860  
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 9,043,319,451  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  51  

 


The Hartford Dividend and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 43,285,812      $ 43,285,812      $      $  

Banks

     852,216,792        852,216,792                

Capital Goods

     622,426,906        622,426,906                

Consumer Services

     79,947,786        79,947,786                

Diversified Financials

     372,645,275        372,645,275                

Energy

     645,636,034        645,636,034                

Food & Staples Retailing

     179,793,589        179,793,589                

Food, Beverage & Tobacco

     311,734,460        311,734,460                

Health Care Equipment & Services

     537,290,663        537,290,663                

Household & Personal Products

     35,235,952        35,235,952                

Insurance

     572,000,324        572,000,324                

Materials

     338,720,583        338,720,583                

Media & Entertainment

     509,129,357        509,129,357                

Pharmaceuticals, Biotechnology & Life Sciences

     845,229,928        845,229,928                

Real Estate

     250,173,235        250,173,235                

Retailing

     338,868,105        338,868,105                

Semiconductors & Semiconductor Equipment

     225,888,927        225,888,927                

Software & Services

     562,588,476        562,588,476                

Technology Hardware & Equipment

     423,414,161        423,414,161                

Telecommunication Services

     390,865,630        390,865,630                

Transportation

     169,552,962        169,552,962                

Utilities

     386,723,014        386,723,014                

Short-Term Investments

     336,980,620        336,980,620                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     9,030,348,591      $     9,030,348,591      $     —      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  52  

 


The Hartford Equity Income Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.9%  
      Automobiles & Components - 0.6%  
  188,231    

Cie Generale des Etablissements Michelin SCA

  $ 22,918,478  
   

 

 

 
      Banks - 12.8%  
  4,439,311    

Bank of America Corp.

    138,817,255  
  654,873    

BB&T Corp.

    34,741,013  
  1,433,202    

JP Morgan Chase & Co.

    179,035,594  
  323,366    

M&T Bank Corp.

    50,616,480  
  526,648    

PNC Financial Services Group, Inc.

    77,259,261  
  747,808    

U.S. Bancorp

    42,640,012  
   

 

 

 
    523,109,615  
 

 

 

 
      Capital Goods - 10.0%  
  4,338,782    

BAE Systems plc

    32,409,447  
  318,901    

Caterpillar, Inc.

    43,944,558  
  386,587    

Deere & Co.

    67,320,260  
  707,674    

Eaton Corp. plc

    61,645,482  
  245,545    

Honeywell International, Inc.

    42,412,988  
  125,354    

Ingersoll-Rand plc

    15,906,169  
  189,907    

Lockheed Martin Corp.

    71,534,169  
  153,363    

Raytheon Co.

    32,545,162  
  288,442    

United Technologies Corp.

    41,414,502  
   

 

 

 
    409,132,737  
 

 

 

 
      Diversified Financials - 0.5%  
  45,195    

BlackRock, Inc.

    20,866,532  
   

 

 

 
      Energy - 8.6%  
  661,301    

Chevron Corp.

    76,803,498  
  1,135,747    

Exxon Mobil Corp.

    76,742,425  
  1,835,900    

Kinder Morgan, Inc.

    36,681,282  
  200,522    

Phillips 66

    23,424,980  
  2,653,033    

Suncor Energy, Inc.

    78,768,550  
  1,127,461    

TC Energy Corp.

    56,831,019  
   

 

 

 
    349,251,754  
 

 

 

 
      Food & Staples Retailing - 1.5%  
  380,152    

Sysco Corp.

    30,362,740  
  264,877    

Walmart, Inc.

    31,059,477  
   

 

 

 
    61,422,217  
 

 

 

 
      Food, Beverage & Tobacco - 6.2%  
  1,061,672    

Archer-Daniels-Midland Co.

    44,632,691  
  386,160    

Coca-Cola Co.

    21,018,689  
  924,898    

Mondelez International, Inc. Class A

    48,510,900  
  290,397    

Nestle S.A.

    31,067,052  
  280,428    

PepsiCo., Inc.

    38,466,309  
  851,314    

Philip Morris International, Inc.

    69,331,012  
   

 

 

 
    253,026,653  
 

 

 

 
      Health Care Equipment & Services - 6.0%  
  1,270,454    

Koninklijke Philips N.V.

    55,739,988  
  761,773    

Medtronic plc

    82,957,080  
  420,590    

UnitedHealth Group, Inc.

    106,283,093  
   

 

 

 
    244,980,161  
 

 

 

 
      Household & Personal Products - 1.9%  
  1,327,907    

Unilever N.V.

    78,665,211  
   

 

 

 
      Insurance - 7.2%  
  687,494    

American International Group, Inc.

    36,409,682  
  270,212    

Chubb Ltd.

    41,185,713  
  380,127    

Marsh & McLennan Cos., Inc.

    39,388,760  
  1,544,557    

MetLife, Inc.

    72,269,822  
  509,359    

Principal Financial Group, Inc.

    27,189,584  
  643,996    

Progressive Corp.

    44,886,521  
  238,403    

Travelers Cos., Inc.

    31,245,097  
   

 

 

 
    292,575,179  
 

 

 

 
      Materials - 2.5%  
  379,921    

Celanese Corp.

    46,027,429  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.9% - (continued)  
      Materials - 2.5% - (continued)  
  584,116    

Dow, Inc.

  $ 29,492,017  
  561,946    

Nutrien Ltd.

    26,855,399  
   

 

 

 
    102,374,845  
 

 

 

 
      Media & Entertainment - 2.7%  
  2,428,156    

Comcast Corp. Class A

    108,829,952  
   

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 10.8%  
  957,176    

AstraZeneca plc ADR

    46,930,339  
  729,380    

Bristol-Myers Squibb Co.

    41,844,531  
  470,517    

Eli Lilly & Co.

    53,615,412  
  538,641    

Johnson & Johnson

    71,122,158  
  254,223    

Merck & Co., Inc.

    22,030,965  
  564,887    

Novartis AG

    49,357,113  
  2,607,040    

Pfizer, Inc.

    100,032,125  
  181,646    

Roche Holding AG

    54,667,417  
   

 

 

 
    439,600,060  
 

 

 

 
      Real Estate - 2.2%  
  637,842    

Crown Castle International Corp. REIT

    88,526,091  
   

 

 

 
      Retailing - 2.6%  
  339,540    

Home Depot, Inc.

    79,649,293  
  233,073    

Lowe’s Cos., Inc.

    26,013,278  
   

 

 

 
    105,662,571  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 4.8%  
  483,731    

Analog Devices, Inc.

    51,580,237  
  1,405,755    

Intel Corp.

    79,467,330  
  244,860    

KLA Corp.

    41,391,134  
  380,754    

Maxim Integrated Products, Inc.

    22,335,030  
   

 

 

 
    194,773,731  
 

 

 

 
      Technology Hardware & Equipment - 4.5%  
  2,328,909    

Cisco Systems, Inc.

    110,646,467  
  1,268,350    

Corning, Inc.

    37,581,210  
  420,552    

TE Connectivity Ltd.

    37,639,404  
   

 

 

 
    185,867,081  
 

 

 

 
      Telecommunication Services - 3.3%  
  474,495    

BCE, Inc.

    22,508,881  
  1,846,831    

Verizon Communications, Inc.

    111,677,871  
   

 

 

 
    134,186,752  
 

 

 

 
      Transportation - 1.4%  
  336,527    

Union Pacific Corp.

    55,681,757  
   

 

 

 
      Utilities - 7.8%  
  518,064    

American Electric Power Co., Inc.

    48,900,061  
  711,980    

Dominion Energy, Inc.

    58,773,949  
  271,256    

Duke Energy Corp.

    25,568,591  
  577,436    

Eversource Energy

    48,354,491  
  178,911    

Exelon Corp.

    8,138,661  
  163,576    

NextEra Energy, Inc.

    38,986,704  
  370,861    

Sempra Energy

    53,593,123  
  753,093    

UGI Corp.

    35,899,943  
   

 

 

 
    318,215,523  
 

 

 

 
 

Total Common Stocks
(cost $3,101,471,619)

  $ 3,989,666,900  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  53  

 


The Hartford Equity Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 2.1%  
      Other Investment Pools & Funds - 2.1%  
  84,795,511    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(1)

  $ 84,795,511  
   

 

 

 
 

Total Short-Term Investments
(cost $84,795,511)

  $ 84,795,511  
   

 

 

 
 

Total Investments
(cost $3,186,267,130)

    100.0    $     4,074,462,411  
 

Other Assets and Liabilities

    0.0      1,147,294  
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 4,075,609,705  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 22,918,478      $      $ 22,918,478      $     —  

Banks

     523,109,615        523,109,615                

Capital Goods

     409,132,737        376,723,290        32,409,447         

Diversified Financials

     20,866,532        20,866,532                

Energy

     349,251,754        349,251,754                

Food & Staples Retailing

     61,422,217        61,422,217                

Food, Beverage & Tobacco

     253,026,653        221,959,601        31,067,052         

Health Care Equipment & Services

     244,980,161        189,240,173        55,739,988         

Household & Personal Products

     78,665,211        78,665,211                

Insurance

     292,575,179        292,575,179                

Materials

     102,374,845        102,374,845                

Media & Entertainment

     108,829,952        108,829,952                

Pharmaceuticals, Biotechnology & Life Sciences

     439,600,060        335,575,530        104,024,530         

Real Estate

     88,526,091        88,526,091                

Retailing

     105,662,571        105,662,571                

Semiconductors & Semiconductor Equipment

     194,773,731        194,773,731                

Technology Hardware & Equipment

     185,867,081        185,867,081                

Telecommunication Services

     134,186,752        134,186,752                

Transportation

     55,681,757        55,681,757                

Utilities

     318,215,523        318,215,523                

Short-Term Investments

     84,795,511        84,795,511                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     4,074,462,411      $     3,828,302,916      $     246,159,495      $  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  54  

 


The Hartford Growth Opportunities Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.9%  
      Capital Goods - 5.4%  
  498,453    

Dover Corp.

  $ 51,784,282  
  607,813    

Ingersoll-Rand plc

    77,125,392  
  323,406    

L3Harris Technologies, Inc.

    66,721,892  
  278,754    

Raytheon Co.

    59,154,386  
   

 

 

 
    254,785,952  
 

 

 

 
      Commercial & Professional Services - 1.5%  
  634,250    

Copart, Inc.*

    52,414,420  
  63,425    

Klarna Holding AB(1)(2)(3)

    14,871,444  
  569,183    

Landscape Acquisition Holdings Ltd.*

    5,008,810  
   

 

 

 
    72,294,674  
 

 

 

 
      Consumer Durables & Apparel - 4.8%  
  1,435,454    

Lennar Corp. Class A

    85,553,058  
  1,348,856    

Peloton Interactive, Inc. Class A*(4)

    32,197,193  
  312,179    

Roku, Inc.*

    45,952,749  
  1,420,320    

Under Armour, Inc. Class A*

    29,329,608  
  1,858,721    

Under Armour, Inc. Class C*

    34,386,338  
   

 

 

 
    227,418,946  
 

 

 

 
      Consumer Services - 5.3%  
  4,858,252    

DraftKings, Inc.(1)(2)(3)

    15,400,659  
  607,211    

Grand Canyon Education, Inc.*

    55,839,124  
  663,851    

Marriott Vacations Worldwide Corp.

    72,977,140  
  709,476    

Planet Fitness, Inc. Class A*

    45,165,242  
  1,500,000    

Target Hospitality Corp.*(4)

    8,310,000  
  218,217    

Vail Resorts, Inc.

    50,707,084  
   

 

 

 
    248,399,249  
 

 

 

 
      Diversified Financials - 4.5%  
  984,589    

American Express Co.

    115,472,598  
  4,025,679    

APi Group Corp.*(1)(2)

    39,652,938  
  1,052,020    

Blackstone Group, Inc. Class A

    55,925,383  
   

 

 

 
    211,050,919  
 

 

 

 
      Food, Beverage & Tobacco - 3.1%  
  1,289,067    

Lamb Weston Holdings, Inc.

    100,598,789  
  786,901    

Monster Beverage Corp.*

    44,168,753  
   

 

 

 
    144,767,542  
 

 

 

 
      Health Care Equipment & Services - 8.9%  
  265,571    

ABIOMED, Inc.*

    55,127,228  
  249,157    

DexCom, Inc.*

    38,429,976  
  808,562    

Haemonetics Corp.*

    97,617,690  
  1,037,656    

Insulet Corp.*

    150,792,170  
  500,965    

Penumbra, Inc.*

    78,135,511  
   

 

 

 
    420,102,575  
 

 

 

 
      Media & Entertainment - 12.0%  
  852,439    

Activision Blizzard, Inc.

    47,762,157  
  381,049    

Facebook, Inc. Class A*

    73,028,041  
  1,247,687    

Ocean Outdoor Ltd.*(4)(5)

    9,638,382  
  5,210,008    

Pinterest, Inc. Class A*

    130,979,601  
  923,588    

Spotify Technology S.A.*

    133,273,749  
  993,627    

TripAdvisor, Inc.*

    40,142,531  
  1,009,746    

Walt Disney Co.

    131,186,200  
   

 

 

 
    566,010,661  
 

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 11.4%  
  236,736    

Ascendis Pharma A/S ADR*

    26,178,267  
  1,318,838    

AstraZeneca plc ADR

    64,662,627  
  110,878    

Biogen, Inc.*

    33,120,367  
  124,095    

Bluebird Bio, Inc.*

    10,051,695  
  2,660,639    

Elanco Animal Health, Inc.*

    71,890,466  
  357,257    

Exact Sciences Corp.*

    31,081,359  
  451,725    

Galapagos N.V.*

    83,170,157  
  39,452    

Galapagos N.V. ADR*(4)

    7,257,984  
  473,555    

Ionis Pharmaceuticals, Inc.*

    26,386,485  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.9% - (continued)  
      Pharmaceuticals, Biotechnology & Life
Sciences - 11.4% - (continued)
 
  156,958    

Sage Therapeutics, Inc.*

  $ 21,291,353  
  283,448    

Seattle Genetics, Inc.*

    30,442,315  
  443,724    

Thermo Fisher Scientific, Inc.

    133,995,773  
   

 

 

 
    539,528,848  
 

 

 

 
      Real Estate - 0.1%  
  46,014    

Crown Castle International Corp. REIT

    6,386,283  
  29,564    

We Co. Class A(1)(2)(3)

    325,411  
   

 

 

 
    6,711,694  
 

 

 

 
      Retailing - 13.1%  
  207,348    

Amazon.com, Inc.*

    368,386,898  
  358,618    

Burlington Stores, Inc.*

    68,915,621  
  441,602    

Five Below, Inc.*

    55,248,826  
  1,373,152    

Floor & Decor Holdings, Inc. Class A*

    62,931,556  
  123,196    

JAND, Inc. Class A(1)(2)(3)

    1,879,971  
  448,468    

Lowe’s Cos., Inc.

    50,053,514  
  171,581    

Tory Burch LLC*(1)(2)(3)

    9,521,028  
   

 

 

 
    616,937,414  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 4.1%  
  3,604,587    

Advanced Micro Devices, Inc.*

    122,303,637  
  2,840,331    

Marvell Technology Group Ltd.

    69,275,673  
   

 

 

 
    191,579,310  
 

 

 

 
      Software & Services - 19.1%  
  695,628    

2U, Inc.*

    12,469,132  
  250,700    

DocuSign, Inc.*

    16,593,833  
  204,164    

Fair Isaac Corp.*

    62,074,022  
  1,206,857    

GoDaddy, Inc. Class A*

    78,481,911  
  922,561    

Guidewire Software, Inc.*

    104,009,527  
  910,364    

PayPal Holdings, Inc.*

    94,768,892  
  454,512    

ServiceNow, Inc.*

    112,382,637  
  2,155,915    

Slack Technologies, Inc. Class A*(4)

    47,430,130  
  1,120,622    

Splunk, Inc.*

    134,429,815  
  260,377    

Trade Desk, Inc. Class A*

    52,283,702  
  918,433    

Workday, Inc. Class A*

    148,933,095  
  513,913    

Zoom Video Communications, Inc. Class A*(4)

    35,917,380  
   

 

 

 
    899,774,076  
 

 

 

 
      Technology Hardware & Equipment - 3.1%  
  867,534    

Western Digital Corp.

    44,808,131  
  424,281    

Zebra Technologies Corp. Class A*

    100,923,722  
   

 

 

 
    145,731,853  
 

 

 

 
      Transportation - 1.5%  
  466,576    

Uber Technologies, Inc.*(4)

    14,697,144  
  1,815,430    

Uber Technologies, Inc.*(2)(3)

    56,995,425  
   

 

 

 
      71,692,569  
   

 

 

 
 

Total Common Stocks
(cost $4,048,279,709)

  $ 4,616,786,282  
   

 

 

 
CONVERTIBLE PREFERRED STOCKS - 1.8%  
      Commercial & Professional Services - 0.2%  
  470,535    

Rubicon Global Holdings LLC Series C*(1)(2)(3)

  $ 11,081,099  
   

 

 

 
      Real Estate - 0.2%  
  404,267    

WE Co. Series D1*(1)(2)(3)

    5,893,000  
  317,638    

WE Co. Series D2*(1)(2)(3)

    4,630,204  
   

 

 

 
      10,523,204  
   

 

 

 
      Retailing - 0.8%  
  4,434,460    

Coupang LLC*(1)(2)(3)

    23,546,983  
  272,032    

Honest Co., Inc. Series C(1)(2)(3)

    8,816,557  
  275,096    

JAND, Inc. Series D*(1)(2)(3)

    4,239,229  
   

 

 

 
      36,602,769  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  55  

 


The Hartford Growth Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CONVERTIBLE PREFERRED STOCKS - 1.8% - (continued)  
      Software & Services - 0.6%  
  5,668,755    

Essence Group Holdings Corp. Series 3*(1)(2)(3)

  $ 13,038,137  
  743,470    

Lookout, Inc. Series F*(1)(2)(3)

    5,256,333  
  1,078,374    

MarkLogic Corp. Series F*(1)(2)(3)

    10,492,579  
   

 

 

 
      28,787,049  
   

 

 

 
 

Total Convertible Preferred Stocks
(cost $75,631,055)

  $ 86,994,121  
   

 

 

 
ESCROWS - 0.0%(6)  
      Capital Goods - 0.0%  
  4,106,956    

Lithium Technology Corp.*(1)(2)(3)

  $ 41,069  
   

 

 

 
      Consumer Durables & Apparel - 0.0%  
  923,832    

One Kings Lane, Inc.*(1)(2)(3)

    147,813  
   

 

 

 
      Software & Services - 0.0%  
  1,526,069    

Birst, Inc.*(1)(2)(3)

    79,356  
  566,228    

Veracode, Inc.*(1)(2)(3)

    308,028  
   

 

 

 
    387,384  
 

 

 

 
 

Total Escrows
(cost $—)

  $ 576,266  
   

 

 

 
WARRANTS - 0.0%  
      Commercial & Professional Services - 0.0%  
  1,609,100    

Landscape Acquisition Holdings Ltd. Expires 11/23/22*

  $ 80,455  
   

 

 

 
      Consumer Services - 0.0%  
  500,000    

Target Hospitality Corp. Expires 3/15/24*

    363,250  
   

 

 

 
 

Total Warrants
(cost $691,556)

  $ 443,705  
   

 

 

 
 

Total Long-Term Investments
(cost $4,124,602,320)

  $ 4,704,800,374  
   

 

 

 
SHORT-TERM INVESTMENTS - 2.8%  
      Other Investment Pools & Funds - 0.6%  
  25,547,988    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(7)

  $ 25,547,988  
   

 

 

 
      Securities Lending Collateral - 2.2%  
  5,214,168    

Citibank NA DDCA, 1.80%, 11/1/2019(7)

    5,214,168  
  73,155,693    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(7)

    73,155,693  
  1,173,538    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(7)

    1,173,538  
  9,703,893    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(7)

    9,703,893  
  14,098,553    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(7)

    14,098,553  
  937,508    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(7)

    937,508  
   

 

 

 
    104,283,353  
 

 

 

 
 

Total Short-Term Investments
(cost $129,831,341)

  $ 129,831,341  
   

 

 

 
 

Total Investments
(cost $4,254,433,661)

    102.5    $ 4,834,631,715  
 

Other Assets and Liabilities

    (2.5 )%       (112,294,006
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     4,722,337,709  
   

 

 

    

 

 

 
Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Investment valued using significant unobservable inputs.

 

(2) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $226,217,263, which represented 4.8% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(3) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $186,564,325 or 4.0% of net assets.

 

Period
Acquired
   

Security Name

  Shares/
Par Value
    Base
Total Cost
    Base
Market Value
 
  03/2015     Birst, Inc.     1,526,069     $     $ 79,356  
  11/2014     Coupang LLC Convertible Preferred     4,434,460         13,805,010         23,546,983  
  02/2014     DraftKings, Inc.     4,858,252       7,040,846       15,400,659  
  05/2014     Essence Group Holdings Corp. Series 3 Convertible Preferred     5,668,755       8,964,002       13,038,137  
  08/2014     Honest Co., Inc. Series C Convertible Preferred     272,032       7,360,452       8,816,557  
  04/2015     JAND, Inc. Class A     123,196       1,414,943       1,879,971  
  04/2015     JAND, Inc. Series D Convertible Preferred     275,096       3,159,560       4,239,229  
  08/2015     Klarna Holding AB     63,425       6,956,489       14,871,444  
  08/2013     Lithium Technology Corp.     4,106,956             41,069  
  07/2014     Lookout, Inc. Series F Convertible Preferred     743,470       8,492,732       5,256,333  
  04/2015     MarkLogic Corp. Series F Convertible Preferred     1,078,374       12,524,451       10,492,579  
  08/2014     One Kings Lane, Inc.     923,832             147,813  
  09/2015     Rubicon Global Holdings LLC Series C Convertible Preferred     470,535       9,392,114       11,081,099  
  11/2013     Tory Burch LLC     171,581       13,447,917       9,521,028  
  06/2014     Uber Technologies, Inc.     1,815,430       28,162,857       56,995,425  
  08/2014     Veracode, Inc.     566,228             308,028  
  12/2014     We Co. Class A     29,564       492,275       325,411  
  12/2014     We Co. Series D1 Convertible Preferred     404,267       6,731,515       5,893,000  
  12/2014     We Co. Series D2 Convertible Preferred     317,638       5,289,041       4,630,204  
     

 

 

   

 

 

 
      $   133,234,204     $   186,564,325  
     

 

 

   

 

 

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  56  

 


The Hartford Growth Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

(4) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(5) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of this security was $9,638,382, representing 0.2% of net assets.

 

(6) 

Share amount represents shares of the issuer previously held that resulted in receipt of the escrow.

 

(7) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Capital Goods

   $ 254,785,952      $ 254,785,952      $      $  

Commercial & Professional Services

     72,294,674        57,423,230               14,871,444  

Consumer Durables & Apparel

     227,418,946        227,418,946                

Consumer Services

     248,399,249        232,998,590               15,400,659  

Diversified Financials

     211,050,919        171,397,981               39,652,938  

Food, Beverage & Tobacco

     144,767,542        144,767,542                

Health Care Equipment & Services

     420,102,575        420,102,575                

Media & Entertainment

     566,010,661        566,010,661                

Pharmaceuticals, Biotechnology & Life Sciences

     539,528,848        456,358,691        83,170,157         

Real Estate

     6,711,694        6,386,283               325,411  

Retailing

     616,937,414        605,536,415               11,400,999  

Semiconductors & Semiconductor Equipment

     191,579,310        191,579,310                

Software & Services

     899,774,076        899,774,076                

Technology Hardware & Equipment

     145,731,853        145,731,853                

Transportation

     71,692,569        14,697,144       
56,995,425
 
      

Convertible Preferred Stocks

     86,994,121                      86,994,121  

Escrows

     576,266                      576,266  

Warrants

     443,705        443,705                

Short-Term Investments

     129,831,341        129,831,341                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     4,834,631,715      $     4,525,244,295      $     140,165,582      $     169,221,838  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, investments valued at $106,117,102 were transferred out of Level 3 due to the expiration of trading restrictions and to the initiation of a vendor providing prices that are based on market activity which has been determined to be significant observable input. Investments valued at $30,297,400 were transferred into Level 3 due to the unavailability of active market pricing.

The following is a rollforward of the Fund’s investments that were valued using unobservable inputs (Level 3) for the year ended October 31, 2019:

 

     Common
Stocks
    Convertible
Preferred
Stocks
    Escrows     Total  

Beginning balance

   $ 52,310,661     $ 206,721,740     $ 892,602     $ 259,925,003  

Purchases

     6,968,802                   6,968,802  

Sales

                 (330,953     (330,953

Total realized gain/(loss)

                 330,953       330,953  

Net change in unrealized appreciation/(depreciation)

     11,833,539           (33,369,468         (316,336     (21,852,265

Transfers into Level 3

     30,297,400                   30,297,400  

Transfers out of Level 3

         (19,758,951     (86,358,151           (106,117,102
  

 

 

   

 

 

   

 

 

   

 

 

 

Ending balance

   $ 81,651,451     $ 86,994,121     $ 576,266     $     169,221,838  
  

 

 

   

 

 

   

 

 

   

 

 

 

The change in net unrealized appreciation/depreciation relating to the Level 3 investments held at October 31, 2019 was $(21,554,406).

 

The accompanying notes are an integral part of these financial statements.

 

 

  57  

 


The Hartford Healthcare Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.1%  
      Biotechnology - 23.0%  
  106,121    

Aimmune Therapeutics, Inc.*

  $ 2,952,286  
  715,633    

Alkermes plc*

    13,976,312  
  143,139    

Alnylam Pharmaceuticals, Inc.*

    12,415,877  
  133,112    

Apellis Pharmaceuticals, Inc.*

    3,912,162  
  155,548    

Arena Pharmaceuticals, Inc.*

    7,577,521  
  181,276    

Assembly Biosciences, Inc.*

    2,992,867  
  155,295    

Audentes Therapeutics, Inc.*

    4,177,435  
  135,359    

Bluebird Bio, Inc.*

    10,964,079  
  277,542    

Coherus Biosciences, Inc.*

    4,820,905  
  77,471    

Cyclerion Therapeutics, Inc.*

    185,156  
  590,424    

Forty Seven, Inc.*

    4,079,830  
  368,893    

G1 Therapeutics, Inc.*

    7,827,909  
  37,992    

Galapagos N.V.*

    6,994,965  
  59,160    

Genmab A/S*

    12,926,139  
  218,107    

Genus plc

    8,194,554  
  211,410    

Global Blood Therapeutics, Inc.*

    10,137,109  
  434,966    

GlycoMimetics, Inc.*(1)

    2,296,620  
  217,064    

Heron Therapeutics, Inc.*

    4,612,610  
  105,093    

Incyte Corp.*

    8,819,405  
  829,918    

Ironwood Pharmaceuticals, Inc.*(1)

    8,332,377  
  72,303    

Madrigal Pharmaceuticals, Inc.*(1)

    6,682,966  
  413,857    

Medicines Co.*(1)

    21,723,354  
  773,601    

Momenta Pharmaceuticals, Inc.*

    11,975,343  
  292,240    

Myovant Sciences Ltd.*

    1,595,630  
  96,725    

ObsEva S.A.*

    746,717  
  414,306    

PhaseBio Pharmaceuticals, Inc.*(1)

    1,702,798  
  525,961    

Portola Pharmaceuticals, Inc.*

    15,205,532  
  146,105    

Radius Health, Inc.*

    4,155,226  
  1,515,945    

Rigel Pharmaceuticals, Inc.*

    3,107,687  
  266,802    

Seattle Genetics, Inc.*

    28,654,535  
  578,601    

Syndax Pharmaceuticals, Inc.*

    3,888,199  
  88,063    

Ultragenyx Pharmaceutical, Inc.*

    3,534,849  
  190,604    

UroGen Pharma Ltd.*(1)

    4,313,369  
  181,047    

Vertex Pharmaceuticals, Inc.*

    35,391,068  
  255,204    

Zai Lab Ltd. ADR*

    8,623,343  
  87,928    

Zealand Pharma A/S ADR*(1)

    2,590,359  
   

 

 

 
    292,087,093  
 

 

 

 
      Health Care Distributors - 0.5%  
  1,794,000    

Sinopharm Group Co., Ltd. Class H

    6,424,759  
   

 

 

 
      Health Care Equipment - 23.8%  
  747,164    

Abbott Laboratories

    62,470,382  
  242,099    

AtriCure, Inc.*

    6,437,413  
  232,462    

Baxter International, Inc.

    17,829,835  
  2,700    

Becton Dickinson and Co.

    691,200  
  1,047,630    

Boston Scientific Corp.*

    43,686,171  
  265,706    

Danaher Corp.

    36,619,601  
  108,519    

Edwards Lifesciences Corp.*

    25,868,759  
  61,185    

Hill-Rom Holdings, Inc.

    6,405,458  
  90,991    

iRhythm Technologies, Inc.*

    6,080,019  
  524,819    

Medtronic plc

    57,152,789  
  197,222    

NuVasive, Inc.*

    13,912,040  
  377,207    

Smith & Nephew plc

    8,097,280  
  123,458    

Zimmer Biomet Holdings, Inc.

    17,065,599  
   

 

 

 
    302,316,546  
 

 

 

 
      Health Care Facilities - 4.6%  
  325,497    

Acadia Healthcare Co., Inc.*

    9,761,655  
  199,725    

Encompass Health Corp.

    12,786,395  
  199,967    

HCA Healthcare, Inc.

    26,703,593  
  329,604    

NMC Health plc(1)

    9,343,173  
   

 

 

 
    58,594,816  
 

 

 

 
      Health Care Services - 0.5%  
  50,380    

Amedisys, Inc.*

    6,474,838  
   

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.1% - (continued)  
      Health Care Supplies - 0.5%  
  20,046    

Alcon, Inc.*

  $ 1,185,483  
  195,200    

Asahi Intecc Co., Ltd.

    5,371,004  
   

 

 

 
    6,556,487  
 

 

 

 
      Health Care Technology - 1.5%  
  6,100    

Health Catalyst, Inc.

    196,176  
  338,264    

HMS Holdings Corp.*

    11,057,850  
  10,400    

Phreesia, Inc.*(1)

    308,152  
  99,671    

Teladoc Health, Inc.*(1)

    7,634,799  
   

 

 

 
    19,196,977  
 

 

 

 
      Life Sciences Tools & Services - 6.1%  
  38,240    

Bio-Techne Corp.

    7,960,421  
  46,463    

ICON plc*

    6,825,415  
  28,453    

Tecan Group AG

    6,731,388  
  160,148    

Thermo Fisher Scientific, Inc.

    48,361,493  
  596,245    

WuXi AppTec Co., Ltd. Class H(2)

    7,188,758  
   

 

 

 
    77,067,475  
 

 

 

 
      Managed Health Care - 10.7%  
  175,839    

Anthem, Inc.

    47,314,758  
  65,994    

Humana, Inc.

    19,415,435  
  44,980    

Molina Healthcare, Inc.*

    5,291,447  
  277,200    

Progyny, Inc.*

    4,554,396  
  154,631    

UnitedHealth Group, Inc.

    39,075,254  
  67,548    

WellCare Health Plans, Inc.*

    20,034,737  
   

 

 

 
    135,686,027  
 

 

 

 
      Pharmaceuticals - 26.9%  
  567,781    

Amneal Pharmaceuticals, Inc.*

    1,748,766  
  801,191    

AstraZeneca plc ADR

    39,282,395  
  1,010,607    

Bristol-Myers Squibb Co.

    57,978,524  
  96,330    

Chugai Pharmaceutical Co., Ltd.

    8,106,725  
  205,075    

Daiichi Sankyo Co., Ltd.

    13,484,458  
  212,175    

Dermira, Inc.*

    1,419,451  
  237,795    

Eisai Co., Ltd.

    17,213,739  
  168,864    

Elanco Animal Health, Inc.*

    4,562,705  
  391,786    

Eli Lilly & Co.

    44,644,015  
  53,156    

Hikma Pharmaceuticals plc

    1,384,330  
  108,050    

Hutchison China MediTech Ltd. ADR*

    2,042,145  
  166,643    

Laboratorios Farmaceuticos Rovi S.A.

    4,107,437  
  906,244    

MediWound Ltd.*

    2,655,295  
  630,709    

Mylan N.V.*

    12,078,077  
  163,537    

MyoKardia, Inc.*

    9,375,576  
  95,941    

Novartis AG

    8,382,864  
  287,605    

Odonate Therapeutics, Inc.*

    9,134,335  
  306,845    

Ono Pharmaceutical Co., Ltd.

    5,779,995  
  1,580,958    

Pfizer, Inc.

    60,661,358  
  291,906    

Revance Therapeutics, Inc.*

    4,571,248  
  137,400    

Satsuma Pharmaceuticals, Inc.*

    1,618,572  
  82,970    

Takeda Pharmaceutical Co., Ltd.

    2,997,959  
  379,240    

Teva Pharmaceutical Industries Ltd. ADR*

    3,090,806  
  200,600    

Theravance Biopharma, Inc.*

    3,233,672  
  237,642    

Tricida, Inc.*

    8,890,187  
  119,748    

UCB S.A.

    9,651,546  
  168,125    

WaVe Life Sciences Ltd.*(1)

    4,251,881  
   

 

 

 
    342,348,061  
 

 

 

 
 

Total Common Stocks
(cost $1,036,078,114)

  $ 1,246,753,079  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  58  

 


The Hartford Healthcare Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
RIGHTS - 0.0%  
      Pharmaceuticals, Biotechnology & Life Sciences - 0.0%  
  66,213    

Clementia Pharmaceuticals, Inc.(3)(4)

  $ 89,387  
   

 

 

 
 

Total Rights
(cost $89,387)

  $ 89,387  
   

 

 

 
 

Total Long-Term Investments
(cost $1,036,167,501)

  $ 1,246,842,466  
   

 

 

 
SHORT-TERM INVESTMENTS - 4.9%  
      Other Investment Pools & Funds - 2.2%  
  28,067,686    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(5)

  $ 28,067,686  
   

 

 

 
      Securities Lending Collateral - 2.7%  
  1,712,118    

Citibank NA DDCA, 1.80%, 11/1/2019(5)

    1,712,118  
  24,021,323    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(5)

    24,021,323  
  385,342    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(5)

    385,342  
  3,186,360    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(5)

    3,186,360  
  4,629,385    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(5)

    4,629,385  
  307,839    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(5)

    307,839  
   

 

 

 
    34,242,367  
 

 

 

 
 

Total Short-Term Investments
(cost $62,310,053)

  $ 62,310,053  
   

 

 

 
 

Total Investments
(cost $1,098,477,554)

    103.0    $     1,309,152,519  
 

Other Assets and Liabilities

    (3.0 )%       (37,651,244
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 1,271,501,275  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of this security was $7,188,758, representing 0.6% of net assets.

(3) 

This security is valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of this security was $89,387, which represented 0.0% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(4) 

Investment valued using significant unobservable inputs.

 

(5) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  59  

 


The Hartford Healthcare Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Biotechnology

   $ 292,087,093      $ 263,971,435      $ 28,115,658      $  

Health Care Distributors

     6,424,759               6,424,759         

Health Care Equipment

     302,316,546        294,219,266        8,097,280         

Health Care Facilities

     58,594,816        49,251,643        9,343,173         

Health Care Services

     6,474,838        6,474,838                

Health Care Supplies

     6,556,487               6,556,487         

Health Care Technology

     19,196,977        19,196,977                

Life Sciences Tools & Services

     77,067,475        63,147,329        13,920,146         

Managed Health Care

     135,686,027        135,686,027                

Pharmaceuticals

     342,348,061        275,346,445        67,001,616         

Rights

     89,387                      89,387  

Short-Term Investments

     62,310,053        62,310,053                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     1,309,152,519      $     1,169,604,013      $     139,459,119      $     89,387  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019 there were no transfers in and out of Level 3.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  60  

 


The Hartford MidCap Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 100.0%  
      Banks - 5.4%  
  1,443,849    

Cullen/Frost Bankers, Inc.

  $ 130,061,918  
  219,543    

First Citizens BancShares, Inc. Class A

    107,997,592  
  1,582,781    

First Republic Bank

    168,344,587  
  887,524    

M&T Bank Corp.

    138,924,132  
  1,872,697    

Prosperity Bancshares, Inc.

    129,253,547  
  1,049,260    

South State Corp.

    82,744,644  
   

 

 

 
    757,326,420  
 

 

 

 
      Capital Goods - 9.7%  
  2,666,161    

Axon Enterprise, Inc.*

    136,320,812  
  4,063,985    

Fastenal Co.

    146,059,621  
  5,091,354    

Gardner Denver Holdings, Inc.*

    162,057,798  
  989,328    

HEICO Corp. Class A

    94,253,279  
  1,464,897    

IDEX Corp.

    227,835,430  
  905,878    

Lennox International, Inc.

    224,077,982  
  1,571,560    

Lincoln Electric Holdings, Inc.

    140,764,629  
  1,615,215    

PACCAR, Inc.

    122,853,253  
  567,554    

Watsco, Inc.(1)

    100,059,770  
   

 

 

 
    1,354,282,574  
 

 

 

 
      Commercial & Professional Services - 6.3%  
  392,025    

Cintas Corp.

    105,325,357  
  229,060    

CoStar Group, Inc.*

    125,873,051  
  2,927,669    

Healthcare Services Group, Inc.(1)

    71,318,017  
  3,238,775    

IAA, Inc.*

    123,559,266  
  5,129,433    

KAR Auction Services, Inc.

    127,517,704  
  2,567,872    

TransUnion

    212,157,585  
  1,171,427    

Waste Connections, Inc.

    108,239,855  
   

 

 

 
    873,990,835  
 

 

 

 
      Consumer Durables & Apparel - 6.2%  
  1,673,152    

Carter’s, Inc.

    167,716,756  
  66,925    

NVR, Inc.*

    243,378,786  
  1,443,847    

PVH Corp.

    125,845,705  
  825,621    

Roku, Inc.*

    121,531,411  
  4,701,159    

Under Armour, Inc. Class C*

    86,971,441  
  3,339,419    

YETI Holdings, Inc.*(1)

    111,236,047  
   

 

 

 
    856,680,146  
 

 

 

 
      Consumer Services - 3.1%  
  2,378,648    

Choice Hotels International, Inc.

    210,462,775  
  4,743,176    

Service Corp. International

    215,719,645  
   

 

 

 
    426,182,420  
 

 

 

 
      Diversified Financials - 2.8%  
  332,604    

Credit Acceptance Corp.*

    145,617,357  
  430,368    

FactSet Research Systems, Inc.

    109,106,896  
  1,345,006    

Northern Trust Corp.

    134,070,198  
   

 

 

 
    388,794,451  
 

 

 

 
      Energy - 0.7%  
  570,301    

Diamondback Energy, Inc.

    48,909,014  
  4,657,505    

WPX Energy, Inc.*

    46,481,900  
   

 

 

 
    95,390,914  
 

 

 

 
      Health Care Equipment & Services - 10.3%  
  1,115,696    

Encompass Health Corp.

    71,426,858  
  1,620,661    

Hill-Rom Holdings, Inc.

    169,667,000  
  2,914,536    

Integra LifeSciences Holdings Corp.*

    169,217,960  
  1,135,796    

Masimo Corp.*

    165,587,699  
  2,722,899    

NuVasive, Inc.*

    192,073,295  
  959,926    

STERIS plc

    135,896,724  
  611,936    

Teleflex, Inc.

    212,592,686  
  1,437,169    

Varian Medical Systems, Inc.*

    173,624,387  
  999,621    

Veeva Systems, Inc. Class A*

    141,776,246  
   

 

 

 
    1,431,862,855  
 

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 100.0% - (continued)  
      Insurance - 5.1%  
  152,809    

Alleghany Corp.*

  $ 118,929,716  
  2,471,896    

Fidelity National Financial, Inc.

    113,311,713  
  206,520    

Markel Corp.*

    241,834,920  
  115,324    

White Mountains Insurance Group Ltd.

    123,512,004  
  1,675,479    

WR Berkley Corp.

    117,115,982  
   

 

 

 
    714,704,335  
 

 

 

 
      Materials - 3.0%  
  3,123,676    

Ball Corp.

    218,563,610  
  1,205,911    

Packaging Corp. of America

    131,999,018  
  2,197,376    

Silgan Holdings, Inc.

    67,613,259  
   

 

 

 
    418,175,887  
 

 

 

 
      Media & Entertainment - 2.5%  
  105,587    

Cable One, Inc.

    139,941,842  
  2,836,754    

Cargurus, Inc.*(1)

    95,286,567  
  2,884,880    

TripAdvisor, Inc.*

    116,549,152  
   

 

 

 
    351,777,561  
 

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 8.7%  
  2,475,091    

Aerie Pharmaceuticals, Inc.*(1)

    54,922,269  
  1,604,393    

Alnylam Pharmaceuticals, Inc.*

    139,165,049  
  843,818    

Bio-Techne Corp.

    175,657,593  
  1,256,397    

Bluebird Bio, Inc.*(1)

    101,768,157  
  2,598,318    

Ionis Pharmaceuticals, Inc.*

    144,778,279  
  157,828    

Mettler-Toledo International, Inc.*

    111,259,270  
  1,690,901    

PRA Health Sciences, Inc.*

    165,217,937  
  276,656    

Reata Pharmaceuticals, Inc. Class A*

    57,013,269  
  1,214,666    

Repligen Corp.*

    96,553,800  
  99,972    

Sage Therapeutics, Inc.*

    13,561,202  
  1,340,610    

Seattle Genetics, Inc.*

    143,981,514  
   

 

 

 
    1,203,878,339  
 

 

 

 
      Real Estate - 2.1%  
  2,406,674    

Douglas Emmett, Inc. REIT

    104,257,118  
  3,365,496    

Equity Commonwealth REIT

    108,301,661  
  4,514,452    

Redfin Corp.*(1)

    78,506,320  
   

 

 

 
    291,065,099  
 

 

 

 
      Retailing - 2.2%  
  1,477,508    

CarMax, Inc.*

    137,659,420  
  1,513,479    

Etsy, Inc.*

    67,334,681  
  1,244,406    

GrubHub, Inc.*(1)

    42,384,468  
  803,742    

Wayfair, Inc. Class A*(1)

    66,091,705  
   

 

 

 
    313,470,274  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 3.4%  
  1,666,284    

MKS Instruments, Inc.

    180,325,254  
  998,678    

Monolithic Power Systems, Inc.

    149,721,806  
  1,367,670    

Silicon Laboratories, Inc.*

    145,301,261  
   

 

 

 
    475,348,321  
 

 

 

 
      Software & Services - 16.3%  
  1,557,394    

Akamai Technologies, Inc.*

    134,714,581  
  938,767    

Aspen Technology, Inc.*

    108,061,469  
  2,744,548    

Black Knight, Inc.*

    176,199,982  
  2,104,468    

Blackbaud, Inc.

    176,670,089  
  708,218    

EPAM Systems, Inc.*

    124,618,039  
  582,810    

Fair Isaac Corp.*

    177,197,552  
  8,811,130    

Genpact Ltd.

    345,131,962  
  1,651,774    

Guidewire Software, Inc.*

    186,221,001  
  1,689,969    

PTC, Inc.*

    113,075,826  
  1,051,494    

Q2 Holdings, Inc.*

    75,171,306  
  5,770,022    

Teradata Corp.*

    172,696,758  
  872,192    

VeriSign, Inc.*

    165,733,924  
  1,675,250    

WEX, Inc.*

    316,923,795  
   

 

 

 
    2,272,416,284  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  61  

 


The Hartford MidCap Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 100.0% - (continued)  
      Technology Hardware & Equipment - 7.8%  
  1,103,373    

CDW Corp.

  $ 141,132,440  
  889,101    

Coherent, Inc.*

    132,404,921  
  6,694,507    

CommScope Holding Co., Inc.*

    74,978,478  
  1,208,789    

F5 Networks, Inc.*

    174,162,319  
  4,600,939    

II-VI, Inc.*

    152,521,128  
  1,083,658    

Keysight Technologies, Inc.*

    109,351,929  
  2,491,139    

Lumentum Holdings, Inc.*

    156,094,770  
  3,372,823    

National Instruments Corp.

    139,601,144  
   

 

 

 
    1,080,247,129  
 

 

 

 
      Transportation - 1.9%  
  343,767    

AMERCO

    139,239,386  
  1,137,013    

Genesee & Wyoming, Inc. Class A*

    126,242,553  
   

 

 

 
    265,481,939  
 

 

 

 
      Utilities - 2.5%  
  1,034,276    

Black Hills Corp.

    81,531,977  
  2,073,105    

NiSource, Inc.

    58,129,864  
  4,259,581    

UGI Corp.

    203,054,227  
   

 

 

 
    342,716,068  
 

 

 

 
 

Total Common Stocks
(cost $11,330,605,067)

  $ 13,913,791,851  
   

 

 

 
SHORT-TERM INVESTMENTS - 1.2%  
      Other Investment Pools & Funds - 0.0%  
  4,322,079    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(2)

  $ 4,322,079  
   

 

 

 
      Securities Lending Collateral - 1.2%  
  8,203,282    

Citibank NA DDCA, 1.80%, 11/1/2019(2)

    8,203,282  
  115,093,489    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(2)

    115,093,489  
  1,846,290    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(2)

    1,846,290  
  15,266,822    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(2)

    15,266,822  
  22,180,798    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(2)

    22,180,798  
  1,474,950    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(2)

    1,474,950  
   

 

 

 
    164,065,631  
 

 

 

 
 

Total Short-Term Investments
(cost $168,387,710)

  $ 168,387,710  
   

 

 

 
 

Total Investments
(cost $11,498,992,777)

    101.2    $     14,082,179,561  
 

Other Assets and Liabilities

    (1.2 )%       (170,713,778
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 13,911,465,783  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  62  

 


The Hartford MidCap Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Banks

   $ 757,326,420      $ 757,326,420      $     —      $     —  

Capital Goods

     1,354,282,574        1,354,282,574                

Commercial & Professional Services

     873,990,835        873,990,835                

Consumer Durables & Apparel

     856,680,146        856,680,146                

Consumer Services

     426,182,420        426,182,420                

Diversified Financials

     388,794,451        388,794,451                

Energy

     95,390,914        95,390,914                

Health Care Equipment & Services

     1,431,862,855        1,431,862,855                

Insurance

     714,704,335        714,704,335                

Materials

     418,175,887        418,175,887                

Media & Entertainment

     351,777,561        351,777,561                

Pharmaceuticals, Biotechnology & Life Sciences

     1,203,878,339        1,203,878,339                

Real Estate

     291,065,099        291,065,099                

Retailing

     313,470,274        313,470,274                

Semiconductors & Semiconductor Equipment

     475,348,321        475,348,321                

Software & Services

     2,272,416,284        2,272,416,284                

Technology Hardware & Equipment

     1,080,247,129        1,080,247,129                

Transportation

     265,481,939        265,481,939                

Utilities

     342,716,068        342,716,068                

Short-Term Investments

     168,387,710        168,387,710                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     14,082,179,561      $     14,082,179,561      $      $  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  63  

 


The Hartford MidCap Value Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.9%  
      Banks - 9.3%  
  138,056    

Comerica, Inc.

  $ 9,031,623  
  91,094    

IBERIABANK Corp.

    6,685,389  
  71,305    

M&T Bank Corp.

    11,161,372  
  432,964    

Sterling Bancorp

    8,507,742  
  242,120    

Synovus Financial Corp.

    8,200,604  
  178,178    

Western Alliance Bancorp

    8,789,521  
  280,668    

Zions Bancorp NA

    13,603,978  
   

 

 

 
    65,980,229  
 

 

 

 
      Capital Goods - 9.8%  
  94,771    

EnerSys

    6,336,389  
  197,494    

Fortune Brands Home & Security, Inc.

    11,859,515  
  292,342    

Gardner Denver Holdings, Inc.*

    9,305,246  
  19,677    

Hubbell, Inc.

    2,788,231  
  305,621    

JELD-WEN Holding, Inc.*

    5,223,063  
  61,229    

L3Harris Technologies, Inc.

    12,632,155  
  87,368    

Moog, Inc. Class A

    7,313,575  
  123,748    

Sensata Technologies Holding plc*

    6,334,660  
  104,651    

Wabtec Corp.

    7,259,640  
   

 

 

 
    69,052,474  
 

 

 

 
      Commercial & Professional Services - 1.4%  
  122,853    

Clean Harbors, Inc.*

    10,130,458  
   

 

 

 
      Consumer Durables & Apparel - 3.0%  
  189,656    

Lennar Corp. Class A

    11,303,497  
  239,959    

Steven Madden Ltd.

    9,881,512  
   

 

 

 
    21,185,009  
 

 

 

 
      Consumer Services - 0.8%  
  114,587    

Norwegian Cruise Line Holdings Ltd.*

    5,816,436  
   

 

 

 
      Diversified Financials - 1.1%  
  926,046    

SLM Corp.

    7,815,828  
   

 

 

 
      Energy - 5.7%  
  200,681    

Delek U.S. Holdings, Inc.

    8,017,206  
  134,934    

Diamondback Energy, Inc.

    11,571,940  
  1,415,292    

Encana Corp.

    5,562,097  
  545,683    

Noble Energy, Inc.

    10,509,855  
  192,286    

Viper Energy Partners L.P.

    4,628,324  
   

 

 

 
    40,289,422  
 

 

 

 
      Food & Staples Retailing - 1.4%  
  245,262    

US Foods Holding Corp.*

    9,729,544  
   

 

 

 
      Food, Beverage & Tobacco - 0.9%  
  60,004    

Post Holdings, Inc.*

    6,174,412  
   

 

 

 
      Health Care Equipment & Services - 6.9%  
  163,409    

Acadia Healthcare Co., Inc.*

    4,900,636  
  201,580    

Centene Corp.*

    10,699,866  
  156,967    

Encompass Health Corp.

    10,049,027  
  91,960    

Hill-Rom Holdings, Inc.

    9,627,292  
  21,571    

STERIS plc

    3,053,807  
  76,928    

Zimmer Biomet Holdings, Inc.

    10,633,758  
   

 

 

 
    48,964,386  
 

 

 

 
      Insurance - 9.8%  
  122,157    

Arthur J Gallagher & Co.

    11,143,162  
  92,263    

Assurant, Inc.

    11,631,596  
  555,038    

CNO Financial Group, Inc.

    8,686,345  
  75,484    

Hanover Insurance Group, Inc.

    9,941,998  
  110,672    

Kemper Corp.

    7,955,103  
  793,195    

Lancashire Holdings Ltd.

    7,324,539  
  74,958    

Reinsurance Group of America, Inc.

    12,178,426  
   

 

 

 
    68,861,169  
 

 

 

 
      Materials - 9.3%  
  218,313    

Buzzi Unicem S.p.A.

    5,267,591  
  163,917    

Cabot Corp.

    7,145,142  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.9% - (continued)  
      Materials - 9.3% - (continued)  
  142,122    

Carpenter Technology Corp.

  $ 6,966,820  
  115,250    

Celanese Corp.

    13,962,538  
  129,554    

Crown Holdings, Inc.*

    9,436,713  
  149,336    

FMC Corp.

    13,664,244  
  81,351    

Reliance Steel & Aluminum Co.

    9,439,970  
   

 

 

 
    65,883,018  
 

 

 

 
      Media & Entertainment - 2.9%  
  231,941    

Cinemark Holdings, Inc.

    8,489,040  
  73,044    

Electronic Arts, Inc.*

    7,041,442  
  346,499    

TEGNA, Inc.

    5,207,880  
   

 

 

 
    20,738,362  
 

 

 

 
      Real Estate - 12.8%  
  67,395    

Boston Properties, Inc. REIT

    9,246,594  
  382,149    

Brixmor Property Group, Inc. REIT

    8,414,921  
  321,008    

Corporate Office Properties Trust REIT

    9,514,677  
  61,384    

Equity LifeStyle Properties, Inc. REIT

    4,293,197  
  199,563    

First Industrial Realty Trust, Inc. REIT

    8,403,598  
  246,087    

Gaming and Leisure Properties, Inc. REIT

    9,932,071  
  237,157    

Highwoods Properties, Inc. REIT

    11,098,948  
  85,901    

Life Storage, Inc. REIT

    9,356,337  
  178,701    

Park Hotels & Resorts, Inc. REIT

    4,154,798  
  414,849    

Physicians Realty Trust REIT

    7,745,231  
  194,528    

STORE Capital Corp. REIT

    7,878,384  
   

 

 

 
    90,038,756  
 

 

 

 
      Retailing - 1.3%  
  65,168    

Expedia Group, Inc.

    8,905,859  
   

 

 

 
      Semiconductors & Semiconductor Equipment - 4.0%  
  39,750    

KLA Corp.

    6,719,340  
  30,584    

Lam Research Corp.

    8,289,488  
  78,222    

MKS Instruments, Inc.

    8,465,185  
  111,407    

Silicon Motion Technology Corp. ADR

    4,684,664  
   

 

 

 
    28,158,677  
 

 

 

 
      Software & Services - 3.2%  
  127,729    

Amdocs Ltd.

    8,327,931  
  97,804    

Leidos Holdings, Inc.

    8,433,639  
  105,934    

SS&C Technologies Holdings, Inc.

    5,509,627  
   

 

 

 
    22,271,197  
 

 

 

 
      Technology Hardware & Equipment - 4.1%  
  64,664    

Arrow Electronics, Inc.*

    5,126,562  
  46,963    

Coherent, Inc.*

    6,993,730  
  91,918    

Itron, Inc.*

    7,009,666  
  156,609    

Lumentum Holdings, Inc.*

    9,813,120  
   

 

 

 
    28,943,078  
 

 

 

 
      Telecommunication Services - 1.0%  
  151,966    

Millicom International Cellular S.A.

    6,927,845  
   

 

 

 
      Transportation - 0.9%  
  319,577    

JetBlue Airways Corp.*

    6,167,836  
   

 

 

 
      Utilities - 6.3%  
  215,672    

Alliant Energy Corp.

    11,503,944  
  102,586    

Evergy, Inc.

    6,556,271  
  82,662    

Sempra Energy

    11,945,486  
  308,347    

UGI Corp.

    14,698,902  
   

 

 

 
    44,704,603  
 

 

 

 
 

Total Common Stocks
(cost $608,040,618)

  $ 676,738,598  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  64  

 


The Hartford MidCap Value Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 3.9%      
      Other Investment Pools & Funds - 3.9%  
  27,783,430    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(1)

  $ 27,783,430  
   

 

 

 
 

Total Short-Term Investments
(cost $27,783,430)

  $ 27,783,430  
   

 

 

 
 

Total Investments
(cost $635,824,048)

    99.8    $     704,522,028  
 

Other Assets and Liabilities

    0.2      1,238,109  
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 705,760,137  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Banks

   $ 65,980,229      $ 65,980,229      $      $  

Capital Goods

     69,052,474        69,052,474                

Commercial & Professional Services

     10,130,458        10,130,458                

Consumer Durables & Apparel

     21,185,009        21,185,009                

Consumer Services

     5,816,436        5,816,436                

Diversified Financials

     7,815,828        7,815,828                

Energy

     40,289,422        40,289,422                

Food & Staples Retailing

     9,729,544        9,729,544                

Food, Beverage & Tobacco

     6,174,412        6,174,412                

Health Care Equipment & Services

     48,964,386        48,964,386                

Insurance

     68,861,169        61,536,630        7,324,539         

Materials

     65,883,018        60,615,427        5,267,591         

Media & Entertainment

     20,738,362        20,738,362                

Real Estate

     90,038,756        90,038,756                

Retailing

     8,905,859        8,905,859                

Semiconductors & Semiconductor Equipment

     28,158,677        28,158,677                

Software & Services

     22,271,197        22,271,197                

Technology Hardware & Equipment

     28,943,078        28,943,078                

Telecommunication Services

     6,927,845               6,927,845         

Transportation

     6,167,836        6,167,836                

Utilities

     44,704,603        44,704,603                

Short-Term Investments

     27,783,430        27,783,430                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     704,522,028      $     685,002,053      $     19,519,975      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  65  

 


Hartford Quality Value Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.8%  
      Banks - 14.8%  
  284,017    

Bank of America Corp.

  $ 8,881,212  
  35,864    

Bank of Nova Scotia

    2,056,083  
  66,992    

Citigroup, Inc.

    4,814,045  
  79,369    

JP Morgan Chase & Co.

    9,914,775  
  12,961    

M&T Bank Corp.

    2,028,785  
  21,035    

PNC Financial Services Group, Inc.

    3,085,835  
   

 

 

 
    30,780,735  
 

 

 

 
      Capital Goods - 9.1%  
  17,413    

Deere & Co.

    3,032,300  
  37,418    

Eaton Corp. plc

    3,259,482  
  5,015    

General Dynamics Corp.

    886,652  
  17,508    

Honeywell International, Inc.

    3,024,157  
  58,994    

Johnson Controls International plc

    2,556,210  
  5,833    

Lockheed Martin Corp.

    2,197,174  
  27,471    

United Technologies Corp.

    3,944,286  
   

 

 

 
    18,900,261  
 

 

 

 
      Commercial & Professional Services - 0.8%  
  14,385    

Waste Management, Inc.

    1,614,141  
   

 

 

 
      Energy - 8.4%  
  42,231    

Chevron Corp.

    4,904,708  
  26,833    

EOG Resources, Inc.

    1,859,795  
  53,590    

Exxon Mobil Corp.

    3,621,076  
  89,682    

Halliburton Co.

    1,726,379  
  19,077    

Marathon Petroleum Corp.

    1,219,974  
  66,089    

Suncor Energy, Inc.

    1,962,182  
  42,969    

Total S.A. ADR

    2,261,459  
   

 

 

 
    17,555,573  
 

 

 

 
      Food & Staples Retailing - 1.2%  
  99,368    

Kroger Co.

    2,448,428  
   

 

 

 
      Food, Beverage & Tobacco - 7.3%  
  50,901    

Altria Group, Inc.

    2,279,856  
  44,326    

General Mills, Inc.

    2,254,420  
  37,265    

Kellogg Co.

    2,367,446  
  39,376    

Mondelez International, Inc. Class A

    2,065,271  
  21,933    

Nestle S.A. ADR

    2,350,340  
  47,184    

Philip Morris International, Inc.

    3,842,665  
   

 

 

 
    15,159,998  
 

 

 

 
      Health Care Equipment & Services - 5.8%  
  20,055    

Hill-Rom Holdings, Inc.

    2,099,558  
  43,330    

Koninklijke Philips N.V. ADR

    1,902,187  
  44,883    

Medtronic plc

    4,887,759  
  12,749    

UnitedHealth Group, Inc.

    3,221,672  
   

 

 

 
    12,111,176  
 

 

 

 
      Insurance - 7.1%  
  55,892    

American International Group, Inc.

    2,960,040  
  23,968    

Chubb Ltd.

    3,653,203  
  28,733    

Marsh & McLennan Cos., Inc.

    2,977,313  
  44,036    

Principal Financial Group, Inc.

    2,350,642  
  30,632    

Prudential Financial, Inc.

    2,791,801  
   

 

 

 
    14,732,999  
 

 

 

 
      Materials - 2.9%  
  8,508    

Celanese Corp.

    1,030,744  
  25,552    

FMC Corp.

    2,338,008  
  21,483    

PPG Industries, Inc.

    2,687,953  
   

 

 

 
    6,056,705  
 

 

 

 
      Media & Entertainment - 2.2%  
  102,589    

Comcast Corp. Class A

    4,598,039  
   

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 7.5%  
  7,170    

Allergan plc

    1,262,709  
  68,925    

AstraZeneca plc ADR

    3,379,393  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.8% - (continued)  
      Pharmaceuticals, Biotechnology & Life Sciences - 7.5% - (continued)  
  43,924    

Merck & Co., Inc.

  $ 3,806,454  
  24,669    

Novartis AG ADR

    2,157,057  
  134,092    

Pfizer, Inc.

    5,145,110  
   

 

 

 
    15,750,723  
 

 

 

 
      Real Estate - 3.7%  
  9,472    

American Tower Corp. REIT

    2,065,654  
  64,417    

Corporate Office Properties Trust REIT

    1,909,320  
  101,352    

Host Hotels & Resorts, Inc. REIT

    1,661,159  
  9,049    

Public Storage REIT

    2,016,660  
   

 

 

 
    7,652,793  
 

 

 

 
      Retailing - 4.5%  
  571,800    

Allstar Co.(1)(2)(3)

    131,514  
  21,561    

Expedia Group, Inc.

    2,946,526  
  30,656    

Lowe’s Cos., Inc.

    3,421,516  
  27,207    

Target Corp.

    2,908,701  
   

 

 

 
    9,408,257  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 5.3%  
  101,677    

Intel Corp.

    5,747,801  
  17,951    

KLA Corp.

    3,034,437  
  29,724    

QUALCOMM, Inc.

    2,390,998  
   

 

 

 
    11,173,236  
 

 

 

 
      Software & Services - 3.6%  
  12,628    

Accenture plc Class A

    2,341,484  
  21,256    

International Business Machines Corp.

    2,842,565  
  16,347    

Microsoft Corp.

    2,343,669  
   

 

 

 
    7,527,718  
 

 

 

 
      Technology Hardware & Equipment - 2.7%  
  5,609    

Apple, Inc.

    1,395,295  
  43,277    

Cisco Systems, Inc.

    2,056,090  
  13,187    

Motorola Solutions, Inc.

    2,193,262  
   

 

 

 
    5,644,647  
 

 

 

 
      Telecommunication Services - 3.6%  
  123,634    

Verizon Communications, Inc.

    7,476,148  
   

 

 

 
      Transportation - 1.4%  
  19,233    

Delta Air Lines, Inc.

    1,059,354  
  17,033    

United Parcel Service, Inc. Class B

    1,961,690  
   

 

 

 
    3,021,044  
 

 

 

 
      Utilities - 5.9%  
  49,849    

Alliant Energy Corp.

    2,658,946  
  46,127    

Avangrid, Inc.

    2,308,656  
  29,121    

Dominion Energy, Inc.

    2,403,939  
  30,347    

Eversource Energy

    2,541,258  
  50,356    

UGI Corp.

    2,400,470  
   

 

 

 
    12,313,269  
 

 

 

 
 

Total Common Stocks
(cost $182,669,386)

  $ 203,925,890  
   

 

 

 
SHORT-TERM INVESTMENTS - 2.2%  
      Other Investment Pools & Funds - 2.2%  
  4,644,024    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(4)

  $ 4,644,024  
   

 

 

 
 

Total Short-Term Investments
(cost $4,644,024)

  $ 4,644,024  
   

 

 

 
 

Total Investments
(cost $187,313,410)

    100.0    $     208,569,914  
 

Other Assets and Liabilities

    0.0      10,463  
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 208,580,377  
   

 

 

    

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  66  

 


Hartford Quality Value Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Investment valued using significant unobservable inputs.

 

(2) 

This security is valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of this security was $131,514, which represented 0.1% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

(3) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $131,514 or 0.1% of net assets.

 

Period
Acquired
    

Security Name

   Shares/
Par Value
     Base
Total Cost
     Base
Market Value
 
  08/2011      Allstar Co.      571,800      $     248,744      $     131,514  

 

(4) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Banks

   $ 30,780,735      $ 30,780,735      $      $  

Capital Goods

     18,900,261        18,900,261                

Commercial & Professional Services

     1,614,141        1,614,141                

Energy

     17,555,573        17,555,573                

Food & Staples Retailing

     2,448,428        2,448,428                

Food, Beverage & Tobacco

     15,159,998        15,159,998                

Health Care Equipment & Services

     12,111,176        12,111,176                

Insurance

     14,732,999        14,732,999                

Materials

     6,056,705        6,056,705                

Media & Entertainment

     4,598,039        4,598,039                

Pharmaceuticals, Biotechnology & Life Sciences

     15,750,723        15,750,723                

Real Estate

     7,652,793        7,652,793                

Retailing

     9,408,257        9,276,743               131,514  

Semiconductors & Semiconductor Equipment

     11,173,236        11,173,236                

Software & Services

     7,527,718        7,527,718                

Technology Hardware & Equipment

     5,644,647        5,644,647                

Telecommunication Services

     7,476,148        7,476,148                

Transportation

     3,021,044        3,021,044                

Utilities

     12,313,269        12,313,269                

Short-Term Investments

     4,644,024        4,644,024                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     208,569,914      $     208,438,400      $     —      $     131,514  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the period ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  67  

 


The Hartford Small Cap Growth Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.8%  
      Automobiles & Components - 1.2%  
  117,387    

Thor Industries, Inc.

  $ 7,425,902  
  54,717    

Visteon Corp.*

    5,089,775  
   

 

 

 
    12,515,677  
 

 

 

 
      Banks - 4.6%  
  186,714    

First Busey Corp.

    4,923,648  
  234,885    

First Hawaiian, Inc.

    6,419,407  
  97,792    

IBERIABANK Corp.

    7,176,955  
  714,954    

MGIC Investment Corp.

    9,802,019  
  196,188    

Seacoast Banking Corp. of Florida*

    5,493,264  
  392,356    

Sterling Bancorp

    7,709,796  
  178,436    

Triumph Bancorp, Inc.*

    5,790,248  
   

 

 

 
    47,315,337  
 

 

 

 
      Capital Goods - 12.9%  
  218,439    

Aerojet Rocketdyne Holdings, Inc.*

    9,443,118  
  226,981    

Altra Industrial Motion Corp.

    6,991,015  
  61,507    

American Woodmark Corp.*

    6,099,034  
  156,218    

Applied Industrial Technologies, Inc.

    9,348,085  
  58,268    

Armstrong World Industries, Inc.

    5,449,806  
  96,105    

Axon Enterprise, Inc.*

    4,913,849  
  120,544    

AZZ, Inc.

    4,675,902  
  63,868    

Curtiss-Wright Corp.

    8,638,147  
  109,763    

EnerSys

    7,338,754  
  118,272    

Generac Holdings, Inc.*

    11,422,710  
  156,779    

ITT, Inc.

    9,320,511  
  73,797    

JELD-WEN Holding, Inc.*

    1,261,191  
  112,281    

John Bean Technologies Corp.

    11,539,118  
  84,800    

Mercury Systems, Inc.*

    6,246,368  
  155,455    

Patrick Industries, Inc.*

    7,681,032  
  247,419    

Rexnord Corp.*

    6,999,483  
  163,666    

SPX Corp.*

    7,453,350  
  135,523    

SPX FLOW, Inc.*

    6,136,481  
   

 

 

 
    130,957,954  
 

 

 

 
      Commercial & Professional Services - 5.3%  
  177,669    

ASGN, Inc.*

    11,297,972  
  109,003    

Clean Harbors, Inc.*

    8,988,387  
  150,352    

Exponent, Inc.

    9,551,863  
  78,327    

Huron Consulting Group, Inc.*

    5,180,548  
  86,691    

Insperity, Inc.

    9,157,170  
  77,005    

MSA Safety, Inc.

    9,245,990  
   

 

 

 
    53,421,930  
 

 

 

 
      Consumer Durables & Apparel - 6.6%  
  552,951    

American Outdoor Brands Corp.*

    3,914,893  
  86,661    

Carter’s, Inc.

    8,686,899  
  121,278    

Oxford Industries, Inc.

    8,351,203  
  318,292    

Steven Madden Ltd.

    13,107,265  
  127,012    

TopBuild Corp.*

    13,200,357  
  407,157    

Wolverine World Wide, Inc.

    12,084,420  
  225,959    

YETI Holdings, Inc.*(1)

    7,526,694  
   

 

 

 
    66,871,731  
 

 

 

 
      Consumer Services - 2.3%  
  81,750    

Dunkin’ Brands Group, Inc.

    6,427,185  
  76,663    

Marriott Vacations Worldwide Corp.

    8,427,563  
  106,223    

Wingstop, Inc.

    8,862,185  
   

 

 

 
    23,716,933  
 

 

 

 
      Diversified Financials - 2.4%  
  224,909    

Blucora, Inc.*

    4,864,781  
  92,931    

Evercore, Inc. Class A

    6,843,439  
  151,064    

OneMain Holdings, Inc.

    6,042,560  
  824,525    

SLM Corp.

    6,958,991  
   

 

 

 
    24,709,771  
 

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.8% - (continued)  
      Energy - 0.7%  
  738,756    

Kosmos Energy Ltd.

  $ 4,580,287  
  119,510    

PDC Energy, Inc.*

    2,384,225  
   

 

 

 
    6,964,512  
 

 

 

 
      Food & Staples Retailing - 1.5%  
  23,948    

Casey’s General Stores, Inc.

    4,090,558  
  266,966    

Performance Food Group Co.*

    11,375,421  
   

 

 

 
    15,465,979  
 

 

 

 
      Food, Beverage & Tobacco - 2.2%  
  170,782    

B&G Foods, Inc.(1)

    2,655,660  
  136,600    

Freshpet, Inc.*

    7,138,716  
  580,535    

Hostess Brands, Inc.*

    7,419,237  
  47,654    

Post Holdings, Inc.*

    4,903,597  
   

 

 

 
    22,117,210  
 

 

 

 
      Health Care Equipment & Services - 12.9%  
  56,655    

Addus HomeCare Corp.*

    4,770,918  
  209,493    

AtriCure, Inc.*

    5,570,419  
  138,160    

Cardiovascular Systems, Inc.*

    6,150,883  
  213,593    

Globus Medical, Inc. Class A*

    11,185,865  
  92,228    

Haemonetics Corp.*

    11,134,686  
  308,468    

HMS Holdings Corp.*

    10,083,819  
  12,776    

ICU Medical, Inc.*

    2,064,729  
  48,803    

Insulet Corp.*

    7,092,052  
  102,747    

Integer Holdings Corp.*

    7,956,728  
  139,948    

Integra LifeSciences Holdings Corp.*

    8,125,381  
  46,741    

iRhythm Technologies, Inc.*

    3,123,234  
  68,170    

LHC Group, Inc.*

    7,564,825  
  13,600    

NuVasive, Inc.*

    959,344  
  168,517    

Omnicell, Inc.*

    11,861,912  
  315,174    

OraSure Technologies, Inc.*

    2,691,586  
  66,023    

Providence Service Corp.*

    4,216,889  
  678,376    

R1 RCM, Inc.*

    7,211,137  
  102,421    

Tandem Diabetes Care, Inc.*

    6,307,085  
  100,937    

Teladoc Health, Inc.*(1)

    7,731,774  
  34,199    

U.S. Physical Therapy, Inc.

    4,838,132  
   

 

 

 
    130,641,398  
 

 

 

 
      Household & Personal Products - 0.3%  
  153,265    

BellRing Brands, Inc. Class A*

    2,677,539  
   

 

 

 
      Insurance - 0.7%  
  206,094    

James River Group Holdings Ltd.

    7,380,226  
   

 

 

 
      Materials - 3.7%  
  181,221    

Boise Cascade Co.

    6,482,275  
  498,414    

Graphic Packaging Holding Co.

    7,805,163  
  95,319    

Ingevity Corp.*

    8,026,813  
  532,852    

Livent Corp.*

    3,655,365  
  189,607    

Louisiana-Pacific Corp.

    5,542,213  
  205,205    

PolyOne Corp.

    6,576,820  
   

 

 

 
    38,088,649  
 

 

 

 
      Media & Entertainment - 0.8%  
  103,596    

Cardlytics, Inc.*

    4,341,708  
  126,284    

Cargurus, Inc.*

    4,241,880  
   

 

 

 
    8,583,588  
 

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 15.2%  
  198,981    

Abeona Therapeutics, Inc.*(1)

    471,585  
  101,009    

ACADIA Pharmaceuticals, Inc.*

    4,283,792  
  126,629    

Aerie Pharmaceuticals, Inc.*

    2,809,898  
  53,489    

Agios Pharmaceuticals, Inc.*(1)

    1,608,949  
  145,448    

Aimmune Therapeutics, Inc.*

    4,046,363  
  56,969    

Allakos, Inc.*(1)

    3,908,073  
  237,342    

Apellis Pharmaceuticals, Inc.*

    6,975,481  
  156,604    

Arena Pharmaceuticals, Inc.*

    7,628,964  
  134,773    

Audentes Therapeutics, Inc.*

    3,625,394  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  68  

 


The Hartford Small Cap Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.8% - (continued)  
      Pharmaceuticals, Biotechnology & Life Sciences - 15.2% - (continued)  
  103,673    

Biohaven Pharmaceutical Holding Co., Ltd.*

  $ 4,760,664  
  116,476    

Blueprint Medicines Corp.*

    8,018,208  
  97,160    

Catalent, Inc.*

    4,726,834  
  109,315    

G1 Therapeutics, Inc.*

    2,319,664  
  91,013    

Global Blood Therapeutics, Inc.*

    4,364,073  
  294,698    

Heron Therapeutics, Inc.*

    6,262,332  
  165,525    

Intersect ENT, Inc.*

    2,949,656  
  247,864    

Iovance Biotherapeutics, Inc.*

    5,237,366  
  103,800    

Karyopharm Therapeutics, Inc.*

    1,214,460  
  149,400    

Kodiak Sciences, Inc.*

    3,094,074  
  37,465    

Ligand Pharmaceuticals, Inc.*

    4,076,567  
  27,091    

Madrigal Pharmaceuticals, Inc.*

    2,504,021  
  45,725    

Mirati Therapeutics, Inc.*

    4,306,381  
  130,883    

MyoKardia, Inc.*

    7,503,522  
  163,148    

NanoString Technologies, Inc.*

    3,687,145  
  136,032    

Portola Pharmaceuticals, Inc.*

    3,932,685  
  98,211    

Principia Biopharma, Inc.*

    3,467,830  
  153,965    

Radius Health, Inc.*

    4,378,765  
  46,431    

Reata Pharmaceuticals, Inc. Class A*

    9,568,500  
  86,889    

REGENXBIO, Inc.*

    3,101,068  
  44,057    

Repligen Corp.*

    3,502,091  
  228,667    

Revance Therapeutics, Inc.*

    3,580,925  
  146,596    

Rhythm Pharmaceuticals, Inc.*

    3,125,427  
  31,492    

Spark Therapeutics, Inc.*

    3,437,982  
  120,517    

Syneos Health, Inc.*

    6,043,928  
  108,480    

Theravance Biopharma, Inc.*

    1,748,698  
  128,272    

Ultragenyx Pharmaceutical, Inc.*

    5,148,838  
  87,630    

Y-mAbs Therapeutics, Inc.*

    2,729,675  
   

 

 

 
    154,149,878  
 

 

 

 
      Real Estate - 3.4%  
  259,529    

Columbia Property Trust, Inc. REIT

    5,325,535  
  53,383    

Coresite Realty Corp. REIT

    6,272,502  
  197,789    

Corporate Office Properties Trust REIT

    5,862,466  
  129,339    

Independence Realty Trust, Inc. REIT

    1,991,821  
  208,664    

Pebblebrook Hotel Trust REIT

    5,364,751  
  52,581    

PS Business Parks, Inc. REIT

    9,493,500  
   

 

 

 
    34,310,575  
 

 

 

 
      Retailing - 3.9%  
  287,388    

American Eagle Outfitters, Inc.

    4,420,028  
  374,741    

Caleres, Inc.

    8,064,426  
  106,709    

Core-Mark Holding Co., Inc.

    3,256,759  
  147,866    

Floor & Decor Holdings, Inc. Class A*

    6,776,699  
  149,526    

Foot Locker, Inc.

    6,505,876  
  142,433    

Nordstrom, Inc.(1)

    5,113,345  
  177,922    

Urban Outfitters, Inc.*

    5,106,361  
   

 

 

 
    39,243,494  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 2.7%  
  362,344    

Cohu, Inc.

    6,022,157  
  242,359    

Entegris, Inc.

    11,633,232  
  442,562    

FormFactor, Inc.*

    9,661,129  
   

 

 

 
    27,316,518  
 

 

 

 
      Software & Services - 11.0%  
  221,136    

8x8, Inc.*

    4,272,347  
  132,563    

Blackbaud, Inc.

    11,128,664  
  42,176    

CACI International, Inc. Class A*

    9,436,880  
  99,512    

Everbridge, Inc.*

    6,917,079  
  211,754    

Five9, Inc.*

    11,754,465  
  209,456    

ForeScout Technologies, Inc.*

    6,442,867  
  104,278    

Instructure, Inc.*

    4,872,911  
  102,453    

LiveRamp Holdings, Inc.*

    4,004,888  
  71,105    

Paylocity Holding Corp.*

    7,295,373  
  90,393    

Pegasystems, Inc.

    6,798,457  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.8% - (continued)  
      Software & Services - 11.0% - (continued)  
  103,085    

PROS Holdings, Inc.*

  $ 5,282,075  
  72,773    

Q2 Holdings, Inc.*

    5,202,542  
  111,392    

Rapid7, Inc.*

    5,579,625  
  146,749    

SailPoint Technologies Holding, Inc.*

    2,841,061  
  163,515    

Science Applications International Corp.

    13,509,609  
  340,322    

SVMK, Inc.*

    6,261,925  
   

 

 

 
    111,600,768  
 

 

 

 
      Technology Hardware & Equipment - 3.4%  
  209,998    

CTS Corp.

    5,602,747  
  137,229    

Itron, Inc.*

    10,465,084  
  121,578    

Lumentum Holdings, Inc.*

    7,618,077  
  282,278    

Pure Storage, Inc. Class A*

    5,493,130  
  43,248    

Rogers Corp.*

    5,859,239  
   

 

 

 
    35,038,277  
 

 

 

 
      Telecommunication Services - 0.2%  
  519,375    

ORBCOMM, Inc.*

    2,082,694  
   

 

 

 
      Transportation - 0.9%  
  42,020    

Genesee & Wyoming, Inc. Class A*

    4,665,480  
  206,057    

Marten Transport Ltd.

    4,463,195  
   

 

 

 
    9,128,675  
 

 

 

 
 

Total Common Stocks
(cost $881,565,754)

  $ 1,004,299,313  
   

 

 

 
SHORT-TERM INVESTMENTS - 3.8%  
      Other Investment Pools & Funds - 1.6%  
  16,153,282    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(2)

  $ 16,153,282  
   

 

 

 
      Securities Lending Collateral - 2.2%  
  1,120,426    

Citibank NA DDCA, 1.80%, 11/1/2019(2)

    1,120,426  
  15,719,775    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(2)

    15,719,775  
  252,171    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(2)

    252,171  
  2,085,183    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(2)

    2,085,183  
  3,029,513    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(2)

    3,029,513  
  201,453    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(2)

    201,453  
   

 

 

 
    22,408,521  
 

 

 

 
 

Total Short-Term Investments
(cost $38,561,803)

  $ 38,561,803  
   

 

 

 
 

Total Investments
(cost $920,127,557)

    102.6    $ 1,042,861,116  
 

Other Assets and Liabilities

    (2.6 )%       (26,727,632
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     1,016,133,484  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  69  

 


The Hartford Small Cap Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 12,515,677      $ 12,515,677      $      $  

Banks

     47,315,337        47,315,337                

Capital Goods

     130,957,954        130,957,954                

Commercial & Professional Services

     53,421,930        53,421,930                

Consumer Durables & Apparel

     66,871,731        66,871,731                

Consumer Services

     23,716,933        23,716,933                

Diversified Financials

     24,709,771        24,709,771                

Energy

     6,964,512        6,964,512                

Food & Staples Retailing

     15,465,979        15,465,979                

Food, Beverage & Tobacco

     22,117,210        22,117,210                

Health Care Equipment & Services

     130,641,398        130,641,398                

Household & Personal Products

     2,677,539        2,677,539                

Insurance

     7,380,226        7,380,226                

Materials

     38,088,649        38,088,649                

Media & Entertainment

     8,583,588        8,583,588                

Pharmaceuticals, Biotechnology & Life Sciences

     154,149,878        154,149,878                

Real Estate

     34,310,575        34,310,575                

Retailing

     39,243,494        39,243,494                

Semiconductors & Semiconductor Equipment

     27,316,518        27,316,518                

Software & Services

     111,600,768        111,600,768                

Technology Hardware & Equipment

     35,038,277        35,038,277                

Telecommunication Services

     2,082,694        2,082,694                

Transportation

     9,128,675        9,128,675                

Short-Term Investments

     38,561,803        38,561,803                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     1,042,861,116      $     1,042,861,116      $     —      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  70  

 


Hartford Small Cap Value Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.4%  
      Automobiles & Components - 1.5%  
  56,356    

Cooper Tire & Rubber Co.

  $ 1,591,493  
   

 

 

 
      Banks - 18.9%  
  64,391    

Bank OZK

    1,806,811  
  110,588    

Cadence Bancorp

    1,700,843  
  43,839    

First Interstate BancSystem, Inc. Class A

    1,839,484  
  122,438    

FNB Corp.

    1,476,602  
  58,258    

Great Western Bancorp, Inc.

    2,031,457  
  75,069    

Hilltop Holdings, Inc.

    1,753,612  
  87,432    

Opus Bank

    2,167,439  
  104,829    

Radian Group, Inc.

    2,631,208  
  92,683    

Umpqua Holdings Corp.

    1,466,245  
  103,155    

United Financial Bancorp, Inc.

    1,456,549  
  59,814    

Univest Financial Corp.

    1,540,211  
   

 

 

 
    19,870,461  
 

 

 

 
      Capital Goods - 11.6%  
  36,610    

Argan, Inc.

    1,385,689  
  14,692    

EnerSys

    982,307  
  73,161    

JELD-WEN Holding, Inc.*

    1,250,321  
  60,437    

Kennametal, Inc.

    1,870,525  
  20,804    

Moog, Inc. Class A

    1,741,503  
  66,425    

nVent Electric plc

    1,531,761  
  141,966    

REV Group, Inc.

    1,766,057  
  78,804    

Triumph Group, Inc.

    1,636,759  
   

 

 

 
    12,164,922  
 

 

 

 
      Commercial & Professional Services - 9.1%  
  90,763    

BrightView Holdings, Inc.*

    1,615,581  
  41,313    

Deluxe Corp.

    2,141,253  
  43,553    

Kforce, Inc.

    1,781,753  
  81,946    

Knoll, Inc.

    2,191,236  
  24,316    

McGrath Rent Corp.

    1,855,554  
   

 

 

 
    9,585,377  
 

 

 

 
      Consumer Durables & Apparel - 3.6%  
  56,786    

Kontoor Brands, Inc.

    2,157,868  
  35,754    

Sturm Ruger & Co., Inc.

    1,636,103  
   

 

 

 
    3,793,971  
 

 

 

 
      Consumer Services - 3.1%  
  35,117    

Adtalem Global Education, Inc.*

    1,045,784  
  83,855    

Carriage Services, Inc.

    2,160,105  
   

 

 

 
    3,205,889  
 

 

 

 
      Diversified Financials - 5.1%  
  100,703    

Greenhill & Co., Inc.

    1,631,389  
  133,578    

Navient Corp.

    1,839,369  
  56,710    

PRA Group, Inc.*

    1,924,170  
   

 

 

 
    5,394,928  
 

 

 

 
      Food, Beverage & Tobacco - 1.5%  
  127,038    

Hostess Brands, Inc.*

    1,623,546  
   

 

 

 
      Health Care Equipment & Services - 1.6%  
  50,747    

Natus Medical, Inc.*

    1,709,159  
   

 

 

 
      Household & Personal Products - 3.9%  
  66,754    

Edgewell Personal Care Co.*

    2,336,390  
  40,013    

Energizer Holdings, Inc.(1)

    1,700,152  
   

 

 

 
    4,036,542  
 

 

 

 
      Insurance - 4.7%  
  200,297    

Lancashire Holdings Ltd.

    1,849,587  
  179,088    

MBIA, Inc.*(1)

    1,663,728  
  146,339    

Third Point Reinsurance Ltd.*

    1,388,757  
   

 

 

 
    4,902,072  
 

 

 

 
      Materials - 3.9%  
  33,789    

Compass Minerals International, Inc.

    1,908,403  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.4% - (continued)  
      Materials - 3.9% - (continued)  
  54,078    

Schweitzer-Mauduit International, Inc.

  $ 2,189,618  
   

 

 

 
    4,098,021  
 

 

 

 
      Media & Entertainment - 1.8%  
  123,174    

TEGNA, Inc.

    1,851,305  
   

 

 

 
      Real Estate - 4.9%  
  112,574    

CoreCivic, Inc. REIT

    1,717,879  
  64,664    

Outfront Media, Inc. REIT

    1,701,310  
  65,730    

Pebblebrook Hotel Trust REIT

    1,689,918  
   

 

 

 
    5,109,107  
 

 

 

 
      Retailing - 3.0%  
  19,099    

Children’s Place, Inc.(1)

    1,564,399  
  177,938    

Michaels Cos., Inc.*

    1,553,399  
   

 

 

 
    3,117,798  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 7.1%  
  69,839    

Ichor Holdings Ltd.*

    2,033,013  
  43,102    

Silicon Motion Technology Corp. ADR

    1,812,439  
  81,728    

Tower Semiconductor Ltd.*

    1,792,295  
  88,742    

Xperi Corp.

    1,801,907  
   

 

 

 
    7,439,654  
 

 

 

 
      Software & Services - 7.8%  
  50,218    

Cardtronics plc Class A*

    1,720,469  
  178,263    

Conduent, Inc.*

    1,101,665  
  37,263    

CSG Systems International, Inc.

    2,147,839  
  54,019    

EVERTEC, Inc.

    1,652,441  
  192,539    

TiVo Corp.

    1,567,268  
   

 

 

 
    8,189,682  
 

 

 

 
      Technology Hardware & Equipment - 4.3%  
  199,709    

Avid Technology, Inc.*

    1,349,034  
  29,990    

InterDigital, Inc.

    1,608,364  
  39,444    

Plantronics, Inc.

    1,554,883  
   

 

 

 
    4,512,281  
 

 

 

 
 

Total Common Stocks
(cost $97,009,372)

  $ 102,196,208  
   

 

 

 
EXCHANGE-TRADED FUNDS - 0.6%  
      Other Investment Pools & Funds - 0.6%  
  4,865    

iShares Russell 2000 Value ETF

  $ 595,427  
   

 

 

 
 

Total Exchange-Traded Funds
(cost $590,692)

  $ 595,427  
   

 

 

 
 

Total Long-Term Investments
(cost $97,600,064)

  $ 102,791,635  
   

 

 

 
SHORT-TERM INVESTMENTS - 3.7%  
      Other Investment Pools & Funds - 0.8%  
  795,302    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(2)

  $ 795,302  
   

 

 

 
      Securities Lending Collateral - 2.9%  
  153,819    

Citibank NA DDCA, 1.80%, 11/1/2019(2)

    153,819  
  2,158,104    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(2)

    2,158,104  
  34,620    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(2)

    34,620  
  286,266    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(2)

    286,266  
  415,909    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(2)

    415,909  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  71  

 


Hartford Small Cap Value Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 3.7% - (continued)  
      Securities Lending Collateral - 2.9% - (continued)  
  27,657    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(2)

  $ 27,657  
   

 

 

 
    3,076,375  
 

 

 

 
 

Total Short-Term Investments
(cost $3,871,677)

  $ 3,871,677  
   

 

 

 
 

Total Investments
(cost $101,471,741)

    101.7    $     106,663,312  
 

Other Assets and Liabilities

    (1.7 )%       (1,764,097
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 104,899,215  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 1,591,493      $ 1,591,493      $      $  

Banks

     19,870,461        19,870,461                

Capital Goods

     12,164,922        12,164,922                

Commercial & Professional Services

     9,585,377        9,585,377                

Consumer Durables & Apparel

     3,793,971        3,793,971                

Consumer Services

     3,205,889        3,205,889                

Diversified Financials

     5,394,928        5,394,928                

Food, Beverage & Tobacco

     1,623,546        1,623,546                

Health Care Equipment & Services

     1,709,159        1,709,159                

Household & Personal Products

     4,036,542        4,036,542                

Insurance

     4,902,072        3,052,485        1,849,587         

Materials

     4,098,021        4,098,021                

Media & Entertainment

     1,851,305        1,851,305                

Real Estate

     5,109,107        5,109,107                

Retailing

     3,117,798        3,117,798                

Semiconductors & Semiconductor Equipment

     7,439,654        7,439,654                

Software & Services

     8,189,682        8,189,682                

Technology Hardware & Equipment

     4,512,281        4,512,281                

Exchange-Traded Funds

     595,427        595,427                

Short-Term Investments

     3,871,677        3,871,677                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     106,663,312      $     104,813,725      $     1,849,587      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  72  

 


The Hartford Small Company Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.1%  
      Automobiles & Components - 1.2%  
  25,496    

LCI Industries

  $ 2,476,172  
  101,490    

Winnebago Industries, Inc.

    4,878,624  
   

 

 

 
    7,354,796  
 

 

 

 
      Banks - 4.6%  
  189,189    

Atlantic Union Bankshares Corp.

    6,973,507  
  232,929    

BancorpSouth Bank

    7,143,932  
  375,148    

MGIC Investment Corp.

    5,143,279  
  442,988    

Sterling Bancorp

    8,704,714  
   

 

 

 
    27,965,432  
 

 

 

 
      Capital Goods - 13.9%  
  263,084    

Actuant Corp. Class A

    6,516,591  
  225,252    

Advanced Drainage Systems, Inc.

    8,338,829  
  127,656    

Aerojet Rocketdyne Holdings, Inc.*

    5,518,569  
  160,224    

Argan, Inc.

    6,064,478  
  85,565    

Axon Enterprise, Inc.*

    4,374,939  
  109,656    

Chart Industries, Inc.*

    6,429,131  
  58,810    

Curtiss-Wright Corp.

    7,954,053  
  98,039    

EnerSys

    6,554,888  
  259,252    

ITT, Inc.

    15,412,531  
  528,808    

Rexnord Corp.*

    14,959,978  
  42,287    

Rush Enterprises, Inc. Class A

    1,847,519  
   

 

 

 
    83,971,506  
 

 

 

 
      Commercial & Professional Services - 4.2%  
  77,795    

Brink’s Co.

    6,609,463  
  137,618    

McGrath Rent Corp.

    10,501,630  
  155,819    

TriNet Group, Inc.*

    8,256,849  
   

 

 

 
    25,367,942  
 

 

 

 
      Consumer Durables & Apparel - 9.4%  
  297,737    

Acushnet Holdings Corp.

    8,470,618  
  213,821    

BRP, Inc.

    9,592,805  
  110,758    

Carter’s, Inc.

    11,102,382  
  32,010    

Cavco Industries, Inc.*

    6,134,716  
  27,376    

Century Communities, Inc.*

    825,934  
  308,632    

Skyline Champion Corp.*

    8,712,681  
  327,671    

Under Armour, Inc. Class C*

    6,061,913  
  179,889    

YETI Holdings, Inc.*(1)

    5,992,103  
   

 

 

 
    56,893,152  
 

 

 

 
      Consumer Services - 6.0%  
  149,930    

Cheesecake Factory, Inc.

    6,265,575  
  204,682    

Chegg, Inc.*

    6,275,550  
  580,284    

DraftKings, Inc.(2)(3)(4)

    1,839,500  
  37,075    

Grand Canyon Education, Inc.*

    3,409,417  
  109,699    

Marriott Vacations Worldwide Corp.

    12,059,211  
  103,727    

Planet Fitness, Inc. Class A*

    6,603,261  
   

 

 

 
    36,452,514  
 

 

 

 
      Diversified Financials - 1.2%  
  123,411    

Ares Management Corp. Class A

    3,649,263  
  106,518    

PRA Group, Inc.*

    3,614,156  
   

 

 

 
    7,263,419  
 

 

 

 
      Energy - 0.5%  
  130,372    

Viper Energy Partners L.P.

    3,138,054  
   

 

 

 
      Food & Staples Retailing - 0.7%  
  97,199    

Performance Food Group Co.*

    4,141,649  
   

 

 

 
      Food, Beverage & Tobacco - 1.0%  
  52,804    

MGP Ingredients, Inc.

    2,264,763  
  200,433    

Nomad Foods Ltd.*

    3,910,448  
   

 

 

 
    6,175,211  
 

 

 

 
      Health Care Equipment & Services - 13.7%  
  60,520    

Amedisys, Inc.*

    7,778,030  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.1% - (continued)  
      Health Care Equipment & Services - 13.7% - (continued)  
  125,516    

Globus Medical, Inc. Class A*

  $ 6,573,273  
  99,374    

Haemonetics Corp.*

    11,997,423  
  82,231    

Hill-Rom Holdings, Inc.

    8,608,763  
  236,345    

HMS Holdings Corp.*

    7,726,118  
  85,696    

Insulet Corp.*

    12,453,343  
  181,404    

Omnicell, Inc.*

    12,769,028  
  34,583    

Penumbra, Inc.*

    5,393,910  
  162,574    

Tandem Diabetes Care, Inc.*

    10,011,307  
   

 

 

 
    83,311,195  
 

 

 

 
      Insurance - 0.8%  
  133,299    

James River Group Holdings Ltd.

    4,773,437  
   

 

 

 
      Materials - 3.3%  
  170,049    

Carpenter Technology Corp.

    8,335,802  
  90,038    

Ingevity Corp.*

    7,582,100  
  135,724    

Louisiana-Pacific Corp.

    3,967,212  
   

 

 

 
    19,885,114  
 

 

 

 
      Media & Entertainment - 0.7%  
  102,030    

Cardlytics, Inc.*

    4,276,077  
   

 

 

 
      Pharmaceuticals, Biotechnology & Life Sciences - 11.6%  
  57,969    

ACADIA Pharmaceuticals, Inc.*

    2,458,465  
  77,014    

Aerie Pharmaceuticals, Inc.*(1)

    1,708,941  
  427,441    

Amicus Therapeutics, Inc.*

    3,603,327  
  139,756    

Apellis Pharmaceuticals, Inc.*

    4,107,429  
  121,106    

Arena Pharmaceuticals, Inc.*

    5,899,679  
  25,157    

Ascendis Pharma A/S ADR*

    2,781,861  
  34,120    

Blueprint Medicines Corp.*

    2,348,821  
  98,446    

CytomX Therapeutics, Inc.*

    603,474  
  99,475    

G1 Therapeutics, Inc.*

    2,110,859  
  52,798    

Galapagos N.V. ADR*(1)

    9,713,248  
  155,191    

Heron Therapeutics, Inc.*

    3,297,809  
  139,337    

Iovance Biotherapeutics, Inc.*

    2,944,191  
  168,976    

Karyopharm Therapeutics, Inc.*

    1,977,019  
  63,821    

MyoKardia, Inc.*

    3,658,858  
  219,546    

Orchard Therapeutics plc*

    2,647,725  
  64,035    

PRA Health Sciences, Inc.*

    6,256,860  
  154,548    

Revance Therapeutics, Inc.*

    2,420,222  
  147,213    

Rhythm Pharmaceuticals, Inc.*

    3,138,581  
  22,310    

Sage Therapeutics, Inc.*

    3,026,351  
  374,753    

Sangamo Therapeutics, Inc.*

    3,391,515  
  77,800    

Y-mAbs Therapeutics, Inc.*

    2,423,470  
   

 

 

 
    70,518,705  
 

 

 

 
      Real Estate - 4.4%  
  78,889    

Agree Realty Corp. REIT

    6,214,087  
  211,407    

Hannon Armstrong Sustainable Infrastructure Capital, Inc. REIT

    6,312,613  
  160,321    

NexPoint Residential Trust, Inc. REIT

    7,818,855  
  307,118    

Xenia Hotels & Resorts, Inc. REIT

    6,464,834  
   

 

 

 
    26,810,389  
 

 

 

 
      Retailing - 2.0%  
  3,136,600    

Allstar Co.(2)(3)(4)

    721,418  
  47,251    

Five Below, Inc.*

    5,911,573  
  88,291    

Floor & Decor Holdings, Inc. Class A*

    4,046,377  
  26,907    

Tory Burch LLC*(2)(3)(4)

    1,493,094  
   

 

 

 
    12,172,462  
 

 

 

 
      Semiconductors & Semiconductor Equipment - 2.9%  
  122,715    

Entegris, Inc.

    5,890,320  
  523,252    

Tower Semiconductor Ltd.*

    11,474,916  
   

 

 

 
    17,365,236  
 

 

 

 
      Software & Services - 9.9%  
  113,028    

Endava plc ADR*

    4,861,334  
  16,661    

EPAM Systems, Inc.*

    2,931,670  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  73  

 


The Hartford Small Company Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.1% - (continued)  
      Software & Services - 9.9% - (continued)  
  10,627    

Fair Isaac Corp.*

  $ 3,231,033  
  89,026    

Five9, Inc.*

    4,941,833  
  13,187    

Globant S.A.*

    1,229,820  
  61,905    

Guidewire Software, Inc.*

    6,979,170  
  30,722    

HubSpot, Inc.*

    4,764,982  
  114,354    

LiveRamp Holdings, Inc.*

    4,470,098  
  254,048    

Mimecast Ltd.*

    10,088,246  
  149,634    

Rapid7, Inc.*

    7,495,167  
  106,984    

Science Applications International Corp.

    8,839,018  
   

 

 

 
    59,832,371  
 

 

 

 
      Technology Hardware & Equipment - 2.5%  
  254,942    

Pure Storage, Inc. Class A*

    4,961,171  
  43,233    

Zebra Technologies Corp. Class A*

    10,283,834  
   

 

 

 
    15,245,005  
 

 

 

 
      Telecommunication Services - 0.6%  
  60,875    

Bandwidth, Inc. Class A*

    3,418,131  
   

 

 

 
 

Total Common Stocks
(cost $517,012,292)

  $ 576,331,797  
   

 

 

 
CONVERTIBLE PREFERRED STOCKS - 0.7%  
      Retailing - 0.3%  
  47,489    

Honest Co., Inc. Series E*(2)(3)(4)

  $ 1,821,678  
   

 

 

 
      Software & Services - 0.4%  
  263,189    

MarkLogic Corp. Series F*(2)(3)(4)

    2,560,829  
   

 

 

 
 

Total Preferred Stocks
(cost $5,229,589)

  $ 4,382,507  
   

 

 

 
ESCROWS - 0.0%(5)  
      Software & Services - 0.0%  
  98,033    

Veracode, Inc.*(2)(3)(4)

  $ 53,330  
   

 

 

 
 

Total Escrows
(cost $—)

  $ 53,330  
   

 

 

 
 

Total Long-Term Investments
(cost $522,241,881)

  $ 580,767,634  
   

 

 

 
SHORT-TERM INVESTMENTS - 6.2%  
      Other Investment Pools & Funds - 4.6%  
  27,609,793    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(6)

  $ 27,609,793  
   

 

 

 
      Securities Lending Collateral - 1.6%  
  482,745    

Citibank NA DDCA, 1.80%, 11/1/2019(6)

    482,745  
  6,773,003    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(6)

    6,773,003  
  108,650    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(6)

    108,650  
  898,420    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(6)

    898,420  
  1,305,292    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(6)

    1,305,292  
  86,798    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(6)

    86,798  
   

 

 

 
    9,654,908  
 

 

 

 
 

Total Short-Term Investments
(cost $37,264,701)

  $ 37,264,701  
   

 

 

 
 

Total Investments
(cost $559,506,582)

    102.0    $     618,032,335  
 

Other Assets and Liabilities

    (2.0 )%       (11,860,686
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 606,171,649  
   

 

 

    

 

 

 
Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Investment valued using significant unobservable inputs.

 

(3) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $8,489,849, which represented 1.4% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(4) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $8,489,849 or 1.4% of net assets.

 

Period
Acquired
    

Security Name

   Shares/
Par Value
     Base
Total Cost
     Base
Market Value
 
  08/2011      Allstar Co.      3,136,600      $ 1,364,479      $ 721,418  
  12/2014      DraftKings, Inc.      580,284        2,187,550        1,839,500  
  08/2015      Honest Co., Inc. Convertible Preferred      47,489        2,172,859        1,821,678  
  04/2015      MarkLogic Corp. Series F Convertible Preferred      263,189        3,056,730        2,560,829  
  11/2013      Tory Burch LLC      26,907        2,108,912        1,493,094  
  04/2017      Veracode, Inc.      98,033               53,330  
        

 

 

    

 

 

 
         $   10,890,530      $   8,489,849  
        

 

 

    

 

 

 

 

(5) 

Share amount represents shares of the issuer previously held that resulted in receipt of the escrow.

 

(6) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  74  

 


The Hartford Small Company Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 7,354,796      $ 7,354,796      $      $  

Banks

     27,965,432        27,965,432                

Capital Goods

     83,971,506        83,971,506                

Commercial & Professional Services

     25,367,942        25,367,942                

Consumer Durables & Apparel

     56,893,152        56,893,152                

Consumer Services

     36,452,514        34,613,014               1,839,500  

Diversified Financials

     7,263,419        7,263,419                

Energy

     3,138,054        3,138,054                

Food & Staples Retailing

     4,141,649        4,141,649                

Food, Beverage & Tobacco

     6,175,211        6,175,211                

Health Care Equipment & Services

     83,311,195        83,311,195                

Insurance

     4,773,437        4,773,437                

Materials

     19,885,114        19,885,114                

Media & Entertainment

     4,276,077        4,276,077                

Pharmaceuticals, Biotechnology & Life Sciences

     70,518,705        70,518,705                

Real Estate

     26,810,389        26,810,389                

Retailing

     12,172,462        9,957,950               2,214,512  

Semiconductors & Semiconductor Equipment

     17,365,236        17,365,236                

Software & Services

     59,832,371        59,832,371                

Technology Hardware & Equipment

     15,245,005        15,245,005                

Telecommunication Services

     3,418,131        3,418,131                

Convertible Preferred Stocks

     4,382,507                      4,382,507  

Escrows

     53,330                      53,330  

Short-Term Investments

     37,264,701        37,264,701                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     618,032,335      $     609,542,486      $     —      $     8,489,849  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

The following is a rollforward of the Fund’s investments that were valued using unobservable inputs (Level 3) for the year ended October 31, 2019:

 

     Common
Stocks
    Convertible
Preferred
Stocks
    Escrows     Total  

Beginning balance

   $ 4,284,091     $ 4,346,678     $     112,498     $ 8,743,267  

Sales

                 (65,743     (65,743

Total realized gain/(loss)

           (291,935     65,743       (226,192

Net change in unrealized appreciation/depreciation

     (230,079     327,764       (59,168     38,517  

Transfers into Level 3

                        

Transfers out of Level 3

                        
  

 

 

   

 

 

   

 

 

   

 

 

 

Ending balance

   $     4,054,012     $     4,382,507     $ 53,330     $     8,489,849  
  

 

 

   

 

 

   

 

 

   

 

 

 

The change in net unrealized appreciation/(depreciation) relating to the Level 3 investments held at October 31, 2019: was $(194,249).

 

The accompanying notes are an integral part of these financial statements.

 

 

  75  

 


Hartford Domestic Equity Funds

Glossary (abbreviations used in the preceding Schedules of Investments)

 

 

 

Currency Abbreviations:

USD

   United States Dollar
Index Abbreviations:

S&P

   Standard & Poor’s
Other Abbreviations:

ADR

   American Depositary Receipt

DDCA

   Dollars on Deposit in Custody Account

ETF

   Exchange-Traded Fund

REIT

   Real Estate Investment Trust
 

 

 

  76  

 


Hartford Domestic Equity Funds

Statements of Assets and Liabilities

October 31, 2019

 

 

 

     The Hartford
Capital
Appreciation
Fund
     Hartford
Core
Equity Fund
     The Hartford
Dividend and
Growth Fund
     The Hartford
Equity
Income Fund
     The Hartford
Growth
Opportunities
Fund
     The Hartford
Healthcare
Fund
 

Assets:

                 

Investments in securities, at market value(1)

   $     6,958,138,549      $     5,695,892,235      $ 9,030,348,591      $ 4,074,462,411      $ 4,834,631,715      $ 1,309,152,519  

Cash collateral due from broker on futures contracts

     4,888,800        5,855,850                              

Foreign currency

     1,237                      545,760        19        17  

Receivables:

                 

Investment securities sold

     31,273,319               40,389,518        3,228,204        56,408,193        109,999  

Fund shares sold

     1,213,552        19,508,404        9,125,629        6,751,411        4,066,721        701,873  

Dividends and interest

     5,087,459        4,844,338        11,970,375        5,461,484        1,332,603        1,044,415  

Securities lending income

     96,048        103,592        864        12        229,837        7,606  

Tax reclaims

     885,375               1,690,395        2,580,306        382,404        106,798  

Other assets

     8,510,931        175,459        157,881        105,386        112,581        57,299  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total assets

     7,010,095,270        5,726,379,878        9,093,683,253        4,093,134,974        4,897,164,073        1,311,180,526  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

                 

Obligation to return securities lending collateral

     31,596,022        25,237,978        4,542,000               104,283,353        34,242,367  

Due to custodian

                                 14,164,753         

Payables:

                 

Investment securities purchased

     24,379,368               28,357,148        8,131,289        45,573,646        1,272,265  

Fund shares redeemed

     5,727,244        6,013,621        10,817,639        6,234,574        6,349,031        2,707,916  

Investment management fees

     3,870,179        1,593,225        4,547,485        2,099,325        2,783,160        890,502  

Transfer agent fees

     1,778,465        807,900        1,503,275        730,093        1,262,523        416,189  

Accounting services fees

     116,822        77,551        110,768        59,438        82,911        18,603  

Board of Directors’ fees

     33,080        17,150        38,378        18,659        22,632        6,390  

Variation margin on futures contracts

     465,573        507,000                              

Distribution fees

     162,159        69,011        128,973        78,280        90,480        35,288  

Accrued expenses

     329,058        145,684        318,136        173,611        213,875        89,731  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total liabilities

     68,457,970        34,469,120        50,363,802        17,525,269        174,826,364        39,679,251  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net assets

   $ 6,941,637,300      $ 5,691,910,758      $ 9,043,319,451      $ 4,075,609,705      $ 4,722,337,709      $ 1,271,501,275  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Summary of Net Assets:

                 

Capital stock and paid-in-capital

   $ 5,823,631,545      $ 4,361,944,830      $ 6,153,709,066      $ 2,917,116,869      $ 3,849,269,415      $ 984,067,047  

Distributable earnings

     1,118,005,755        1,329,965,928        2,889,610,385        1,158,492,836        873,068,294        287,434,228  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net assets

   $ 6,941,637,300      $ 5,691,910,758      $     9,043,319,451      $     4,075,609,705      $ 4,722,337,709      $     1,271,501,275  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Shares authorized

     1,765,000,000        850,000,000        1,300,000,000        800,000,000            23,900,000,000        610,000,000  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Par value

   $ 0.0010      $ 0.0010      $ 0.0010      $ 0.0010      $ 0.0001      $ 0.0010  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class A:  Net asset value per share

   $ 37.12      $ 33.40      $ 25.93      $ 19.99      $ 39.45      $ 35.63  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Maximum offering price per share

   $ 39.28      $ 35.34      $ 27.44      $ 21.15      $ 41.75      $ 37.70  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     130,175,428        26,392,943        144,214,186        78,303,947        52,959,484        18,696,670  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 4,831,749,011      $ 881,587,425      $ 3,739,696,353      $ 1,565,662,854      $ 2,089,245,543      $ 666,180,788  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class C:  Net asset value per share

   $ 27.08      $ 30.35      $ 24.96      $ 19.88      $ 20.50      $ 28.24  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     10,281,897        12,076,799        7,722,046        14,705,548        13,732,229        4,905,550  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 278,393,537      $ 366,552,524      $ 192,715,028      $ 292,388,229      $ 281,544,926      $ 138,538,836  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class I:  Net asset value per share

   $ 37.36      $ 33.50      $ 25.80      $ 19.88      $ 41.95      $ 37.68  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     17,622,252        51,963,767        41,866,704        48,254,022        35,778,603        7,881,817  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 658,302,226      $ 1,740,668,985      $ 1,079,961,623      $ 959,142,164      $ 1,500,756,353      $ 297,000,225  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R3:  Net asset value per share

   $ 41.47      $ 33.86      $ 26.32      $ 20.02      $ 39.41      $ 36.56  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     1,228,862        1,008,905        2,512,051        2,171,041        1,135,789        928,570  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 50,956,815      $ 34,158,081      $ 66,114,658      $ 43,473,826      $ 44,757,029      $ 33,948,339  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R4:  Net asset value per share

   $ 43.06      $ 34.44      $ 26.52      $ 20.06      $ 42.26      $ 38.69  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     897,186        4,359,542        4,202,005        2,690,264        1,587,815        690,121  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 38,633,943      $ 150,158,993      $ 111,450,818      $ 53,956,593      $ 67,104,053      $ 26,698,983  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R5:  Net asset value per share

   $ 44.04      $ 33.75      $ 26.64      $ 20.16      $ 44.78      $ 40.71  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     881,220        6,870,624        7,271,853        4,055,336        567,099        151,557  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 38,807,847      $ 231,879,196      $ 193,706,924      $ 81,758,134      $ 25,395,925      $ 6,169,981  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R6:  Net asset value per share

   $ 44.34      $ 33.91      $ 26.64      $ 20.21      $ 45.62      $ 41.28  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     1,816,322        7,659,057        4,472,695        2,582,656        498,966        32,486  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 80,535,206      $ 259,706,299      $ 119,159,237      $ 52,201,302      $ 22,765,189      $ 1,341,130  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  77  

 


Hartford Domestic Equity Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     The Hartford
Capital
Appreciation
Fund
     Hartford
Core
Equity Fund
     The Hartford
Dividend and
Growth Fund
     The Hartford
Equity
Income Fund
     The Hartford
Growth
Opportunities
Fund
     The Hartford
Healthcare
Fund
 

Class Y:  Net asset value per share

     44.32      $ 33.90      $ 26.64      $ 20.22      $ 45.61      $ 41.27  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     4,236,718        10,961,172        26,133,280        5,194,826        3,604,571        1,756,993  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 187,754,131      $ 371,579,763      $ 696,309,176      $ 105,014,896      $ 164,389,853      $ 72,514,537  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class F:  Net asset value per share

   $ 37.36      $ 33.52      $ 25.78      $ 19.87      $ 42.09      $ 37.79  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     20,784,521        49,391,142        110,333,407        46,391,308        12,507,144        770,342  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 776,504,585      $ 1,655,619,492      $ 2,844,205,634      $ 922,011,707      $ 526,378,838      $ 29,108,456  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cost of investments

   $     6,129,817,307      $     4,511,943,870      $     6,419,720,756      $     3,186,267,130      $     4,254,433,661      $     1,098,477,554  

Cost of foreign currency

   $ 1,235      $      $      $ 545,988      $ 20      $ 17  

(1) Includes Investment in securities on loan, at market value

   $ 33,237,906      $ 22,988,543      $ 3,617,565      $      $ 98,649,676      $ 33,434,256  

 

The accompanying notes are an integral part of these financial statements.

 

 

  78  

 


Hartford Domestic Equity Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     The Hartford
MidCap Fund
     The Hartford
MidCap
Value Fund
     Hartford
Quality
Value Fund
     The Hartford
Small Cap
Growth Fund
     Hartford
Small Cap
Value Fund
     The Hartford
Small
Company Fund
 

Assets:

                 

Investments in securities, at market value(1)

   $ 14,082,179,561      $ 704,522,028      $ 208,569,914      $ 1,042,861,116      $ 106,663,312      $ 618,032,335  

Foreign currency

                   6                      5  

Receivables:

                 

Investment securities sold

     51,879,060        5,926,770               3,976,058        1,816,650        1,107,570  

Fund shares sold

     17,797,456        1,313,690        25,339        408,062        16,649        686,229  

Dividends and interest

     1,623,015        221,074        243,772        262,888        20,935        72,193  

Securities lending income

     263,034                      21,524        1,005        10,969  

Tax reclaims

                   115,185                       

Other assets

     228,788        48,541        57,969        56,928        56,822        62,752  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total assets

     14,153,970,914        712,032,103        209,012,185        1,047,586,576        108,575,373        619,972,053  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

                 

Obligation to return securities lending collateral

     164,065,631                      22,408,521        3,076,375        9,654,908  

Payables:

                 

Investment securities purchased

     53,260,336        4,924,328               5,178,604        477,125        2,867,872  

Fund shares redeemed

     13,154,138        651,318        214,993        2,895,289        599        578,774  

Investment management fees

     8,230,165        421,996        78,505        605,990        61,263        410,394  

Transfer agent fees

     2,788,857        159,770        89,824        262,954        31,159        176,274  

Accounting services fees

     152,411        10,510        3,140        15,370        1,575        11,104  

Board of Directors’ fees

     57,512        3,025        1,307        5,189        493        2,432  

Distribution fees

     143,910        10,789        5,476        8,547        1,500        10,466  

Accrued expenses

     652,171        90,230        38,563        72,628        26,069        88,180  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total liabilities

     242,505,131        6,271,966        431,808        31,453,092        3,676,158        13,800,404  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net assets

   $ 13,911,465,783      $ 705,760,137      $ 208,580,377      $ 1,016,133,484      $ 104,899,215      $ 606,171,649  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Summary of Net Assets:

                 

Capital stock and paid-in-capital

   $ 10,658,723,029      $ 620,109,232      $ 177,257,268      $ 881,217,514      $ 93,386,765      $ 513,814,075  

Distributable earnings

     3,252,742,754        85,650,905        31,323,109        134,915,970        11,512,450        92,357,574  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net assets

   $     13,911,465,783      $ 705,760,137      $ 208,580,377      $ 1,016,133,484      $ 104,899,215      $     606,171,649  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Shares authorized

     1,230,000,000        610,000,000            27,160,000,000            27,150,000,000            1,110,000,000        650,000,000  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Par value

   $ 0.0010      $ 0.0010      $ 0.0001      $ 0.0001      $ 0.0010      $ 0.0010  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class A:  Net asset value per share

   $ 30.34      $ 14.43      $ 21.11      $ 45.71      $ 10.35      $ 20.35  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Maximum offering price per share

   $ 32.11      $ 15.27      $ 22.34      $ 48.37      $ 10.95      $ 21.53  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     92,980,201        21,483,465        8,040,749        4,272,782        4,545,794        15,317,771  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 2,820,970,922      $     309,996,296      $ 169,771,031      $ 195,313,535      $ 47,037,140      $ 311,741,565  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class C:  Net asset value per share

   $ 20.83      $ 11.51      $ 18.05      $ 30.90      $ 8.96      $ 13.30  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     23,913,590        1,382,745        378,665        508,859        414,932        746,670  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 498,057,013      $ 15,910,491      $ 6,834,021      $ 15,722,173      $ 3,718,946      $ 9,928,793  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class I:  Net asset value per share

   $ 31.43      $ 14.60      $ 20.85      $ 48.05      $ 10.37      $ 21.65  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     132,631,757        2,135,760        613,639        3,984,879        419,662        1,244,417  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 4,168,592,195      $ 31,173,180      $ 12,795,514      $ 191,481,572      $ 4,353,873      $ 26,938,812  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R3:  Net asset value per share

   $ 33.98      $ 15.22      $ 21.45      $ 45.05      $ 10.73      $ 22.29  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     2,837,027        527,682        57,795        222,770        56,752        634,343  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 96,409,245      $ 8,033,648      $ 1,239,919      $ 10,035,742      $ 609,003      $ 14,141,905  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R4:  Net asset value per share

   $ 35.57      $ 15.58      $ 21.68      $ 47.69      $ 10.89      $ 23.88  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     7,489,832        761,605        277,441        886,835        6,376        597,116  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 266,389,855      $ 11,865,487      $ 6,014,209      $ 42,296,454      $ 69,441      $ 14,261,149  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R5:  Net asset value per share

   $ 36.77      $ 15.82      $ 21.87      $ 50.57      $ 10.87      $ 25.40  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     13,534,573        100,642        10,494        1,633,850        1,030        127,526  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 497,712,142      $ 1,591,740      $ 229,533      $ 82,624,233      $ 11,192      $ 3,238,617  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R6:  Net asset value per share

   $ 37.22      $      $ 21.93      $ 51.36      $ 10.87      $ 25.97  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     46,529,194               1,565        1,290,015        9,467        7,941  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 1,731,889,789      $      $ 34,316      $ 66,259,503      $ 102,885      $ 206,207  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  79  

 


Hartford Domestic Equity Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     The Hartford
MidCap Fund
     The Hartford
MidCap
Value Fund
     Hartford
Quality
Value Fund
     The Hartford
Small Cap
Growth Fund
     Hartford
Small Cap
Value Fund
     The Hartford
Small
Company Fund
 

Class Y:  Net asset value per share

   $ 37.17      $ 15.87      $ 21.91      $ 51.39      $ 10.86      $ 25.95  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     42,286,468        795,542        28,394        7,120,079        52,642        1,251,437  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 1,571,851,005      $ 12,623,644      $ 622,024      $ 365,867,167      $ 571,597      $ 32,472,137  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class F:  Net asset value per share

   $ 31.52      $ 14.60      $ 20.83      $ 48.23      $ 10.38      $ 21.76  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     71,684,615        21,549,746        529,958        964,764        4,667,039        8,881,640  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 2,259,593,617      $ 314,565,651      $ 11,039,810      $ 46,533,105      $ 48,425,138      $ 193,242,464  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cost of investments

   $     11,498,992,777      $     635,824,048      $     187,313,410      $     920,127,557      $     101,471,741      $     559,506,582  

Cost of foreign currency

   $      $      $ 7      $      $      $ 5  

(1) Includes Investment in securities on loan, at market value

   $ 151,285,796      $      $      $ 22,309,469      $ 2,978,115      $ 9,309,793  

 

The accompanying notes are an integral part of these financial statements.

 

 

  80  

 


Hartford Domestic Equity Funds

Statements of Operations

For the Year Ended October 31, 2019

 

 

 

     The Hartford
Capital
Appreciation
Fund
    Hartford Core
Equity Fund
    The Hartford
Dividend and
Growth Fund
    The Hartford
Equity
Income Fund
    The Hartford
Growth
Opportunities
Fund
    The Hartford
Healthcare
Fund
 

Investment Income:

            

Dividends

   $ 101,006,743     $ 67,851,392     $ 219,258,679     $ 121,144,737     $ 18,180,375     $ 11,915,352  

Interest

     3,092,576       3,640,621       6,139,862       1,463,081       3,932,219       1,077,682  

Securities lending

     594,343       630,911       490,289       664,000       423,624       331,435  

Less: Foreign tax withheld

     (787,397           (2,000,411     (2,746,769     (37,175     (203,425
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total investment income, net

     103,906,265       72,122,924       223,888,419       120,525,049       22,499,043       13,121,044  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expenses:

            

Investment management fees

     46,378,263       15,433,233       51,423,104       24,737,572       34,023,751       11,307,230  

Transfer agent fees

            

Class A

     5,832,436       831,890       3,845,989       1,438,473       2,541,815       968,578  

Class C

     454,435       302,415       271,001       315,830       351,405       217,209  

Class I

     596,938       1,189,594       906,603       986,336       1,690,896       340,515  

Class R3

     121,790       75,858       148,952       91,480       105,935       78,659  

Class R4

     74,054       204,798       186,808       106,030       125,619       48,782  

Class R5

     36,658       224,915       160,452       82,475       25,463       8,608  

Class R6

     751       6,755       4,038       1,614       778       15  

Class Y

     142,175       230,510       476,676       82,283       135,476       36,833  

Class F

     2,725       1,800       9,032       3,931       1,988       295  

Distribution fees

            

Class A

     11,949,628       1,947,071       8,898,245       3,788,244       5,261,109       1,671,243  

Class C

     3,493,979       3,244,269       2,057,077       3,101,863       3,020,800       1,490,797  

Class R3

     275,437       171,788       342,805       223,326       238,764       185,104  

Class R4

     116,689       354,982       311,870       162,484       196,722       76,283  

Custodian fees

     17,411       22,814       40,164       38,976       1,147       34,888  

Registration and filing fees

     175,557       274,550       281,494       193,112       217,328       147,010  

Accounting services fees

     1,395,596       768,672       1,268,273       700,298       1,008,498       237,538  

Board of Directors’ fees

     223,615       138,366       271,133       128,754       155,864       42,998  

Audit fees

     65,498       22,185       24,522       22,680       46,196       24,206  

Other expenses

     689,005       412,965       835,720       419,629       459,318       158,483  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses (before waivers, reimbursements and fees paid indirectly)

     72,042,640       25,859,430       71,763,958       36,625,390       49,608,872       17,075,274  

Transfer agent fee waivers

     (74,789     (81,471     (171,751     (26,219     (58,690     (9,490

Distribution fee reimbursements

     (174,011     (66,481     (82,230     (10,711     (122,837     (23,140

Commission recapture

     (65,641     (10,416     (50,583     (17,652     (28,306     (8,130
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total waivers, reimbursements and fees paid indirectly

     (314,441     (158,368     (304,564     (54,582     (209,833     (40,760
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses, net

     71,728,199       25,701,062       71,459,394       36,570,808       49,399,039       17,034,514  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Investment Income (Loss)

     32,178,066       46,421,862       152,429,025       83,954,241       (26,899,996     (3,913,470
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions:

            

Net realized gain (loss) on investments

     310,050,711       88,920,084       261,902,400       252,121,339       328,070,743       98,103,643  

Net realized gain (loss) on futures contracts

     3,627,613       11,571,502                          

Net realized gain (loss) on foreign currency contracts

     31,922                                

Net realized gain (loss) on other foreign currency transactions

     47,759             11,093       (143,921     35,494       (6,614
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     313,758,005       100,491,586       261,913,493       251,977,418       328,106,237       98,097,029  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions:

            

Net unrealized appreciation (depreciation) of investments

     692,638,019       572,895,896       705,555,576       185,500,342       290,086,086       49,128,840  

Net unrealized appreciation (depreciation) of futures contracts

     3,412,117       5,668,855                          

Net unrealized appreciation (depreciation) of translation of other assets and liabilities in foreign currencies

     98,593                   92,278       18,348       2,202  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions

     696,148,729       578,564,751       705,555,576       185,592,620       290,104,434       49,131,042  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     1,009,906,734       679,056,337       967,469,069       437,570,038       618,210,671       147,228,071  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

   $     1,042,084,800     $     725,478,199     $     1,119,898,094     $     521,524,279     $     591,310,675     $     143,314,601  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  81  

 


Hartford Domestic Equity Funds

Statements of Operations – (continued)

For the Year Ended October 31, 2019

 

 

 

     The Hartford
MidCap Fund
    The Hartford
MidCap
Value Fund
    Hartford
Quality
Value Fund
    The Hartford
Small Cap
Growth Fund
    Hartford
Small Cap
Value Fund
    The Hartford
Small
Company Fund
 

Investment Income:

            

Dividends

   $ 102,217,874     $ 11,898,597     $ 6,959,138     $ 7,498,099     $ 2,221,509     $ 3,303,102  

Interest

     532,296       272,100       108,527       330,393       50,001       388,188  

Securities lending

     1,551,669       16,728       4,655       381,463       7,697       63,132  

Less: Foreign tax withheld

     (419,375     (87,387     (97,363           (1,345     (2,418
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total investment income, net

     103,882,464       12,100,038       6,974,957       8,209,955       2,277,862       3,752,004  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expenses:

            

Investment management fees

     93,262,631       4,790,555       1,089,860       7,454,251       709,859       4,600,657  

Transfer agent fees

            

Class A

     3,146,472       533,330       324,867       468,713       110,736       557,939  

Class C

     651,258       32,683       16,546       25,491       11,839       25,826  

Class I

     4,263,305       28,942       12,363       153,954       3,802       38,445  

Class R3

     215,355       19,639       2,360       25,423       1,267       35,454  

Class R4

     467,120       17,811       8,988       88,850       97       25,941  

Class R5

     511,485       4,577       581       85,110       30       3,706  

Class R6

     52,642             1       1,225             8  

Class Y

     1,284,598       9,764       562       213,448       336       11,804  

Class F

     7,078       2,164       125       599       121       1,391  

Distribution fees

            

Class A

     6,848,338       737,539       410,916       495,789       121,367       756,545  

Class C

     5,433,142       169,883       79,181       188,802       47,788       108,381  

Class R3

     516,020       44,834       5,475       58,797       2,857       80,188  

Class R4

     701,537       28,555       14,901       139,564       145       38,176  

Custodian fees

     78,704       13,125       3,919       16,535       8,847       7,213  

Registration and filing fees

     638,427       129,153       124,357       126,244       123,370       132,637  

Accounting services fees

     1,742,124       118,815       43,594       189,810       18,254       124,011  

Board of Directors’ fees

     424,228       21,028       8,169       33,896       3,186       17,881  

Audit fees

     26,138       21,027       30,279       21,384       20,942       38,738  

Other expenses

     1,738,478       183,514       36,752       135,070       21,563       145,849  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses (before waivers, reimbursements and fees paid indirectly)

     122,009,080       6,906,938       2,213,796       9,922,955       1,206,406       6,750,790  

Expense waivers

                 (221,412           (94,900     (40,764

Transfer agent fee waivers

     (590,075     (3,834           (68,007            

Distribution fee reimbursements

     (97,218     (6,178     (7,892     (13,925     (4,157     (13,724

Commission recapture

     (63,849     (11,704     (1,455     (12,024     (560     (9,727
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total waivers, reimbursements and fees paid indirectly

     (751,142     (21,716     (230,759     (93,956     (99,617     (64,215
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses, net

     121,257,938       6,885,222       1,983,037       9,828,999       1,106,789       6,686,575  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Investment Income (Loss)

     (17,375,474     5,214,816       4,991,920       (1,619,044     1,171,073       (2,934,571
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments and Foreign Currency Transactions:

            

Net realized gain (loss) on investments

     692,360,713       15,821,812       6,016,325       14,715,285       5,306,719       38,278,420  

Net realized gain (loss) on other foreign currency transactions

     28,388       (25,519     (2,565           (4,750     (6,232
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments and Foreign Currency Transactions

     692,389,101       15,796,293       6,013,760       14,715,285       5,301,969       38,272,188  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments and Foreign Currency Transactions:

            

Net unrealized appreciation (depreciation) of investments

     1,148,200,359       60,486,697       18,431,877       68,831,465       (2,603,683     34,222,341  

Net unrealized appreciation (depreciation) of translation of other assets and liabilities in foreign currencies

           1,027       4,496                    
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments and Foreign Currency Transactions

     1,148,200,359       60,487,724       18,436,373       68,831,465           (2,603,683     34,222,341  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Gain (Loss) on Investments and Foreign Currency Transactions

     1,840,589,460       76,284,017       24,450,133       83,546,750       2,698,286       72,494,529  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

   $     1,823,213,986     $     81,498,833     $     29,442,053     $     81,927,706     $ 3,869,359     $     69,559,958  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  82  

 


Hartford Domestic Equity Funds

Statements of Changes in Net Assets

 

 

 

     The Hartford
Capital Appreciation Fund
    Hartford
Core Equity Fund
    The Hartford
Dividend and Growth Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

            

Net investment income (loss)

   $ 32,178,066     $ 29,129,541     $ 46,421,862     $ 29,087,986     $ 152,429,025     $ 137,264,805  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     313,758,005       1,049,827,019       100,491,586       148,389,458       261,913,493       749,856,902  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     696,148,729       (725,874,806     578,564,751       121,421,247       705,555,576       (503,569,392
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     1,042,084,800       353,081,754       725,478,199       298,898,691       1,119,898,094       383,552,315  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

Class A

     (706,880,408     (606,326,646     (32,665,488     (21,919,937     (376,562,728     (392,731,234

Class C

     (77,462,288     (192,535,075     (13,165,205     (9,824,353     (22,753,711     (47,166,268

Class I

     (107,802,788     (112,999,632     (58,009,690     (36,517,509     (95,343,423     (89,574,705

Class R3

     (8,221,995     (8,606,238     (1,469,253     (1,304,880     (7,276,281     (8,267,443

Class R4

     (6,723,975     (8,617,809     (6,169,265     (5,833,533     (13,533,303     (14,963,939

Class R5

     (4,489,300     (4,727,926     (10,058,287     (7,238,859     (16,252,768     (14,896,682

Class R6

     (9,472,410     (8,465,656     (7,010,180     (4,628,300     (9,073,108     (2,134,094

Class Y

     (22,763,013     (21,588,189     (11,032,634     (5,743,412     (68,670,776     (67,373,460

Class F

     (127,729,846     (148,455,017     (33,816,031     (22,560,533     (288,913,297     (294,232,092
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (1,071,546,023     (1,112,322,188     (173,396,033     (115,571,316     (898,379,395     (931,339,917
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

 

   

Sold

     488,499,323       1,024,978,367       2,583,350,592       1,034,630,470       1,316,713,660       1,305,754,651  

Issued on reinvestment of distributions

     1,028,835,269       1,024,872,512       165,763,267       110,126,116       867,611,541       904,747,281  

Redeemed

         (1,724,498,541         (2,362,392,164         (1,079,118,925         (1,049,713,011         (1,593,432,163         (1,815,707,318
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     (207,163,949     (312,541,285     1,669,994,934       95,043,575       590,893,038       394,794,614  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     (236,625,172     (1,071,781,719     2,222,077,100       278,370,950       812,411,737       (152,992,988
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

 

   

Beginning of period

     7,178,262,472       8,250,044,191       3,469,833,658       3,191,462,708       8,230,907,714       8,383,900,702  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $ 6,941,637,300     $ 7,178,262,472     $ 5,691,910,758     $ 3,469,833,658     $ 9,043,319,451     $ 8,230,907,714  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  83  

 


Hartford Domestic Equity Funds

Statements of Changes in Net Assets – (continued)

 

 

 

     The Hartford
Equity Income Fund
    The Hartford
Growth Opportunities Fund
    The Hartford
Healthcare Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

            

Net investment income (loss)

   $ 83,954,241     $ 85,304,100     $ (26,899,996   $ (26,628,720   $ (3,913,470   $ (6,298,519

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     251,977,418       304,620,363       328,106,237       1,119,332,875       98,097,029       111,294,483  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     185,592,620    

 

(358,974,067

 

 

290,104,434

 

 

 

(691,128,168

    49,131,042       (46,256,832
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     521,524,279       30,950,396       591,310,675       401,575,987       143,314,601       58,739,132  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

Class A

     (139,419,928     (110,568,818     (456,838,651     (158,556,200     (48,565,116     (35,671,123

Class C

     (27,745,387     (26,593,783     (111,605,001     (50,309,267     (13,953,587     (14,636,384

Class I

     (106,057,518     (80,508,699     (353,498,531     (124,475,405     (25,648,483     (17,037,825

Class R3

     (4,085,476     (3,521,663     (10,699,557     (4,054,099     (2,630,413     (2,149,358

Class R4

     (6,151,808     (5,230,591     (17,113,553     (6,430,582     (2,166,993     (1,635,340

Class R5

     (7,636,620     (5,773,145     (4,132,294     (1,298,270     (547,097     (311,084

Class R6

     (3,471,599     (2,239,099     (2,565,390     (405,519            

Class Y

     (12,485,702     (9,816,882     (24,851,439     (7,918,200     (3,369,356     (2,027,884

Class F

     (76,875,225     (51,013,597     (88,424,295     (49,296,790     (5,165,741     (3,055,878
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (383,929,263     (295,266,277     (1,069,728,711     (402,744,332     (102,046,786     (76,524,876
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

 

   

Sold

     684,129,579       873,087,387       1,040,653,406       969,192,221       162,135,540       299,018,988  

Issued on reinvestment of distributions

     367,118,559       282,151,407       974,523,793       368,471,573       97,225,749       72,780,594  

Redeemed

         (1,256,628,479         (1,058,675,637         (1,511,405,502         (1,385,082,501     (458,221,064     (429,112,111
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     (205,380,341     96,563,157       503,771,697       (47,418,707     (198,859,775     (57,312,529
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     (67,785,325     (167,752,724     25,353,661       (48,587,052     (157,591,960     (75,098,273
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

 

   

Beginning of period

     4,143,395,030       4,311,147,754       4,696,984,048       4,745,571,100       1,429,093,235       1,504,191,508  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $ 4,075,609,705     $ 4,143,395,030     $ 4,722,337,709     $ 4,696,984,048     $     1,271,501,275     $     1,429,093,235  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  84  

 


Hartford Domestic Equity Funds

Statements of Changes in Net Assets – (continued)

 

 

 

     The Hartford
MidCap Fund
    The Hartford
MidCap Value Fund
    Hartford
Quality Value Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

            

Net investment income (loss)

   $ (17,375,474   $ (27,259,243   $ 5,214,816     $ 2,443,998     $ 4,991,920     $ 4,688,650  

Net realized gain (loss) on investments and foreign currency transactions

     692,389,101       1,338,169,899       15,796,293       67,366,569       6,013,760       13,126,896  

Net changes in unrealized appreciation (depreciation) of investments and foreign currency transactions

     1,148,200,359       (1,053,603,351  

 

60,487,724

 

 

 

(98,187,581

 

 

18,436,373

 

 

 

(13,079,872

  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     1,823,213,986       257,307,305       81,498,833       (28,377,014     29,442,053       4,735,674  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

Class A

     (289,440,848     (114,449,039     (31,904,637     (7,223,583     (10,328,219     (8,334,392

Class C

     (88,988,927     (44,224,199     (2,364,041     (1,054,080     (488,659     (939,316

Class I

     (397,398,146     (137,926,366     (3,672,119     (1,061,423     (854,566     (739,645

Class R3

     (10,655,554     (3,811,998     (947,049     (281,738     (61,925     (51,825

Class R4

     (27,102,479     (10,885,993     (1,216,557     (300,127     (364,460     (346,523

Class R5

     (45,165,553     (14,370,283     (805,091     (270,417     (32,495     (23,373

Class R6

     (108,955,955     (19,124,476                 (650      

Class Y

     (162,390,598     (61,748,284     (1,198,031     (697,801     (39,465     (53,600

Class F

     (183,904,712     (56,547,280     (29,727,333     (6,915,715     (6,128,466     (2,280,455
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (1,314,002,772     (463,087,918     (71,834,858     (17,804,884     (18,298,905     (12,769,129
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

 

   

Sold

     3,932,057,467       4,914,460,268       140,081,421       178,140,524       16,762,137       99,183,936  

Issued on reinvestment of distributions

     1,257,169,368       443,523,450       70,997,863       17,573,868       18,080,940       12,375,926  

Redeemed

         (4,084,043,517         (3,285,208,745         (145,764,489         (191,784,914         (120,327,472     (59,096,311
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     1,105,183,318       2,072,774,973       65,314,795       3,929,478       (85,484,395     52,463,551  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     1,614,394,532       1,866,994,360       74,978,770       (42,252,420     (74,341,247     44,430,096  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

 

   

Beginning of period

     12,297,071,251       10,430,076,891       630,781,367       673,033,787       282,921,624       238,491,528  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $ 13,911,465,783     $ 12,297,071,251     $ 705,760,137     $ 630,781,367     $ 208,580,377     $     282,921,624  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  85  

 


Hartford Domestic Equity Funds

Statements of Changes in Net Assets – (continued)

 

 

 

     The Hartford
Small Cap Growth Fund
    Hartford
Small Cap Value Fund
    The Hartford
Small Company Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

            

Net investment income (loss)

   $ (1,619,044   $ (3,618,477   $ 1,171,073     $ 586,484     $ (2,934,571   $ (4,075,782

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     14,715,285       225,263,306       5,301,969       24,948,797       38,272,188       105,808,268  

Net changes in unrealized appreciation (depreciation) of investments

     68,831,465       (183,849,268     (2,603,683     (22,059,218     34,222,341       (58,998,231
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     81,927,706       37,795,561       3,869,359       3,476,063       69,559,958       42,734,255  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

Class A

     (43,413,241     (10,167,241     (12,609,836     (2,315,926     (50,850,996      

Class C

     (6,352,380     (2,203,133     (1,665,307     (508,602     (2,799,065      

Class I

     (47,429,264     (20,092,838     (1,179,686     (146,673     (4,870,629      

Class R3

     (2,796,540     (702,522     (126,981     (16,003     (2,677,758      

Class R4

     (14,166,813     (3,465,055     (11,402     (4,290     (2,412,769      

Class R5

     (18,766,338     (5,057,310     (8,637     (2,044     (403,513      

Class R6

     (8,767,431     (548,465     (2,456           (21,469      

Class Y

     (69,794,940     (16,305,895     (115,661     (61,224     (5,332,405      

Class F

     (9,900,355     (2,220,863     (9,621,393     (4,128,489     (20,116,041      
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (221,387,302     (60,763,322     (25,341,359     (7,183,251     (89,484,645      
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

 

   

Sold

     366,698,768       280,228,679       24,105,167       10,834,354       140,460,721       123,581,364  

Issued on reinvestment of distributions

     209,847,653       58,239,385       24,897,952       7,135,493       88,871,747        

Redeemed

     (518,321,132     (537,355,309     (24,593,063     (68,460,953         (112,635,884     (128,907,283
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     58,225,289       (198,887,245     24,410,056       (50,491,106     116,696,584       (5,325,919
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     (81,234,307     (221,855,006     2,938,056       (54,198,294     96,771,897       37,408,336  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

 

   

Beginning of period

     1,097,367,791       1,319,222,797       101,961,159       156,159,453       509,399,752       471,991,416  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $     1,016,133,484     $     1,097,367,791     $     104,899,215     $     101,961,159     $ 606,171,649     $     509,399,752  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  86  

 


Hartford Domestic Equity Funds

Financial Highlights

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford Capital Appreciation Fund                                                        

For the Year Ended October 31, 2019

 

                     

A

  $   37.88     $   0.15     $   4.81     $   4.96     $   (0.11   $   (5.61   $   (5.72   $   37.12       16.32   $   4,831,749       1.07     1.07     0.42     68

C

    29.30       (0.09     3.48       3.39             (5.61     (5.61     27.08       15.45       278,394       1.83       1.83       (0.33     68  

I

    38.08       0.25       4.84       5.09       (0.20     (5.61     (5.81     37.36       16.66       658,302       0.79       0.79       0.70       68  

R3

    41.62       0.03       5.43       5.46             (5.61     (5.61     41.47       15.91       50,957       1.42       1.42       0.07       68  

R4

    42.94       0.16       5.63       5.79       (0.06     (5.61     (5.67     43.06       16.27       38,634       1.11       1.11       0.39       68  

R5

    43.80       0.28       5.75       6.03       (0.18     (5.61     (5.79     44.04       16.64       38,808       0.80       0.80       0.68       68  

R6

    44.07       0.33       5.78       6.11       (0.23     (5.61     (5.84     44.34       16.74       80,535       0.70       0.70       0.78       68  

Y

    44.06       0.32       5.77       6.09       (0.22     (5.61     (5.83     44.32       16.71       187,754       0.78       0.74       0.75       68  

F

    38.09       0.28       4.83       5.11       (0.23     (5.61     (5.84     37.36       16.75       776,505       0.70       0.70       0.79       68  

For the Year Ended October 31, 2018

 

A

  $   41.86     $ 0.15     $   1.45     $   1.60     $   (0.26   $   (5.32   $   (5.58   $   37.88       3.92   $   4,742,846       1.07     1.06     0.38     108

C

    33.62         (0.11     1.16       1.05       (0.05     (5.32     (5.37     29.30       3.15       426,256       1.81       1.81       (0.34     108  

I

    42.04       0.26       1.44       1.70       (0.34     (5.32     (5.66     38.08       4.19       734,580       0.78       0.78       0.66       108  

R3

    45.39       0.02       1.56       1.58       (0.03     (5.32     (5.35     41.62       3.57       61,882       1.42       1.41       0.04       108  

R4

    46.69       0.15       1.62       1.77       (0.20     (5.32     (5.52     42.94       3.87       51,635       1.10       1.10       0.34       108  

R5

    47.54       0.30       1.63       1.93       (0.35     (5.32     (5.67     43.80       4.18       34,288       0.80       0.80       0.65       108  

R6

    47.80       0.35       1.64       1.99       (0.40     (5.32     (5.72     44.07       4.29       70,935       0.70       0.70       0.75       108  

Y

    47.78       0.34       1.64       1.98       (0.38     (5.32     (5.70     44.06       4.28       175,731       0.71       0.71       0.74       108  

F

    42.06       0.30       1.45       1.75       (0.40     (5.32     (5.72     38.09       4.28       880,110       0.70       0.70       0.75       108  

For the Year Ended October 31, 2017

 

A

  $   34.49     $   0.13     $   7.39     $   7.52     $   (0.15   $   —     $   (0.15   $   41.86       21.86   $   4,613,982       1.09 %(4)      1.08 %(4)      0.34     123

C

    27.80       (0.12     5.94       5.82                         33.62       20.97       1,241,267       1.82 (4)      1.82 (4)      (0.39     123  

I

    34.65       0.25       7.40       7.65       (0.26           (0.26     42.04       22.20       846,019       0.81 (4)      0.81 (4)      0.63       123  

R3

    37.38       0.01       8.01       8.02       (0.01           (0.01     45.39       21.47       75,201       1.42 (4)      1.40 (4)      0.03       123  

R4

    38.39       0.14       8.23       8.37       (0.07           (0.07     46.69       21.82       74,374       1.11 (4)      1.11 (4)      0.33       123  

R5

    39.15       0.28       8.37       8.65       (0.26           (0.26     47.54       22.20       40,582       0.81 (4)      0.80 (4)      0.63       123  

R6

    39.36       0.31       8.42       8.73       (0.29           (0.29     47.80       22.33       70,142       0.71 (4)      0.71 (4)      0.71       123  

Y

    39.36       0.30       8.41       8.71       (0.29           (0.29     47.78       22.27       184,502       0.72 (4)      0.72 (4)      0.70       123  

F(5)

    38.15       0.18       3.73       3.91                         42.06       10.28 (6)      1,103,972       0.71 (4)(7)      0.71 (4)(7)      0.65 (7)      123  

For the Year Ended October 31, 2016

 

A

  $   38.15     $   0.13     $   (0.57   $   (0.44   $   (0.12   $   (3.10   $   (3.22   $   34.49       (0.97 )%    $   4,609,594       1.11     1.11 %(8)      0.39     88

B

    31.00       (0.13     (0.49     (0.62           (3.10     (3.10     27.28       (1.82     58,647       2.00       2.00 (8)      (0.49     88  

C

    31.48       (0.09     (0.49     (0.58           (3.10     (3.10     27.80       (1.65     1,420,171       1.83       1.83 (8)      (0.33     88  

I

    38.31       0.24       (0.57     (0.33     (0.23     (3.10     (3.33     34.65       (0.65     1,225,026       0.81       0.81 (8)      0.70       88  

R3

    41.06       0.03       (0.61     (0.58           (3.10     (3.10     37.38       (1.26     103,526       1.43       1.42 (8)      0.09       88  

R4

    42.07       0.15       (0.63     (0.48     (0.10     (3.10     (3.20     38.39       (0.95     100,426       1.12       1.12 (8)      0.39       88  

R5

    42.84       0.27       (0.64     (0.37     (0.22     (3.10     (3.32     39.15       (0.65     45,643       0.82       0.82 (8)      0.69       88  

R6

    43.03       0.33       (0.66     (0.33     (0.24     (3.10     (3.34     39.36       (0.56     57,432       0.72       0.72 (8)      0.85       88  

Y

    43.05       0.30       (0.63     (0.33     (0.26     (3.10     (3.36     39.36       (0.55     939,300       0.72       0.72 (8)      0.78       88  

For the Year Ended October 31, 2015

 

A

  $   49.44     $   0.13     $   1.27     $   1.40     $   (0.13   $   (12.56   $   (12.69   $   38.15       4.20   $   5,453,502       1.09     1.09     0.34     79

B

    42.72       (0.17     1.01       0.84             (12.56     (12.56     31.00       3.30       158,610       1.97       1.97       (0.53     79  

C

    43.13       (0.12     1.03       0.91             (12.56     (12.56     31.48       3.47       1,799,846       1.81       1.81       (0.38     79  

I

    49.60       0.26       1.26       1.52       (0.25     (12.56     (12.81     38.31       4.53       1,736,395       0.78       0.78       0.66       79  

R3

    52.24       0.01       1.37       1.38             (12.56     (12.56     41.06       3.87       124,072       1.40       1.40       0.03       79  

R4

    53.19       0.14       1.41       1.55       (0.11     (12.56     (12.67     42.07       4.18       179,454       1.10       1.10       0.33       79  

R5

    53.92       0.28       1.43       1.71       (0.23     (12.56     (12.79     42.84       4.49       53,292       0.80       0.80       0.63       79  

R6(9)

    54.32       0.30       1.25       1.55       (0.28     (12.56     (12.84     43.03       4.16 (6)      10       0.76 (7)      0.75 (7)      0.70 (7)      79  

Y

    54.12       0.32       1.45       1.77       (0.28     (12.56     (12.84     43.05       4.60       1,253,378       0.70       0.70       0.73       79  

 

The accompanying notes are an integral part of these financial statements.

 

 

  87  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
Hartford Core Equity Fund  

For the Year Ended October 31, 2019

 

A

  $   30.17     $   0.27     $   4.40     $   4.67     $   (0.21   $   (1.23   $   (1.44   $   33.40       16.60   $ 881,587       0.74     0.73     0.88     15

C

    27.53       0.04       4.01       4.05             (1.23     (1.23     30.35       15.71       366,553       1.47       1.47       0.14       15  

I

    30.26       0.35       4.40       4.75       (0.28     (1.23     (1.51     33.50       16.91         1,740,669       0.47       0.47       1.14       15  

R3

    30.52       0.16       4.48       4.64       (0.07     (1.23     (1.30     33.86       16.18       34,158       1.10       1.10       0.52       15  

R4

    31.03       0.28       4.54       4.82       (0.18     (1.23     (1.41     34.44       16.59       150,159       0.77       0.74       0.88       15  

R5

    30.47       0.35       4.44       4.79       (0.28     (1.23     (1.51     33.75       16.90       231,879       0.49       0.49       1.13       15  

R6

    30.61       0.38       4.46       4.84       (0.31     (1.23     (1.54     33.91       17.01       259,706       0.38       0.38       1.22       15  

Y

    30.61       0.37       4.45       4.82       (0.30     (1.23     (1.53     33.90       16.94       371,580       0.46       0.43       1.18       15  

F

    30.28       0.38       4.40       4.78       (0.31     (1.23     (1.54     33.52       17.00       1,655,619       0.38       0.38       1.21       15  

For the Year Ended October 31, 2018

 

                     

A

  $   28.53     $   0.22     $   2.42     $   2.64     $   (0.25   $   (0.75   $   (1.00   $   30.17       9.41   $   666,354       0.74     0.74     0.73     22

C

    26.13             2.22       2.22       (0.07     (0.75     (0.82     27.53       8.61       293,064       1.48       1.48             22  

I

    28.60       0.30       2.43       2.73       (0.32     (0.75     (1.07     30.26       9.72       1,130,600       0.47       0.47       1.00       22  

R3

    28.85       0.12       2.44       2.56       (0.14     (0.75     (0.89     30.52       9.02       34,765       1.10       1.10       0.38       22  

R4

    29.32       0.22       2.48       2.70       (0.24     (0.75     (0.99     31.03       9.37       144,866       0.79       0.76       0.72       22  

R5

    28.81       0.30       2.44       2.74       (0.33     (0.75     (1.08     30.47       9.69       201,510       0.49       0.49       0.99       22  

R6

    28.93       0.33       2.45       2.78       (0.35     (0.75     (1.10     30.61       9.80       146,643       0.39       0.39       1.08       22  

Y

    28.93       0.32       2.45       2.77       (0.34     (0.75     (1.09     30.61       9.77       216,788       0.42       0.42       1.06       22  

F

    28.63       0.33       2.42       2.75       (0.35     (0.75     (1.10     30.28       9.80       635,245       0.39       0.39       1.09       22  

For the Year Ended October 31, 2017

 

A

  $   23.87     $   0.27     $   4.70     $   4.97     $   (0.12   $   (0.19   $   (0.31   $   28.53       21.06   $   631,817       0.75     0.75     1.05     39

C

    21.94       0.07       4.33       4.40       (0.02     (0.19     (0.21     26.13       20.20       316,886       1.50       1.50       0.30       39  

I

    23.93       0.34       4.71       5.05       (0.19     (0.19     (0.38     28.60       21.37       982,686       0.52       0.52       1.30       39  

R3

    24.18       0.19       4.77       4.96       (0.10     (0.19     (0.29     28.85       20.71       43,004       1.11       1.09       0.72       39  

R4

    24.54       0.27       4.84       5.11       (0.14     (0.19     (0.33     29.32       21.05       172,584       0.81       0.79       1.01       39  

R5

    24.10       0.35       4.75       5.10       (0.20     (0.19     (0.39     28.81       21.41       192,359       0.51       0.49       1.31       39  

R6

    24.19       0.37       4.77       5.14       (0.21     (0.19     (0.40     28.93       21.52       118,527       0.41       0.41       1.38       39  

Y

    24.20       0.35       4.78       5.13       (0.21     (0.19     (0.40     28.93       21.47       148,542       0.42       0.42       1.33       39  

F(5)

    26.05       0.26       2.32       2.58                         28.63       9.90 (6)      585,057       0.41 (7)      0.41 (7)      1.39 (7)      39  

For the Year Ended October 31, 2016

 

A

  $   24.05     $   0.15     $   0.13     $   0.28     $   (0.03   $   (0.43   $   (0.46   $   23.87       1.21   $   703,896       0.80     0.80 %(10)      0.64     29

B

    22.33       (0.02     0.11       0.09             (0.43     (0.43     21.99       0.43       766       1.96       1.55 (10)      (0.10     29  

C

    22.27       (0.03     0.13       0.10             (0.43     (0.43     21.94       0.47       281,383       1.55       1.55 (10)      (0.12     29  

I

    24.09       0.21       0.13       0.34       (0.07     (0.43     (0.50     23.93       1.47       749,824       0.55       0.55 (10)      0.88       29  

R3

    24.44       0.08       0.13       0.21       (0.04     (0.43     (0.47     24.18       0.89       36,012       1.14       1.10 (10)      0.33       29  

R4

    24.73       0.15       0.14       0.29       (0.05     (0.43     (0.48     24.54       1.21       144,490       0.83       0.80 (10)      0.63       29  

R5

    24.25       0.22       0.14       0.36       (0.08     (0.43     (0.51     24.10       1.52       121,871       0.53       0.50 (10)      0.93       29  

R6

    24.33       0.24       0.13       0.37       (0.08     (0.43     (0.51     24.19       1.55       32,059       0.43       0.43 (10)      1.00       29  

Y

    24.33       0.24       0.13       0.37       (0.07     (0.43     (0.50     24.20       1.58       281,692       0.43       0.43 (10)      0.99       29  

For the Year Ended October 31, 2015

 

A

  $   22.00     $   0.13     $   2.21     $   2.34     $   —     $   (0.29   $   (0.29   $   24.05       10.75   $   267,237       1.03     0.92     0.55     33

B

    20.60         (0.05     2.07       2.02             (0.29     (0.29     22.33       9.92       1,614       2.18       1.74       (0.23     33  

C

    20.54       (0.04     2.06       2.02             (0.29     (0.29     22.27       9.95       73,070       1.73       1.62       (0.17     33  

I(11)

    23.30       0.12       0.67       0.79                         24.09       3.39 (6)      136,641       0.66 (7)      0.50 (7)      0.85 (7)      33  

R3

    22.41       0.06       2.26       2.32             (0.29     (0.29     24.44       10.46       5,081       1.34       1.16       0.27       33  

R4

    22.60       0.13       2.29       2.42             (0.29     (0.29     24.73       10.82       22,020       0.98       0.82       0.54       33  

R5

    22.72       0.20       2.26       2.46       (0.64     (0.29     (0.93     24.25       11.10       26,977       0.64       0.49       0.84       33  

R6(11)

    23.53       0.11       0.69       0.80                         24.33       3.40 (6)      597       0.57 (7)      0.45 (7)      0.78 (7)      33  

Y

    22.79       0.21       2.27       2.48       (0.65     (0.29     (0.94     24.33       11.15       18,802       0.57       0.50       0.90       33  

 

The accompanying notes are an integral part of these financial statements.

 

 

  88  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford Dividend and Growth Fund  

For the Year Ended October 31, 2019

 

A

  $   25.63     $   0.40     $   2.63     $   3.03     $   (0.38   $   (2.35   $   (2.73   $   25.93       13.75   $   3,739,696       1.00     0.99     1.65     22

C

    24.75       0.21       2.53       2.74       (0.18     (2.35     (2.53     24.96       12.92       192,715       1.77       1.77       0.89       22  

I

    25.51       0.46       2.63       3.09       (0.45     (2.35     (2.80     25.80       14.08       1,079,962       0.73       0.73       1.89       22  

R3

    25.97       0.32       2.67       2.99       (0.29     (2.35     (2.64     26.32       13.33       66,115       1.36       1.35       1.30       22  

R4

    26.14       0.40       2.69       3.09       (0.36     (2.35     (2.71     26.52       13.71       111,451       1.04       1.04       1.61       22  

R5

    26.25       0.47       2.71       3.18       (0.44     (2.35     (2.79     26.64       14.05       193,707       0.74       0.74       1.89       22  

R6

    26.25       0.50       2.71       3.21       (0.47     (2.35     (2.82     26.64       14.16       119,159       0.64       0.64       1.98       22  

Y

    26.25       0.49       2.70       3.19       (0.45     (2.35     (2.80     26.64       14.10       696,309       0.71       0.68       1.96       22  

F

    25.50       0.49       2.61       3.10       (0.47     (2.35     (2.82     25.78       14.15       2,844,206       0.64       0.64       2.00       22  

For the Year Ended October 31, 2018

 

A

  $   27.46     $   0.39     $   0.80     $   1.19     $   (0.38   $   (2.64   $   (3.02   $   25.63       4.38   $   3,521,062       0.99     0.99     1.49     31

C

    26.62       0.19       0.77       0.96       (0.19     (2.64     (2.83     24.75       3.58       228,076       1.76       1.75       0.76       31  

I

    27.35       0.46       0.79       1.25       (0.45     (2.64     (3.09     25.51       4.68       847,646       0.73       0.73       1.75       31  

R3

    27.78       0.30       0.81       1.11       (0.28     (2.64     (2.92     25.97       4.03       72,723       1.35       1.35       1.13       31  

R4

    27.95       0.39       0.80       1.19       (0.36     (2.64     (3.00     26.14       4.32       131,649       1.04       1.04       1.44       31  

R5

    28.05       0.47       0.82       1.29       (0.45     (2.64     (3.09     26.25       4.65       146,918       0.74       0.74       1.74       31  

R6

    28.05       0.49       0.82       1.31       (0.47     (2.64     (3.11     26.25       4.76       74,795       0.64       0.64       1.84       31  

Y

    28.05       0.49       0.81       1.30       (0.46     (2.64     (3.10     26.25       4.72       616,454       0.68       0.68       1.80       31  

F

    27.33       0.48       0.80       1.28       (0.47     (2.64     (3.11     25.50       4.77       2,591,584       0.64       0.64       1.84       31  

For the Year Ended October 31, 2017

 

A

  $   23.49     $   0.39     $   4.75     $   5.14     $   (0.38   $   (0.79   $   (1.17   $   27.46       22.40   $   3,619,123       1.00     1.00     1.52     26

C

    22.80       0.19       4.62       4.81       (0.20     (0.79     (0.99     26.62       21.54       449,961       1.74       1.74       0.78       26  

I

    23.38       0.44       4.74       5.18       (0.42     (0.79     (1.21     27.35       22.67       775,427       0.80       0.80       1.75       26  

R3

    23.75       0.30       4.81       5.11       (0.29     (0.79     (1.08     27.78       21.97       77,175       1.35       1.35       1.17       26  

R4

    23.89       0.38       4.84       5.22       (0.37     (0.79     (1.16     27.95       22.34       142,563       1.05       1.05       1.47       26  

R5

    23.97       0.46       4.86       5.32       (0.45     (0.79     (1.24     28.05       22.72       132,739       0.74       0.74       1.76       26  

R6

    23.97       0.46       4.88       5.34       (0.47     (0.79     (1.26     28.05       22.83       10,957       0.65       0.64       1.75       26  

Y

    23.97       0.50       4.84       5.34       (0.47     (0.79     (1.26     28.05       22.81       605,049       0.66       0.66       1.94       26  

F(5)

    25.51       0.29       1.86       2.15       (0.33           (0.33     27.33       8.49 (6)      2,570,906       0.64 (7)      0.64 (7)      1.66 (7)      26  

For the Year Ended October 31, 2016

 

A

  $   24.99     $   0.37     $   0.50     $   0.87     $   (0.34   $   (2.03   $   (2.37   $   23.49       4.12   $   3,501,684       1.03     1.03 %(12)      1.59     22

B

    24.55       0.16       0.47       0.63       (0.11     (2.03     (2.14     23.04       3.12       19,716       2.01       1.96 (12)      0.71       22  

C

    24.34       0.19       0.47       0.66       (0.17     (2.03     (2.20     22.80       3.31       437,961       1.77       1.77 (12)      0.85       22  

I

    24.89       0.41       0.50       0.91       (0.39     (2.03     (2.42     23.38       4.31       1,779,168       0.83       0.83 (12)      1.78       22  

R3

    25.24       0.29       0.51       0.80       (0.26     (2.03     (2.29     23.75       3.78       79,400       1.36       1.36 (12)      1.26       22  

R4

    25.37       0.37       0.51       0.88       (0.33     (2.03     (2.36     23.89       4.10       136,673       1.06       1.06 (12)      1.56       22  

R5

    25.44       0.44       0.51       0.95       (0.39     (2.03     (2.42     23.97       4.41       104,487       0.76       0.76 (12)      1.89       22  

R6

    25.44       0.42       0.55       0.97       (0.41     (2.03     (2.44     23.97       4.48       2,964       0.66       0.66 (12)      1.76       22  

Y

    25.45       0.46       0.51       0.97       (0.42     (2.03     (2.45     23.97       4.50       1,460,506       0.66       0.66 (12)      1.95       22  

For the Year Ended October 31, 2015

 

A

  $   27.05     $   0.36     $   0.23     $   0.59     $   (0.35   $   (2.30   $   (2.65   $   24.99       2.46   $   3,724,804       1.02     1.02     1.43     23

B

    26.59       0.14       0.22       0.36       (0.10     (2.30     (2.40     24.55       1.54       44,909       1.97       1.92       0.54       23  

C

    26.42       0.17       0.23       0.40       (0.18     (2.30     (2.48     24.34       1.70       467,006       1.76       1.76       0.69       23  

I

    26.95       0.41       0.23       0.64       (0.40     (2.30     (2.70     24.89       2.67       1,715,056       0.81       0.81       1.64       23  

R3

    27.29       0.28       0.24       0.52       (0.27     (2.30     (2.57     25.24       2.12       85,736       1.35       1.35       1.10       23  

R4

    27.42       0.36       0.23       0.59       (0.34     (2.30     (2.64     25.37       2.42       150,367       1.04       1.04       1.41       23  

R5

    27.49       0.44       0.23       0.67       (0.42     (2.30     (2.72     25.44       2.73       229,206       0.74       0.74       1.70       23  

R6(9)

    27.81       0.43         (0.05     0.38       (0.45     (2.30     (2.75     25.44       1.64 (6)      10       0.71 (7)      0.70 (7)      1.71 (7)      23  

Y

    27.50       0.46       0.24       0.70       (0.45     (2.30     (2.75     25.45       2.83       1,323,782       0.64       0.64       1.80       23  

 

The accompanying notes are an integral part of these financial statements.

 

 

  89  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford Equity Income Fund  

For the Year Ended October 31, 2019

 

A

  $   19.39     $   0.38     $   2.02     $   2.40     $   (0.36   $   (1.44   $   (1.80   $   19.99       13.88   $   1,565,663       1.00     1.00     2.01     21

C

    19.29       0.24       2.00       2.24       (0.21     (1.44     (1.65     19.88       13.00       292,388       1.76       1.76       1.27       21  

I

    19.29       0.43       2.01       2.44       (0.41     (1.44     (1.85     19.88       14.17       959,142       0.75       0.75       2.26       21  

R3

    19.41       0.32       2.02       2.34       (0.29     (1.44     (1.73     20.02       13.48       43,474       1.36       1.36       1.66       21  

R4

    19.44       0.37       2.04       2.41       (0.35     (1.44     (1.79     20.06       13.85       53,957       1.07       1.07       1.96       21  

R5

    19.54       0.43       2.04       2.47       (0.41     (1.44     (1.85     20.16       14.14       81,758       0.76       0.76       2.25       21  

R6

    19.58       0.45       2.05       2.50       (0.43     (1.44     (1.87     20.21       14.29       52,201       0.66       0.66       2.33       21  

Y

    19.58       0.45       2.05       2.50       (0.42     (1.44     (1.86     20.22       14.21       105,015       0.73       0.71       2.34       21  

F

    19.29       0.44       2.01       2.45       (0.43     (1.44     (1.87     19.87       14.24       922,012       0.66       0.66       2.34       21  

For the Year Ended October 31, 2018

 

A

  $   20.64     $   0.38     $   (0.24   $   0.14     $   (0.35   $   (1.04   $   (1.39   $   19.39       0.49   $   1,508,580       1.00     1.00     1.90     22

C

    20.53       0.23       (0.23           (0.20     (1.04     (1.24     19.29       (0.22     330,741       1.75       1.75       1.16       22  

I

    20.54       0.43       (0.24     0.19       (0.40     (1.04     (1.44     19.29       0.77       1,157,708       0.74       0.74       2.14       22  

R3

    20.66       0.31       (0.25     0.06       (0.27     (1.04     (1.31     19.41       0.12       46,820       1.36       1.36       1.53       22  

R4

    20.69       0.37       (0.24     0.13       (0.34     (1.04     (1.38     19.44       0.43       70,446       1.06       1.06       1.83       22  

R5

    20.78       0.43       (0.23     0.20       (0.40     (1.04     (1.44     19.54       0.78       79,557       0.76       0.76       2.13       22  

R6

    20.83       0.45       (0.24     0.21       (0.42     (1.04     (1.46     19.58       0.83       34,957       0.66       0.66       2.22       22  

Y

    20.83       0.45       (0.25     0.20       (0.41     (1.04     (1.45     19.58       0.79       140,057       0.70       0.70       2.19       22  

F

    20.54       0.45       (0.24     0.21       (0.42     (1.04     (1.46     19.29       0.85       774,529       0.65       0.65       2.23       22  

For the Year Ended October 31, 2017

 

A

  $   17.97     $   0.35     $   3.24     $   3.59     $   (0.32   $   (0.60   $   (0.92   $   20.64       20.51   $   1,685,398       1.00     1.00     1.83     16

C

    17.89       0.21       3.21       3.42       (0.18     (0.60     (0.78     20.53       19.56       449,104       1.74       1.74       1.09       16  

I

    17.89       0.39       3.23       3.62       (0.37     (0.60     (0.97     20.54       20.76       1,111,235       0.78       0.78       2.03       16  

R3

    17.99       0.28       3.24       3.52       (0.25     (0.60     (0.85     20.66       20.06       57,341       1.37       1.37       1.46       16  

R4

    18.02       0.34       3.24       3.58       (0.31     (0.60     (0.91     20.69       20.39       79,632       1.06       1.06       1.77       16  

R5

    18.09       0.40       3.26       3.66       (0.37     (0.60     (0.97     20.78       20.77       83,048       0.76       0.76       2.06       16  

R6

    18.13       0.41       3.28       3.69       (0.39     (0.60     (0.99     20.83       20.91       29,284       0.66       0.66       2.10       16  

Y

    18.13       0.45       3.23       3.68       (0.38     (0.60     (0.98     20.83       20.88       141,479       0.67       0.67       2.35       16  

F(5)

    19.22       0.24       1.37       1.61       (0.29           (0.29     20.54       8.45 (6)      674,626       0.66 (7)      0.66 (7)      1.84 (7)      16  

For the Year Ended October 31, 2016

 

A

  $   18.70     $   0.36     $   0.64     $   1.00     $   (0.33   $   (1.40   $   (1.73   $   17.97       6.13   $   1,676,572       1.04     1.04     2.03     14

B

    18.72       0.34       0.64       0.98       (0.30     (1.40     (1.70     18.00       6.01       6,930       1.18       1.18       1.95       14  

C

    18.61       0.23       0.65       0.88       (0.20     (1.40     (1.60     17.89       5.45       452,909       1.76       1.76       1.30       14  

I

    18.62       0.39       0.66       1.05       (0.38     (1.40     (1.78     17.89       6.45       966,338       0.78       0.78       2.25       14  

R3

    18.72       0.30       0.64       0.94       (0.27     (1.40     (1.67     17.99       5.77       54,732       1.38       1.38       1.68       14  

R4

    18.74       0.35       0.65       1.00       (0.32     (1.40     (1.72     18.02       6.14       76,745       1.07       1.07       1.98       14  

R5

    18.81       0.41       0.64       1.05       (0.37     (1.40     (1.77     18.09       6.42       65,276       0.77       0.77       2.31       14  

R6

    18.84       0.42       0.66       1.08       (0.39     (1.40     (1.79     18.13       6.57       14,551       0.67       0.67       2.38       14  

Y

    18.84       0.41       0.67       1.08       (0.39     (1.40     (1.79     18.13       6.57       386,011       0.67       0.67       2.35       14  

For the Year Ended October 31, 2015

 

A

  $   19.04     $   0.35     $   0.18     $   0.53     $   (0.35   $   (0.52   $   (0.87   $   18.70       2.95   $   1,757,486       1.02     1.02     1.87     20

B

    19.05       0.33       0.18       0.51       (0.32     (0.52     (0.84     18.72       2.82       13,915       1.16       1.16       1.75       20  

C

    18.96       0.21       0.18       0.39       (0.22     (0.52     (0.74     18.61       2.18       461,099       1.76       1.76       1.12       20  

I

    18.97       0.40       0.17       0.57       (0.40     (0.52     (0.92     18.62       3.18       835,297       0.76       0.76       2.13       20  

R3

    19.06       0.29       0.18       0.47       (0.29     (0.52     (0.81     18.72       2.61       56,026       1.36       1.36       1.52       20  

R4

    19.08       0.34       0.18       0.52       (0.34     (0.52     (0.86     18.74       2.92       74,473       1.06       1.06       1.82       20  

R5

    19.15       0.40       0.18       0.58       (0.40     (0.52     (0.92     18.81       3.22       76,741       0.76       0.76       2.15       20  

R6(9)

    19.39       0.35       0.04       0.39       (0.42     (0.52     (0.94     18.84       2.20 (6)      13,902       0.69 (7)      0.69 (7)      1.93 (7)      20  

Y

    19.19       0.42       0.17       0.59       (0.42     (0.52     (0.94     18.84       3.26       246,177       0.66       0.66       2.22       20  

 

The accompanying notes are an integral part of these financial statements.

 

 

  90  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford Growth Opportunities Fund  

For the Year Ended October 31, 2019

 

A

  $   45.89     $   (0.25   $   4.35     $   4.10     $   —     $   (10.54   $   (10.54   $   39.45       13.64   $   2,089,246       1.12     1.11     (0.64 )%      66

C

    29.36       (0.29     1.97       1.68             (10.54     (10.54     20.50       12.79       281,545       1.86       1.86       (1.39     66  

I

    47.99       (0.16     4.66       4.50             (10.54     (10.54     41.95       13.94       1,500,756       0.85       0.85       (0.38     66  

R3

    45.98       (0.39     4.36       3.97             (10.54     (10.54     39.41       13.25       44,757       1.47       1.46       (1.00     66  

R4

    48.38       (0.29     4.71       4.42             (10.54     (10.54     42.26       13.57       67,104       1.15       1.15       (0.69     66  

R5

    50.48       (0.17     5.01       4.84             (10.54     (10.54     44.78       13.92       25,396       0.85       0.85       (0.39     66  

R6

    51.18       (0.13     5.12       4.99             (10.54     (10.54     45.63       14.03       22,765       0.75       0.75       (0.29     66  

Y

    51.18       (0.15     5.13       4.98             (10.54     (10.54     45.62       14.00       164,390       0.83       0.79       (0.33     66  

F

    48.07       (0.12     4.68       4.56             (10.54     (10.54     42.09       14.07       526,379       0.74       0.74       (0.28     66  

For the Year Ended October 31, 2018

 

A

  $   46.20     $   (0.29   $   3.86     $   3.57     $   —     $   (3.88   $   (3.88   $   45.89       8.31   $   2,013,200       1.11     1.11     (0.61 )%      122

C

    31.15       (0.41     2.50       2.09             (3.88     (3.88     29.36       7.49       321,653       1.85       1.85       (1.35     122  

I

    48.01       (0.17     4.03       3.86             (3.88     (3.88     47.99       8.62       1,674,141       0.84       0.84       (0.34     122  

R3

    46.43       (0.45     3.88       3.43             (3.88     (3.88     45.98       7.94       47,707       1.46       1.45       (0.95     122  

R4

    48.52       (0.32     4.06       3.74             (3.88     (3.88     48.38       8.28       79,229       1.15       1.15       (0.65     122  

R5

    50.31       (0.18     4.23       4.05             (3.88     (3.88     50.48       8.60       19,708       0.86       0.86       (0.35     122  

R6

    50.91       (0.14     4.29       4.15             (3.88     (3.88     51.18       8.71       12,061       0.75       0.75       (0.26     122  

Y

    50.92       (0.15     4.29       4.14             (3.88     (3.88     51.18       8.68       127,721       0.78       0.78       (0.28     122  

F

    48.05       (0.12     4.02       3.90             (3.88     (3.88     48.07       8.71       401,565       0.75       0.75       (0.25     122  

For the Year Ended October 31, 2017

 

A

  $   37.66     $   (0.23   $   10.17     $   9.94     $   —     $   (1.40   $   (1.40   $   46.20       27.40   $   1,914,743       1.11     1.10     (0.57 )%      119

C

    26.03       (0.36     6.88       6.52             (1.40     (1.40     31.15       26.46       412,184       1.86       1.86       (1.32     119  

I

    39.00       (0.15     10.56         10.41             (1.40     (1.40     48.01       27.67       1,546,058       0.89       0.89       (0.35     119  

R3

    37.96       (0.37     10.24       9.87             (1.40     (1.40     46.43       26.95       48,315       1.46       1.45       (0.92     119  

R4

    39.50       (0.26     10.68       10.42             (1.40     (1.40     48.52       27.33       81,413       1.15       1.15       (0.62     119  

R5

    40.78       (0.14     11.07       10.93             (1.40     (1.40     50.31       27.74       16,530       0.86       0.85       (0.32     119  

R6

    41.21       (0.12     11.22       11.10             (1.40     (1.40     50.91       27.86       4,554       0.76       0.75       (0.26     119  

Y

    41.23       (0.09     11.18       11.09             (1.40     (1.40     50.92       27.83       104,645       0.77       0.77       (0.22     119  

F(5)

    40.07       (0.10     8.08       7.98                         48.05       19.92 (6)      617,087       0.75 (7)      0.75 (7)      (0.34 )(7)      119  

For the Year Ended October 31, 2016

 

A

  $   40.68     $   (0.20   $   0.55     $   0.35     $   —     $   (3.37   $   (3.37   $   37.66       1.04   $   1,747,532       1.14     1.14 %(13)      (0.55 )%      117

B

    29.08       (0.37     0.35       (0.02           (3.37     (3.37     25.69       0.09       4,249       2.09       2.06 (13)      (1.45     117  

C

    29.37       (0.33     0.36       0.03             (3.37     (3.37     26.03       0.28       420,107       1.89       1.89 (13)      (1.29     117  

I

    41.98       (0.12     0.57       0.45         (0.06     (3.37     (3.43     39.00       1.25       1,726,408       0.93       0.93 (13)      (0.32     117  

R3

    41.11       (0.33     0.55       0.22             (3.37     (3.37     37.96       0.71       47,559       1.47       1.47 (13)      (0.87     117  

R4

    42.51       (0.22     0.58       0.36             (3.37     (3.37     39.50       1.02       72,213       1.17       1.17 (13)      (0.57     117  

R5

    43.73       (0.08     0.57       0.49       (0.07     (3.37     (3.44     40.78       1.30       14,791       0.87       0.86 (13)      (0.20     117  

R6

    44.15       (0.07     0.61       0.54       (0.11     (3.37     (3.48     41.21       1.40       942       0.77       0.77 (13)      (0.17     117  

Y

    44.17       (0.08     0.62       0.54       (0.11     (3.37     (3.48     41.23       1.40       231,037       0.77       0.77 (13)      (0.19     117  

For the Year Ended October 31, 2015

 

A

  $   43.76     $   (0.17   $   4.82     $   4.65     $   —     $   (7.73   $   (7.73   $   40.68       12.72   $   1,853,433       1.12     1.12     (0.42 )%      93

B

    33.71       (0.39     3.49       3.10             (7.73     (7.73     29.08       11.72       15,256       2.04       2.03       (1.32     93  

C

    33.91       (0.34     3.53       3.19             (7.73     (7.73     29.37       11.95       401,542       1.86       1.86       (1.17     93  

I

    44.82       (0.09     4.98       4.89             (7.73     (7.73     41.98       12.99       2,433,134       0.89       0.89       (0.21     93  

R3

    44.25       (0.31     4.90       4.59             (7.73     (7.73     41.11       12.39       44,347       1.45       1.45       (0.76     93  

R4

    45.39       (0.19     5.04       4.85             (7.73     (7.73     42.51       12.70       60,775       1.15       1.15       (0.45     93  

R5

    46.36       (0.07     5.17       5.10             (7.73     (7.73     43.73       13.02       123,897       0.84       0.84       (0.15     93  

R6(9)

    47.09       (0.06     4.85       4.79             (7.73     (7.73     44.15       12.16 (6)      11       0.82 (7)      0.82 (7)      (0.14 )(7)      93  

Y

    46.70       (0.04     5.24       5.20             (7.73     (7.73     44.17       13.16       188,938       0.75       0.75       (0.09     93  

 

The accompanying notes are an integral part of these financial statements.

 

 

  91  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford Healthcare Fund  

For the Year Ended October 31, 2019

 

A

  $   34.38     $   (0.10   $   3.83     $   3.73     $   —     $   (2.48   $   (2.48   $   35.63       12.02   $   666,181       1.30     1.30     (0.30 )%      35

C

    27.98       (0.28     3.02       2.74             (2.48     (2.48     28.24       11.17       138,539       2.05       2.05       (1.06     35  

I

    36.11       0.00 (21)      4.05       4.05             (2.48     (2.48     37.68       12.36       297,000       1.01       1.01       (0.01     35  

R3

    35.32       (0.21     3.93       3.72             (2.48     (2.48     36.56       11.66       33,948       1.62       1.62       (0.62     35  

R4

    37.12       (0.12     4.17       4.05             (2.48     (2.48     38.69       12.00       26,699       1.32       1.32       (0.32     35  

R5

    38.82       (0.01     4.38       4.37             (2.48     (2.48     40.71       12.32       6,170       1.02       1.02       (0.04     35  

R6(14)

    39.22       0.02       2.04       2.06                         41.28       5.25 (6)      1,341       0.91 (7)      0.91 (7)      0.06 (7)      35  

Y

    39.29       0.01       4.45       4.46             (2.48     (2.48     41.27       12.40       72,515       0.97       0.96       0.03       35  

F

    36.17       0.02       4.08       4.10             (2.48     (2.48     37.79       12.48       29,108       0.91       0.91       0.06       35  

For the Year Ended October 31, 2018

 

A

  $   34.86     $   (0.14   $   1.45     $   1.31     $   —     $   (1.79   $   (1.79   $   34.38       3.86   $   682,175       1.28     1.28     (0.40 )%      27

C

    28.90       (0.33     1.20       0.87             (1.79     (1.79     27.98       3.10       160,084       2.03       2.02       (1.13     27  

I

    36.43       (0.04     1.51       1.47             (1.79     (1.79     36.11       4.15       379,392       1.00       1.00       (0.11     27  

R3

    35.87       (0.26     1.50       1.24             (1.79     (1.79     35.32       3.55       38,412       1.61       1.61       (0.72     27  

R4

    37.50       (0.16     1.57       1.41             (1.79     (1.79     37.12       3.86       32,373       1.30       1.30       (0.42     27  

R5

    39.03       (0.05     1.63       1.58             (1.79     (1.79     38.82       4.15       7,757       1.02       1.02       (0.13     27  

Y

    39.45       (0.01     1.64       1.63             (1.79     (1.79     39.29       4.24       52,896       0.92       0.92       (0.03     27  

F

    36.45             1.51       1.51             (1.79     (1.79     36.17       4.26       76,003       0.90       0.90       (0.01     27  

For the Year Ended October 31, 2017

 

A

  $   30.96     $   (0.12   $   7.04     $   6.92     $   —     $   (3.02   $   (3.02   $   34.86       24.28   $   714,694       1.29     1.29     (0.36 )%      23

C

    26.34       (0.30     5.88       5.58             (3.02     (3.02     28.90       23.37       242,421       2.04       2.03       (1.10     23  

I

    32.15       (0.04     7.34       7.30             (3.02     (3.02     36.43       24.59       351,686       1.03       1.03       (0.11     23  

R3

    31.87       (0.23     7.25       7.02             (3.02     (3.02     35.87       23.87       45,673       1.61       1.61       (0.68     23  

R4

    33.10       (0.13     7.55       7.42             (3.02     (3.02     37.50       24.22       35,927       1.31       1.31       (0.38     23  

R5

    34.23       (0.03     7.85       7.82             (3.02     (3.02     39.03       24.62       6,888       1.01       1.01       (0.08     23  

Y

    34.54       (0.01     7.94       7.93             (3.02     (3.02     39.45       24.72       45,193       0.93       0.93       (0.02     23  

F(5)

    33.96       0.01       2.48       2.49                         36.45       7.33 (6)      61,710       0.90 (7)      0.90 (7)      0.04 (7)      23  

For the Year Ended October 31, 2016

 

A

  $   38.70     $   (0.12   $   (2.52   $   (2.64   $   (0.55   $   (4.55   $   (5.10   $   30.96       (8.11 )%    $   757,038       1.33     1.33     (0.36 )%      35

B

    33.41       (0.36     (2.15     (2.51     (0.13     (4.55     (4.68     26.22       (8.94     2,056       2.24       2.22       (1.26     35  

C

    33.73       (0.31     (2.15     (2.46     (0.38     (4.55     (4.93     26.34       (8.78     254,009       2.06       2.06       (1.10     35  

I

    39.98       (0.03     (2.61     (2.64     (0.64     (4.55     (5.19     32.15       (7.86     228,463       1.07       1.07       (0.09     35  

R3

    39.69       (0.22     (2.61     (2.83     (0.44     (4.55     (4.99     31.87       (8.38     43,993       1.62       1.62       (0.66     35  

R4

    41.01       (0.13     (2.69     (2.82     (0.54     (4.55     (5.09     33.10       (8.09     38,273       1.32       1.32       (0.36     35  

R5

    42.22       (0.02     (2.79     (2.81     (0.63     (4.55     (5.18     34.23       (7.82     5,342       1.03       1.03       (0.06     35  

Y

    42.54       0.02       (2.80     (2.78     (0.67     (4.55     (5.22     34.54       (7.72     51,125       0.92       0.92       0.05       35  

For the Year Ended October 31, 2015

 

A

  $   36.60     $   (0.18   $   4.77     $   4.59     $   —     $   (2.49   $   (2.49   $   38.70       13.19   $   914,414       1.28     1.28     (0.46 )%      39

B

    32.18       (0.46     4.18       3.72             (2.49     (2.49     33.41       12.23       6,239       2.15       2.15       (1.35     39  

C

    32.42       (0.41     4.21       3.80             (2.49     (2.49     33.73       12.40       310,668       2.02       2.02       (1.19     39  

I

    37.63       (0.07     4.91       4.84             (2.49     (2.49     39.98       13.51       266,553       1.01       1.01       (0.18     39  

R3

    37.58       (0.31     4.91       4.60             (2.49     (2.49     39.69       12.85       59,135       1.61       1.61       (0.78     39  

R4

    38.64       (0.20     5.06       4.86             (2.49     (2.49     41.01       13.19       51,253       1.30       1.30       (0.48     39  

R5

    39.60       (0.08     5.19       5.11             (2.49     (2.49     42.22       13.52       5,326       1.01       1.01       (0.18     39  

Y

    39.85       (0.03     5.21       5.18             (2.49     (2.49     42.54       13.64       8,834       0.90       0.90       (0.08     39  

 

The accompanying notes are an integral part of these financial statements.

 

 

  92  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford MidCap Fund  

For the Year Ended October 31, 2019

 

A

  $   30.03     $   (0.09   $   3.80     $   3.71     $   —     $   (3.40   $   (3.40   $   30.34       14.93   $   2,820,971       1.11     1.10     (0.32 )%      31

C

    21.90       (0.22     2.55       2.33             (3.40     (3.40     20.83       14.10       498,057       1.86       1.86       (1.08     31  

I

    30.91       (0.02     3.94       3.92             (3.40     (3.40     31.43       15.25       4,168,592       0.85       0.85       (0.06     31  

R3

    33.31       (0.22     4.29       4.07             (3.40     (3.40     33.98       14.54       96,409       1.45       1.45       (0.67     31  

R4

    34.59       (0.12     4.50       4.38             (3.40     (3.40     35.57       14.89       266,390       1.16       1.14       (0.36     31  

R5

    35.55       (0.02     4.64       4.62             (3.40     (3.40     36.77       15.23       497,712       0.84       0.84       (0.07     31  

R6

    35.90       0.02       4.70       4.72             (3.40     (3.40     37.22       15.37       1,731,890       0.74       0.74       0.04       31  

Y

    35.87       0.00 (21)      4.70       4.70             (3.40     (3.40     37.17       15.32       1,571,851       0.82       0.78       0.01       31  

F

    30.96       0.01       3.95       3.96             (3.40     (3.40     31.52       15.36       2,259,594       0.74       0.74       0.04       31  

For the Year Ended October 31, 2018

 

                 

A

  $   30.36     $   (0.12   $   1.20     $   1.08     $   —     $   (1.41   $   (1.41   $   30.03       3.63   $   2,592,610       1.11     1.10     (0.39 )%      37

C

    22.67       (0.27     0.91       0.64             (1.41     (1.41     21.90       2.84       580,708       1.85       1.85       (1.14     37  

I

    31.12       (0.03     1.23       1.20             (1.41     (1.41     30.91       3.91       3,666,464       0.82       0.82       (0.11     37  

R3

    33.64       (0.26     1.34       1.08             (1.41     (1.41     33.31       3.23       102,632       1.46       1.46       (0.75     37  

R4

    34.78       (0.16     1.38       1.22             (1.41     (1.41     34.59       3.57       289,049       1.16       1.15       (0.43     37  

R5

    35.59       (0.05     1.42       1.37             (1.41     (1.41     35.55       3.89       468,146       0.85       0.85       (0.13     37  

R6

    35.90       (0.01     1.42       1.41             (1.41     (1.41     35.90       3.97       1,014,518       0.75       0.75       (0.04     37  

Y

    35.88       (0.02     1.42       1.40             (1.41     (1.41     35.87       3.95       1,934,520       0.78       0.78       (0.06     37  

F

    31.15       (0.01     1.23       1.22             (1.41     (1.41     30.96       3.97       1,648,425       0.75       0.75       (0.03     37  

For the Year Ended October 31, 2017

 

                 

A

  $   24.25     $   (0.11   $   7.00     $   6.89     $   —     $   (0.78   $   (0.78   $   30.36       29.02   $   2,482,275       1.13     1.12     (0.38 )%      30

C

    18.42       (0.23     5.26       5.03             (0.78     (0.78     22.67       28.07       717,521       1.87       1.87       (1.12     30  

I

    24.79       (0.05     7.16       7.11             (0.78     (0.78     31.12       29.28       2,996,705       1.02       0.89       (0.17     30  

R3

    26.88       (0.22     7.76       7.54             (0.78     (0.78     33.64       28.59       90,582       1.47       1.47       (0.73     30  

R4

    27.69       (0.14     8.01       7.87             (0.78     (0.78     34.78       28.95       263,236       1.16       1.16       (0.43     30  

R5

    28.24       (0.04     8.17       8.13             (0.78     (0.78     35.59       29.32       356,166       0.86       0.86       (0.14     30  

R6

    28.45       (0.05     8.28       8.23             (0.78     (0.78     35.90       29.45       431,183       0.76       0.76       (0.14     30  

Y

    28.44       (0.01     8.23       8.22             (0.78     (0.78     35.88       29.43       1,847,676       0.78       0.78       (0.04     30  

F(5)

    27.52       (0.03     3.66       3.63                         31.15       13.19 (6)      1,244,732       0.76 (7)      0.76 (7)      (0.15 )(7)      30  

For the Year Ended October 31, 2016

 

                 

A

  $   26.47     $   (0.07   $   (0.22   $   (0.29   $   —     $   (1.93   $   (1.93   $   24.25       (0.79 )%    $   2,041,826       1.17     1.17     (0.29 )%      31

B

    20.13       (0.21     (0.19     (0.40           (1.93     (1.93     17.80       (1.66     16,842       2.06       2.06       (1.16     31  

C

    20.73       (0.18     (0.20     (0.38           (1.93     (1.93     18.42       (1.50     611,311       1.89       1.89       (1.01     31  

I

    26.96       (0.04     (0.20     (0.24           (1.93     (1.93     24.79       (0.57     1,725,700       1.02       1.02       (0.18     31  

R3

    29.20       (0.16     (0.23     (0.39           (1.93     (1.93     26.88       (1.07     71,711       1.48       1.48       (0.59     31  

R4

    29.93       (0.08     (0.23     (0.31           (1.93     (1.93     27.69       (0.76     165,137       1.18       1.18       (0.30     31  

R5

    30.39             (0.22     (0.22           (1.93     (1.93     28.24       (0.47     193,533       0.87       0.87             31  

R6

    30.58             (0.20     (0.20           (1.93     (1.93     28.45       (0.36     26,352       0.77       0.77       0.01       31  

Y

    30.57       0.03       (0.23     (0.20           (1.93     (1.93     28.44       (0.36     1,490,965       0.77       0.77       0.10       31  

For the Year Ended October 31, 2015

 

                 

A

  $   27.38     $   (0.09   $   1.85     $   1.76     $   —     $   (2.67   $   (2.67   $   26.47       7.28   $   2,048,529       1.14     1.14     (0.35 )%      29

B

    21.65       (0.25     1.40       1.15             (2.67     (2.67     20.13       6.28       24,665       2.03       2.03       (1.22     29  

C

    22.18       (0.23     1.45       1.22             (2.67     (2.67     20.73       6.46       626,345       1.88       1.88       (1.09     29  

I

    27.78       (0.02     1.87       1.85             (2.67     (2.67     26.96       7.52       702,566       0.87       0.87       (0.09     29  

R3

    30.02       (0.20     2.05       1.85             (2.67     (2.67     29.20       6.91       76,925       1.47       1.47       (0.69     29  

R4

    30.61       (0.11     2.10       1.99             (2.67     (2.67     29.93       7.26       135,698       1.16       1.16       (0.39     29  

R5

    30.96       (0.03     2.13       2.10             (2.67     (2.67     30.39       7.59       164,879       0.86       0.86       (0.09     29  

R6(9)

    31.11       (0.04     2.18       2.14             (2.67     (2.67     30.58       7.65 (6)      1,230       0.77 (7)      0.77 (7)      (0.13 )(7)      29  

Y

    31.10       0.01       2.13       2.14             (2.67     (2.67     30.57       7.66       1,201,917       0.76       0.76       0.04       29  

 

The accompanying notes are an integral part of these financial statements.

 

 

  93  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford MidCap Value Fund                                                              

For the Year Ended October 31, 2019

 

                 

A

  $   14.54     $   0.08     $   1.44     $   1.52     $   (0.04   $   (1.59   $   (1.63   $   14.43       12.74   $   309,996       1.23     1.23     0.61     55

C

    11.97       (0.02     1.15       1.13             (1.59     (1.59     11.51       11.99       15,910       1.99       1.99       (0.14     55  

I

    14.68       0.13       1.46       1.59       (0.08     (1.59     (1.67     14.60       13.20       31,173       0.89       0.89       0.95       55  

R3

    15.23       0.05       1.53       1.58             (1.59     (1.59     15.22       12.42       8,034       1.52       1.52       0.33       55  

R4

    15.55       0.09       1.57       1.66       (0.04     (1.59     (1.63     15.58       12.77       11,865       1.21       1.21       0.64       55  

R5

    15.76       0.16       1.57       1.73       (0.08     (1.59     (1.67     15.82       13.14       1,592       0.92       0.92       1.06       55  

Y

    15.80       0.15       1.60       1.75       (0.09     (1.59     (1.68     15.87       13.23       12,624       0.89       0.85       0.98       55  

F

    14.69       0.14       1.46       1.60       (0.10     (1.59     (1.69     14.60       13.27       314,566       0.80       0.80       1.03       55  

For the Year Ended October 31, 2018

 

                 

A

  $   15.62     $   0.03     $   (0.72   $   (0.69   $   —     $   (0.39   $   (0.39   $   14.54       (4.56 )%    $   284,646       1.22     1.22     0.18     49

C

    13.03         (0.07     (0.60     (0.67           (0.39     (0.39     11.97       (5.26     17,909       1.98       1.97       (0.57     49  

I

    15.72       0.08       (0.73     (0.65           (0.39     (0.39     14.68       (4.27     34,656       0.90       0.90       0.50       49  

R3

    16.39       (0.02     (0.75     (0.77           (0.39     (0.39     15.23       (4.84     9,555       1.52       1.52       (0.13     49  

R4

    16.68       0.03       (0.77     (0.74           (0.39     (0.39     15.55       (4.52     11,639       1.22       1.22       0.18       49  

R5

    16.88       0.08       (0.78     (0.70     (0.03     (0.39     (0.42     15.76       (4.32     8,087       0.91       0.91       0.48       49  

Y

    16.93       0.09       (0.79     (0.70     (0.04     (0.39     (0.43     15.80       (4.23     11,371       0.86       0.86       0.52       49  

F

    15.76       0.10       (0.73     (0.63     (0.05     (0.39     (0.44     14.69       (4.18     252,917       0.80       0.80       0.61       49  

For the Year Ended October 31, 2017

 

                 

A

  $   13.98     $   0.01     $   2.65     $   2.66     $   —     $   (1.02   $   (1.02   $   15.62       19.67   $   291,082       1.23     1.23     0.06     40

C

    11.90       (0.08     2.23       2.15             (1.02     (1.02     13.03       18.66       35,520       1.96       1.96       (0.67     40  

I

    14.09       0.03       2.67       2.70       (0.05     (1.02     (1.07     15.72       19.81       43,342       1.20       1.10       0.20       40  

R3

    14.67       (0.04     2.78       2.74             (1.02     (1.02     16.39       19.26       11,923       1.52       1.52       (0.23     40  

R4

    14.87       0.01       2.82       2.83             (1.02     (1.02     16.68       19.58       12,637       1.21       1.21       0.08       40  

R5

    15.03       0.06       2.86       2.92       (0.05     (1.02     (1.07     16.88       20.06       11,445       0.91       0.91       0.38       40  

Y

    15.07       0.08       2.86       2.94       (0.06     (1.02     (1.08     16.93       20.10       28,403       0.82       0.82       0.48       40  

F(5)

    14.97       0.05       0.74       0.79                         15.76       5.28 (6)      238,682       0.81 (7)      0.81 (7)      0.46 (7)      40  

For the Year Ended October 31, 2016

 

                 

A

  $   15.11     $   0.03     $   (0.03   $   —     $   (0.02   $   (1.11   $   (1.13   $   13.98       0.18   $   246,023       1.30     1.30 %(15)      0.18     56

B

    13.15       (0.07     (0.03     (0.10           (1.11     (1.11     11.94       (0.57     637       2.42       2.12 (15)      (0.63     56  

C

    13.09       (0.06     (0.02     (0.08           (1.11     (1.11     11.90       (0.42     35,965       2.02       2.02 (15)      (0.54     56  

I

    15.22       0.05       (0.01     0.04       (0.06     (1.11     (1.17     14.09       0.48       83,155       1.06       1.06 (15)      0.39       56  

R3

    15.82       (0.01     (0.03     (0.04           (1.11     (1.11     14.67       (0.07     11,396       1.56       1.56 (15)      (0.07     56  

R4

    15.99       0.03       (0.02     0.01       (0.02     (1.11     (1.13     14.87       0.30       13,448       1.25       1.25 (15)      0.23       56  

R5

    16.15       0.08       (0.03     0.05       (0.06     (1.11     (1.17     15.03       0.54       9,831       0.95       0.95 (15)      0.52       56  

Y

    16.19       0.09       (0.03     0.06       (0.07     (1.11     (1.18     15.07       0.63       79,990       0.85       0.85 (15)      0.63       56  

For the Year Ended October 31, 2015

 

                 

A

  $   16.73     $   0.02     $   0.25     $   0.27     $   (0.02   $   (1.87   $   (1.89   $   15.11       2.28   $   229,953       1.25     1.25     0.11     33

B

    14.91       (0.10     0.21       0.11             (1.87     (1.87     13.15       1.37       1,417       2.28       2.09       (0.75     33  

C

    14.84       (0.08     0.20       0.12             (1.87     (1.87     13.09       1.45       41,149       1.97       1.97       (0.62     33  

I

    16.85       0.07       0.25       0.32       (0.08     (1.87     (1.95     15.22       2.57       29,987       0.92       0.92       0.42       33  

R3

    17.45       (0.03     0.27       0.24             (1.87     (1.87     15.82       1.97       10,204       1.52       1.52       (0.19     33  

R4

    17.61       0.02       0.27       0.29       (0.04     (1.87     (1.91     15.99       2.26       11,711       1.21       1.21       0.15       33  

R5

    17.75       0.07       0.28       0.35       (0.08     (1.87     (1.95     16.15       2.62       7,564       0.92       0.92       0.44       33  

Y

    17.78       0.09       0.28       0.37       (0.09     (1.87     (1.96     16.19       2.73       158,691       0.81       0.81       0.54       33  

 

The accompanying notes are an integral part of these financial statements.

 

 

  94  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
Hartford Quality Value Fund  

For the Year Ended October 31, 2019

 

A

  $   20.00     $   0.38     $   1.99     $   2.37     $   (0.28   $   (0.98   $   (1.26   $   21.11       13.10   $   169,771       1.00     0.90     1.95     23

C

    17.12       0.20       1.71       1.91             (0.98     (0.98     18.05       12.23       6,834       1.76       1.67       1.21       23  

I

    19.78       0.45       1.94       2.39       (0.34     (0.98     (1.32     20.85       13.49       12,796       0.65       0.56       2.30       23  

R3

    20.29       0.34       2.01       2.35       (0.21     (0.98     (1.19     21.45       12.78       1,240       1.27       1.16       1.69       23  

R4

    20.49       0.40       2.04       2.44       (0.27     (0.98     (1.25     21.68       13.17       6,014       0.95       0.86       1.99       23  

R5

    20.67       0.47       2.04       2.51       (0.33     (0.98     (1.31     21.87       13.46       230       0.67       0.58       2.33       23  

R6

    20.74       0.47       2.06       2.53       (0.36     (0.98     (1.34     21.93       13.57       34       0.56       0.46       2.26       23  

Y

    20.72       0.47       2.05       2.52       (0.35     (0.98     (1.33     21.91       13.50       622       0.64       0.55       2.29       23  

F

    19.77       0.48       1.92       2.40       (0.36     (0.98     (1.34     20.83       13.58       11,040       0.55       0.46       2.52       23  

For the Year Ended October 31, 2018

 

A

  $   20.49     $   0.31     $   0.16     $   0.47     $   (0.20   $   (0.76   $   (0.96   $   20.00       2.25   $   164,325       1.06     1.04     1.52     85

C

    17.67       0.14       0.15       0.29       (0.08     (0.76     (0.84     17.12       1.53       9,082       1.81       1.79       0.80       85  

I

    20.25       0.38       0.16       0.54       (0.25     (0.76     (1.01     19.78       2.60       12,974       0.71       0.69       1.87       85  

R3

    20.70       0.26       0.17       0.43       (0.08     (0.76     (0.84     20.29       2.03       1,075       1.34       1.30       1.26       85  

R4

    20.95       0.33       0.16       0.49       (0.19     (0.76     (0.95     20.49       2.29       6,014       1.04       1.01       1.55       85  

R5

    21.13       0.38       0.17       0.55       (0.25     (0.76     (1.01     20.67       2.57       504       0.74       0.72       1.76       85  

R6(16)

    20.99       0.28       (0.53 )(17)      (0.25                       20.74       (1.19 )(6)      10       0.61 (7)      0.59 (7)      1.95 (7)      85  

Y

    21.19       0.40       0.17       0.57       (0.28     (0.76     (1.04     20.72       2.65       601       0.68       0.66       1.90       85  

F

    20.26       0.39       0.17       0.56       (0.29     (0.76     (1.05     19.77       2.71       88,336       0.62       0.60       1.94       85  

For the Year Ended October 31, 2017

 

A

  $   17.94     $   0.19     $   2.64     $   2.83     $   (0.14   $   (0.14   $   (0.28   $   20.49       15.89   $   180,059       1.20     1.20     0.95     39

C

    15.52       0.04       2.28       2.32       (0.03     (0.14     (0.17     17.67       15.05       20,312       1.93       1.93       0.22       39  

I

    17.75       0.24       2.60       2.84       (0.20     (0.14     (0.34     20.25       16.19       15,561       0.94       0.94       1.22       39  

R3

    18.13       0.13       2.66       2.79       (0.08     (0.14     (0.22     20.70       15.48       1,448       1.54       1.53       0.63       39  

R4

    18.34       0.19       2.70       2.89       (0.14     (0.14     (0.28     20.95       15.87       7,550       1.20       1.20       0.96       39  

R5

    18.49       0.23       2.75       2.98       (0.20     (0.14     (0.34     21.13       16.25       480       0.91       0.91       1.17       39  

Y

    18.55       0.27       2.73       3.00       (0.22     (0.14     (0.36     21.19       16.32       1,052       0.83       0.83       1.31       39  

F(5)

    19.58       0.16       0.52       0.68                         20.26       3.47 (6)      12,030       0.80 (7)      0.80 (7)      1.17 (7)      39  

For the Year Ended October 31, 2016

 

A

  $   18.66     $   0.16     $   0.57     $   0.73     $   (0.21   $   (1.24   $   (1.45   $   17.94       4.71   $   187,475       1.25     1.25 %(18)      0.93     41

B

    16.45       0.02       0.48       0.50       (0.01     (1.24     (1.25     15.70       3.75       695       2.41       2.11 (18)      0.11       41  

C

    16.34       0.03       0.49       0.52       (0.10     (1.24     (1.34     15.52       3.93       22,223       1.97       1.97 (18)      0.21       41  

I

    18.47       0.21       0.57       0.78       (0.26     (1.24     (1.50     17.75       5.03       19,139       0.92       0.92 (18)      1.23       41  

R3

    18.83       0.11       0.58       0.69       (0.15     (1.24     (1.39     18.13       4.39       2,783       1.54       1.54 (18)      0.64       41  

R4

    19.03       0.17       0.59       0.76       (0.21     (1.24     (1.45     18.34       4.73       8,720       1.22       1.22 (18)      0.96       41  

R5

    19.19       0.22       0.59       0.81       (0.27     (1.24     (1.51     18.49       5.04       2,025       0.92       0.92 (18)      1.27       41  

Y

    19.24       0.26       0.58       0.84       (0.29     (1.24     (1.53     18.55       5.14       845       0.81       0.81 (18)      1.46       41  

For the Year Ended October 31, 2015

 

A

  $   20.45     $   0.21     $   (0.47   $   (0.26   $   (0.13   $   (1.40   $   (1.53   $   18.66       (1.20 )%    $   207,339       1.21     1.21     1.10     55

B

    18.22       0.03       (0.40     (0.37           (1.40     (1.40     16.45       (1.94     1,909       2.28       1.97       0.19       55  

C

    18.14       0.06       (0.42     (0.36     (0.04     (1.40     (1.44     16.34       (1.90     26,763       1.93       1.93       0.36       55  

I

    20.25       0.27       (0.45     (0.18     (0.20     (1.40     (1.60     18.47       (0.78     27,168       0.88       0.88       1.41       55  

R3

    20.62       0.15       (0.46     (0.31     (0.08     (1.40     (1.48     18.83       (1.45     3,657       1.52       1.49       0.79       55  

R4

    20.82       0.22       (0.47     (0.25     (0.14     (1.40     (1.54     19.03       (1.11     11,942       1.19       1.18       1.11       55  

R5

    20.95       0.28       (0.48     (0.20     (0.16     (1.40     (1.56     19.19       (0.87     2,487       0.90       0.88       1.41       55  

Y

    21.03       0.30       (0.49     (0.19     (0.20     (1.40     (1.60     19.24       (0.77     1,618       0.79       0.79       1.50       55  

 

The accompanying notes are an integral part of these financial statements.

 

 

  95  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford Small Cap Growth Fund  

For the Year Ended October 31, 2019

 

A

  $   55.20     $   (0.21   $   2.62     $   2.41     $   —     $   (11.90   $   (11.90   $   45.71       8.99   $   195,314       1.24     1.24     (0.46 )%      48

C

    41.81       (0.34     1.33       0.99             (11.90     (11.90     30.90       8.27       15,722       1.89       1.89       (1.11     48  

I

    57.17       (0.02     2.80       2.78             (11.90     (11.90     48.05       9.41       191,482       0.83       0.83       (0.05     48  

R3

    54.70       (0.31     2.56       2.25             (11.90     (11.90     45.05       8.72       10,036       1.47       1.47       (0.69     48  

R4

    56.99       (0.18     2.78       2.60             (11.90     (11.90     47.69       9.05       42,296       1.17       1.17       (0.39     48  

R5

    59.48       (0.03     3.02       2.99             (11.90     (11.90     50.57       9.40       82,624       0.85       0.85       (0.07     48  

R6

    60.16       0.00 (21)      3.10       3.10             (11.90     (11.90     51.36       9.49       66,260       0.76       0.76       0.01       48  

Y

    60.20       (0.01     3.10       3.09             (11.90     (11.90     51.39       9.44       365,867       0.82       0.80       (0.01     48  

F

    57.30       0.01       2.82       2.83             (11.90     (11.90     48.23       9.49       46,533       0.76       0.76       0.02       48  

For the Year Ended October 31, 2018

 

A

  $   57.24     $   (0.33   $   1.03     $   0.70     $   —     $   (2.74   $   (2.74   $   55.20       1.20   $   203,297       1.21     1.20     (0.56 )%      66

C

    44.29       (0.55     0.81       0.26             (2.74     (2.74     41.81       0.53       23,212       1.88       1.88       (1.22     66  

I

    58.97       (0.10     1.04       0.94             (2.74     (2.74     57.17       1.59       243,340       0.82       0.82       (0.16     66  

R3

    56.89       (0.48     1.03       0.55             (2.74     (2.74     54.70       0.94       13,210       1.47       1.47       (0.82     66  

R4

    58.98       (0.31     1.06       0.75             (2.74     (2.74     56.99       1.26       69,097       1.15       1.15       (0.50     66  

R5

    61.26       (0.12     1.08       0.96             (2.74     (2.74     59.48       1.56       94,887       0.85       0.85       (0.20     66  

R6

    61.87       (0.09     1.12       1.03             (2.74     (2.74     60.16       1.66       44,278       0.75       0.75       (0.14     66  

Y

    61.93       (0.09     1.10       1.01             (2.74     (2.74     60.20       1.63       358,049       0.79       0.79       (0.14     66  

F

    59.06       (0.06     1.04       0.98             (2.74     (2.74     57.30       1.66       47,999       0.75       0.75       (0.10     66  

For the Year Ended October 31, 2017

 

A

  $   44.55     $   (0.25   $   13.25     $   13.00     $   —     $   (0.31   $   (0.31   $   57.24       29.28   $   215,743       1.17     1.16     (0.48 )%      56

C

    34.78       (0.48     10.30       9.82             (0.31     (0.31     44.29       28.36       36,531       1.89       1.88       (1.19     56  

I

    45.79       (0.18     13.67       13.49             (0.31     (0.31     58.97       29.56       429,401       1.03       0.95       (0.33     56  

R3

    44.42       (0.41     13.19       12.78             (0.31     (0.31     56.89       28.87       14,427       1.48       1.48       (0.79     56  

R4

    45.90       (0.26     13.65       13.39             (0.31     (0.31     58.98       29.27       76,315       1.16       1.16       (0.48     56  

R5

    47.52       (0.10     14.15       14.05             (0.31     (0.31     61.26       29.67       118,794       0.86       0.86       (0.17     56  

R6

    47.94       (0.06     14.30       14.24             (0.31     (0.31     61.87       29.80       10,596       0.76       0.76       (0.11     56  

Y

    48.00       (0.05     14.29       14.24             (0.31     (0.31     61.93       29.76       370,006       0.78       0.78       (0.09     56  

F(5)

    52.62       (0.09     6.53       6.44                         59.06       12.24 (6)      47,409       0.75 (7)      0.75 (7)      (0.24 )(7)      56  

For the Year Ended October 31, 2016

 

A

  $   48.56     $   (0.19   $   0.11 (17)    $   (0.08   $   —     $   (3.93   $   (3.93   $   44.55       0.02   $   197,738       1.25     1.25     (0.44 )%      45

B

    39.35       (0.43     0.05 (17)      (0.38           (3.93     (3.93     35.04       (0.84     606       2.35       2.09       (1.23     45  

C

    39.03       (0.39     0.07 (17)      (0.32           (3.93     (3.93     34.78       (0.65     37,807       1.94       1.94       (1.13     45  

I

    49.68       (0.07     0.11 (17)      0.04             (3.93     (3.93     45.79       0.28       137,606       0.99       0.99       (0.16     45  

R3

    48.54       (0.30     0.11 (17)      (0.19           (3.93     (3.93     44.42       (0.24     12,708       1.51       1.51       (0.70     45  

R4

    49.87       (0.18     0.14 (17)      (0.04           (3.93     (3.93     45.90       0.09       66,273       1.19       1.19       (0.39     45  

R5

    51.35       (0.04     0.14 (17)      0.10             (3.93     (3.93     47.52       0.40       102,166       0.89       0.89       (0.09     45  

R6

    51.73       (0.04     0.18 (17)      0.14             (3.93     (3.93     47.94       0.46       4,072       0.79       0.79       (0.09     45  

Y

    51.78       0.01       0.14 (17)      0.15             (3.93     (3.93     48.00       0.50       290,401       0.79       0.79       0.01       45  

For the Year Ended October 31, 2015

 

A

  $   48.63     $   (0.20   $   2.25     $   2.05     $   —     $   (2.12   $   (2.12   $   48.56       4.37   $   243,999       1.21     1.21     (0.40 )%      70

B

    40.12       (0.48     1.83       1.35             (2.12     (2.12     39.35       3.54       1,500       2.20       2.03       (1.18     70  

C

    39.77       (0.45     1.83       1.38             (2.12     (2.12     39.03       3.62       49,549       1.91       1.91       (1.11     70  

I

    49.55       (0.06     2.31       2.25             (2.12     (2.12     49.68       4.70       209,184       0.92       0.92       (0.13     70  

R3

    48.74       (0.36     2.28       1.92             (2.12     (2.12     48.54       4.10       16,184       1.48       1.48       (0.70     70  

R4

    49.86       (0.20     2.33       2.13             (2.12     (2.12     49.87       4.44       74,037       1.17       1.17       (0.38     70  

R5

    51.13       (0.05     2.39       2.34             (2.12     (2.12     51.35       4.74       115,719       0.87       0.87       (0.10     70  

R6(9)

    51.80       (0.02     2.07       2.05             (2.12     (2.12     51.73       4.13 (6)      14       0.87 (7)      0.87 (7)      (0.05 )(7)      70  

Y

    51.49       0.01       2.40       2.41             (2.12     (2.12     51.78       4.84       314,145       0.77       0.77       0.02       70  

 

The accompanying notes are an integral part of these financial statements.

 

 

  96  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
Hartford Small Cap Value Fund  

For the Year Ended October 31, 2019

 

A

  $   13.65     $   0.10     $   (0.04   $   0.06     $   (0.03   $   (3.33   $   (3.36   $   10.35       3.46   $   47,037       1.37     1.27     0.98     140

C

    12.35       0.02       (0.08     (0.06           (3.33     (3.33     8.96       2.60       3,719       2.14       2.04       0.26       140  

I

    13.68       0.14       (0.05     0.09       (0.07     (3.33     (3.40     10.37       3.77       4,354       1.00       0.90       1.34       140  

R3

    14.02       0.09       (0.03     0.06       (0.02     (3.33     (3.35     10.73       3.31       609       1.62       1.42       0.82       140  

R4

    14.16       0.11       (0.03     0.08       (0.02     (3.33     (3.35     10.89       3.52       69       1.31       1.20       1.01       140  

R5

    14.16       0.16       (0.05     0.11       (0.07     (3.33     (3.40     10.87       3.82       11       1.01       0.90       1.44       140  

R6

    14.15       0.15       (0.02     0.13       (0.08     (3.33     (3.41     10.87       3.99       103       0.89       0.80       1.39       140  

Y

    14.15       0.16       (0.04     0.12       (0.08     (3.33     (3.41     10.86       3.94       572       0.97       0.85       1.43       140  

F

    13.68       0.15       (0.04     0.11       (0.08     (3.33     (3.41     10.38       3.99       48,425       0.89       0.80       1.43       140  

For the Year Ended October 31, 2018

 

A

  $   14.13     $   0.04     $   0.10     $   0.14     $   (0.02   $   (0.60   $   (0.62   $   13.65       1.00   $   52,406       1.35     1.29     0.28     68

C

    12.91       (0.06     0.10       0.04             (0.60     (0.60     12.35       0.27       6,444       2.13       2.04       (0.44     68  

I

    14.15       0.09       0.10       0.19       (0.06     (0.60     (0.66     13.68       1.33       3,756       1.02       0.95       0.62       68  

R3

    14.50       0.03       0.09       0.12             (0.60     (0.60     14.02       0.82       529       1.62       1.43       0.18       68  

R4

    14.61       0.06       0.10       0.16       (0.01     (0.60     (0.61     14.16       1.07       48       1.32       1.20       0.41       68  

R5

    14.63       0.10       0.10       0.20       (0.07     (0.60     (0.67     14.16       1.39       36       1.02       0.90       0.71       68  

R6(16)

    13.99       0.05       0.11       0.16                         14.15       1.14 (6)      10       0.91 (7)      0.84 (7)      0.47 (7)      68  

Y

    14.66       0.11       0.10       0.21       (0.12     (0.60     (0.72     14.15       1.42       646       0.96       0.85       0.74       68  

F

    14.16       0.11       0.09       0.20       (0.08     (0.60     (0.68     13.68       1.42       38,087       0.90       0.84       0.80       68  

For the Year Ended October 31, 2017

 

A

  $   11.56     $   0.04     $   2.63     $   2.67     $   (0.10   $   —     $   (0.10   $   14.13       23.19   $   53,057       1.28     1.27     0.32     83

C

    10.58         (0.05     2.40       2.35       (0.02           (0.02     12.91       22.24       11,081       2.03       2.01       (0.41     83  

I

    11.58       0.08       2.63       2.71       (0.14           (0.14     14.15       23.53       3,225       1.01       1.00       0.60       83  

R3

    11.87       0.01       2.69       2.70       (0.07           (0.07     14.50       22.79       723       1.63       1.50       0.09       83  

R4

    11.94       0.05       2.70       2.75       (0.08           (0.08     14.61       23.11       113       1.36       1.20       0.36       83  

R5

    11.96       0.10       2.71       2.81       (0.14           (0.14     14.63       23.63       44       1.01       0.90       0.74       83  

Y

    12.00       0.11       2.71       2.82       (0.16           (0.16     14.66       23.58       1,242       0.86       0.85       0.78       83  

F(5)

    13.22       0.05       0.89       0.94                         14.16       7.11 (6)      86,675       0.88 (7)      0.85 (7)      0.52 (7)      83  

For the Year Ended October 31, 2016

 

A

  $   12.35     $   0.10     $   (0.15 )(17)    $   (0.05   $   (0.02   $   (0.72   $   (0.74   $   11.56       (0.22 )%    $   46,270       1.35     1.31 %(19)      0.85     94

B

    11.58       0.01       (0.14 )(17)      (0.13           (0.72     (0.72     10.73       (0.93     798       2.25       2.06 (19)      0.10       94  

C

    11.43       0.01       (0.14 )(17)      (0.13           (0.72     (0.72     10.58       (0.94     10,410       2.08       2.06 (19)      0.11       94  

I

    12.38       0.13       (0.15 )(17)      (0.02     (0.06     (0.72     (0.78     11.58       0.05       2,582       1.01       1.00 (19)      1.17       94  

R3

    12.67       0.08       (0.16 )(17)      (0.08           (0.72     (0.72     11.87       (0.43     734       1.61       1.51 (19)      0.65       94  

R4

    12.72       0.11       (0.15 )(17)      (0.04     (0.02     (0.72     (0.74     11.94       (0.09     267       1.30       1.21 (19)      0.96       94  

R5

    12.78       0.13       (0.14 )(17)      (0.01     (0.09     (0.72     (0.81     11.96       0.16       44       1.00       0.91 (19)      1.08       94  

Y

    12.77       0.16       (0.15 )(17)      0.01       (0.06     (0.72     (0.78     12.00       0.31       110,028       0.88       0.86 (19)      1.36       94  

For the Year Ended October 31, 2015

 

A

  $   13.89     $   0.11     $   (0.28   $   (0.17   $   (0.08   $   (1.29   $   (1.37   $   12.35       (1.17 )%    $   51,249       1.40     1.29     0.85     112

B

    13.12       0.01       (0.26     (0.25           (1.29     (1.29     11.58       (1.92     1,792       2.28       2.05       0.12       112  

C

    12.96       0.01       (0.25     (0.24           (1.29     (1.29     11.43       (1.86     12,905       2.14       2.04       0.10       112  

I(11)

    13.40       0.08       (1.10     (1.02                       12.38       (7.61 )(6)      2,429       1.12 (7)      0.99 (7)      1.01 (7)      112  

R3

    14.21       0.09       (0.28     (0.19     (0.06     (1.29     (1.35     12.67       (1.29     830       1.70       1.50       0.64       112  

R4

    14.26       0.13       (0.27     (0.14     (0.11     (1.29     (1.40     12.72       (0.97     608       1.37       1.20       0.94       112  

R5

    14.32       0.17       (0.29     (0.12     (0.13     (1.29     (1.42     12.78       (0.75     218       1.06       0.90       1.23       112  

Y

    14.31       0.16       (0.27     (0.11     (0.14     (1.29     (1.43     12.77       (0.71     1,312       0.96       0.85       1.23       112  

 

The accompanying notes are an integral part of these financial statements.

 

 

  97  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford Small Company Fund  

For the Year Ended October 31, 2019

 

A

  $   22.20     $   (0.13   $   2.28     $   2.15     $   —     $   (4.00   $   (4.00   $   20.35       14.08   $   311,742       1.33     1.32     (0.66 )%      91

C

    16.11       (0.19     1.38       1.19             (4.00     (4.00     13.30       13.24       9,929       2.14       2.13       (1.46     91  

I

    23.28       (0.08     2.45       2.37             (4.00     (4.00     21.65       14.48       26,939       1.04       1.03       (0.37     91  

R3

    23.95       (0.19     2.53       2.34             (4.00     (4.00     22.29       13.84       14,142       1.62       1.55       (0.89     91  

R4

    25.28       (0.14     2.74       2.60             (4.00     (4.00     23.88       14.20       14,261       1.32       1.25       (0.59     91  

R5

    26.53       (0.07     2.94       2.87             (4.00     (4.00     25.40       14.56       3,239       1.02       0.95       (0.29     91  

R6

    27.02       (0.06     3.01       2.95             (4.00     (4.00     25.97       14.60       206       0.90       0.90       (0.23     91  

Y

    27.01       (0.06     3.00       2.94             (4.00     (4.00     25.95       14.56       32,472       0.94       0.93       (0.26     91  

F

    23.35       (0.05     2.46       2.41             (4.00     (4.00     21.76       14.63       193,242       0.90       0.90       (0.23     91  

For the Year Ended October 31, 2018

 

A

  $   20.34     $   (0.20   $   2.06     $   1.86     $   —     $   —     $   —     $   22.20       9.20   $   283,912       1.34     1.33     (0.87 )%      104

C

    14.87       (0.27     1.51       1.24                         16.11       8.34       11,729       2.12       2.10       (1.64     104  

I

    21.27       (0.14     2.15       2.01                         23.28       9.45       28,540       1.07       1.05       (0.60     104  

R3

    21.98       (0.27     2.24       1.97                         23.95       8.92       16,386       1.63       1.55       (1.09     104  

R4

    23.14       (0.20     2.34       2.14                         25.28       9.25       15,295       1.32       1.25       (0.79     104  

R5

    24.21       (0.14     2.46       2.32                         26.53       9.58       2,678       1.03       0.95       (0.51     104  

R6

    24.64       (0.12     2.50       2.38                         27.02       9.66       144       0.91       0.90       (0.42     104  

Y

    24.64       (0.12     2.49       2.37                         27.01       9.66       35,351       0.92       0.90       (0.44     104  

F

    21.30       (0.11     2.16       2.05                         23.35       9.63       115,365       0.91       0.90       (0.45     104  

For the Year Ended October 31, 2017

 

A

  $   15.74     $   (0.12   $   4.72     $   4.60     $   —     $   —     $   —     $   20.34       29.16   $   252,187       1.39     1.37     (0.64 )%      109

C

    11.60       (0.19     3.46       3.27                         14.87       28.19       26,529       2.12       2.10       (1.40     109  

I

    16.43       (0.10     4.94       4.84                         21.27       29.40       28,052       1.49       1.15       (0.51     109  

R3

    17.05       (0.17     5.10       4.93                         21.98       28.91       23,932       1.63       1.55       (0.84     109  

R4

    17.89       (0.11     5.36       5.25                         23.14       29.29       23,080       1.32       1.25       (0.53     109  

R5

    18.67       (0.04     5.58       5.54                         24.21       29.67       3,263       1.06       0.95       (0.20     109  

R6

    18.99       (0.09     5.74       5.65                         24.64       29.75       78       1.07       0.90       (0.38     109  

Y

    18.99       (0.02     5.67       5.65                         24.64       29.70       33,040       0.94       0.90       (0.08     109  

F(5)

    18.76       (0.05     2.59       2.54                         21.30       13.49 (6)      81,831       0.92 (7)      0.90 (7)      (0.38 )(7)      109  

For the Year Ended October 31, 2016

 

A

  $   19.36     $   (0.14   $   (0.90   $   (1.04   $   —     $   (2.58   $   (2.58   $   15.74       (5.73 )%    $   262,618       1.45     1.43 %(20)      (0.87 )%      81

B

    15.08       (0.19     (0.69     (0.88           (2.58     (2.58     11.62       (6.40     862       2.46       2.17 (20)      (1.59     81  

C

    15.06       (0.19     (0.69     (0.88           (2.58     (2.58     11.60       (6.41     25,586       2.14       2.14 (20)      (1.58     81  

I

    20.04       (0.10     (0.93     (1.03           (2.58     (2.58     16.43       (5.45     41,881       1.24       1.18 (20)      (0.61     81  

R3

    20.77       (0.18     (0.96     (1.14           (2.58     (2.58     17.05       (5.83     29,662       1.62       1.58 (20)      (1.02     81  

R4

    21.61       (0.13     (1.01     (1.14           (2.58     (2.58     17.89       (5.58     27,834       1.31       1.28 (20)      (0.71     81  

R5

    22.37       (0.07     (1.05     (1.12           (2.58     (2.58     18.67       (5.27     5,283       1.00       0.97 (20)      (0.37     81  

R6

    22.69       (0.06     (1.06     (1.12           (2.58     (2.58     18.99       (5.18     9       0.90       0.90 (20)      (0.34     81  

Y

    22.69       (0.06     (1.06     (1.12           (2.58     (2.58     18.99       (5.18     98,620       0.90       0.90 (20)      (0.33     81  

For the Year Ended October 31, 2015

 

A

  $   24.83     $   (0.17   $   (1.21   $   (1.38   $   —     $   (4.09   $   (4.09   $   19.36       (6.22 )%    $   327,509       1.34     1.34     (0.77 )%      96

B

    20.40       (0.27     (0.96     (1.23           (4.09     (4.09     15.08       (6.98     2,531       2.30       2.13       (1.56     96  

C

    20.36       (0.25     (0.96     (1.21           (4.09     (4.09     15.06       (6.87     35,455       2.04       2.04       (1.47     96  

I

    25.51       (0.12     (1.26     (1.38           (4.09     (4.09     20.04       (6.03     69,569       1.11       1.11       (0.55     96  

R3

    26.39       (0.23     (1.30     (1.53           (4.09     (4.09     20.77       (6.46     35,865       1.54       1.54       (0.98     96  

R4

    27.21       (0.17     (1.34     (1.51           (4.09     (4.09     21.61       (6.15     41,922       1.24       1.24       (0.68     96  

R5

    27.95       (0.09     (1.40     (1.49           (4.09     (4.09     22.37       (5.88     30,053       0.97       0.95       (0.35     96  

R6(9)

    28.20       (0.08     (1.34     (1.42           (4.09     (4.09     22.69       (5.56 )(6)      9       0.91 (7)      0.90 (7)      (0.32 )(7)      96  

Y

    28.27       (0.07     (1.42     (1.49           (4.09     (4.09     22.69       (5.80     279,594       0.85       0.85       (0.28     96  

 

The accompanying notes are an integral part of these financial statements.

 

 

  98  

 


Hartford Domestic Equity Funds

Financial Highlights – (continued)

 

 

 

 

(1) 

Information presented relates to a share outstanding throughout the indicated period. Net investment income (loss) per share amounts are calculated based on average shares outstanding unless otherwise noted.

(2) 

Assumes initial investment at net asset value at the beginning of each period, reinvestment of all distributions, the complete redemption of the investment at net asset value at the end of each period and no sales charge. Total return would be reduced if sales charges were taken into account.

(3) 

Adjustments include waivers and reimbursements, if applicable. Ratios do not include fees paid indirectly (see Expenses in the accompanying Notes to Financial Statements).

(4) 

Includes interest expense representing less than 0.005%.

(5) 

Commenced operations on February 28, 2017.

(6) 

Not annualized.

(7) 

Annualized.

(8) 

Excluding the expenses not subject to cap, the ratios would have been 1.09%, 1.98%, 1.81%, 0.79%, 1.40%, 1.10%, 0.80%, 0.70% and 0.70% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

(9) 

Commenced operations on November 7, 2014.

(10) 

Excluding the expenses not subject to cap, the ratios would have been 0.79%, 1.54%, 1.54%, 0.54%, 1.09%, 0.79%, 0.49%, 0.42% and 0.42% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

(11) 

Commenced operations on March 31, 2015.

(12) 

Excluding the expenses not subject to cap, the ratios would have been 1.02%, 1.95%, 1.76%, 0.82%, 1.35%, 1.05%, 0.75%, 0.65% and 0.65% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

(13) 

Excluding the expenses not subject to cap, the ratios would have been 1.12%, 2.04%, 1.87%, 0.91%, 1.45%, 1.15%, 0.85%, 0.75% and 0.76% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

(14) 

Commenced operations on February 28, 2019.

(15) 

Excluding the expenses not subject to cap, the ratios would have been 1.28%, 2.10%, 2.00%, 1.04%, 1.54%, 1.23%, 0.93% and 0.83% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(16) 

Commenced operations on February 28, 2018.

(17) 

Per share amount was not in accord with the net realized and unrealized gain (loss) for the period because of the timing of transactions in shares of the Fund and the amount and timing of per-share net realized and unrealized gain (loss) on such shares.

(18) 

Excluding the expenses not subject to cap, the ratios would have been 1.23%, 2.09%, 1.95%, 0.90%, 1.52%, 1.20%, 0.90% and 0.79% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(19) 

Excluding the expenses not subject to cap, the ratios would have been 1.30%, 2.05%, 2.05%, 0.99%, 1.50%, 1.20%, 0.90% and 0.85% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(20) 

Excluding the expenses not subject to cap, the ratios would have been 1.40%, 2.15%, 2.11%, 1.15%, 1.55%, 1.25%, 0.95%, 0.88% and 0.88% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

(21) 

Amount is less than $0.01 per share.

 

The accompanying notes are an integral part of these financial statements.

 

 

  99  

 


Hartford Domestic Equity Funds

Notes to Financial Statements

October 31, 2019

 

 

 

1.

Organization:

The Hartford Mutual Funds, Inc. and The Hartford Mutual Funds II, Inc. (each, a “Company” and collectively, the “Companies”) are each an open-end registered management investment company comprised of thirty-eight and thirteen series, respectively, as of October 31, 2019. Financial statements for the series of each Company listed below (each, a “Fund” and collectively, the “Funds”) are included in this report.

The Hartford Mutual Funds, Inc.:

The Hartford Capital Appreciation Fund (the “Capital Appreciation Fund”)

Hartford Core Equity Fund (the “Core Equity Fund”)

The Hartford Dividend and Growth Fund (the “Dividend and Growth Fund”)

The Hartford Equity Income Fund (the “Equity Income Fund”)

The Hartford Healthcare Fund (the “Healthcare Fund”)

The Hartford MidCap Fund (the “MidCap Fund”)

The Hartford MidCap Value Fund (the “MidCap Value Fund”)

Hartford Small Cap Value Fund (the “Small Cap Value Fund”)

The Hartford Small Company Fund (the “Small Company Fund”)

The Hartford Mutual Funds II, Inc.:

The Hartford Growth Opportunities Fund (the “Growth Opportunities Fund”)

Hartford Quality Value Fund (the “Quality Value Fund”)

The Hartford Small Cap Growth Fund (the “Small Cap Growth Fund”)

The assets of each Fund are separate, and a shareholder’s interest is limited to the Fund in which shares are held. Each Company is organized under the laws of the State of Maryland and is registered with the Securities and Exchange Commission (the “SEC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). Each Fund is a diversified open-end management investment company. Each Fund applies specialized accounting and reporting standards under Accounting Standards Codification Topic 946, “Financial Services – Investment Companies”.

Each Fund has registered for sale Class A, Class C, Class I, Class R3, Class R4, Class R5, Class Y and Class F shares. Core Equity Fund has registered for sale Class T shares. As of October 31, 2019, Class T shares have not commenced operations. Each Fund, except the MidCap Value Fund, has registered for sale Class R6 shares. Class A shares are sold with a front-end sales charge of up to 5.50%. Class T shares have a front-end sales charge of up to 2.50%. Class C shares are sold with a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase. Effective October 1, 2018, Class C shares automatically convert to Class A shares of the same Fund after ten years provided that the Fund or the financial intermediary has records verifying that the Class C shares have been held for at least ten years. Classes I, R3, R4, R5, R6, Y and F shares do not have a sales charge. The Small Cap Growth Fund is closed to new investors, subject to certain exceptions. For more information please see the Fund’s prospectus.

 

2.

Significant Accounting Policies:

The following is a summary of significant accounting policies of each Fund used in the preparation of its financial statements, which are in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”). The preparation of financial statements in accordance with U.S. GAAP may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

 

  a)

Determination of Net Asset Value – The net asset value (“NAV”) of each class of each Fund’s shares is determined as of the close of regular trading (normally 4:00 p.m. Eastern Time) (the “NYSE Close”) on each day that the New York Stock Exchange (the “Exchange”) is open. Information that becomes known to the Funds after the NAV has been calculated on a particular day will not generally be used to retroactively adjust the NAV determined earlier that day.

 

  b)

Investment Valuation and Fair Value Measurements – For purposes of calculating the NAV of each class of each Fund, portfolio securities and other assets held in the Fund’s portfolio for which market prices are readily available are valued at market value. Market value is generally determined on the basis of official close price or last reported trade price. If no trades were reported, market value is based on prices obtained from a quotation reporting system, established market makers (including evaluated prices), or independent pricing services. Pricing vendors may use matrix pricing or valuation models that utilize certain inputs and assumptions to derive values, including transaction data, credit quality information, general market conditions, news, and other factors and assumptions.

If market prices are not readily available or are deemed unreliable, a Fund will use the fair value of the security or other instrument as determined in good faith under policies and procedures established by and under the supervision of the Board of Directors of the respective Company (the “Board of Directors”) (“Valuation Procedures”). Market prices are considered not readily available where there is an absence of current or reliable market-based data (e.g., trade information or broker quotes), including where events occur after the close of

 

 

  100  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

the relevant market, but prior to the NYSE Close, that materially affect the values of a Fund’s portfolio holdings or assets. In addition, market prices are considered not readily available when, due to extraordinary circumstances, the exchanges or markets on which the securities or other instruments trade do not open for trading for the entire day and no other market prices are available. Fair value pricing is subjective in nature and the use of fair value pricing by a Fund may cause the NAV of its shares to differ significantly from the NAV that would have been calculated using market prices at the close of the exchange on which a portfolio holding is primarily traded. There can be no assurance that a Fund could obtain the fair value assigned to an investment if the Fund were to sell the investment at approximately the time at which the Fund determines its NAV.

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service in order to reflect an adjustment for the factors occurring after the close of certain foreign markets but before the NYSE Close. Securities and other instruments that are primarily traded on foreign markets may trade on days that are not business days of the Funds. The value of the foreign securities or other instruments in which a Fund invests may change on days when a shareholder will not be able to purchase or redeem shares of the Fund.

Fixed income investments (other than short-term obligations) held by a Fund are normally valued at prices supplied by independent pricing services in accordance with the Valuation Procedures. Short-term investments maturing in 60 days or less are generally valued at amortized cost if their original term to maturity was 60 days or less, or by amortizing their value on the 61st day prior to maturity, if the original term exceeded 60 days.

Exchange-traded derivatives, such as options, futures and options on futures, are valued at the last sale price determined by the exchange where such instruments principally trade as of the close of such exchange (“Exchange Close”). If a last sale price is not available, the value will be the mean of the most recently quoted bid and ask prices as of the Exchange Close. If a mean of the bid and ask prices cannot be calculated for the day, the value will be the most recently quoted bid price as of the Exchange Close. Over-the-counter derivatives are normally valued based on prices supplied by independent pricing services in accordance with the Valuation Procedures.

Investments valued in currencies other than U.S. dollars are converted to U.S. dollars using the prevailing spot currency exchange rates obtained from independent pricing services for calculation of the NAV. As a result, the NAV of a Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of securities or other instruments traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the Exchange is closed and the market value may change on days when an investor is not able to purchase, redeem or exchange shares of a Fund.

Foreign currency contracts represent agreements to exchange currencies on specific future dates at predetermined rates. Foreign currency contracts are valued using foreign currency exchange rates and forward rates as provided by an independent pricing service on the Valuation Date.

Investments in open-end mutual funds, if any, are valued at the respective NAV of each open-end mutual fund on the Valuation Date. Shares of investment companies listed and traded on an exchange are valued in the same manner as any exchange-listed equity security. Such open-end mutual funds and listed investment companies may use fair value pricing as disclosed in their prospectuses.

Financial instruments for which prices are not available from an independent pricing service may be valued using market quotations obtained from one or more dealers that make markets in the respective financial instrument in accordance with the Valuation Procedures.

U.S. GAAP defines fair value as the price that a Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants. The U.S. GAAP fair value measurement standards require disclosure of a fair value hierarchy for each major category of assets and liabilities. Various inputs are used in determining the fair value of each Fund’s investments. These inputs are summarized into three broad hierarchy levels. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are:

 

   

Level 1 – Quoted prices in active markets for identical investments. Level 1 may include exchange traded instruments, such as domestic equities, some foreign equities, options, futures, mutual funds, exchange traded funds, rights and warrants.

   

Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar investments; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 2 may include debt investments that are traded less frequently than exchange traded instruments and which are valued using independent pricing services; foreign equities, which are principally traded on certain foreign markets and are adjusted daily pursuant to a fair value pricing service in order to reflect an adjustment for the factors occurring after the close of certain foreign markets but before the NYSE Close; senior floating rate interests, which are valued using an aggregate of dealer bids; short-term investments, which are valued at amortized cost; and swaps, which are valued based upon the terms of each swap contract.

   

Level 3 – Significant unobservable inputs that are supported by limited or no market activity. Level 3 may include financial instruments whose values are determined using indicative market quotes or require significant management judgment or estimation. These unobservable valuation inputs may include estimates for current yields, maturity/duration, prepayment speed, and indicative market quotes for comparable investments along with other assumptions relating to credit quality, collateral value, complexity of the investment

 

 

  101  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  structure, general market conditions and liquidity. This category may include investments where trading has been halted or there are certain restrictions on trading. While these investments are priced using unobservable inputs, the valuation of these investments reflects the best available data and management believes the prices are a reasonable representation of exit price.

The Board of Directors has delegated the day-to-day responsibility for implementing the Valuation Procedures to the Valuation Committee. The Valuation Committee will consider all relevant factors in determining an investment’s fair value, and may seek the advice of such Fund’s sub-adviser(s), as applicable, knowledgeable brokers, and legal counsel in making such determination. The Valuation Committee reports to the Audit Committee of the Board of Directors.

Valuation levels are not necessarily indicative of the risk associated with investing in such investments. Individual investments within any of the above mentioned asset classes may be assigned a different hierarchical level than those presented above, as individual circumstances dictate.

For additional information, refer to the Fair Valuation Summary and the Level 3 roll-forward reconciliation, if applicable, which follows each Fund’s Schedule of Investments.

Growth Opportunities Fund Level 3 Holdings on October 31, 2019

Quantitative Information about Level 3 Fair Value Measurements:

 

Security Type / Valuation Technique*

    

Unobservable Input

     Input Value(s) Range
(Weighted Average)
       Fair Value at
October
31, 2019
 

Common Stock

              

Market Approach

    

EV/EBITDA

       11x        $ 9,521,028  

Market Approach

    

EV/Revenue

       4.11x          1,879,971  

Target Event

    

Price per share

       $3.17          15,400,659  

Last Trade

    

Trade Price

       $9.85-$234.47 ($70.78)              54,849,793  
              

 

 

 

Total

               $ 81,651,451  
              

 

 

 

Escrows

              

Future Distribution

    

Discount

       20% - 50% (31.8%)        $ 576,266  
              

 

 

 

Total

               $ 576,266  
              

 

 

 

Convertible Preferred Stock

              

Market Approach

    

EV/Revenue

       1.18x-5.5x (2.26x)        $ 58,870,749  

Market Approach

    

EV/EBITDA

       7.4x          6,519,068  

Last Trade

    

Trade price

       $11.60-$30.00 ($20.43)          16,063,754  

Market Approach

    

EV/Sales

       0.8x          5,540,550  
              

 

 

 

Total

               $ 86,994,121  
              

 

 

 

Total

               $ 169,221,838  
              

 

 

 

 

  *

The Valuation Committee may consider applying appropriate valuation methodologies, which may include, but are not limited to: valuation through use of a “proxy” investment or index, discount from market value of a similar freely traded investment, a discount or premium which may consider market or regulatory sentiment (or other subjective determinations, inputs or factors not otherwise quantifiable), and any other appropriate method.

 

  c)

Investment Transactions and Investment Income – Investment transactions are recorded as of the trade date (the date the order to buy or sell is executed) for financial reporting purposes. Investments purchased or sold on a when-issued or delayed-delivery basis may be settled a month or more after the trade date. Realized gains and losses are determined on the basis of identified cost.

Dividend income from domestic securities is accrued on the ex-dividend date. In general, dividend income from foreign securities is recorded on the ex-date; however, dividend notifications in certain foreign jurisdictions may not be available in a timely manner and as a result, a Fund will record the dividend as soon as the relevant details (i.e., rate per share, payment date, shareholders of record, etc.) are publicly available.

Interest income, including amortization of premium, accretion of discounts and additional principal received in-kind in lieu of cash, is accrued on a daily basis.

Please refer to Note 8 for Securities Lending information.

 

 

  102  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  d)

Taxes – A Fund may be subject to taxes imposed on realized gains on securities of certain foreign countries in which such Fund invests. A Fund may also be subject to taxes withheld on foreign dividends from securities in which the Fund invests. The amount of any foreign taxes withheld and foreign tax expense is included on the accompanying Statements of Operations as a reduction to net investment income or net realized or unrealized gain on investments in these securities, if applicable.

 

  e)

Foreign Currency Transactions – Assets and liabilities denominated in currencies other than U.S. dollars are translated into U.S. dollars at the exchange rates in effect on the Valuation Date. Purchases and sales of investments, income and expenses are translated into U.S. dollars at the exchange rates on the dates of such transactions.

A Fund does not isolate that portion of portfolio investment valuation resulting from fluctuations in the foreign currency exchange rates from the fluctuations arising from changes in the market prices of investments held. Exchange rate fluctuations are included with the net realized and unrealized gain or loss on investments in the accompanying financial statements.

Net realized foreign exchange gains or losses arise from sales of foreign currencies and the difference between asset and liability amounts initially stated in foreign currencies and the U.S. dollar value of the amounts actually received or paid. Net unrealized foreign exchange gains or losses arise from changes in the value of other assets and liabilities at the end of the reporting period, resulting from changes in the exchange rates.

 

  f)

Joint Trading Account – A Fund may invest cash balances into a joint trading account that may be invested in one or more repurchase agreements.

 

  g)

Fund Share Valuation and Dividend Distributions to Shareholders – Orders for each class of each Fund’s shares are executed in accordance with the investment instructions of the shareholders. The NAV of each class of each Fund’s shares is determined as of the close of business on each business day of the Exchange (see Note 2(a)). The NAV is determined separately for each class of shares of a Fund by dividing the Fund’s net assets attributable to that class by the number of shares of the class outstanding. Each class of shares offered by a Fund has equal rights as to assets and voting privileges (except that shareholders of a class have exclusive voting rights regarding any matter relating solely to that class of shares). Income and non-class specific expenses are allocated daily to each class on the basis of the relative net assets of the class of the Fund. Realized and unrealized gains and losses are allocated daily based on the relative net assets of each class of shares of each Fund.

Orders for the purchase of a Fund’s shares received prior to the close of the Exchange on any day the Exchange is open for business are priced at the NAV determined as of the close of the Exchange. Orders received after the close of the Exchange, or on a day on which the Exchange and/or the Funds are not open for business, are priced at the next determined NAV.

Dividends are declared pursuant to a policy adopted by the respective Company’s Board of Directors. Dividends and/or distributions to shareholders are recorded on ex-date. The policy of each Fund, except Dividend and Growth Fund and Equity Income Fund, is to pay dividends from net investment income and realized gains, if any, at least once a year. The policy of Dividend and Growth Fund and Equity Income Fund is to pay dividends from net investment income, if any, quarterly and realized gains, if any, at least once a year.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP with respect to character and timing (see Federal Income Taxes: Distributions and Components of Distributable Earnings and Reclassification of Capital Accounts notes).

 

3.

Securities and Other Investments:

Restricted Securities – Each Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities, if applicable, is included at the end of each Fund’s Schedule of Investments.

 

4.

Financial Derivative Instruments:

The following disclosures contain information on how and why a Fund may use derivative instruments, the credit-risk-related contingent features in certain derivative instruments, and how derivative instruments affect a Fund’s financial position and results of operations. The location and fair value amounts of these instruments on the Statements of Assets and Liabilities and the realized gains and losses and changes in unrealized gains and losses on the Statements of Operations, each categorized by type of derivative contract, are included in the following Additional Derivative Instrument Information footnote. The derivative instruments outstanding as of period-end are disclosed in the notes to the Schedules of Investments, if applicable. The amounts of realized gains and losses and changes in unrealized gains and losses on derivative instruments during the period are disclosed in the Statements of Operations.

 

  a)

Foreign Currency Contracts – A Fund may enter into foreign currency contracts that obligate the Fund to purchase or sell currencies at specified future dates. Foreign currency contracts may be used in connection with settling purchases or sales of securities to hedge the

 

 

  103  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  currency exposure associated with some or all of a Fund’s investments and/or as part of an investment strategy. Foreign currency contracts are marked to market daily and the change in value is recorded by a Fund as an unrealized gain or loss. A Fund will record a realized gain or loss when the foreign currency contract is settled.

Foreign currency contracts involve elements of market risk in excess of the amounts reflected in the Statements of Assets and Liabilities. In addition, risks may arise upon entering into these contracts from the potential inability of the counterparties to meet the terms of the contracts and from unanticipated movements in the value of the foreign currencies relative to the U.S. dollar. Upon entering into a foreign currency contract, a Fund may be required to post margin equal to its outstanding exposure thereunder.

During the year ended October 31, 2019, Capital Appreciation Fund had used Foreign Currency Contracts.

 

  b)

Futures Contracts – A Fund may enter into futures contracts. A futures contract is an agreement between two parties to buy or sell an asset at a set price on a future date. A Fund may use futures contracts to manage risk or obtain exposure to the investment markets, commodities, or movements in interest rates and currency values. The primary risks associated with the use of futures contracts are the imperfect correlation between the change in market value of the investments held by a Fund and the prices of futures contracts and the possibility of an illiquid market. Upon entering into a futures contract, a Fund is required to deposit with a futures commission merchant (“FCM”) an amount of cash or U.S. Government or Agency Obligations in accordance with the initial margin requirements of the broker or exchange. Futures contracts are marked to market daily and an appropriate amount equal to the change in value (“variation margin”) is paid or received by a Fund. Gains or losses are recognized but not considered realized until the contracts expire or are closed. Futures contracts involve, to varying degrees, risk of loss in excess of the variation margin disclosed on the Statements of Assets and Liabilities.

During the year ended October 31, 2019, each of Capital Appreciation Fund and Core Equity Fund had used Futures Contracts.

 

  c)

Additional Derivative Instrument Information:

Capital Appreciation Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

                    

Unrealized appreciation on futures contracts(1)

   $      $      $      $ 1,418,881      $      $      $ 1,418,881  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $     —      $     —      $     1,418,881      $     —      $     —      $     1,418,881  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a
Result of Operations:

 

           

Net realized gain (loss) on futures contracts

   $      $      $      $ 3,627,613      $      $      $ 3,627,613  

Net realized gain (loss) on foreign currency contracts

            31,922                                    31,922  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $     31,922      $     —      $ 3,627,613      $      $      $ 3,659,535  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on
Derivatives Recognized as a Result of Operations:

 

           

Net change in unrealized appreciation (depreciation) of futures contracts

   $      $      $      $     3,412,117      $     —      $     —      $     3,412,117  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $      $      $ 3,412,117      $      $      $ 3,412,117  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Futures Contracts Long at Number of Contracts

     723  

Foreign Currency Contracts Purchased at Contract Amount

   $     2,099,722  

 

 

  104  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Core Equity Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on futures contracts(1)

   $     —      $     —      $     —      $     1,593,093      $     —      $     —      $     1,593,093  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $      $      $ 1,593,093      $      $      $ 1,593,093  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a
Result of Operations:

                    

Net realized gain (loss) on futures contracts

   $      $      $      $ 11,571,502      $      $      $ 11,571,502  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $      $      $     11,571,502      $     —      $     —      $     11,571,502  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on
Derivatives Recognized as a Result of Operations:

                    

Net change in unrealized appreciation (depreciation) of futures contracts

   $      $      $      $ 5,668,855      $      $      $ 5,668,855  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $     —      $     —      $ 5,668,855      $      $      $ 5,668,855  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Futures Contracts Long at Number of Contracts

     575  

 

  d)

Balance Sheet Offsetting Information – Set forth below are tables which disclose both gross information and net information about instruments and transactions eligible for offset in the financial statements, and instruments and transactions that are subject to a master netting arrangement, as well as amounts related to margin, reflected as financial collateral (including cash collateral), held at clearing brokers, counterparties and a Fund’s custodian. The master netting arrangements allow the clearing brokers to net any collateral held in or on behalf of a Fund, or liabilities or payment obligations of the clearing brokers to a Fund, against any liabilities or payment obligations of a Fund to the clearing brokers. A Fund is required to deposit financial collateral (including cash collateral) at the Fund’s custodian on behalf of clearing brokers and counterparties to continually meet the original and maintenance requirements established by the clearing brokers and counterparties. Such requirements are specific to the respective clearing broker or counterparty. Certain master netting arrangements may not be enforceable in a bankruptcy.

The following tables present a Fund’s derivative assets and liabilities, presented on a gross basis as no amounts are netted within the Statements of Assets and Liabilities, by counterparty net of amounts available for offset under a master netting agreement or similar agreement (“MNA”) and net of the related collateral received/pledged by a Fund as of October 31, 2019:

Capital Appreciation Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Futures contracts

   $ 1,418,881     $  
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     1,418,881        
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (1,418,881         —  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     $  
  

 

 

   

 

 

 

 

 

  105  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Core Equity Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Futures contracts

   $ 1,593,093     $     —  
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     1,593,093        
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (1,593,093      
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     $  
  

 

 

   

 

 

 

 

5.

Principal Risks:

A Fund’s investments expose it to various types of risks associated with financial instruments and the markets. A Fund may be exposed to the risks described below. Each Fund’s prospectus provides details of its principal risks.

The market values of equity securities, such as common stocks and preferred stocks, or equity related derivative investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. The market value of equity securities may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry. Equity securities and equity related investments generally have greater market price volatility than fixed income securities. The extent of each Fund’s exposure to market risk is the market value of the investments held as shown in the Fund’s Schedule of Investments.

Certain investments held by a Fund expose the Fund to various risks which may include, but are not limited to, interest rate, prepayment, and extension risks. Interest rate risk is the risk that fixed income securities will decline in value because of changes in interest rates. As nominal interest rates rise, the values of certain fixed income securities held by a Fund are likely to decrease. A nominal interest rate can be described as the sum of a real interest rate and an expected inflation rate. Fixed income securities with longer durations tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations. Duration is useful primarily as a measure of the sensitivity of a fixed income security’s market price to interest rate (i.e., yield) movements. Senior floating rate interests and securities subject to prepayment and extension risk generally offer less potential for gains when interest rates decline. Rising interest rates may cause prepayments to occur at a slower than expected rate, thereby effectively lengthening the maturity of the security and making the security more sensitive to interest rate changes. Prepayment and extension risk are major risks of mortgage-backed securities, senior floating rate interests and certain asset-backed securities. For certain asset-backed securities, the actual maturity may be less than the stated maturity shown in the Schedule of Investments, if applicable. As a result, the timing of income recognition relating to these securities may vary based upon the actual maturity.

Investing in the securities of non-U.S. issuers, whether directly or indirectly, involves certain considerations and risks not typically associated with securities of U.S. issuers. Such risks include, but are not limited to: generally less liquid and less efficient securities markets; generally greater price volatility; exchange rate fluctuations; imposition of restrictions on the expatriation of funds or other protectionist measures; less publicly available information about issuers; the imposition of withholding or other taxes; higher transaction and custody costs; settlement delays and risk of loss attendant in settlement procedures; difficulties in enforcing contractual obligations; less regulation of securities markets; different accounting, disclosure and reporting requirements; more substantial governmental involvement in the economy; higher inflation rates; and greater social, economic and political uncertainties. These risks are heightened for investments in issuers from countries with less developed markets.

Credit risk depends largely on the perceived financial health of bond issuers. In general, the credit rating is inversely related to the credit risk of the issuer. Higher rated bonds generally are deemed to have less credit risk, while lower or unrated bonds are deemed to have higher risk of default. The share price, yield and total return of a fund that holds securities with higher credit risk may be more volatile than those of a fund that holds bonds with lower credit risk. A Fund may be exposed to counterparty risk, or the risk that an institution or other entity with which a Fund has unsettled or open transactions will default.

 

6.

Federal Income Taxes:

 

  a)

Each Fund intends to continue to qualify as a Regulated Investment Company (“RIC”) under Subchapter M of the Internal Revenue Code (“IRC”) by distributing substantially all of its taxable net investment income and net realized capital gains to its shareholders each year. Each Fund has distributed substantially all of its income and capital gains in prior years, if applicable, and intends to distribute substantially all of its income and capital gains during the calendar year ending December 31, 2019. Accordingly, no provision for federal income or excise taxes has been made in the accompanying financial statements. Distributions from short-term capital gains are treated as ordinary income distributions for federal income tax purposes.

 

  b)

Net Investment Income (Loss), Net Realized Gains (Losses) and Distributions – Net investment income (loss) and net realized gains (losses) may differ for financial statement and tax purposes primarily because of losses deferred due to wash sale adjustments, foreign currency gains and losses, adjustments related to Passive Foreign Investment Companies (“PFICs”), Real Estate Investment Trusts (“REITs”), RICs, certain derivatives and partnerships. The character of distributions made during the year from net investment income or net realized gains

 

 

  106  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  may differ from their ultimate characterization for federal income tax purposes. Also, due to the timing of dividend distributions, the fiscal year in which amounts are distributed may differ from the year that the income or realized gains (losses) were recorded by each Fund.

 

  c)

Distributions and Components of Distributable Earnings – The tax character of distributions paid by each Fund for the years ended October 31, 2019 and October 31, 2018 are as follows:

 

     For the Year Ended
October 31, 2019
     For the Year Ended
October 31, 2018
 

Fund

   Ordinary
Income
     Long-Term
Capital Gains
     Ordinary
Income
     Long-Term
Capital Gains
 

Capital Appreciation Fund

   $     448,614,710      $     622,931,313      $     495,689,708      $     616,632,480  

Core Equity Fund

     45,617,203        127,778,830        62,326,139        53,245,177  

Dividend and Growth Fund

     146,320,234        752,059,161        174,669,622        756,670,295  

Equity Income Fund

     86,893,501        297,035,762        80,074,856        215,191,421  

Growth Opportunities Fund

     345,928,919        723,799,792        114,845,467        287,898,865  

Healthcare Fund

            102,046,786        16,867,179        59,657,697  

MidCap Fund

     94,767,016            1,219,235,756        62,275,642        400,812,276  

MidCap Value Fund

     7,032,454        64,802,404        714,158        17,090,726  

Quality Value Fund

     9,562,429        8,736,476        9,640,019        3,129,110  

Small Cap Growth Fund

     57,817,003        163,570,299        5,463,339        55,299,983  

Small Cap Value Fund

     3,160,308        22,181,051        599,875        6,583,376  

Small Company Fund

     10,391,373        79,093,272                

As of October 31, 2019, the components of distributable earnings (deficit) for each Fund on a tax basis are as follows:

 

Fund

   Undistributed
Ordinary
Income
     Undistributed
Long-Term
Capital Gains
     Late-year
Ordinary loss
deferrals
    Unrealized
Appreciation on
Investments
     Total
Accumulated
Earnings
 

Capital Appreciation Fund

   $     24,707,287      $     304,034,938      $     $ 789,263,530      $     1,118,005,755  

Core Equity Fund

     49,195,750        98,071,596              1,182,698,582        1,329,965,928  

Dividend and Growth Fund

     17,606,642        260,565,805              2,611,437,938        2,889,610,385  

Equity Income Fund

     6,698,676        255,909,196              895,884,964        1,158,492,836  

Growth Opportunities Fund

            301,832,065        (2,579,043     573,815,272        873,068,294  

Healthcare Fund

     6,049,807        77,681,566              203,702,855        287,434,228  

MidCap Fund

            703,064,730            (17,410,935         2,567,088,959        3,252,742,754  

MidCap Value Fund

     3,778,333        16,707,434              65,165,138        85,650,905  

Quality Value Fund

     4,890,997        5,794,288              20,637,824        31,323,109  

Small Cap Growth Fund

            15,398,688        (1,796,698     121,313,980        134,915,970  

Small Cap Value Fund

     987,030        5,921,778              4,603,642        11,512,450  

Small Company Fund

            36,747,653        (209,429     55,819,350        92,357,574  

 

  d)

Reclassification of Capital Accounts – The Funds may record reclassifications in their capital accounts. These reclassifications have no impact on the total net assets of the Funds. The reclassifications are a result of permanent differences between U.S. GAAP and tax accounting for such items as non-deductible expenses from partnership investments and Net operating losses. Adjustments are made to reflect the impact these items have on current and future distributions to shareholders. Therefore, the source of the Funds’ distributions may be shown in the accompanying Statements of Changes in Net Assets as from distributable earnings or from capital depending on the type of book and tax differences that exist. For the year ended October 31, 2019, the Funds recorded reclassifications to increase (decrease) the accounts listed below:

 

Fund

   Capital stock and
paid-in-capital
    Distributable
earnings
(loss)
 

Capital Appreciation Fund

   $ (59,095   $ 59,095  

Growth Opportunities Fund

     (41,789     41,789  

Healthcare Fund

     8       (8

Quality Value Fund

     3       (3

Small Cap Growth Fund

         (195,386         195,386  

Small Company Fund

     (5,014     5,014  

 

  e)

Tax Basis of Investments – The aggregate cost of investments for federal income tax purposes at October 31, 2019 is different from book purposes primarily due to wash sale loss deferrals, passive foreign investment company (PFIC) mark-to-market adjustments, partnership

 

 

  107  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  adjustments and non-taxable distributions from underlying investments. The net unrealized appreciation/(depreciation) on investments for tax purposes, which consists of gross unrealized appreciation and depreciation. Both the cost and unrealized appreciation and depreciation for federal income tax purposes are disclosed below:

 

Fund

   Tax Cost      Gross
Unrealized
Appreciation
     Gross
Unrealized
(Depreciation)
    Net Unrealized
Appreciation
 

Capital Appreciation Fund

   $ 6,168,777,654      $ 904,731,281      $ (115,370,385   $ 789,360,896  

Core Equity Fund

     4,513,193,653        1,247,135,795        (64,437,213     1,182,698,582  

Dividend and Growth Fund

     6,418,910,653        2,722,666,355        (111,228,417     2,611,437,938  

Equity Income Fund

     3,178,577,611        965,179,370        (69,295,909     895,883,461  

Growth Opportunities Fund

     4,260,793,888        729,982,882        (156,145,055     573,837,827  

Healthcare Fund

     1,105,451,494        294,165,540        (90,464,515     203,701,025  

MidCap Fund

         11,515,090,602            3,193,234,452            (626,145,493         2,567,088,959  

MidCap Value Fund

     639,356,271        90,592,406        (25,427,800     65,164,606  

Quality Value Fund

     187,930,079        27,589,419        (6,949,584     20,639,835  

Small Cap Growth Fund

     921,547,136        185,877,935        (64,563,955     121,313,980  

Small Cap Value Fund

     102,059,670        11,269,061        (6,665,419     4,603,642  

Small Company Fund

     562,212,985        79,407,025        (23,587,675     55,819,350  

 

  f)

Capital Loss Carryforward – The Funds had no capital loss carryforwards for U.S. federal income tax purposes as of October 31, 2019.

Under the current tax law, net investment losses realized after December 31 of a Fund’s fiscal year may be deferred and treated as occurring on the first business day of the following fiscal year for tax purposes, often referred to as Late-Year Ordinary Losses. At October 31, 2019, the following Funds elected to defer Late-Year Ordinary Losses:

 

Fund

   Amount  

Growth Opportunities Fund

   $ 2,579,043  

MidCap Fund

         17,410,935  

Small Cap Growth Fund

     1,796,698  

Small Company Fund

     209,429  

 

  g)

Accounting for Uncertainty in Income Taxes – Pursuant to provisions set forth by U.S. GAAP, Hartford Funds Management Company, LLC (“HFMC”) reviews each Fund’s tax positions for all open tax years. As of October 31, 2019, HFMC had reviewed the open tax years and concluded that there was no reason to record a liability for net unrecognized tax obligations relating to uncertain income tax positions. Each Fund files U.S. tax returns. Although the statute of limitations for examining a Fund’s U.S. tax returns remains open for 3 years, no examination is currently in progress. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense on the Statements of Operations. During the period ended October 31, 2019, the Funds did not incur any interest or penalties. HFMC is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax obligations will significantly change in the next twelve months.

 

7.

Expenses:

 

  a)

Investment Management Agreement – HFMC serves as each Fund’s investment manager. Each Company, on behalf of its respective Funds, has entered into an Investment Management Agreement with HFMC. HFMC is an indirect subsidiary of The Hartford Financial Services Group, Inc. (“The Hartford”). HFMC has overall investment supervisory responsibility for each Fund. In addition, HFMC provides administrative personnel, services, equipment, facilities and office space for proper operation of each Fund. HFMC has contracted with Wellington Management Company LLP (“Wellington Management”) under a sub-advisory agreement and Wellington Management performs the daily investment of the assets of each Fund in accordance with the Fund’s investment objective and policies. Each Fund pays a fee to HFMC, a portion of which may be used to compensate Wellington Management.

The schedule below reflects the rates of compensation paid to HFMC for investment management services rendered as of October 31, 2019; the rates are accrued daily and paid monthly based on each Fund’s average daily net assets, at the following annual rates:

 

Fund

  

Management Fee Rates

Capital Appreciation Fund

  

0.8000% on first $500 million and;

  

0.7000% on next $500 million and;

  

0.6500% on next $4 billion and;

  

0.6475% on next $5 billion and;

  

0.6450% over $10 billion

 

 

  108  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Fund

  

Management Fee Rates

Core Equity Fund

  

0.4500% on first $500 million and;

  

0.3500% on next $500 million and;

  

0.3300% on next $1.5 billion and;

  

0.3250% on next $2.5 billion and;

  

0.3225% over $5 billion

Dividend and Growth Fund

  

0.7500% on first $500 million and;

  

0.6500% on next $500 million and;

  

0.6000% on next $1.5 billion and;

  

0.5950% on next $2.5 billion and;

  

0.5900% on next $5 billion and;

  

0.5850% over $10 billion

Equity Income Fund

  

0.7500% on first $250 million and;

  

0.7000% on next $250 million and;

  

0.6500% on next $500 million and;

  

0.6000% on next $1.5 billion and;

  

0.5900% on next $2.5 billion and;

  

0.5875% over $5 billion

Growth Opportunities Fund

  

0.8000% on first $250 million and;

  

0.7000% on next $4.75 billion and;

  

0.6975% on next $5 billion and;

  

0.6950% over $10 billion

Healthcare Fund

  

0.9000% on first $500 million and;

  

0.8500% on next $500 million and;

  

0.8000% on next $4 billion and;

  

0.7975% on next $5 billion and;

  

0.7950% over $10 billion

MidCap Fund

  

0.8500% on first $500 million and;

  

0.7500% on next $500 million and;

  

0.7000% on next $4 billion and;

  

0.6975% on next $5 billion and;

  

0.6950% over $10 billion

MidCap Value Fund

  

0.7500% on first $500 million and;

  

0.6500% on next $500 million and;

  

0.6000% on next $1.5 billion and;

  

0.5950% on next $2.5 billion and;

  

0.5900% on next $5 billion and;

  

0.5850% over $10 billion

Quality Value Fund

  

0.4500% on first $500 million and;

  

0.3500% on next $500 million and;

  

0.3300% on next $4 billion and;

  

0.3250% on next $5 billion and;

  

0.3225% over $10 billion

Small Cap Growth Fund

  

0.9000% on first $100 million and;

  

0.8000% on next $150 million and;

  

0.7000% on next $250 million and;

  

0.6500% on next $4.5 billion and;

  

0.6300% on next $5 billion and;

  

0.6200% over $10 billion

Small Cap Value Fund

  

0.7000% on first $500 million and;

  

0.6500% on next $500 million and;

  

0.6000% on next $2 billion and;

  

0.5900% on next $2 billion and;

  

0.5800% on next $5 billion and;

  

0.5700% over $10 billion

Small Company Fund

  

0.8500% on first $250 million and;

  

0.8000% on next $250 million and;

  

0.7500% on next $500 million and;

  

0.7000% on next $500 million and;

  

0.6500% on next $3.5 billion and;

  

0.6300% on next $5 billion and;

  

0.6200% over $10 billion

 

 

  109  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  b)

Accounting Services Agreement – Pursuant to the Fund Accounting Agreement between HFMC and each Company, on behalf of its respective Funds, HFMC provides accounting services to each Fund and receives monthly compensation based on each Fund’s average daily net assets at the rates set forth below. Each Fund’s accounting services fees are accrued daily and paid monthly.

 

Capital Appreciation Fund, Growth Opportunities Fund and Small Company Fund  
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.022%  

next $3.5 billion and

     0.018%  

Amount over $7 billion

     0.015%  
 
Core Equity Fund, Dividend and Growth Fund, Equity Income Fund, Healthcare Fund, MidCap Fund, MidCap Value Fund, Quality Value Fund,
Small Cap Growth Fund and Small Cap Value Fund
 
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.018%  

next $3.5 billion and

     0.014%  

Amount over $7 billion

     0.010%  

HFMC has delegated certain accounting and administrative services functions to State Street Bank and Trust Company (“State Street”). The costs and expenses of such delegation are borne by HFMC, not by the Funds, and HFMC compensates State Street for its services out of its own resources.

 

  c)

Operating Expenses – Allocable expenses incurred by each Company are allocated to each series within such Company, and allocated to classes within each such series, in proportion to the average daily net assets of such series and classes, except where allocation of certain expenses is more fairly made directly to a Fund or to specific classes within a Fund. As of October 31, 2019, HFMC contractually limited the total operating expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses), through February 29, 2020 as follows for each of the following Funds:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Quality Value Fund(1)

     0.96     1.71     0.66     1.18     0.88     0.63     0.46     0.57     0.46

Small Cap Value Fund(1)

     1.30     2.05     1.00     1.50     1.20     0.90     0.80     0.85     0.80

Small Company Fund(2)

     1.40     2.15     1.15     1.55     1.25     0.95     0.90     0.95     0.90

 

  (1) 

Expense limitation was effective from November 1, 2018 through October 31, 2019.

  (2) 

Expense limitation was effective from March 1, 2019 through October 31, 2019.

From November 1, 2018 through February 28, 2019, HFMC contractually limited the total operating expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses) of the following Fund as follows:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Small Company Fund

     1.40     2.15     1.15     1.55     1.25     0.95     0.90     0.90     0.90

 

  d)

Fees Paid Indirectly – Certain Funds have entered into agreements with State Street Global Markets, LLC and Russell Implementation Services, Inc. to partially recapture non-discounted trade commissions. Such rebates are used to pay a portion of a Fund’s expenses. In addition, the Funds’ custodian bank has agreed to reduce its fees when a Fund maintains cash on deposit in a non-interest-bearing custody account. For the year ended October 31, 2019, these amounts, if any, are included in the Statements of Operations.

The ratio of expenses to average net assets in the accompanying financial highlights excludes the reduction in expenses related to fees paid indirectly. The annualized expense ratio after waivers reflecting the reduction for fees paid indirectly for the period is as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Capital Appreciation Fund

     1.07     1.83     0.79     1.42     1.11     0.80     0.70     0.74     0.70

Core Equity Fund

     0.73     1.47     0.47     1.10     0.74     0.49     0.38     0.43     0.38

Dividend and Growth Fund

     0.99     1.77     0.73     1.35     1.04     0.74     0.64     0.68     0.64

Equity Income Fund

     1.00     1.76     0.75     1.36     1.07     0.76     0.66     0.71     0.66

Growth Opportunities Fund

     1.11     1.86     0.85     1.46     1.15     0.85     0.75     0.79     0.74

Healthcare Fund

     1.30     2.05     1.01     1.62     1.31     1.02     0.91     0.95     0.91

MidCap Fund

     1.10     1.86     0.85     1.45     1.14     0.84     0.74     0.78     0.74

MidCap Value Fund

     1.23     1.99     0.89     1.52     1.20     0.91     N/A       0.85     0.80

Quality Value Fund

     0.90     1.67     0.56     1.16     0.86     0.58     0.46     0.55     0.46

Small Cap Growth Fund

     1.24     1.89     0.83     1.47     1.16     0.85     0.76     0.80     0.76

Small Cap Value Fund

     1.27     2.04     0.90     1.42     1.20     0.90     0.80     0.85     0.80

Small Company Fund

     1.32     2.13     1.03     1.55     1.25     0.95     0.90     0.93     0.90

 

 

  110  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  e)

Sales Charges and Distribution and Service Plan for Class A, T, C, R3 and R4 Shares – Hartford Funds Distributors, LLC (“HFD”), an indirect subsidiary of The Hartford, is the principal underwriter and distributor of each Fund. For the year ended October 31, 2019, HFD received front-end sales charges and contingent deferred sales charges for each Fund as follows:

 

Fund

   Front-end
Sales Charges
     Contingent Deferred
Sales Charges
 

Capital Appreciation Fund

   $ 1,881,375      $ 13,032  

Core Equity Fund

     2,442,408        28,179  

Dividend and Growth Fund

     3,276,542        24,040  

Equity Income Fund

     1,519,170        13,307  

Growth Opportunities Fund

     2,807,131        46,324  

Healthcare Fund

     688,543        10,069  

MidCap Fund

     3,728,257        65,966  

MidCap Value Fund

     607,969        7,669  

Quality Value Fund

     112,646        517  

Small Cap Growth Fund

     49,649        917  

Small Cap Value Fund

     51,145        502  

Small Company Fund

     559,942        2,353  

The Board of Directors of each Company has approved the adoption of a separate distribution plan (each a “Plan”) pursuant to Rule 12b-1 under the 1940 Act for each of Class A, T, C, R3 and R4 shares. Under a Plan, Class A, Class T, Class C, Class R3 and Class R4 shares of a Fund, as applicable, bear distribution and/or service fees paid to HFD, some of which may be paid to select broker-dealers. Pursuant to the Class A Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class A shares for distribution financing activities and shareholder account servicing activities. The entire amount of the fee may be used for shareholder servicing expenses and/or distribution expenses. Pursuant to the Class T Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class T shares for distribution financing activities and shareholder account servicing activities. The entire amount of the fee may be used for shareholder servicing expenses and/or distribution expenses. As of October 31, 2019, Class T shares have not commenced operations. Pursuant to the Class C Plan, a Fund may pay HFD a fee of up to 1.00% of the average daily net assets attributable to Class C shares for distribution financing activities, and up to 0.25% may be used for shareholder account servicing activities. The Class C Plan also provides that HFD will receive all contingent deferred sales charges attributable to Class C shares. Pursuant to the Class R3 Plan, a Fund may pay HFD a fee of up to 0.50% of the average daily net assets attributable to Class R3 shares for distribution financing activities, and up to 0.25% may be used for shareholder account servicing activities. Pursuant to the Class R4 Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class R4 shares for distribution financing activities. The entire amount of the fee may be used for shareholder account servicing activities. Each Fund’s 12b-1 fees are accrued daily and paid monthly or at such other intervals as the respective Company’s Board of Directors may determine. Any 12b-1 fees attributable to assets held in an account held directly with the Funds’ transfer agent for which there is not a third-party listed as the broker-dealer of record (of HFD does not otherwise have a payment obligation) are generally reimbursed to the applicable Fund. Such amounts are reflected as “Distribution fee reimbursements” on the Statement of Operations.

 

  f)

Other Related Party Transactions – Certain officers of each Company are directors and/or officers of HFMC and/or The Hartford or its subsidiaries. For the year ended October 31, 2019, a portion of each Company’s Chief Compliance Officer’s (“CCO”) compensation was paid by all of the investment companies in the Hartford fund complex. The portion allocated to each Fund, as represented in other expenses on the Statements of Operations, is outlined in the table below.

 

Fund

   CCO Compensation
Paid by Fund
 

Capital Appreciation Fund

   $ 16,646  

Core Equity Fund

     9,641  

Dividend and Growth Fund

     19,713  

Equity Income Fund

     9,483  

Growth Opportunities Fund

     11,436  

Healthcare Fund

     3,204  

MidCap Fund

     30,503  

MidCap Value Fund

     1,557  

Quality Value Fund

     618  

Small Cap Growth Fund

     2,560  

Small Cap Value Fund

     240  

Small Company Fund

     1,290  

Hartford Administrative Services Company (“HASCO”), an indirect subsidiary of The Hartford, provides transfer agent services to each Fund. Each Fund pays HASCO a transfer agency fee payable monthly based on the lesser of (i) the costs of providing or overseeing transfer agency services provided to each share class of such Fund plus a target profit margin or (ii) a Specified Amount (as defined in the table below ). Such fee is intended to compensate HASCO for: (i) fees payable by HASCO to DST Asset Manager Solutions, Inc. (“DST”) (and any other designated sub-agent) according to the agreed-upon fee schedule under the sub-transfer agency agreement between HASCO and DST (or between HASCO and any other designated sub-agent, as applicable); (ii) sub-transfer agency fees payable by HASCO to financial intermediaries, according to the agreed-upon terms between HASCO and the financial intermediaries, provided that such payments are

 

 

  111  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

within certain limits approved by the applicable Company’s Board of Directors; (iii) certain expenses that HASCO’s parent company, Hartford Funds Management Group, Inc., allocates to HASCO that relate to HASCO’s transfer agency services provided to the Fund; and (iv) a target profit margin.

 

Share Class

   Specified Amount
(as a percentage
average daily
net assets)
 

Class A

     0.25

Class C

     0.25

Class I

     0.20

Class Y

     0.11 %* 

Class R3

     0.22

Class R4

     0.17

Class R5

     0.12

Class R6

     0.004

Class F

     0.004

 

  *

For the period November 1, 2018 through April 30, 2019, the specified amount for all Class Y shares was equal to 0.06% of average daily net assets.

Effective March 1, 2019, HASCO has contractually agreed to waive and/or reimburse a portion of the transfer agency fees for the share classes of the Funds listed below to the extent necessary to maintain the transfer agency fees as follows:

 

Fund

   Class I     Class Y  

Capital Appreciation Fund

     N/A       0.04

Core Equity Fund

     N/A       0.06

Dividend and Growth Fund

     N/A       0.05

Equity Income Fund

     N/A       0.05

Growth Opportunities Fund

     N/A       0.05

Healthcare Fund

     N/A       0.06

MidCap Fund

     0.12     0.04

MidCap Value Fund

     N/A       0.05

Small Cap Growth Fund

     N/A       0.04

This contractual arrangement for each of these Funds will remain in effect until February 29, 2020 unless the Board of Directors approves its earlier termination.

Pursuant to a sub-transfer agency agreement between HASCO and DST, HASCO has delegated certain transfer agent, dividend disbursing agent and shareholder servicing agent functions to DST. Each Fund does not pay any fee directly to DST; rather, HASCO makes all such payments to DST. The accrued amount shown in the Statements of Operations reflects the amounts charged by HASCO. These fees are accrued daily and paid monthly.

For the year ended October 31, 2019, the effective rate of compensation paid to HASCO for transfer agency services as a percentage of each Class’ average daily net assets is as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Capital Appreciation Fund

     0.12     0.13     0.09     0.22     0.16     0.10     0.00     0.04     0.00

Core Equity Fund

     0.11     0.09     0.09     0.22     0.14     0.11     0.00     0.05     0.00

Dividend and Growth Fund

     0.11     0.13     0.10     0.22     0.15     0.10     0.00     0.05     0.00

Equity Income Fund

     0.09     0.10     0.10     0.20     0.16     0.10     0.00     0.05     0.00

Growth Opportunities Fund

     0.12     0.12     0.11     0.22     0.16     0.11     0.00     0.05     0.00

Healthcare Fund

     0.14     0.15     0.10     0.21     0.16     0.12     0.00     0.05     0.00

MidCap Fund

     0.11     0.12     0.11     0.21     0.17     0.10     0.00     0.04     0.00

MidCap Value Fund

     0.18     0.19     0.09     0.22     0.16     0.12     N/A       0.05     0.00

Quality Value Fund

     0.20     0.21     0.10     0.22     0.15     0.12     0.00     0.08     0.00

Small Cap Growth Fund

     0.24     0.14     0.07     0.22     0.16     0.09     0.00     0.04     0.00

Small Cap Value Fund

     0.23     0.25     0.10     0.22     0.17     0.12     0.00     0.08     0.00

Small Company Fund

     0.18     0.24     0.14     0.22     0.17     0.12     0.00     0.04     0.00

 

8.

Securities Lending:

Each Company has entered into a securities lending agency agreement (“lending agreement”) with Citibank, N.A. (“Citibank”). A Fund may lend portfolio securities to certain borrowers in U.S. and non-U.S. markets in an amount not to exceed one-third (33 1/3%) of the value of its total assets. If a Fund security is on loan, under the lending agreement, the borrower is required to deposit cash or liquid securities as collateral at least equal to 100% of the market value of the loaned securities; cash collateral is invested for the benefit of the Fund by the Fund’s lending agent pursuant to collateral investment guidelines. The collateral is marked to market daily, in an amount at least equal to the current market value of the securities loaned.

 

 

  112  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

A Fund is subject to certain risks while its securities are on loan, including the following: (i) the risk that the borrower defaults on the loan and the collateral is inadequate to cover the Fund’s loss; (ii) the risk that the earnings on the collateral invested are not sufficient to pay fees incurred in connection with the loan; (iii) the risk that the principal value of the collateral invested may decline; (iv) the risk that the borrower may use the loaned securities to cover a short sale, which may in turn place downward pressure on the market prices of the loaned securities; (v) the risk that return of loaned securities could be delayed and interfere with portfolio management decisions; and (vi) the risk that any efforts to restrict the securities for purposes of voting may not be effective. These events could also trigger adverse tax consequences for the Fund.

The Funds retain loan fees and the interest on cash collateral investments but are required to pay the borrower a rebate for the use of cash collateral. In cases where the lent security is of high value to borrowers, there may be a negative rebate (i.e., a net payment from the borrower to the Funds). Upon termination of a loan, the Funds are required to return to the borrower an amount equal to the cash collateral, plus any rebate owed to the borrowers.

The net income earned on the securities lending (after payment of rebates and Citibank’s fee) is included on the Statements of Operations as Investment Income from securities lending. The Funds also receive payments from the borrower during the period of the loan, equivalent to dividends and interest earned on the securities loaned, which are recorded as Investment Income from dividends or interest, respectively, on the Statements of Operations.

The following table presents the market value of the Funds’ securities on loan, net of amounts available for offset under the master netting arrangements and any related collateral received by the Funds as of October 31, 2019.

 

     Investment Securities
on Loan, at market
value, Presented on
the Statement of
Assets and Liabilities(1)
     Collateral
Posted by
Borrower(3)
    Net Amount(2)  

Capital Appreciation Fund

   $ 33,237,906      $ (33,237,906   $  

Core Equity Fund

     22,988,543        (22,988,543      

Dividend and Growth Fund

     3,617,565        (3,617,565      

Growth Opportunities Fund

     98,649,676        (98,649,676      

Healthcare Fund

     33,434,256        (33,434,256      

MidCap Fund

         151,285,796            (151,285,796         —  

Small Cap Growth Fund

     22,309,469        (22,309,469      

Small Cap Value Fund

     2,978,115        (2,978,115      

Small Company Fund

     9,309,793        (9,309,793      

 

  (1) 

It is each Fund’s policy to obtain additional collateral from, or return excess collateral to, the borrower by the end of the next business day following the valuation date of the securities loaned. Therefore, the value of the collateral held may be temporarily less than that required under the lending contract.

  (2) 

Net amount represents the net amount receivable due from the counterparty in the event of default.

  (3) 

Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash and non-cash collateral with value of $35,190,576, $25,237,978, $4,542,000, $104,283,353, $34,350,233, $164,065,631, $22,408,521, $3,076,375, and $9,654,908, respectively, has been received by Capital Appreciation Fund, Core Equity Fund, Dividend and Growth Fund, Growth Opportunities Fund, Healthcare Fund, MidCap Fund, Small Cap Growth Fund, Small Cap Value Fund, and Small Company Fund, respectively, in connection with securities lending transactions.

 

9.

Secured Borrowings:

The following tables reflect a breakdown of transactions accounted for as secured borrowings, the gross obligation by the type of collateral pledged, and the remaining contractual maturity of those transactions as of October 31, 2019.

Certain Transfers Accounted for as Secured Borrowings

Remaining Contractual Maturity of the Agreements

 

     Overnight and
Continuous
     <30 days      Between
30 & 90 days
     >90 days      Total  
Capital Appreciation Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 31,596,022      $      $      $      $ 31,596,022  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 31,596,022      $      $      $      $ 31,596,022  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 31,596,022  
              

 

 

 
Core Equity Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 25,237,978      $      $      $      $ 25,237,978  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 25,237,978      $      $      $      $ 25,237,978  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 25,237,978  
              

 

 

 
Dividend and Growth Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 4,542,000      $      $      $      $ 4,542,000  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 4,542,000      $      $      $      $ 4,542,000  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 4,542,000  
              

 

 

 

 

 

  113  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

     Overnight and
Continuous
     <30 days      Between
30 & 90 days
     >90 days      Total  
Growth Opportunities Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $     104,283,353      $     —      $     —      $     —      $     104,283,353  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 104,283,353      $      $      $      $ 104,283,353  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 104,283,353  
              

 

 

 
Healthcare Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 34,242,367      $      $      $      $ 34,242,367  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 34,242,367      $      $      $      $ 34,242,367  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 34,242,367  
              

 

 

 
MidCap Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $     164,065,631      $     —      $     —      $     —      $     164,065,631  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 164,065,631      $      $      $      $ 164,065,631  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 164,065,631  
              

 

 

 
Small Cap Growth Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 22,408,521      $      $      $      $ 22,408,521  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 22,408,521      $      $      $      $ 22,408,521  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 22,408,521  
              

 

 

 
Small Cap Value Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 3,076,375      $      $      $      $ 3,076,375  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 3,076,375      $      $      $      $ 3,076,375  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 3,076,375  
              

 

 

 
Small Company Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 9,654,908      $      $      $      $ 9,654,908  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 9,654,908      $      $      $      $ 9,654,908  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 9,654,908  
              

 

 

 

 

  (1) 

Amount represents the payable for cash collateral received on securities on loan. This will generally be in the “Overnight and Continuous” column as the securities are typically callable on demand.

 

10.

Affiliate Holdings:

As of October 31, 2019, affiliates of The Hartford had ownership of shares in each Fund as follows:

Percentage of a Class:

 

Fund

   Class A      Class C      Class I      Class R3      Class R4      Class R5     Class R6     Class Y      Class F  

Healthcare Fund

                                              1             

Quality Value Fund

                                              33             

Small Cap Value Fund

                                        100     10             

Percentage of Fund by Class:

 

Fund

   Class A      Class C      Class I      Class R3      Class R4      Class R5     Class R6     Class Y      Class F  

Healthcare Fund

                                              %*              

Quality Value Fund

                                              %*              

Small Cap Value Fund

                                        %*      %*              

 

  *

Percentage rounds to zero.

 

 

  114  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

As of October 31, 2019, affiliated funds of funds and certain 529 plans administered by HFMC in the aggregate owned a portion of the Funds identified below. Therefore, these Funds may experience relatively large purchases or redemptions of their shares from these affiliated funds of funds and certain 529 plans administered by HFMC. Affiliated funds of funds and certain 529 plans administered by HFMC owned shares in the Funds listed below as follows:

 

Funds

   Percentage
of Fund*
 

Capital Appreciation Fund

     8

Core Equity Fund

     6

Dividend and Growth Fund

     10

Equity Income Fund

     7

Growth Opportunities Fund

     2

MidCap Fund

     1

MidCap Value Fund

     2

Small Cap Growth Fund

     4

Small Cap Value Fund

     44

Small Company Fund

     10

 

  *

As of October 31, 2019, affiliated funds of funds and certain 529 plans administered by HFMC invest in Class F shares.

 

11.

Investment Transactions:

For the year ended October 31, 2019, the cost of purchases and proceeds from sales of investment securities (excluding short-term investments) were as follows:

 

Fund

   Cost of Purchases
Excluding U.S.
Government
Obligations
     Sales Proceeds
Excluding U.S.

Government
Obligations
     Cost of Purchases
For U.S.
Government
Obligations
     Sales Proceeds
For U.S.
Government
Obligations
     Total Cost of
Purchases
     Total Sales
Proceeds
 

Capital Appreciation Fund

   $     4,644,797,928      $     5,939,939,117      $     —      $     —      $     4,644,797,928      $     5,939,939,117  

Core Equity Fund

     2,060,243,351        635,255,651                      2,060,243,351        635,255,651  

Dividend and Growth Fund

     1,811,327,134        2,032,858,469                      1,811,327,134        2,032,858,469  

Equity Income Fund

     840,414,838        1,351,434,350                      840,414,838        1,351,434,350  

Growth Opportunities Fund

     3,077,549,603        3,670,793,301                      3,077,549,603        3,670,793,301  

Healthcare Fund

     452,657,026        716,549,882                      452,657,026        716,549,882  

MidCap Fund

     4,125,522,702        4,344,809,659                      4,125,522,702        4,344,809,659  

MidCap Value Fund

     353,462,540        371,286,556                      353,462,540        371,286,556  

Quality Value Fund

     54,499,737        153,273,647                      54,499,737        153,273,647  

Small Cap Growth Fund

     503,878,112        664,491,952                      503,878,112        664,491,952  

Small Cap Value Fund

     139,150,722        140,025,664                      139,150,722        140,025,664  

Small Company Fund

     521,501,562        493,725,607                      521,501,562        493,725,607  

 

12.

Capital Share Transactions:

The following information is for the year ended October 31, 2019, and the year ended October 31, 2018:

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Capital Appreciation Fund                                    

Class A

                   

Shares Sold

       6,684,086        $ 232,423,382          18,627,905        $ 720,223,487  

Shares Issued for Reinvested Dividends

       22,329,307          687,462,739          15,585,296          588,452,604  

Shares Redeemed

       (24,060,103            (834,177,503        (19,213,364            (759,184,210
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       4,953,290          85,708,618          14,999,837          549,491,881  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       1,093,708        $ 26,748,681          1,048,144        $ 31,974,203  

Shares Issued for Reinvested Dividends

       3,194,762          71,977,983          6,297,825          184,217,448  

Shares Redeemed

       (8,552,882        (220,040,659        (29,715,951        (896,575,354
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (4,264,412        (121,313,995        (22,369,982        (680,383,703
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       2,525,910        $ 87,546,675          3,910,878        $ 155,382,910  

Shares Issued for Reinvested Dividends

       2,918,816          90,422,933          2,472,959          93,848,576  

Shares Redeemed

       (7,113,244            (243,912,297        (7,218,834            (285,577,373
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,668,518        (65,942,689        (834,997        (36,345,887
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  115  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Capital Appreciation Fund – (continued)                                    

Class R3

                   

Shares Sold

       112,855        $ 4,432,352          137,040        $ 5,957,109  

Shares Issued for Reinvested Dividends

       236,998          8,150,367          206,300          8,536,924  

Shares Redeemed

       (607,653        (23,140,877        (513,386        (22,360,490
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (257,800        (10,558,158        (170,046        (7,866,457
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       84,709        $ 3,432,233          186,985        $ 8,374,964  

Shares Issued for Reinvested Dividends

       183,710          6,552,532          187,519          8,012,830  

Shares Redeemed

       (573,752        (23,412,700        (764,944        (33,903,987
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (305,333        (13,427,935        (390,440        (17,516,193
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       181,208        $ 7,914,397          82,585        $ 3,732,482  

Shares Issued for Reinvested Dividends

       122,722          4,476,273          108,386          4,727,927  

Shares Redeemed

       (205,507        (8,681,890        (261,803        (11,949,550
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       98,423          3,708,780          (70,832        (3,489,141
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       267,939        $ 11,761,170          101,194        $ 4,624,485  

Shares Issued for Reinvested Dividends

       257,757          9,465,639          192,898          8,465,656  

Shares Redeemed

       (319,035        (13,587,366        (151,907        (6,938,017
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       206,661          7,639,443          142,185          6,152,124  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       941,007        $ 38,590,999          693,026        $ 32,164,734  

Shares Issued for Reinvested Dividends

       618,487          22,707,855          477,638          20,953,067  

Shares Redeemed

       (1,311,560        (54,361,429        (1,043,499        (48,018,245
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       247,934          6,937,425          127,165          5,099,556  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       2,208,483        $ 75,649,434          1,570,142        $ 62,543,993  

Shares Issued for Reinvested Dividends

       4,119,442          127,618,948          2,834,969          107,657,480  

Shares Redeemed

       (8,650,541        (303,183,820        (7,542,627        (297,884,938
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,322,616        (99,915,438        (3,137,516        (127,683,465
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (3,312,371      $     (207,163,949        (11,704,626      $     (312,541,285
    

 

 

      

 

 

      

 

 

      

 

 

 
Core Equity Fund                                    

Class A

                   

Shares Sold

       8,354,312        $ 252,717,104          6,126,880        $ 186,510,085  

Shares Issued for Reinvested Dividends

       1,170,588          31,856,185          734,490          21,375,055  

Shares Redeemed

       (5,215,218        (160,692,456        (6,920,178        (209,143,476
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       4,309,682          123,880,833          (58,808        (1,258,336
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       3,448,909        $ 95,348,410          1,710,493        $ 47,235,025  

Shares Issued for Reinvested Dividends

       502,591          12,459,225          350,318          9,320,524  

Shares Redeemed

       (2,521,277        (70,389,801        (3,541,926        (97,989,819
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,430,223          37,417,834          (1,481,115        (41,434,270
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       25,472,720        $ 784,168,575          13,072,789        $ 396,887,616  

Shares Issued for Reinvested Dividends

       1,993,782          54,347,120          1,162,130          33,875,872  

Shares Redeemed

       (12,866,239        (391,201,983        (11,227,452        (338,823,716
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       14,600,263          447,313,712          3,007,467          91,939,772  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       211,237        $ 6,632,389          207,064        $ 6,289,388  

Shares Issued for Reinvested Dividends

       48,300          1,333,045          40,040          1,179,524  

Shares Redeemed

       (389,729        (12,245,081        (598,704        (18,364,395
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (130,192        (4,279,647        (351,600        (10,895,483
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       1,180,826        $ 37,776,886          622,611        $ 19,301,039  

Shares Issued for Reinvested Dividends

       208,644          5,850,946          181,518          5,432,028  

Shares Redeemed

       (1,698,103        (53,981,141        (2,022,499        (62,643,003
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (308,633        (10,353,309        (1,218,370        (37,909,936
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  116  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Core Equity Fund – (continued)                                    

Class R5

                   

Shares Sold

       1,436,917        $ 45,315,419          2,247,746        $ 68,256,158  

Shares Issued for Reinvested Dividends

       323,315          8,879,357          221,366          6,500,244  

Shares Redeemed

       (1,502,323        (47,538,353        (2,532,507        (76,084,368
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       257,909          6,656,423          (63,395        (1,327,966
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       4,632,883        $ 148,100,189          1,801,311        $ 54,771,612  

Shares Issued for Reinvested Dividends

       253,490          6,992,185          145,967          4,302,198  

Shares Redeemed

       (2,017,998        (61,880,496        (1,253,498        (38,957,594
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,868,375          93,211,878          693,780          20,116,216  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       5,881,409        $ 182,841,788          3,788,002        $ 115,773,056  

Shares Issued for Reinvested Dividends

       370,855          10,229,172          189,251          5,580,138  

Shares Redeemed

       (2,374,093        (71,937,946        (2,029,036        (61,771,039
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       3,878,171          121,133,014          1,948,217          59,582,155  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       33,881,513        $ 1,030,449,832          4,595,725        $ 139,606,491  

Shares Issued for Reinvested Dividends

       1,240,370          33,816,032          773,606          22,560,533  

Shares Redeemed

       (6,710,781        (209,251,668        (4,825,438        (145,935,601
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       28,411,102          855,014,196          543,893          16,231,423  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       55,316,900        $     1,669,994,934          3,020,069        $ 95,043,575  
    

 

 

      

 

 

      

 

 

      

 

 

 
Dividend and Growth Fund                                    

Class A

                   

Shares Sold

       10,848,253        $ 260,738,740          12,487,323        $ 326,156,465  

Shares Issued for Reinvested Dividends

       16,688,013          372,818,519          15,040,346          388,531,155  

Shares Redeemed

       (20,698,694        (499,914,217        (21,964,648        (577,481,273
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       6,837,572          133,643,042          5,563,021          137,206,347  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       1,414,298        $ 32,132,341          1,045,131        $ 26,546,753  

Shares Issued for Reinvested Dividends

       1,026,732          21,933,732          1,845,692          46,024,991  

Shares Redeemed

       (3,932,419        (91,472,582        (10,581,892        (266,750,872
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,491,389        (37,406,509        (7,691,069        (194,179,128
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       13,889,977        $ 332,507,196          8,212,320        $ 214,582,901  

Shares Issued for Reinvested Dividends

       3,988,160          88,918,028          3,244,516          83,455,551  

Shares Redeemed

       (9,237,704        (220,366,922        (6,587,672            (172,489,960
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       8,640,433          201,058,302          4,869,164          125,548,492  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       328,462        $ 8,057,448          521,930        $ 14,025,931  

Shares Issued for Reinvested Dividends

       314,415          7,102,460          307,181          8,034,183  

Shares Redeemed

       (931,518        (22,971,895        (806,690        (21,481,715
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (288,641        (7,811,987        22,421          578,399  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       1,040,819        $ 25,469,227          961,975        $ 25,805,384  

Shares Issued for Reinvested Dividends

       460,939          10,513,161          431,814          11,371,284  

Shares Redeemed

       (2,335,283        (58,396,232        (1,459,422        (39,314,657
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (833,525        (22,413,844        (65,633        (2,137,989
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       3,271,224        $ 81,329,519          2,346,568        $ 62,962,468  

Shares Issued for Reinvested Dividends

       245,192          5,650,369          192,818          5,102,053  

Shares Redeemed

       (1,841,585        (46,178,130        (1,674,914        (45,252,539
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,674,831          40,801,758          864,472          22,811,982  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       2,225,050        $ 55,216,561          3,017,132        $ 82,759,681  

Shares Issued for Reinvested Dividends

       391,648          9,024,849          80,479          2,134,094  

Shares Redeemed

       (993,067        (24,710,883        (639,176        (16,937,047
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,623,631          39,530,527          2,458,435          67,956,728  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  117  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Dividend and Growth Fund – (continued)                                    

Class Y

                   

Shares Sold

       5,457,856        $ 135,046,773          6,731,729        $ 180,558,797  

Shares Issued for Reinvested Dividends

       2,777,641          63,824,725          2,507,887          66,367,057  

Shares Redeemed

       (5,583,324        (138,468,750        (7,326,785        (198,852,639
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,652,173          60,402,748          1,912,831          48,073,215  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       16,093,030        $ 386,215,855          14,299,165        $ 372,356,271  

Shares Issued for Reinvested Dividends

       12,928,718          287,825,698          11,425,655          293,726,913  

Shares Redeemed

       (20,334,098        (490,952,552        (18,153,837        (477,146,616
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       8,687,650          183,089,001          7,570,983          188,936,568  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       27,502,735        $ 590,893,038          15,504,625        $ 394,794,614  
    

 

 

      

 

 

      

 

 

      

 

 

 
Equity Income Fund                                    

Class A

                   

Shares Sold

       6,480,746        $ 121,285,443          7,054,185        $ 141,208,042  

Shares Issued for Reinvested Dividends

       7,839,935          137,242,745          5,387,109          108,873,865  

Shares Redeemed

       (13,808,960        (258,119,451        (16,310,108        (330,513,136
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       511,721          408,737          (3,868,814        (80,431,229
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       1,403,741        $ 25,634,319          1,496,750        $ 30,142,193  

Shares Issued for Reinvested Dividends

       1,490,092          25,756,245          1,234,724          24,850,317  

Shares Redeemed

       (5,337,720        (99,926,506        (7,456,596        (148,401,415
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,443,887        (48,535,942        (4,725,122        (93,408,905
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       12,788,727        $ 238,778,998          17,491,443        $ 350,784,723  

Shares Issued for Reinvested Dividends

       5,610,079          97,562,348          3,652,614          73,362,106  

Shares Redeemed

       (30,170,664        (559,232,499        (15,229,423            (305,556,437
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (11,771,858            (222,891,153        5,914,634          118,590,392  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       201,583        $ 3,801,906          296,916        $ 5,984,389  

Shares Issued for Reinvested Dividends

       229,662          4,011,859          167,506          3,391,169  

Shares Redeemed

       (671,796        (12,589,934        (828,311        (16,803,967
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (240,551        (4,776,169        (363,889        (7,428,409
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       517,003        $ 9,693,018          642,122        $ 13,016,169  

Shares Issued for Reinvested Dividends

       271,292          4,754,392          205,009          4,153,860  

Shares Redeemed

       (1,721,384        (32,616,945        (1,072,897        (21,756,093
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (933,089        (18,169,535        (225,766        (4,586,064
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       1,131,152        $ 21,619,237          1,070,828        $ 21,909,354  

Shares Issued for Reinvested Dividends

       360,589          6,368,591          237,336          4,829,360  

Shares Redeemed

       (1,508,603        (28,818,781        (1,231,998        (25,045,790
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (16,862        (830,953        76,166          1,692,924  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       1,148,910        $ 22,234,541          624,797        $ 12,755,320  

Shares Issued for Reinvested Dividends

       193,154          3,429,995          109,860          2,239,099  

Shares Redeemed

       (544,409        (10,408,102        (355,527        (7,261,890
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       797,655          15,256,434          379,130          7,732,529  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       2,508,088        $ 47,678,296          3,235,467        $ 66,523,295  

Shares Issued for Reinvested Dividends

       658,477          11,609,476          473,849          9,676,818  

Shares Redeemed

       (5,123,450        (95,079,692        (3,349,092        (68,094,590
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,956,885        (35,791,920        360,224          8,105,523  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       10,316,801        $ 193,403,821          11,490,117        $ 230,763,902  

Shares Issued for Reinvested Dividends

       4,372,836          76,382,908          2,529,103          50,774,813  

Shares Redeemed

       (8,455,981        (159,836,569        (6,712,436        (135,242,319
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       6,233,656          109,950,160          7,306,784          146,296,396  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (9,820,100      $ (205,380,341        4,853,347        $ 96,563,157  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  118  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Growth Opportunities Fund                                    

Class A

                   

Shares Sold

       5,563,708        $ 213,086,115          5,430,832        $ 258,227,081  

Shares Issued for Reinvested Dividends

       13,501,045          442,159,235          3,585,086          153,656,799  

Shares Redeemed

       (9,974,318        (382,016,437        (6,592,860        (310,460,365
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       9,090,435          273,228,913          2,423,058          101,423,515  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       3,170,815        $ 62,375,652          2,202,102        $ 67,142,214  

Shares Issued for Reinvested Dividends

       5,635,659          96,538,837          1,594,478          44,007,584  

Shares Redeemed

       (6,028,908        (121,531,114        (6,076,031        (184,287,489
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,777,566          37,383,375          (2,279,451        (73,137,691
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       11,781,273        $ 478,068,139          8,710,241        $ 433,216,495  

Shares Issued for Reinvested Dividends

       8,365,419          290,614,670          2,290,426          102,404,963  

Shares Redeemed

       (19,254,836            (785,597,820        (8,315,111            (406,512,937
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       891,856          (16,915,011        2,685,556          129,108,521  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       218,666        $ 8,369,169          234,644        $ 11,070,881  

Shares Issued for Reinvested Dividends

       309,474          10,153,854          87,601          3,772,966  

Shares Redeemed

       (429,915        (16,932,192        (325,309        (15,295,005
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       98,225          1,590,831          (3,064        (451,158
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       250,422        $ 10,352,870          228,630        $ 11,414,684  

Shares Issued for Reinvested Dividends

       446,887          15,681,250          129,500          5,853,389  

Shares Redeemed

       (746,989        (31,374,403        (398,588        (19,861,217
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (49,680        (5,340,283        (40,458        (2,593,144
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       186,925        $ 8,171,987          135,790        $ 7,029,897  

Shares Issued for Reinvested Dividends

       109,194          4,050,013          27,599          1,298,270  

Shares Redeemed

       (119,452        (5,325,984        (101,488        (5,319,310
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       176,667          6,896,016          61,901          3,008,857  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       357,710        $ 15,726,095          157,464        $ 8,754,701  

Shares Issued for Reinvested Dividends

       64,798          2,446,116          8,512          405,519  

Shares Redeemed

       (159,208        (7,327,990        (19,778        (1,033,651
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       263,300          10,844,221          146,198          8,126,569  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       1,911,323        $ 84,186,840          928,873        $ 50,217,143  

Shares Issued for Reinvested Dividends

       650,084          24,540,654          163,706          7,802,221  

Shares Redeemed

       (1,452,543        (67,133,531        (651,865        (34,204,480
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,108,864          41,593,963          440,714          23,814,884  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       3,874,932        $ 160,316,539          2,463,128        $ 122,119,125  

Shares Issued for Reinvested Dividends

       2,537,024          88,339,164          1,101,002          49,269,862  

Shares Redeemed

       (2,258,227        (94,166,031        (8,053,486        (408,108,047
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       4,153,729          154,489,672          (4,489,356        (236,719,060
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       18,510,962        $ 503,771,697          (1,054,902      $ (47,418,707
    

 

 

      

 

 

      

 

 

      

 

 

 
Healthcare Fund                                    

Class A

                   

Shares Sold

       1,270,592        $ 42,474,857          2,816,061        $ 101,549,420  

Shares Issued for Reinvested Dividends

       1,531,546          47,003,147          1,019,295          34,248,296  

Shares Redeemed

       (3,947,053        (131,520,198        (4,495,546        (158,895,113
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,144,915        (42,042,194        (660,190        (23,097,397
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       386,423        $ 10,098,608          496,990        $ 14,452,310  

Shares Issued for Reinvested Dividends

       549,060          13,440,993          515,465          14,185,595  

Shares Redeemed

       (1,751,911        (46,660,248        (3,680,023            (107,962,485
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (816,428        (23,120,647        (2,667,568        (79,324,580
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  119  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Healthcare Fund – (continued)                                    

Class I

                   

Shares Sold

       1,860,549        $ 65,494,008          3,388,340        $ 126,092,031  

Shares Issued for Reinvested Dividends

       716,965          23,208,155          437,685          15,410,892  

Shares Redeemed

       (5,201,462        (180,879,649        (2,974,436        (110,211,280
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,623,948        (92,177,486        851,589          31,291,643  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       140,316        $ 4,727,398          179,019        $ 6,531,072  

Shares Issued for Reinvested Dividends

       82,110          2,592,207          61,276          2,120,778  

Shares Redeemed

       (381,548        (13,280,244        (425,831        (15,473,486
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (159,122        (5,960,639        (185,536        (6,821,636
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       153,972        $ 5,595,659          288,491        $ 11,080,389  

Shares Issued for Reinvested Dividends

       61,171          2,038,224          41,923          1,520,963  

Shares Redeemed

       (397,220        (14,387,290        (416,190        (15,933,796
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (182,077        (6,753,407        (85,776        (3,332,444
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       98,097        $ 3,776,425          130,251        $ 5,340,435  

Shares Issued for Reinvested Dividends

       12,444          435,292          6,075          229,927  

Shares Redeemed

       (158,841        (6,002,309        (112,959        (4,488,405
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (48,300        (1,790,592        23,367          1,081,957  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(2)

                   

Shares Sold

       33,146        $ 1,302,429                 $  

Shares Redeemed

       (660        (26,300                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       32,486          1,276,129                    
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       669,883        $ 26,123,541          431,226        $ 17,308,437  

Shares Issued for Reinvested Dividends

       94,877          3,362,455          52,897          2,024,914  

Shares Redeemed

       (354,102        (13,626,705        (283,402        (11,401,142
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       410,658          15,859,291          200,721          7,932,209  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       72,466        $ 2,542,615          450,646        $ 16,664,894  

Shares Issued for Reinvested Dividends

       158,658          5,145,276          86,244          3,039,229  

Shares Redeemed

       (1,561,880        (51,838,121        (128,688        (4,746,404
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,330,756        (44,150,230        408,202          14,957,719  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (5,862,402      $     (198,859,775        (2,115,191      $ (57,312,529
    

 

 

      

 

 

      

 

 

      

 

 

 
MidCap Fund                                    

Class A

                   

Shares Sold

       10,562,439        $ 302,872,439          15,229,089        $ 479,864,863  

Shares Issued for Reinvested Dividends

       11,616,898          286,472,704          3,795,999          113,272,618  

Shares Redeemed

       (15,519,945            (445,949,253        (14,462,445            (460,231,010
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       6,659,392          143,395,890          4,562,643          132,906,471  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       3,619,415        $ 71,020,807          6,174,307        $ 145,020,804  

Shares Issued for Reinvested Dividends

       5,087,766          86,695,527          1,974,728          43,246,546  

Shares Redeemed

       (11,310,026            (222,847,023        (13,281,900            (303,779,827
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,602,845        (65,130,689        (5,132,865        (115,512,477
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       42,632,618        $ 1,267,074,961          51,031,220        $ 1,672,961,497  

Shares Issued for Reinvested Dividends

       15,195,028          387,321,276          4,404,777          134,962,369  

Shares Redeemed

       (43,805,361            (1,290,404,699        (33,111,717            (1,073,279,042
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       14,022,285          363,991,538          22,324,280          734,644,824  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       556,017        $ 17,863,858          1,019,743        $ 35,935,089  

Shares Issued for Reinvested Dividends

       380,030          10,526,822          112,130          3,722,725  

Shares Redeemed

       (1,180,346        (38,151,880        (743,549        (26,222,686
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (244,299        (9,761,200        388,324          13,435,128  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  120  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
MidCap Fund – (continued)                                    

Class R4

                   

Shares Sold

       2,008,473        $ 67,464,654          3,152,179        $ 116,185,148  

Shares Issued for Reinvested Dividends

       881,164          25,483,275          291,588          10,027,716  

Shares Redeemed

       (3,755,272        (128,083,303        (2,657,782        (97,308,099
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (865,635        (35,135,374        785,985          28,904,765  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       5,884,056        $ 201,889,123          5,438,327        $ 205,456,983  

Shares Issued for Reinvested Dividends

       1,361,847          40,610,288          353,078          12,442,452  

Shares Redeemed

       (6,880,878        (238,241,924        (2,628,190        (98,094,631
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       365,025          4,257,487          3,163,215          119,804,804  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       23,570,871        $ 824,805,540          19,650,032        $ 747,342,388  

Shares Issued for Reinvested Dividends

       3,466,868          104,560,740          533,890          18,985,122  

Shares Redeemed

       (8,765,259        (311,279,864        (3,937,273            (149,786,078
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       18,272,480          618,086,416          16,246,649          616,541,432  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       13,498,176        $ 461,820,073          20,799,108        $ 797,758,811  

Shares Issued for Reinvested Dividends

       4,622,179          139,266,264          1,504,227          53,460,224  

Shares Redeemed

       (29,761,816            (1,038,153,416        (19,868,421        (736,585,618
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (11,641,461        (437,067,079        2,434,914          114,633,417  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       23,838,251        $ 717,246,012          21,922,976        $ 713,934,685  

Shares Issued for Reinvested Dividends

       6,900,254          176,232,472          1,741,235          53,403,678  

Shares Redeemed

       (12,295,039        (370,932,155        (10,385,273        (339,921,754
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       18,443,466          522,546,329          13,278,938          427,416,609  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       42,408,408        $ 1,105,183,318          58,052,083        $     2,072,774,973  
    

 

 

      

 

 

      

 

 

      

 

 

 
MidCap Value Fund                                    

Class A

                   

Shares Sold

       3,015,194        $ 39,850,799          3,127,684        $ 48,813,047  

Shares Issued for Reinvested Dividends

       2,634,934          31,694,686          463,385          7,173,200  

Shares Redeemed

       (3,749,358        (50,258,979        (2,646,647        (41,733,967
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,900,770          21,286,506          944,422          14,252,280  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       219,028        $ 2,302,437          222,446        $ 2,911,223  

Shares Issued for Reinvested Dividends

       240,187          2,313,001          80,495          1,032,748  

Shares Redeemed

       (572,160        (6,156,895        (1,534,250        (19,407,687
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (112,945        (1,541,457        (1,231,309        (15,463,716
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       414,930        $ 5,677,380          552,664        $ 8,792,174  

Shares Issued for Reinvested Dividends

       300,075          3,648,250          66,767          1,040,897  

Shares Redeemed

       (939,685        (12,651,962        (1,015,843        (16,140,564
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (224,680        (3,326,332        (396,412        (6,307,493
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       77,867        $ 1,086,097          75,953        $ 1,256,452  

Shares Issued for Reinvested Dividends

       72,689          922,418          16,486          268,227  

Shares Redeemed

       (250,237        (3,619,666        (192,290        (3,197,956
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (99,681        (1,611,151        (99,851        (1,673,277
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       125,020        $ 1,801,520          124,104        $ 2,096,722  

Shares Issued for Reinvested Dividends

       82,313          1,068,388          16,176          267,868  

Shares Redeemed

       (194,448        (2,814,110        (149,407        (2,527,098
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       12,885          55,798          (9,127        (162,508
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       68,987        $ 961,987          105,272        $ 1,798,408  

Shares Issued for Reinvested Dividends

       36,259          477,765          11,409          191,481  

Shares Redeemed

       (517,692        (7,282,905        (281,733        (4,803,813
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (412,446        (5,843,153        (165,052        (2,813,924
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  121  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
MidCap Value Fund – (continued)                                    

Class Y

                   

Shares Sold

       291,417        $ 4,364,547          348,742        $ 6,063,658  

Shares Issued for Reinvested Dividends

       90,660          1,198,031          41,401          697,132  

Shares Redeemed

       (306,083        (4,432,547        (1,348,747        (22,829,991
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       75,994          1,130,031          (958,604        (16,069,201
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       6,169,822        $ 84,036,654          6,696,887        $ 106,408,840  

Shares Issued for Reinvested Dividends

       2,440,229          29,675,324          441,070          6,902,315  

Shares Redeemed

       (4,278,093            (58,547,425        (5,066,647            (81,143,838
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       4,331,958          55,164,553          2,071,310          32,167,317  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       5,471,855        $ 65,314,795          155,377        $ 3,929,478  
    

 

 

      

 

 

      

 

 

      

 

 

 
Quality Value Fund                                    

Class A

                   

Shares Sold

       515,463        $ 10,074,937          505,087        $ 10,381,769  

Shares Issued for Reinvested Dividends

       572,123          10,176,420          401,915          8,210,264  

Shares Redeemed

       (1,261,687        (24,792,514        (1,478,660        (30,431,153
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (174,101        (4,541,157        (571,658        (11,839,120
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       48,982        $ 803,712          54,734        $ 966,801  

Shares Issued for Reinvested Dividends

       28,768          438,130          50,041          876,084  

Shares Redeemed

       (229,704        (3,910,337        (723,415        (12,761,532
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (151,954        (2,668,495        (618,640        (10,918,647
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       118,116        $ 2,316,278          119,419        $ 2,435,718  

Shares Issued for Reinvested Dividends

       47,997          841,546          28,248          569,900  

Shares Redeemed

       (208,357        (4,046,731        (260,204        (5,290,718
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (42,244        (888,907        (112,537        (2,285,100
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       17,295        $ 356,081          7,767        $ 161,342  

Shares Issued for Reinvested Dividends

       3,279          59,308          2,430          50,174  

Shares Redeemed

       (15,768        (322,706        (27,123        (563,901
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       4,806          92,683          (16,926        (352,385
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       27,215        $ 549,127          58,437        $ 1,239,154  

Shares Issued for Reinvested Dividends

       19,976          364,460          14,925          312,076  

Shares Redeemed

       (63,260        (1,291,227        (140,160        (2,976,078
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (16,069        (377,640        (66,798        (1,424,848
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       1,251        $ 24,050          24,598        $ 514,350  

Shares Issued for Reinvested Dividends

       1,768          32,495          1,109          23,373  

Shares Redeemed

       (16,898        (357,155        (24,077        (525,126
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (13,879        (300,610        1,630          12,597  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(1)

                   

Shares Sold

       1,060        $ 21,715          476        $ 10,000  

Shares Issued for Reinvested Dividends

       35          650                    

Shares Redeemed

       (6        (133                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,089          22,232          476          10,000  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       27,388        $ 566,227          30,977        $ 668,736  

Shares Issued for Reinvested Dividends

       2,143          39,465          2,536          53,600  

Shares Redeemed

       (30,147        (614,974        (54,129        (1,132,320
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (616        (9,282        (20,616        (409,984
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       106,180        $ 2,050,010          4,026,210        $ 82,806,066  

Shares Issued for Reinvested Dividends

       350,111          6,128,466          113,052          2,280,455  

Shares Redeemed

       (4,395,222        (84,991,695        (264,077        (5,415,483
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (3,938,931        (76,813,219        3,875,185          79,671,038  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (4,331,899      $     (85,484,395        2,470,116        $     52,463,551  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  122  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Small Cap Growth Fund                                    

Class A

                   

Shares Sold

       143,713        $ 6,367,732          211,044        $ 12,246,181  

Shares Issued for Reinvested Dividends

       1,137,942          42,820,742          181,627          10,053,030  

Shares Redeemed

       (691,468        (30,501,386        (478,877        (28,211,959
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       590,187          18,687,088          (86,206        (5,912,748
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       33,213        $ 900,484          18,189        $ 821,537  

Shares Issued for Reinvested Dividends

       236,201          6,042,022          50,584          2,132,627  

Shares Redeemed

       (315,783        (9,391,318        (338,387        (14,918,173
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (46,369        (2,448,812        (269,614        (11,964,009
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       2,177,043        $ 98,419,282          1,423,742        $ 86,221,035  

Shares Issued for Reinvested Dividends

       1,099,491          43,341,934          342,617          19,573,702  

Shares Redeemed

       (3,548,369            (163,047,531        (4,791,619            (295,297,396
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (271,835        (21,286,315        (3,025,260        (189,502,659
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       69,866        $ 2,907,966          59,892        $ 3,502,644  

Shares Issued for Reinvested Dividends

       60,131          2,234,481          9,890          543,634  

Shares Redeemed

       (148,734        (6,537,096        (81,883        (4,842,381
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (18,737        (1,394,649        (12,101        (796,103
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       285,710        $ 12,583,104          364,952        $ 22,208,659  

Shares Issued for Reinvested Dividends

       297,846          11,687,478          47,349          2,704,153  

Shares Redeemed

       (909,172        (41,585,558        (493,751        (30,080,314
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (325,616        (17,314,976        (81,450        (5,167,502
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       484,882        $ 22,426,482          347,713        $ 21,980,130  

Shares Issued for Reinvested Dividends

       397,887          16,508,317          76,411          4,542,635  

Shares Redeemed

       (844,219        (41,911,678        (767,974        (48,541,480
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       38,550          (2,976,879        (343,850        (22,018,715
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       827,350        $ 38,567,669          686,094        $ 43,112,203  

Shares Issued for Reinvested Dividends

       205,988          8,674,158          8,749          525,615  

Shares Redeemed

       (479,346        (23,694,911        (130,097        (8,374,078
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       553,992          23,546,916          564,746          35,263,740  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       3,471,469        $ 173,976,901          1,232,771        $ 79,909,898  

Shares Issued for Reinvested Dividends

       1,656,136          69,789,590          270,638          16,276,162  

Shares Redeemed

       (3,955,235            (186,437,170        (1,530,091        (96,766,636
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,172,370          57,329,321          (26,682        (580,576
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       229,925        $ 10,549,148          169,138        $ 10,226,392  

Shares Issued for Reinvested Dividends

       221,268          8,748,931          32,992          1,887,827  

Shares Redeemed

       (324,117            (15,214,484        (167,224        (10,322,892
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       127,076          4,083,595          34,906          1,791,327  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       1,819,618        $ 58,225,289          (3,245,511      $     (198,887,245
    

 

 

      

 

 

      

 

 

      

 

 

 
Small Cap Value Fund                                    

Class A

                   

Shares Sold

       535,811        $ 5,599,188          501,586        $ 7,095,178  

Shares Issued for Reinvested Dividends

       1,345,441          12,452,725          167,649          2,291,007  

Shares Redeemed

       (1,175,436        (12,205,028        (584,728        (8,306,972
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       705,816          5,846,885          84,507          1,079,213  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       27,521        $ 250,111          65,529        $ 865,667  

Shares Issued for Reinvested Dividends

       201,614          1,622,991          40,074          497,721  

Shares Redeemed

       (336,158        (3,016,977        (442,129        (5,637,431
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (107,023        (1,143,875        (336,526        (4,274,043
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  123  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Small Cap Value Fund – (continued)                                    

Class I

                   

Shares Sold

       290,021        $ 3,176,128          114,901        $ 1,655,287  

Shares Issued for Reinvested Dividends

       101,935          945,995          10,068          137,932  

Shares Redeemed

       (246,872        (2,384,735        (78,404        (1,122,083
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       145,084          1,737,388          46,565          671,136  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       12,137        $ 130,291          21,367        $ 312,233  

Shares Issued for Reinvested Dividends

       12,847          123,296          1,103          15,477  

Shares Redeemed

       (5,951        (64,581        (34,579        (501,272
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       19,033          189,006          (12,109        (173,562
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       2,596        $ 26,803          900        $ 13,135  

Shares Issued for Reinvested Dividends

       493          4,797          114          1,619  

Shares Redeemed

       (92        (993        (5,359        (80,859
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,997          30,607          (4,345        (66,105
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Issued for Reinvested Dividends

       888        $ 8,638          144        $ 2,044  

Shares Redeemed

       (2,386        (24,304        (649        (9,287
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,498        (15,666        (505        (7,243
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(1)

                   

Shares Sold

       8,510        $ 91,476          715        $ 10,000  

Shares Issued for Reinvested Dividends

       253          2,456                    

Shares Redeemed

       (11        (110                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       8,752          93,822          715          10,000  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       27,569        $ 298,131          3,238        $ 47,858  

Shares Issued for Reinvested Dividends

       11,902          115,661          4,305          61,224  

Shares Redeemed

       (32,472        (375,274        (46,582        (673,505
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       6,999          38,518          (39,039        (564,423
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       1,466,457        $ 14,533,039          58,899        $ 834,996  

Shares Issued for Reinvested Dividends

       1,036,113          9,621,393          301,115          4,128,469  

Shares Redeemed

       (619,373        (6,521,061        (3,698,310        (52,129,544
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,883,197          17,633,371          (3,338,296        (47,166,079
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       2,663,357        $      24,410,056          (3,599,033      $      (50,491,106
    

 

 

      

 

 

      

 

 

      

 

 

 
Small Company Fund  

Class A

                   

Shares Sold

       1,819,229        $ 35,427,303          2,270,419        $ 52,377,812  

Shares Issued for Reinvested Dividends

       3,082,592          50,462,033                    

Shares Redeemed

       (2,373,495        (46,229,828        (1,882,550        (42,324,435
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,528,326          39,659,508          387,869          10,053,377  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       124,624        $ 1,583,364          161,175        $ 2,756,489  

Shares Issued for Reinvested Dividends

       252,369          2,718,019                    

Shares Redeemed

       (358,239        (4,604,087        (1,216,758        (20,246,713
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       18,754          (302,704        (1,055,583        (17,490,224
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       217,227        $ 4,551,958          281,342        $ 6,659,139  

Shares Issued for Reinvested Dividends

       279,521          4,855,272                    

Shares Redeemed

       (478,368        (9,730,251        (374,450        (8,896,291
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       18,380          (323,021        (93,108        (2,237,152
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       134,256        $ 2,730,277          110,367        $ 2,749,385  

Shares Issued for Reinvested Dividends

       146,146          2,626,237                    

Shares Redeemed

       (330,361        (7,087,474        (514,678        (12,245,254
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (49,959        (1,730,960        (404,311        (9,495,869
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  124  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Small Company Fund – (continued)  

Class R4

                   

Shares Sold

       147,445        $ 3,466,416          121,401        $ 3,118,999  

Shares Issued for Reinvested Dividends

       125,461          2,408,843                    

Shares Redeemed

       (280,883        (6,458,571        (513,859        (13,147,683
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (7,977        (583,312        (392,458        (10,028,684
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       62,555        $ 1,589,279          47,038        $ 1,261,080  

Shares Issued for Reinvested Dividends

       19,819          403,513                    

Shares Redeemed

       (55,755        (1,415,258        (80,902        (2,111,795
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       26,619          577,534          (33,864        (850,715
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       2,145        $ 54,273          3,290        $ 101,310  

Shares Issued for Reinvested Dividends

       1,032          21,469                    

Shares Redeemed

       (553        (14,301        (1,132        (30,923
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,624          61,441          2,158          70,387  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       165,468        $ 4,153,738          239,418        $ 6,832,724  

Shares Issued for Reinvested Dividends

       252,900          5,260,320                    

Shares Redeemed

       (475,656        (10,480,486        (271,716        (7,590,782
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (57,288        (1,066,428        (32,298        (758,058
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       4,045,700        $ 86,904,113          2,020,773        $ 47,724,426  

Shares Issued for Reinvested Dividends

       1,153,443          20,116,041                    

Shares Redeemed

       (1,258,713        (26,615,628        (922,181            (22,313,407
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       3,940,430          80,404,526          1,098,592          25,411,019  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       6,419,909        $     116,696,584          (523,003      $ (5,325,919
    

 

 

      

 

 

      

 

 

      

 

 

 

 

  (1) 

Inception date was February 28, 2018.

  (2) 

Inception date was February 28, 2019.

 

13.

Line of Credit:

Each Fund participates in a committed line of credit pursuant to a credit agreement. Each Fund may borrow under the line of credit for temporary or emergency purposes. The Funds (together with certain other Hartford Funds) may borrow up to $370 million in the aggregate, subject to asset coverage and other limitations specified in the credit agreement. The interest rate on borrowings varies depending on the nature of the loan. The facility also charges a commitment fee, which is allocated to each of the funds participating in the line of credit based on average net assets of the funds. During and as of the year ended October 31, 2019, none of the Funds had borrowings under this facility.

 

14.

Indemnifications:

Under each Company’s organizational documents, the Company shall indemnify its officers and directors to the full extent required or permitted under Maryland General Corporation Law and federal securities laws. In addition, each Company, on behalf of its respective Funds, may enter into contracts that contain a variety of indemnifications. Each Company’s maximum exposure under these arrangements is unknown. However, as of the date of these financial statements, each Company has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

 

15.

Recent Accounting Pronouncement:

The FASB recently issued ASU 2017-08 (the “ASU” or “Update”) to amend the amortization period to the earliest call date for purchased callable debt securities held at a premium. The ASU is effective for public entities for fiscal years beginning after December 15, 2018, and will become effective for private entities one year later. Management is currently evaluating the implication, if any, of additional disclosure and its impact on the Funds’ financial statements.

In August 2018, the FASB issued Accounting Standards Update 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). The update introduces new fair value disclosure requirements, eliminates some prior fair value disclosure requirements, and modifies certain existing fair value disclosure requirements.

 

 

 

  125  

 


Hartford Domestic Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

ASU 2018-13 is effective for fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years, however, an entity is permitted to early adopt either the entire standard or only the provisions that eliminate or modify requirements. Management has elected to early adopt the provisions of ASU 2018-13 that eliminate disclosure requirements effective with the current reporting period. The impact of each Fund’s early adoption of these provisions was limited to changes in the Fund’s financial statement disclosures regarding fair value, primarily those disclosures related to transfers between Level 1 and Level 2 of the fair value hierarchy and the timing of transfers between levels of the fair value hierarchy. Management is currently evaluating the potential impact of adopting the additional provisions of ASU 2018-13.

 

16.

Subsequent Events:

Management has evaluated all subsequent transactions and events through the date on which these financial statements were issued and has determined that no additional items require adjustment to or disclosure in these financial statements.

 

 

  126  

 


Report of Independent Registered Public Accounting Firm

To the Shareholders of

The Hartford Capital Appreciation Fund, Hartford Core Equity Fund, The Hartford Dividend and Growth Fund, The Hartford Equity Income Fund, The Hartford Growth Opportunities Fund, The Hartford Healthcare Fund, The Hartford MidCap Fund, The Hartford MidCap Value Fund, Hartford Quality Value Fund, The Hartford Small Cap Growth Fund, Hartford Small Cap Value Fund (formerly, Hartford Small Cap Core Fund), and The Hartford Small Company Fund and the Board of Directors of The Hartford Mutual Funds, Inc. and The Hartford Mutual Funds II, Inc.

 

 

 

Opinion on the Financial Statements

We have audited the accompanying statements of assets and liabilities of The Hartford Capital Appreciation Fund, Hartford Core Equity Fund, The Hartford Dividend and Growth Fund, The Hartford Equity Income Fund, The Hartford Healthcare Fund, The Hartford MidCap Fund, The Hartford MidCap Value Fund, Hartford Small Cap Value Fund and The Hartford Small Company Fund (nine of the funds constituting The Hartford Mutual Funds, Inc.), and The Hartford Growth Opportunities Fund, Hartford Quality Value Fund and The Hartford Small Cap Growth Fund (three of the funds constituting The Hartford Mutual Funds II, Inc.) (all funds listed above collectively referred to as the “Funds”) (The Hartford Mutual Funds, Inc. and The Hartford Mutual Funds II, Inc. collectively referred to as the “Companies”), including the schedules of investments, as of October 31, 2019, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds (nine of the funds constituting The Hartford Mutual Funds, Inc. and three of the funds constituting The Hartford Mutual Funds II, Inc.) at October 31, 2019, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended and their financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Companies’ management. Our responsibility is to express an opinion on each of the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Companies in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Companies are not required to have, nor were we engaged to perform, audits of the Companies’ internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Companies’ internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2019, by correspondence with the custodian and others or by other appropriate auditing procedures where replies from others were not received. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

 

LOGO

We have served as the auditor of one or more Hartford investment companies since 2002.

Philadelphia, Pennsylvania

December 30, 2019

 

 

  127  

 


Hartford Domestic Equity Funds

Directors and Officers of each Company (Unaudited)

 

 

 

Each of The Hartford Mutual Funds, Inc. and The Hartford Mutual Funds II, Inc. (each a “Company”) is governed by a Board of Directors (the “Directors”). The following tables present certain information regarding the Directors and officers of each Company as of October 31, 2019. For more information regarding the Directors and officers, please refer to the Statement of Additional Information, which is available, without charge, upon request by calling 1-888-843-7824.

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
EACH COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

NON-INTERESTED DIRECTORS

HILARY E. ACKERMANN

(1956)

   Director   Since 2014   Ms. Ackermann served as Chief Risk Officer at Goldman Sachs Bank USA from October 2008 to November 2011. Ms. Ackermann has served as a Director of Vistra Energy Corporation, formerly known as Dynegy, Inc. (an independent power company) since October 2012 and as a Director of Credit Suisse Holdings (USA), Inc. since January 2017.   82    Ms. Ackermann serves as a Director of Vistra Energy Corporation (October 2012 to present) and as a Director of Credit Suisse Holdings (USA), Inc. from January 2017 to present.

ROBIN C. BEERY

(1967)

   Director   Since 2017   Ms. Beery has served as a consultant to ArrowMark Partners (an alternative asset manager) since March of 2015 and since November 2018 has been employed by ArrowMark Partners as a Senior Advisor. Previously, she was Executive Vice President, Head of Distribution, for Janus Capital Group, and Chief Executive Officer and President of the Janus Mutual Funds (a global asset manager) from September 2009 to August 2014.   82    Ms. Beery serves as a Director of UMB Financial Corporation (January 2015 to present).

LYNN S. BIRDSONG

(1946)

   Director and Chair of the Board   Director since 2003; Chair of the Board since August 2019   Mr. Birdsong currently serves as a Director of Aberdeen Global and Aberdeen Global II (investment funds) (since September 2014), Aberdeen Islamic SICAV and Aberdeen Liquidity Fund (investment funds) (since 2016), and Aberdeen Alpha Fund (since December 2017). Mr. Birdsong served as an Independent Director of Nomura Partners Funds, Inc. (formerly, The Japan Fund) (April 2003 to February 2015) and as a Director of the Sovereign High Yield Investment Company (April 2010 to June 2014). From 2003 to March 2005, Mr. Birdsong was an Independent Director of the Atlantic Whitehall Funds. From 1979 to 2002, Mr. Birdsong was a Managing Director of Zurich Scudder Investments, an investment management firm. During his employment with Scudder, Mr. Birdsong was an Interested Director of The Japan Fund. From January 1981 through December 2013, Mr. Birdsong was a partner in Birdsong Company, an advertising specialty firm.   82    None

CHRISTINE R. DETRICK

(1958)

   Director   Since 2016   Ms. Detrick has served as a Director of Reinsurance Group of America since January 2014. Previously, she was a director of Forest City Realty Trust (a real estate company) from November 2014 to March 2018, a Director of Forethought Financial Group, Inc. (a financial services company) from January 2012 to January 2014, and a Senior Partner/Advisor at Bain & Company (a management consulting firm) from September 2002 to December 2012.   82    Ms. Detrick serves as a Director of Reinsurance Group of America (January 2014 to present).

DUANE E. HILL

(1945)

   Director  

Since 2001(4)

Since 2002(5)

  Mr. Hill is a Partner of TSG Ventures L.P., a private equity investment company. Mr. Hill is a former partner of TSG Capital Group, a private equity investment firm that served as sponsor and lead investor in leveraged buyouts of middle market companies.   82    None

 

 

  128  

 


Hartford Domestic Equity Funds

Directors and Officers of each Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
EACH COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

PHILLIP O. PETERSON(6)

(1944)

   Director  

Since 2002(4)

Since 2000(5)

  Mr. Peterson is a mutual fund industry consultant. He was a partner of KPMG LLP (an accounting firm) until July 1999. From February 2007 to February 2018, Mr. Peterson served as a member of the Board of Trustees of the William Blair Funds. From February 2012 to February 2014, Mr. Peterson served as a Trustee of Symetra Variable Mutual Funds. From January 2004 to April 2005, Mr. Peterson served as Independent President of the Strong Mutual Funds.   82    None

LEMMA W. SENBET

(1946)

   Director   Since 2005   Dr. Senbet currently serves as the William E. Mayer Chair Professor of Finance, and previously was the Founding Director, Center for Financial Policy, in the Robert H. Smith School of Business at the University of Maryland. He was chair of the Finance Department Robert H. Smith School of Business at the University of Maryland from 1998 to 2006. In June 2013, he began a sabbatical from the University to serve as Executive Director of the African Economic Research Consortium which focuses on economic policy research and training, which he completed in 2018. Previously, he was a chaired professor of finance at the University of Wisconsin-Madison. Also, he was a Director of the Fortis Funds from March 2000 to July 2002. Dr. Senbet served as Director of the American Finance Association and President of the Western Finance Association. In 2006, Dr. Senbet was inducted Fellow of Financial Management Association International for his career-long distinguished scholarship and professional service.   82    None

DAVID SUNG

(1953)

   Director   Since 2017   Mr. Sung has served as a Director of Nippon Wealth Bank since April 2015 and CITIC-Prudential Fund Management Company, Inc. since January 2016. Mr. Sung is an Independent Director of seven investment funds, including two closed-end registered investment companies, sponsored by Ironwood Capital Management. Previously, he was a Partner at Ernst & Young LLP from October 1995 to July 2014.   82    Mr. Sung serves as a Trustee of Ironwood Institutional Multi-Strategy Fund, LLC and Ironwood Multi-Strategy Fund, LLC (October 2015 to present) (2 portfolios).
OFFICERS AND INTERESTED DIRECTORS

JAMES E. DAVEY(7)

(1964)

   Director, President and Chief Executive Officer   President and Chief Executive Officer since 2010; Director since 2012   Mr. Davey serves as Executive Vice President of The Hartford Financial Services Group, Inc. Additionally, Mr. Davey serves as Chairman of the Board, Manager, and Senior Managing Director of Hartford Funds Distributors, LLC (“HFD”). He also currently serves as Director, Chairman of the Board, President and Senior Managing Director of Hartford Administrative Services Company (“HASCO”). Mr. Davey also serves as President, Manager, Chairman of the Board, and Senior Managing Director for Hartford Funds Management Company, LLC (“HFMC”), and Director, Chairman, President, and Senior Managing Director for Hartford Funds Management Group, Inc. (“HFMG”). Mr. Davey also serves as Manager, Chairman of the Board, and President of Lattice Strategies LLC (since July 2016). Mr. Davey has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Davey joined The Hartford in 2002.   82    None

 

 

  129  

 


Hartford Domestic Equity Funds

Directors and Officers of each Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
EACH COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

ANDREW S. DECKER

(1963)

   AML Compliance Officer   Since 2015   Mr. Decker serves as Chief Compliance Officer and AML Compliance Officer of HASCO (since April 2015) and Vice President of HASCO (since April 2018). Mr. Decker serves as AML Officer of HFD (since May 2015). Mr. Decker also serves as Vice President of HFMG (since April 2018). Prior to joining The Hartford, Mr. Decker served as Vice President and AML Officer at Janney Montgomery Scott (a broker dealer) from April 2011 to January 2015. Mr. Decker served as AML Compliance and Sanctions Enforcement Officer at SEI Investments from December 2007 to April 2011.   N/A    N/A

AMY N. FURLONG

(1979)

   Vice President and Treasurer   Since 2018   Ms. Furlong serves as Vice President and Assistant Treasurer of HFMC (since September 2019). Ms. Furlong has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Ms. Furlong joined The Hartford in 2004. Prior to joining The Hartford, Ms. Furlong worked at KPMG LLP in audit services.   N/A    N/A

WALTER F. GARGER

(1965)

  

Vice President and Chief

Legal Officer

  Since 2016   Mr. Garger serves as Secretary, Managing Director and General Counsel of HFD, HASCO, HFMC and HFMG (since 2013). Mr. Garger also serves as Secretary and General Counsel of Lattice Strategies LLC (since July 2016). Mr. Garger has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Garger joined The Hartford in 1995.   N/A    N/A

ALBERT Y. LEE

(1979)

   Vice President and Assistant Treasurer   Since 2017   Mr. Lee serves as Head of Systemic Strategies and ETF Operations and Senior Vice President of HFMG (since July 2016). Mr. Lee also serves as Senior Vice President of Lattice Strategies LLC (since June 2017). Previously, Mr. Lee served as Managing Director and Chief Operating Officer, Lattice Strategies LLC (2009-2016); Chief Operating Officer at Avicenna Capital Management (2007-2009); and Chief Financial Officer at Steeple Capital LP (2005-2007).   N/A    N/A

THEODORE J. LUCAS

(1966)

   Vice President   Since 2017   Mr. Lucas serves as Executive Vice President of HFMG (since July 2016) and as Executive Vice President of Lattice Strategies LLC (since June 2017). Previously, Mr. Lucas served as Managing Partner of Lattice Strategies LLC (2003 to 2016).   N/A    N/A

JOSEPH G. MELCHER

(1973)

   Vice President and Chief Compliance Officer   Since 2013   Mr. Melcher serves as Executive Vice President of HFD (since December 2013) and has served as President (from April 2018 to June 2019) and Chief Executive Officer (from April 2018 to June 2019) of HFD. He also serves as Executive Vice President of HFMG and HASCO (since December 2013). Mr. Melcher also serves as Executive Vice President (since December 2013) and Chief Compliance Officer (since December 2012) of HFMC. Mr. Melcher also serves as Executive Vice President and Chief Compliance Officer of Lattice Strategies, LLC (since July 2016). Mr. Melcher has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds since joining The Hartford in 2012. Prior to joining The Hartford, Mr. Melcher worked at Touchstone Investments, a member of the Western & Southern Financial Group, where he held the position of Vice President and Chief Compliance Officer from 2010 through 2012 and Assistant Vice President, Compliance from 2005 to 2010.   N/A    N/A

 

 

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Hartford Domestic Equity Funds

Directors and Officers of each Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
EACH COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

VERNON J. MEYER

(1964)

   Vice President   Since 2006   Mr. Meyer serves as Managing Director and Chief Investment Officer of HFMC and Managing Director of HFMG (since 2013). Mr. Meyer has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Meyer joined The Hartford in 2004.   N/A    N/A

ALICE A. PELLEGRINO

(1960)

   Vice President   Since 2016   Ms. Pellegrino serves as Vice President of HFMG (since December 2013). Ms. Pellegrino also serves as Vice President and Assistant Secretary of Lattice Strategies LLC (since June 2017). Ms. Pellegrino is a Senior Counsel and has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Ms. Pellegrino joined The Hartford in 2007.   N/A    N/A

THOMAS R. PHILLIPS

(1960)

   Vice President and Secretary   Since 2017   Mr. Phillips currently serves as Vice President (since February 2017) and Assistant Secretary (since June 2017) for HFMG. Mr. Phillips is Deputy General Counsel for HFMG. Prior to joining HFMG in 2017, Mr. Phillips was a Director and Chief Legal Officer of Saturna Capital Corporation from 2014–2016. Prior to that, Mr. Phillips was a Partner and Deputy General Counsel of Lord, Abbett & Co. LLC.   N/A    N/A

 

(1)

The address for each officer and Director is c/o Hartford Funds 690 Lee Road, Wayne, PA 19087.

(2)

Each Director holds an indefinite term until the earlier of (i) the election and qualification of his or her successor or (ii) when the Director turns 75 years of age. Each officer shall serve until his or her successor is elected and qualifies.

(3)

The portfolios of the “Fund Complex” are series of The Hartford Mutual Funds, Inc., The Hartford Mutual Funds II, Inc., Hartford Series Fund, Inc., Hartford HLS Series Fund II, Inc., Hartford Funds Master Fund, Lattice Strategies Trust, Hartford Funds Exchange-Traded Trust, Hartford Funds NextShares Trust, and Hartford Schroders Opportunistic Income Fund.

(4)

For The Hartford Mutual Funds, Inc.

(5)

For The Hartford Mutual Funds II, Inc.

(6)

Effective December 5, 2019, Mr. Peterson is retiring from each Company.

(7)

“Interested person,” as defined in the 1940 Act, of each Company because of the person’s affiliation with, or equity ownership of, HFMC, HFD or affiliated companies.

 

 

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Hartford Domestic Equity Funds

 

 

 

 

HOW TO OBTAIN A COPY OF EACH FUND’S PROXY VOTING POLICIES AND VOTING RECORDS (UNAUDITED)

A description of the policies and procedures that each Fund uses to determine how to vote proxies relating to portfolio securities and information about how each Fund voted proxies relating to portfolio securities during the most recent twelve-month period ended June 30 are available (1) without charge, upon request, by calling 888-843-7824 and (2)  on the SEC’s website at http://www.sec.gov.

QUARTERLY PORTFOLIO HOLDINGS INFORMATION (UNAUDITED)

Each Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. Each Fund’s Form N-PORT reports are available (1) without charge, upon request, by calling 888-843-7824 and (2) on the SEC’s website at http://www.sec.gov.

 

 

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Hartford Domestic Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited)

 

 

 

The Hartford Mutual Funds, Inc. and The Hartford Mutual Funds II, Inc.

The Hartford Capital Appreciation Fund

Hartford Core Equity Fund

The Hartford Dividend and Growth Fund

The Hartford Equity Income Fund

The Hartford Growth Opportunities Fund

The Hartford Healthcare Fund

The Hartford MidCap Fund

The Hartford MidCap Value Fund

Hartford Quality Value Fund

The Hartford Small Cap Growth Fund

Hartford Small Cap Value Fund

The Hartford Small Company Fund

(each a “Fund” and collectively, the “Funds”)

Section 15(c) of the Investment Company Act of 1940, as amended (the “1940 Act”), requires that each mutual fund’s board of directors, including a majority of those directors who are not “interested persons” of the mutual fund, as defined in the 1940 Act (the “Independent Directors”), annually review and consider the continuation of the mutual fund’s investment advisory and sub-advisory agreements. At their meeting held on August 6-7, 2019, the Boards of Directors (collectively, the “Board”) of The Hartford Mutual Funds, Inc. (“HMF”) and The Hartford Mutual Funds II, Inc. (“HMF II”), including each of the Independent Directors, unanimously voted to approve (i) the continuation of an investment management agreement (the “Management Agreement”) by and between Hartford Funds Management Company, LLC (“HFMC”) and each of HMF, on behalf of each of The Hartford Capital Appreciation Fund, Hartford Core Equity Fund, The Hartford Dividend and Growth Fund, The Hartford Equity Income Fund, The Hartford MidCap Fund, The Hartford MidCap Value Fund, and Hartford Small Cap Value Fund, and HMF II, on behalf of each of The Hartford Growth Opportunities Fund, Hartford Quality Value Fund and The Hartford Small Cap Growth Fund; (ii) the continuation of a separate investment management agreement by and between HFMC and HMF, on behalf of each of The Hartford Healthcare Fund and The Hartford Small Company Fund (the “2013 Investment Management Agreement” and collectively with the Management Agreement, the “Management Agreements”); and (iii) the continuation of investment sub-advisory agreements (each, a “Sub-Advisory Agreement” and collectively with the Management Agreements, the “Agreements”) between HFMC and each Fund’s sub-adviser, Wellington Management Company LLP (the “Sub-adviser,” and together with HFMC, the “Advisers”), with respect to the Funds.

In the months preceding the August 6-7, 2019 meeting, the Board requested and reviewed written responses from the Advisers to questions posed to the Advisers on behalf of the Independent Directors and supporting materials relating to those questions and responses. In addition, the Board considered such additional information as it deemed reasonably necessary to evaluate the Agreements, as applicable, with respect to each Fund, which included information furnished to the Board at its meetings throughout the year, as well as information specifically prepared in connection with the approval of the continuation of the Agreements that was presented at the Board’s meetings held on June 18, 2019 and August 6-7, 2019. Information provided to the Board at its meetings throughout the year included, among other things, reports on Fund performance, legal, compliance and risk management matters, sales and marketing activity, shareholder services, and the other services provided to each Fund by the Advisers and their affiliates. The Board also considered the materials and in-person presentations by Fund officers and representatives of HFMC received at the Board’s meetings on June 18, 2019 and August 6-7, 2019 concerning the Agreements.

The Independent Directors, advised by independent legal counsel throughout the evaluation process, engaged service providers to assist them with evaluating the Agreements with respect to each Fund, as applicable. Broadridge Financial Solutions, Inc. (“Broadridge”), an independent provider of investment company data, was retained to provide the Board with reports on how each Fund’s contractual management fees, actual management fees, transfer agency and other non-management fees, overall expense ratios and investment performance compared to those of comparable mutual funds with similar investment objectives. The Independent Directors also engaged an independent financial services consultant (the “Consultant”) to assist them in evaluating each Fund’s management fees, transfer agency and other non-management fees, overall expense ratios and investment performance. In addition, the Consultant reviewed the profitability methodologies utilized by HFMC in connection with the continuation of the Management Agreements.

In determining whether to continue the Agreements for a Fund, the members of the Board reviewed and evaluated information and factors they believed to be relevant and appropriate through the exercise of their reasonable business judgment. While individual members of the Board may have weighed certain factors differently, the Board’s determination to continue the Agreements was based on a comprehensive consideration of all information provided to the Board throughout the year and specifically with respect to the continuation of the Agreements. The Board was also furnished with an analysis of its fiduciary obligations in connection with its evaluation of the Agreements and, throughout the evaluation process, the Board was assisted by counsel for the Funds. The Independent Directors were also separately assisted by independent legal counsel throughout the evaluation process. A more detailed summary of the important, but not necessarily all, factors the Board considered with respect to its approval of the continuation of the Agreements is provided below.

 

 

  133  

 


Hartford Domestic Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Nature, Extent and Quality of Services Provided by the Advisers

The Board requested and considered information concerning the nature, extent and quality of the services provided to each Fund by the Advisers. The Board considered, among other things, the terms of the Agreements and the range of services provided by the Advisers. The Board considered the Advisers’ professional personnel who provide services to the Funds, including each Adviser’s ability and experience in attracting and retaining qualified personnel to service the Funds. The Board considered each Adviser’s reputation and overall financial strength, as well as its willingness to consider and implement organizational and operational changes designed to enhance services to the funds managed by HFMC and its affiliates (the “Hartford Funds”). In addition, the Board considered the quality of each Adviser’s communications with the Board and responsiveness to Board inquiries and requests made from time to time with respect to the Funds and other Hartford Funds.

The Board also requested and evaluated information concerning each Adviser’s regulatory and compliance environment. In this regard, the Board requested and reviewed information about each Adviser’s compliance policies and procedures, compliance history, and a report from the Funds’ Chief Compliance Officer about each Adviser’s compliance with applicable laws and regulations, including responses to regulatory developments and any compliance or other issues raised by regulators. The Board also noted the Advisers’ support of the Funds’ compliance control structure, as applicable, and, in particular, the resources devoted by the Advisers in support of the Funds’ obligations pursuant to Rule 38a-1 under the 1940 Act and the Funds’ liquidity risk management program, as well as the efforts of the Advisers to combat cybersecurity risks and invest in business continuity planning.

With respect to HFMC, the Board noted that, under the Management Agreements, HFMC is responsible for the management of the Funds, including oversight of fund operations and service providers, and the provision of administrative and investment advisory services in connection with selecting, monitoring and supervising the Sub-adviser. In this regard, the Board evaluated information about the nature and extent of responsibilities retained and risks assumed by HFMC that were not delegated to or assumed by the Sub-adviser. The Board considered HFMC’s ongoing monitoring of people, process and performance, including its quarterly reviews of each of the Hartford Funds, semi-annual meetings with the leaders of each Fund’s portfolio management team, and oversight of the Hartford Funds’ portfolio managers. The Board recognized that HFMC has demonstrated a record of initiating changes to the portfolio management and/or investment strategies of the Hartford Funds when warranted. The Board considered HFMC’s periodic due diligence reviews of the Sub-adviser and ongoing oversight of the Sub-adviser’s investment approach and results, process for monitoring best execution of portfolio trades and other trading operations by the Sub-adviser, and approach to risk management with respect to the Funds and the service providers to the Funds. The Board considered HFMC’s oversight of the Funds’ securities lending program and noted the income earned by the Funds in connection with their participation in the program. The Board also considered HFMC’s day-to-day oversight of each Fund’s compliance with its investment objective and policies as well as with applicable laws and regulations, noting that regulatory and other developments had over time led to an increase in the scope of HFMC’s services in this regard. Moreover, the Board considered HFMC’s oversight of potential conflicts of interest between the Funds’ investments and those of other funds or accounts managed by the Funds’ portfolio management personnel.

In addition, the Board considered HFMC’s ongoing commitment to review and rationalize the Hartford Funds product line-up and the expenses that HFMC had incurred, as well as the risks HFMC had assumed, in connection with the launch of new funds and changes to existing Hartford Funds in recent years. The Board considered that HFMC is responsible for providing the Funds’ officers.

With respect to the Sub-adviser, which provides certain day-to-day portfolio management services for the Funds, subject to oversight by HFMC, the Board considered, among other things, the Sub-adviser’s investment personnel, its investment philosophy and process, its investment research capabilities and resources, its performance record, its trade execution capabilities and its experience. The Board considered the quality and experience of each Fund’s portfolio manager(s), the number of accounts managed by the portfolio manager(s), and the Sub-adviser’s method for compensating the portfolio manager(s). The Board also considered the Sub-adviser’s succession planning to ensure continuity of portfolio management services provided to the Funds.

The Board considered the benefits to shareholders of being part of the Hartford Funds family of funds, including, with respect to certain share classes, the right to exchange investments between the same class of shares without a sales charge, the ability to reinvest Fund dividends into other Hartford Funds, and the ability to combine holdings in a Fund with holdings in other Hartford Funds to obtain a reduced sales charge. The Board considered HFMC’s efforts to provide investors in the Hartford Funds with a broad range of investment styles and asset classes and the assumption of entrepreneurial and other risks by HFMC in sponsoring new funds to expand these opportunities for shareholders.

Based on these considerations, the Board concluded that it was satisfied with the nature, extent and quality of the services provided to each Fund by HFMC and the Sub-adviser.

Performance of each Fund and the Advisers

The Board considered the investment performance of each Fund. In this regard, the Board reviewed the performance of each Fund over different time periods presented in the materials and evaluated HFMC’s analysis of the Fund’s performance for these time periods. The Board considered information and materials provided to the Board by the Advisers concerning Fund performance, as well as information from Broadridge comparing the investment performance of each Fund to an appropriate universe of peer funds. For details regarding each Fund’s performance, see the Fund-by-Fund synopsis below.

 

 

  134  

 


Hartford Domestic Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

The Board considered the detailed investment analytics reports provided by HFMC’s Investment Advisory Group throughout the year, including in connection with the continuation of the approval of the Agreements. These reports included, among other things, information on each Fund’s gross returns and net returns, the Fund’s investment performance relative to an appropriate benchmark and peer group (if available), various statistics concerning the Fund’s portfolio, a narrative summary of various factors affecting Fund performance and commentary on the effect of current and recent market conditions. The Board also noted that, for The Hartford Capital Appreciation Fund, the Fund utilizes a multiple portfolio manager structure and considered the performance attributions of the underlying managers. The Board considered the Advisers’ work with the Investment Committee, which assists the Board in evaluating the performance of each Fund at periodic meetings throughout the year and specifically with respect to the approval of the continuation of the Agreements. The Board also considered the analysis provided by the Consultant relating to each Fund’s performance track record.

In light of all the considerations noted above, the Board concluded that it had continued confidence in HFMC’s and the Sub-adviser’s overall capabilities to manage the Funds.

Costs of the Services and Profitability of the Advisers

The Board reviewed information regarding HFMC’s cost to provide investment management and related services to each Fund and HFMC’s profitability, both overall and for each Fund, on a pre-tax basis without regard to distribution expenses. The Board also requested and reviewed information about the profitability to HFMC and its affiliates from all services provided to each Fund and all aspects of their relationship with the Fund, including information regarding profitability trends over time. The Board also requested and received information relating to the operations and profitability of the Sub-adviser. The Board considered representations from HFMC and the Sub-adviser that the Sub-adviser’s fees were negotiated at arm’s length on a Fund-by-Fund basis and that the sub-advisory fees are paid by HFMC and not the Funds. Accordingly, the Board concluded that the profitability of the Sub-adviser is a less relevant factor with respect to the Board’s consideration of the Sub-Advisory Agreements.

The Board considered the Consultant’s review of the methodologies and estimates used by HFMC in calculating profitability in connection with the continuation of the Management Agreements, including a description of the methodology used to allocate certain expenses. The Board noted the Consultant’s view that HFMC’s process for calculating and reporting Fund profitability is reasonable and consistent with the process previously reviewed by the Consultant. In this regard, the Board noted that the Consultant had previously performed a full review of this process and reported that such process is sound and consistent with common industry practice.

Based on these considerations, the Board concluded that the profits realized by the Advisers and their affiliates from their relationships with the Funds were not excessive.

Comparison of Fees and Services Provided by the Advisers

The Board considered the comparative information that had been provided at meetings on June 18, 2019 and August 6-7, 2019 with respect to the services rendered to and the management fees to be paid by each Fund to HFMC and the total expense ratios of the Fund. The Board also considered comparative information with respect to the sub-advisory fees to be paid by HFMC to the Sub-adviser with respect to each Fund. In this regard, the Board requested and reviewed information from HFMC and the Sub-adviser relating to the management and sub-advisory fees, including the sub-advisory fee schedule for each Fund and the amount of the management fee retained by HFMC, and total operating expenses for each Fund. The Board also reviewed information from Broadridge comparing each Fund’s contractual management fees, actual management fees and total expense ratios relative to an appropriate group of funds selected by Broadridge, in consultation with the Consultant. For details regarding each Fund’s expenses, see the Fund-by-Fund synopsis below.

While the Board recognized that comparisons between a Fund and its peer funds may be imprecise given, among other differences, the different service levels and characteristics of mutual funds and the different business models and cost structures of the Advisers, the comparative information provided by Broadridge assisted the Board in evaluating the reasonableness of each Fund’s fees and total operating expenses. In addition, the Board considered the analysis and recommendations of the Consultant relating to each Fund’s fees and total operating expenses.

The Board also considered that HFMC provides nondiscretionary investment advisory services to a model portfolio that pursues an investment objective and an investment strategy similar to those of the Hartford Core Equity Fund. The Board also received information regarding fees charged by the Sub-adviser to any other clients with investment strategies similar to those of the Funds, including institutional separate account clients and registered fund clients for which the Sub-adviser serves as either primary investment adviser or sub-adviser. The Board considered the explanations provided by the Sub-adviser about any differences between the Sub-adviser’s services to the Funds and the services it provides to other types of clients. In this regard, the Board reviewed information about the generally broader scope of services and compliance, reporting and other legal burdens and risks of managing registered funds compared with those associated with managing assets of non-registered fund clients such as institutional separate accounts.

Based on these considerations, the Board concluded that each Fund’s fees and total operating expenses, in conjunction with the information about quality of services, profitability, economies of scale, and other matters considered, were reasonable in light of the services provided.

 

 

  135  

 


Hartford Domestic Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Economies of Scale

The Board considered information regarding the extent to which economies of scale may be realized as a Fund grows and whether fee levels reflect these economies of scale for the benefit of shareholders of the Fund. The Board reviewed the breakpoints in the management fee schedule for each Fund, if any, which reduce fee rates as the Fund’s assets grow over time. The Board recognized that a Fund with assets beyond the highest breakpoint level will continue to benefit from economies of scale because additional assets are charged the lowest breakpoint fee resulting in lower overall effective management fee rates. The Board also recognized that a fee schedule that reaches a breakpoint at a lower asset level provides shareholders with the benefit of anticipated or potential economies of scale. The Board considered that expense limitations and fee waivers that reduce a Fund’s expenses at all asset levels can have the same effect as breakpoints in sharing economies of scale with shareholders and provide protection from an increase in expenses if the Fund’s assets decline. In addition, the Board considered that initially setting competitive fee rates, pricing the Funds to scale at inception and making additional investments intended to enhance services available to shareholders are other means of sharing anticipated or potential economies of scale with shareholders. The Board also considered that HFMC has been active in managing expenses, which has resulted in benefits being realized by shareholders as assets within the Hartford Funds have grown over time, including through lower operating expenses. The Board also noted that, for the Hartford Small Cap Value Fund, the Fund’s current low asset levels have kept the Fund from fully realizing the benefits of anticipated or potential economies of scale.

The Board reviewed and evaluated materials from Broadridge and the Consultant showing how management fee schedules of peer funds reflect economies of scale for the benefit of shareholders as a peer fund’s assets hypothetically increase over time. Based on information provided by HFMC, Broadridge, and the Consultant, the Board recognized that there is no uniform methodology for establishing breakpoints or uniform pattern in asset levels that trigger breakpoints or the amounts of breakpoints triggered.

After considering all of the information available to it, the Board concluded that it was satisfied with the extent to which economies of scale would be shared for the benefit of each Fund’s shareholders based on currently available information and the effective management fees and total expense ratios for the Fund at its current and reasonably anticipated asset levels. The Board noted, however, that it would continue to monitor future growth in each Fund’s assets and the appropriateness of additional management fee breakpoints or other methods to share benefits from economies of scale.

Other Benefits

The Board considered other benefits to the Advisers and their affiliates from their relationships with the Funds.

The Board noted that HFMC receives fees for fund accounting and related services from the Funds, and the Board considered information on profits to HFMC for such services. The Board also considered that each Fund pays a transfer agency fee to Hartford Administrative Services Company (“HASCO”), an affiliate of HFMC, equal to the lesser of: (i) the actual costs incurred by HASCO in connection with the provisions of transfer agency services, including payments made to sub-transfer agents, plus a reasonable target profit margin; or (ii) a specified amount as set forth in the Transfer Agency and Service Agreement by and between HMF and HMF II, on behalf of their respective Funds, and HASCO. The Board reviewed information about the profitability to HASCO of the Funds’ transfer agency function. The Board considered information provided by HASCO indicating that the transfer agency fees charged by HASCO to the Funds were fair and reasonable based on publicly available information. The Board also noted that HFMC and HASCO had delegated certain fund accounting services and transfer agency services, respectively, to external service providers.

The Board also considered that Hartford Funds Distributors, LLC (“HFD”), an affiliate of HFMC, serves as principal underwriter of the Funds. The Board noted that, as principal underwriter, HFD receives distribution and service fees from the Funds and receives all or a portion of the sales charges on sales or redemptions of certain classes of shares.

The Board considered the benefits, if any, to the Sub-adviser from any use of a Fund’s brokerage commissions to obtain soft dollar research.

Fund-by-Fund Factors

For purposes of the Fund-by-Fund discussion below, Fund performance is referred to as “in line with” a Fund’s benchmark where it was 0.5% above or below the benchmark return, and each Fund’s performance relative to its benchmark reflects the net performance of the Fund’s Class I shares as of March 31, 2019.

The Hartford Capital Appreciation Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1-year period and the 2nd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was in line with its benchmark for the 1- and 3-year periods and below its benchmark for the 5-year period. The Board noted recent changes to the Fund’s portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee was in the 4th quintile of its expense group, while its actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.04% through February 29, 2020.

 

 

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Hartford Domestic Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Hartford Core Equity Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1- and 5-year periods and the 3rd quintile for the 3-year period. The Board also noted that the Fund’s performance was above its benchmark for the 1- and 5-year periods and below its benchmark for the 3-year period.

 

 

The Board noted that the Fund’s contractual management fee, its actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile of its expense group. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.06% through February 29, 2020.

The Hartford Dividend and Growth Fund

 

 

The Board noted that the Fund’s performance was in the 2nd quintile of its performance universe for the 1- and 5-year periods and the 1st quintile for the 3-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1-, 3- and 5-year periods. The Board noted upcoming changes to the Fund’s portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee and actual management fee were in the 4th quintile of its expense group, while its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.05% through February 29, 2020.

The Hartford Equity Income Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-year period and the 2nd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was above its benchmark for the 1- and 5-year periods and in line with its benchmark for the 3-year period. The Board noted upcoming changes to the Fund’s portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee and actual management fee were in the 4th quintile of its expense group and its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.05% through February 29, 2020.

The Hartford Growth Opportunities Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1-, 3- and 5-year periods. The Board also noted that the Fund’s performance was above its benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee and its actual management fee were in the 4th quintile and its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.05% through February 29, 2020.

The Hartford Healthcare Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1-year period and the 2nd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was below its benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile of its expense group. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.06% through February 29, 2020.

The Hartford MidCap Fund

 

 

The Board noted that the Fund’s performance was in the 4th quintile of its performance universe for the 1-year period, the 3rd quintile for the 3-year period and the 2nd quintile for the 5-year period. The Board also noted that the Fund’s performance was above its benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee was in the 4th quintile of its expense group, while its actual management fee was in the 3rd quintile and its total expenses (less 12b-1 and shareholder service fees) were in the 2nd quintile. The Board noted that Class I and Y shares of the Fund have contractual transfer agency expense caps of 0.12% and 0.04%, respectively, through February 29, 2020.

The Hartford MidCap Value Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1-, 3- and 5-year periods. The Board also noted that the Fund’s performance was below its benchmark for the 1-, 3- and 5-year periods.

 

 

  137  

 


Hartford Domestic Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

 

 

The Board noted that the Fund’s contractual management fee was in the 1st quintile of its expense group, while its actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class Y shares of the Fund have a transfer agency expense cap of 0.05% through February 29, 2020.

Hartford Quality Value Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1- and 3-year periods and the 5th quintile for the 5-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1- and 5-year periods and in line with its benchmark for the 3-year period.

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile of its expense group. In considering the Fund’s expenses, the Board noted the shareholder savings expected to result from a reduction to the contractual investment management fee implemented on September 1, 2018. The Board noted that Class A shares of the Fund have a contractual expense cap of 0.96% through February 29, 2020, and that HFMC had reimbursed the Fund for certain expenses.

The Hartford Small Cap Growth Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1-year period and the 4th quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was in line with its benchmark for the 1-, 3- and 5- year periods. The Board noted that certain changes had recently been made to the Fund’s principal investment strategy and portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee and actual management fee were in the 2nd quintile of its expense group, while its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.04% through February 29, 2020.

Hartford Small Cap Value Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1-year period and the 2nd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was above its benchmark for the 1-year period and below its benchmark for the 3- and 5-year periods. The Board noted recent changes to the Fund’s portfolio management team. The Board noted that certain changes had recently been made to the Fund’s principal investment strategy.

 

 

The Board noted that the Fund’s contractual management fee was in the 1st quintile of its expense group, while its actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. In considering the Fund’s expenses, the Board noted the shareholder savings expected to result from a reduction to the contractual investment management fee implemented on September 1, 2018. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.30% through February 29, 2020.

The Hartford Small Company Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1-year period, the 2nd quintile for the 3-year period and the 4th quintile for the 5-year period. The Board also noted that the Fund’s performance was above its benchmark for the 1- and 3-year periods and below its benchmark for the 5-year period. The Board noted that certain changes had recently been made to the Fund’s principal investment strategy and portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee was in the 3rd quintile of its expense group, while its actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.40% through February 29, 2020, and that HFMC had reimbursed the Fund for certain expenses.

* * * *

Based upon its review of these various factors, among others, the Board concluded that it is in the best interests of each Fund and its shareholders for the Board to approve the continuation of the Agreements for an additional year. In reaching this decision, the Board did not assign relative weights to the factors discussed above or deem any one or group of them to be controlling in and of themselves. In connection with their deliberations, the Independent Directors met separately in executive session on several occasions, with independent legal counsel and the Consultant, to review the relevant materials and consider their responsibilities under relevant laws and regulations.

 

 

  138  

 


THIS PRIVACY POLICY IS NOT PART OF THIS REPORT

CUSTOMER PRIVACY NOTICE

The Hartford Financial Services Group, Inc. and its Affiliates*

(herein called “we, our, and us”)

This Privacy Policy applies to our United States Operations

 

We value your trust. We are committed to the responsible:

a) management;

b) use; and

c) protection;

of Personal Information.

This notice describes how we collect, disclose, and protect Personal Information.

We collect Personal Information to:

a) service your Transactions with us; and

b) support our business functions.

We may obtain Personal Information from:

a) You;

b) your Transactions with us; and

c) third parties such as a consumer-reporting agency.

Based on the type of product or service You apply for or get from us, Personal Information such as:

a) your name;

b) your address;

c) your income;

d) your payment; or

e) your credit history;

may be gathered from sources such as applications, Transactions, and consumer reports.

To serve You and service our business, we may share certain Personal Information. We will share Personal Information, only as allowed by law, with affiliates such as:

a) our insurance companies;

b) our employee agents;

c) our brokerage firms; and

d) our administrators.

As allowed by law, we may share Personal Financial Information with our affiliates to:

a) market our products; or

b) market our services;

to You without providing You with an option to prevent these disclosures.

We may also share Personal Information, only as allowed by law, with unaffiliated third parties including:

a) independent agents;

b) brokerage firms;

c) insurance companies;

d) administrators; and

e) service providers;

who help us serve You and service our business.

When allowed by law, we may share certain Personal Financial Information with other unaffiliated third parties who assist us by performing services or functions such as:

a) taking surveys;

b) marketing our products or services; or

c) offering financial products or services under a joint agreement between us and one or more financial institutions.

We, and third parties we partner with, may track some of the pages You visit through the use of:

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and currently do not process or comply with any web browser’s “do not track” signal or other similar mechanism that indicates a request to disable online tracking of individual users who visit our websites or use our services.

For more information, our Online Privacy Policy, which governs information we collect on our website and our affiliate websites, is available at https://www.thehartford.com/online-privacy-policy.

We will not sell or share your Personal Financial Information with anyone for purposes unrelated to our business functions without offering You the opportunity to:

a) “opt-out;” or

b) “opt-in;”

as required by law.

We only disclose Personal Health Information with:

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b) as otherwise allowed or required by law.

Our employees have access to Personal Information in the course of doing their jobs, such as:

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c) developing new products; or

d) advising customers of our products and services.

We use manual and electronic security procedures to maintain:

a) the confidentiality; and

b) the integrity of;

Personal Information that we have. We use these procedures to guard against unauthorized access.

Some techniques we use to protect Personal Information include:

a) secured files;

b) user authentication;

c) encryption;

d) firewall technology; and

e) the use of detection software.

 


 

 

We are responsible for and must:

a) identify information to be protected;

b) provide an adequate level of protection for that data; and

c) grant access to protected data only to those people who must use it in the performance of their job-related duties.

Employees who violate our privacy policies and procedures may be subject to discipline, which may include termination of their employment with us.

We will continue to follow our Privacy Policy regarding Personal Information even when a business relationship no longer exists between us.

As used in this Privacy Notice:

Application means your request for our product or service.

Personal Financial Information means financial information such as:

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d) policy or claim information.

Personal Financial Information may include Social Security Numbers, Driver’s license numbers, or other government-issued identification numbers, or credit, debit card, or bank account numbers.

Personal Health Information means health information such as:

a) your medical records; or

b) information about your illness, disability or injury.

Personal Information means information that identifies You personally and is not otherwise available to the public. It includes:

a) Personal Financial Information; and

b) Personal Health Information.

Transaction means your business dealings with us, such as:

a) your Application;

b) your request for us to pay a claim; and

c) your request for us to take an action on your account.

You means an individual who has given us Personal Information in conjunction with:

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a financial product or service from us if the product or service is used mainly for personal, family, or household purposes.

 

If you have any questions or comments about this privacy notice, please feel free to contact us at The Hartford – Law Department, Privacy Law, One Hartford Plaza, Hartford, CT 06155, or at CorporatePrivacyOffice@thehartford.com.

This Customer Privacy Notice is being provided on behalf of The Hartford Financial Services Group, Inc. and its affiliates (including the following as of March 2019), to the extent required by the Gramm-Leach-Bliley Act and implementing regulations.

1stAGChoice, Inc.; Access CoverageCorp, Inc.; Access CoverageCorp Technologies, Inc.; Business Management Group, Inc.; Cervus Claim Solutions, LLC; First State Insurance Company; FTC Resolution Company LLC; Hart Re Group L.L.C.; Hartford Accident and Indemnity Company; Hartford Administrative Services Company; Hartford Casualty General Agency, Inc.; Hartford Casualty Insurance Company; Hartford Fire General Agency, Inc.; Hartford Fire Insurance Company; Hartford Funds Distributors, LLC; Hartford Funds Management Company, LLC; Hartford Funds Management Group, Inc.; Hartford Group Benefits Holding Company; Hartford Holdings, Inc.; Hartford Insurance Company of Illinois; Hartford Insurance Company of the Midwest; Hartford Insurance Company of the Southeast; Hartford Insurance, Ltd.; Hartford Integrated Technologies, Inc.; Hartford Investment Management Company; Hartford Life and Accident Insurance Company; Hartford Life, Ltd.; Hartford Lloyd’s Corporation; Hartford Lloyd’s Insurance Company; Hartford Management, Ltd.; Hartford of Texas General Agency, Inc.; Hartford Residual Market, L.C.C.; Hartford Specialty Insurance Services of Texas, LLC; Hartford STAG Ventures LLC; Hartford Strategic Investments, LLC; Hartford Underwriters General Agency, Inc.; Hartford Underwriters Insurance Company; Heritage Holdings, Inc.; Heritage Reinsurance Company, Ltd.; HIMCO Distribution Services Company; HLA LLC; HL Investment Advisors, LLC; Horizon Management Group, LLC; HRA Brokerage Services, Inc.; Lattice Strategies LLC; Maxum Casualty Insurance Company; Maxum Indemnity Company; Maxum Specialty Services Corporation; MPC Resolution Company LLC; New England Insurance Company; New England Reinsurance Corporation; New Ocean Insurance Co., Ltd.; Nutmeg Insurance Agency, Inc.; Nutmeg Insurance Company; Pacific Insurance Company, Limited; Property and Casualty Insurance Company of Hartford; Renato Acquisition Co.; Sentinel Insurance Company, Ltd; Trumbull Flood Management, L.L.C.; Trumbull Insurance Company; Twin City Fire Insurance Company; Y-Risk, LLC.

Revised March 2019


This report is submitted for the general information of the shareholders of the Funds referenced in this report. It is not authorized for distribution to persons who are not shareholders of one or more Funds referenced in this report unless preceded or accompanied by a current prospectus for the relevant Funds. Nothing herein contained is to be considered an offer of sale or a solicitation of an offer to buy shares of any Fund listed in this report. Such offering is only made by prospectus, which includes details as to the offering price and other material information.

The information cannot be used or relied upon for the purpose of avoiding IRS penalties. These materials are not intended to provide tax, accounting or legal advice. As with all matters of a tax or legal nature, you should consult your own tax or legal counsel for advice.

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

The Funds are distributed by Hartford Funds Distributors, LLC (HFD), Member FINRA. Hartford Funds Management Company, LLC (HFMC) is the Funds’ investment manager. The Funds referenced herein are sub-advised by Wellington Management Company LLP. HFD and HFMC are not affiliated with the Funds’ sub-adviser.

MFAR-DE19     12/19    214073    Printed in U.S.A.

 

LOGO


LOGO


LOGO

Dear Fellow Shareholders:

Thank you for investing in Hartford Funds. The following is the Funds’ Annual Report covering the fiscal period from November 1, 2018 to October 31, 2019.

Market Review

During the 12 months ended October 31, 2019, U.S. stocks, as measured by the S&P 500 Index,1 gained 14.33% despite volatility throughout the period.

Political uncertainty has been a core driver of this increased market volatility. Escalating trade tensions between the U.S. and China, continued debate over how

 

the UK will handle its departure from the European Union, and the September announcement of an impeachment inquiry against President Trump all contributed to choppy market conditions.

However, July 1, 2019 marked a significant milestone: the U.S. entered the longest period of economic expansion on record, according to The National Bureau of Economic Research. Strong consumer spending in the U.S. has continued to buoy the domestic economy, helped by an unemployment rate that stayed at or below 4% throughout the 12 month period ended October 31, 2019.

Nevertheless, signs of a slowing global economy prompted central banks around the world to shift to more accommodating monetary policy. The U.S. Federal Reserve cut interest rates three times in 2019 to bring down the federal funds rate target down to a range of 1.50 – 1.75% as of October 31, 2019, while the European Central Bank, which already had established negative interest rates, further cut its rate to -0.50% as of September 18, 2019.

Politics, both at home and abroad, are likely to continue to play a key role in market movements this year. For this reason, we encourage you to maintain a strong relationship with your financial advisor, who can help guide you through shifting markets confidently. He or she can help you proactively build a portfolio that takes market uncertainty into account, along with your unique investment goals and risk tolerances. Your financial advisor can help you find a fit within our family of funds as you work toward those goals.

Thank you again for investing in Hartford Funds. For the most up-to-date information on our funds, please take advantage of all the resources available at hartfordfunds.com.

 

LOGO

James Davey

President

Hartford Funds

 

1

S&P 500 Index is a market capitalization-weighted price index composed of 500 widely held common stocks.

 

The index is unmanaged and not available for direct investment. Past performance is not indicative of future results.


Hartford International/Global Equity Funds

Table of Contents

 

Fund Overview

     2  

Benchmark Glossary (Unaudited)

     26  

Expense Examples (Unaudited)

     27  

Financial Statements:

  

Schedules of Investments:

  

Hartford Emerging Markets Equity Fund

     30  

Hartford Environmental Opportunities Fund

     34  

Hartford Global Impact Fund

     36  

Hartford International Equity Fund

     38  

The Hartford International Growth Fund

     45  

The Hartford International Opportunities Fund

     48  

The Hartford International Small Company Fund

     51  

The Hartford International Value Fund

     53  

Glossary

     57  

Statements of Assets and Liabilities

     58  

Statements of Operations

     62  

Statements of Changes in Net Assets

     66  

Financial Highlights

     69  

Notes to Financial Statements

     77  

Report of Independent Registered Public Accounting Firm

     102  

Directors and Officers (Unaudited)

     103  

How to Obtain a Copy of each Fund’s Proxy Voting Policies and Voting Records (Unaudited)

     107  

Quarterly Portfolio Holdings Information (Unaudited)

     107  

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited)

     108  

The views expressed in each Fund’s Manager Discussion contained in the Fund Overview section are views of that Fund’s sub-adviser and portfolio management team through the end of the period and are subject to change based on market and other conditions. Each Fund’s Manager Discussion is for informational purposes only and does not represent an offer, recommendation or solicitation to buy, hold or sell any security. The specific securities identified and described, if any, do not represent all of the securities purchased or sold and you should not assume that investments in the securities identified and discussed will be profitable. Holdings and characteristics are subject to change. Fund performance reflected in each Fund’s Manager Discussion reflects the returns of such Fund’s Class A shares, before sales charges. Returns for such Fund’s other classes differ only to the extent that the classes do not have the same expenses.


Hartford Emerging Markets Equity Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/31/2011

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      Since
Inception1
 

Class A2

     8.82%        3.01%        0.81%  

Class A3

     2.83%        1.85%        0.14%  

Class C2

     7.93%        2.25%        0.07%  

Class C3

     6.93%        2.25%        0.07%  

Class I2

     8.99%        3.35%        1.16%  

Class R32

     8.45%        2.75%        0.56%  

Class R42

     8.87%        3.04%        0.84%  

Class R52

     9.14%        3.22%        1.08%  

Class R62

     9.26%        3.48%        1.26%  

Class Y2

     9.06%        3.42%        1.22%  

Class F2

     9.17%        3.42%        1.20%  

MSCI Emerging Markets Index (Net)

     11.86%        2.93%        1.12%  

 

1

Inception: 05/31/2011

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares. Class R6 shares commenced operations on 2/28/18. Performance prior to that date is that of the Fund’s Class Y shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

Performance information prior to 5/7/15 reflects when the Fund pursued a modified investment strategy.

Operating Expenses*

 

      Gross      Net  

Class A

     1.54%        1.46%  

Class C

     2.38%        2.21%  

Class I

     1.25%        1.21%  

Class R3

     1.86%        1.71%  

Class R4

     1.56%        1.46%  

Class R5

     1.27%        1.16%  

Class R6

     1.15%        0.99%  

Class Y

     1.25%        1.11%  

Class F

     1.15%        0.99%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  2  

 


Hartford Emerging Markets Equity Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Manager

David J. Elliott, CFA

Senior Managing Director and Co-Director, Quantitative Investments and Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Emerging Markets Equity Fund returned 8.82%, before sales charges, for the twelve-month period ended October 31, 2019, underperforming its benchmark, the MSCI Emerging Markets Index (Net), which returned 11.86% for the same period. For the same period, Class A shares of the Fund also underperformed the 12.98% average return of the Lipper Emerging Markets Equity Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Emerging market (EM) equities, as measured by the MSCI Emerging Markets Index (Net), had a strong year in terms of performance, rebounding from weak performance in 2018. The gains were broad-based as most countries and sectors yielded positive returns as measured in local currency. Markets continued to face challenges as several central banks in the emerging markets sought to combat slowing growth with more accommodative monetary policy, although markets were cautious amid weaker economic indicators in addition to political and trade uncertainty.

In Latin America, Brazil was a bright spot for the region. Markets reacted favorably to President Jair Bolsonaro’s promise of an ambitious economic agenda and progress on social security reform bolstered the country, which avoided falling into a recession after second-quarter gross domestic product (GDP) growth unexpectedly accelerated. Argentina was among the worst-performing markets during the period, as the country’s stock market collapsed in August following President Mauricio Macri’s unexpected defeat by left-wing opposition leader Alberto Fernandez in the nation’s primary elections, heightening the prospect of a sovereign default.

Within Europe, the Middle East, and Africa (EMEA), Russia was the standout performer in the region, benefiting from an increase in oil prices resulting from output cuts from the Organization of the Petroleum Exporting Countries (OPEC), the removal of United States (U.S.) sanctions on select Russian companies, and lower interest rates. South Africa rebounded from the prior year, benefiting from the U.S. Federal Reserve’s (Fed’s) cautious policy stance given its sensitivity to U.S. interest rates. President Cyril Ramaphosa was reelected for a second term, paving the way for potential structural reforms that could revive economic growth.

In Asia, strength was widespread with most local equity markets registering gains, led by Taiwan and China. Taiwan was heavily impacted by the country’s large foundry service providers enjoying strong sales and higher demand. China rallied on improved trade sentiment, as U.S. President Trump declared that the two sides had reached a “substantial phase one deal.”

Nine of eleven sectors within the MSCI Emerging Markets Index (Net) posted positive returns during the period. The Information Technology (+24%), Consumer Discretionary (+22%), and Real Estate (+21%) sectors rose the most, while the Materials (-4%) and Healthcare (-1%) sectors declined during the period.

Within the Fund, security selection within the Energy, Financials, and Communication Services sectors detracted most from returns relative to the MSCI Emerging Markets Index (Net). This was partially offset by stronger selection within the Materials, Consumer Staples, and Healthcare sectors. Sector allocation, a result of our quantitative security selection process, also detracted from performance relative to the MSCI Emerging Markets Index (Net). An overweight to the Materials sector and an underweight to the Consumer Discretionary sector detracted most from relative performance, while underweights to the Healthcare and Communication Services sectors contributed positively. From a country perspective, security selection within South Korea, China, and India detracted from results relative to the MSCI Emerging Markets Index (Net), while selection in Brazil, South Africa, and Mexico contributed positively to relative returns. Allocation within countries contributed positively to relative performance, particularly an underweight to Saudi Arabia, which offset negative performance from an overweight to Brazil.

China Petroleum & Chemical (Energy), Taiwan Semiconductor (Information Technology), and Reliance Industries (Energy) were top detractors from relative performance during the period. China Petroleum & Chemical, an oil and gas company based in China, underperformed as PetroChina is spinning off some of its pipeline assets to National Pipeline Company, which the market expects will generate less value for PetroChina. An underweight to Taiwan Semiconductor, a developer and manufacturer of integrated circuit related products, detracted from relative performance during the period. Most notably, the company reported better-than-expected third quarter 2019 results and increased next quarter’s guidance, driven by demand for high-end smartphones and high-performance computing applications. Not owning Reliance Industries, an India-based company engaged in energy, petrochemicals, textiles, natural resources, retail, and telecommunications, detracted from relative performance during the year. Largan Precision (Information Technology) was a top detractor from absolute performance over the period.

Baidu (Communication Services), Anglo American Platinum (Materials), and Yihai International (Consumer Staples) were the top contributors to performance relative to the MSCI Emerging Markets Index (Net) during the period. An underweight to Baidu, an internet search company, contributed positively to relative performance as shares neared a four-year low during the period after reporting losses for the first time since going public. Baidu continues to face difficulties in its core search business, which is decelerating. We eliminated Baidu from the portfolio during the period. Shares of Anglo American Platinum, a South African platinum production company, rose during the period as platinum prices

 

 

 

  3  

 


Hartford Emerging Markets Equity Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

jumped on concerns that workers in South Africa, the largest supplier of the precious metal, may succeed in widening a strike to include some of country’s biggest producers. Yihai International, a China-based condiment company, also contributed positively to performance relative to the MSCI Emerging Markets Index (Net) during the period, as shares outperformed after the company posted strong earnings over the period. Samsung Electronics (Information Technology) was a top absolute contributor over the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We plan to continue to seek to add value by utilizing proprietary quantitative research and investment tools in a highly disciplined framework. Stock selection is intended to be the key driver of returns.

At the end of the period, the Fund had the largest overweights to South Korea and China, and the largest underweights to India and Qatar relative to the MSCI Emerging Markets Index (Net). On a sector basis, the Fund had its largest overweight to the Materials, Consumer Discretionary, and Industrials sectors, and the largest underweights to the Communication Services, Financials, and Utilities sectors, relative to the MSCI Emerging Markets Index (Net).

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets or if the Fund focuses in a particular geographic region or country. Small- and mid-cap securities can have greater risks and volatility than large-cap securities. The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     9.3

Consumer Discretionary

     14.1  

Consumer Staples

     7.3  

Energy

     8.5  

Financials

     22.9  

Health Care

     2.3  

Industrials

     6.1  

Information Technology

     15.7  

Materials

     8.7  

Real Estate

     1.8  

Utilities

     1.6  
  

 

 

 

Total

     98.3
  

 

 

 

Short-Term Investments

     1.9  

Other Assets & Liabilities

     (0.2
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  4  

 


Hartford Environmental Opportunities Fund*

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 2/29/2016

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

 

*

Effective 11/8/19, the Fund (now known as Hartford Climate Opportunities Fund) changed its name and principal investment strategies. The Fund also added Schroder Investment Management North America Inc. as a sub-adviser and Schroder Investment Management North America Ltd. as a sub-sub-adviser to the Fund. The information in this report is as of 10/31/19 and therefore, does not reflect any of these changes. For more information, please see the Fund’s most recent prospectus.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      Since
Inception1
 

Class A2

     16.47%        10.39%  

Class A3

     10.07%        8.71%  

Class C2

     16.68%        10.26%  

Class C3

     15.68%        10.26%  

Class I2

     16.85%        10.72%  

Class R32

     17.77%        10.65%  

Class R42

     16.78%        10.52%  

Class R52

     16.88%        10.67%  

Class R62

     17.12%        10.81%  

Class Y2

     17.00%        10.77%  

Class F2

     16.88%        10.74%  

MSCI All Country World (ACWI) Index (Net)

     12.59%        12.67%  

MSCI Global Environment Index (Net)

     14.30%        12.97%  

 

1 

Inception: 02/29/2016

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.58%        1.19%  

Class C

     2.27%        1.94%  

Class I

     1.19%        0.89%  

Class R3

     1.90%        1.41%  

Class R4

     1.60%        1.11%  

Class R5

     1.30%        0.81%  

Class R6

     1.18%        0.69%  

Class Y

     1.20%        0.79%  

Class F

     1.18%        0.69%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  5  

 


Hartford Environmental Opportunities Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Alan T. Hsu

Managing Director, Global Industry Analyst, and Equity Portfolio Manager

Wellington Management Company LLP

G. Thomas Levering

Senior Managing Director and Global Industry Analyst

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Environmental Opportunities Fund returned 16.47%, before sales charge, for the twelve-month period ending October 31, 2019, outperforming the Fund’s benchmark, the MSCI All Country World (ACWI) Index (Net), which returned 12.59% for the same period. For the same period, the Class A shares of the Fund also outperformed the 6.43% average return of the Lipper Global Multi-Cap Value group, a group of funds with investment strategies similar to those of the Fund in terms of market cap distribution and value and growth style characteristics, but not necessarily similar in terms of investment focus or objective.

Why did the Fund perform this way?

For the twelve-month period ended October 31 2019, global equities rose, as measured by the MSCI ACWI Index (Net). Towards the end of 2018, global equities tumbled as concerns about slowing global growth weighed heavily on the markets. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. On the monetary policy front, the U.S. Federal Reserve (Fed) raised rates by 0.25%, to the highest level in a decade.

In the first calendar quarter of 2019, global markets recovered and surged due to productive trade negotiations between the U.S. and China, and accommodative policy actions from the major central banks. The U.S. delayed its plan to increase tariffs on $200 billion of imports from China amid constructive dialogue between U.S. and Chinese trade representatives. The United Kingdom’s (U.K.) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern with the British parliament rejecting Prime Minister Theresa May’s deal for the third time.

In the second calendar quarter of 2019, global equities rose for the second straight quarter. Trade tensions between China and the U.S. escalated in May but eased at the end of the quarter after the two countries agreed to resume trade negotiations at the G20 summit. The U.K. avoided an abrupt no-deal departure from the EU after EU leaders granted the U.K. a flexible extension until October 31. U.K. Prime Minister Theresa May announced that she would resign on June 7, 2019 after failing to secure a Brexit deal.

In the third calendar quarter of 2019, Boris Johnson was appointed as the new Prime Minister of the U.K. after his victory in the Conservative Party leadership contest. U.K. opposition parties vowed to block Prime Minister Johnson’s bid for a general election, and Parliament passed legislation requiring him to request an extension to the Brexit process if he failed to secure an acceptable deal. On the monetary front, the Fed

cut interest rates in July and September in an effort to extend the U.S. economic expansion amid a slowdown in growth and trade uncertainty. The European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions.

At the end of the period, markets benefited from easing geopolitical tensions. U.S. President Donald Trump canceled a tariff increase scheduled for October 2019, and the U.S. and China have made substantial progress towards a “phase one” trade agreement. The risk of a “no-deal Brexit” declined significantly after a deal was agreed upon by the U.K. and the EU. On the monetary front, most global central banks reiterated their accommodative policy stances. The Fed cut interest rates for the third time in 2019, and signaled that it intends to pause the current easing cycle.

Ten of the eleven sectors in the MSCI ACWI Index (Net) posted positive returns during the period. The Real Estate (+23%) and Information Technology (+22%) sectors rose the most, while the Energy (-5%) sector was the only sector that fell during the period.

Sector allocation, a result of bottom-up stock selection, was the main contributor to outperformance relative to the MSCI ACWI Index (Net) over the period. Due to the nature of the Fund’s investment approach, the Fund had an expected overweight to the Industrials and Utilities sectors and underweights to the Financials, Healthcare, and Communication Services sectors. During the period, an overweight to the Utilities sector and an underweight to the Energy sector were the primary contributors to positive performance relative to the MSCI ACWI Index (Net). An underweight to the Financials sector and an overweight to the Industrials sector were also additive to relative performance. Security selection was also a driver of outperformance relative to the MSCI ACWI Index (Net) over the period. Selection was strongest within Industrials, Real Estate, and Materials sectors. On a regional basis, security selection in North America and Developed Europe contributed positively to performance relative to the MSCI ACWI Index (Net). This was partially offset by security selection in China and an underweight to Asia Pacific ex Japan, which detracted from relative performance.

The top contributors to absolute returns and performance relative to the MSCI ACWI Index (Net) were Cia de Saneamento do Paraná (Utilities), Iberdrola (Utilities), and Itron (Information Technology). Shares of Cia de Saneamento do Paraná, a water utility investing in sewer infrastructure and water savings, rose during the period after delivering solid top- and bottom-line earnings growth. Additionally, not only was the company’s previously revoked tariff increase reinstated, but the Paraná State Court of Auditors (TCE) also stated they would compensate Cia de

 

 

 

  6  

 


Hartford Environmental Opportunities Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Saneamento for the delay, which should have a positive impact on 2020 financials and should help repair Cia de Saneamento’s regulatory reputation. Iberdrola is a leading renewable energy producer. During the period, the company’s stock price rose, stemming from solid earnings results spanning multiple quarters. Specifically, Iberdrola has seen strong growth driven by a recovery in Spanish hydro volumes, along with the company’s Latin America operations and deregulated businesses. Iberdrola also reiterated its double-digit net profit growth outlook for the remainder of 2019. Shares of Itron, a smart-metering technology company focused on the modernization of the infrastructure grid, rose during the period after the company reported second quarter 2019 results, which were positive, with both earnings and revenues surprising to the upside, mirroring its first quarter 2019 results. These positive results were driven by robust demand, which led to an increased full-year outlook. As such, we continued to hold this position in the Fund as of the end of the period.

The top detractors from absolute performance and performance relative to the MSCI ACWI Index (Net) during the period included China Longyuan Power (Utilities), Green Plains (Energy), and Rockwool International (Industrials). Shares of China Longyuan Power, the largest wind power producer and distributor in China and Asia, fell during the period after reporting disappointing 2018 earnings results due to surging repair and maintenance costs and subsidy delay issues. The share price of Green Plains, a U.S.-based ethanol fuel producer, fell during the period as the company has suffered from a weak ethanol environment. However, as of the end of the period, we continued to hold shares of this company in the Fund as we continue to believe that the company is attractively valued. Rockwool International, a stonewool insulation producer which helps energy efficiency and is also fire resistant, saw its stock price fall over the period as the company lowered its outlook for net sales growth.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe Europe continues to be an attractive investment area, as we consider that it has arguably the greatest implied “equity risk premium” discounted in company stock prices. We also believe that investing in companies engaged in “industrial efficiency and smart technology” ideas are exciting opportunities, along with companies engaged in “agriculture technology” and “climate risk & analytics” ideas.

At the end of the period, the Fund’s largest overweights were to the Industrials and Utilities sectors, while the largest underweights were to the Financials, Healthcare, and Communication Services sectors, relative to the MSCI ACWI Index (Net). Within our environmental themes, the Fund’s largest absolute weights were to the themes of energy efficiency and low carbon electricity companies. On a regional basis, the Fund was most overweight to Developed Europe and most underweight to North America.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Foreign investments may be more volatile and less liquid than U.S. investments

and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets.  Small- and mid-cap securities can have greater risks and volatility than large-cap securities. Risks of focusing investments on the utilities and industrials sectors include regulatory and legal developments, competitive pressures, pricing and rate pressures (utilities), rapid technological changes, potential product obsolescence, and liquidity risk. Risks of focusing on investments that involve sustainability and environmentally responsible investment criteria may influence investment performance relative to the Fund’s benchmark or competing funds and expose the Fund to increased risks related to downturns or other adverse developments in that market segment.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

  

Consumer Discretionary

     8.9

Energy

     1.7  

Financials

     1.6  

Industrials

     39.4  

Information Technology

     17.1  

Materials

     2.0  

Real Estate

     5.2  

Utilities

     20.8  
  

 

 

 

Total

     96.7
  

 

 

 

Short-Term Investments

     7.8  

Other Assets & Liabilities

     (4.5
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  7  

 


Hartford Global Impact Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 2/28/2017

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      Since
Inception1
 

Class A2

     16.93%        11.48%  

Class A3

     10.49%        9.15%  

Class C2

     16.45%        10.86%  

Class C3

     15.45%        10.86%  

Class I2

     17.47%        11.93%  

Class R32

     16.94%        11.55%  

Class R42

     17.11%        11.63%  

Class R52

     17.45%        11.86%  

Class R62

     17.45%        11.97%  

Class Y2

     17.42%        11.89%  

Class F2

     17.43%        11.95%  

MSCI All Country World (ACWI) Index (Net)

     12.59%        9.34%  

 

1 

Inception: 2/28/17

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Performance information prior to October 7, 2019 reflects when the Fund operated as a feeder fund in a master feeder structure.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.78%        1.19%  

Class C

     2.56%        1.94%  

Class I

     1.33%        0.89%  

Class R3

     2.03%        1.41%  

Class R4

     1.73%        1.11%  

Class R5

     1.43%        0.81%  

Class R6

     1.31%        0.69%  

Class Y

     1.42%        0.79%  

Class F

     1.31%        0.69%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/28/21 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the period ended 10/31/19.

 

 

 

  8  

 


Hartford Global Impact Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Manager

Tara C. Stilwell, CFA

Senior Managing Director, Partner, and Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Global Impact Fund returned 16.93%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the MSCI All Country World (ACWI) Index (Net), which returned 12.59% for the same period. For the same period, Class A shares of the Fund outperformed the 6.26% average return of the Lipper Global Small-/Mid-Cap Growth Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

For the twelve-month period ended October 31, 2019, global equities rose, as measured by the MSCI ACWI Index (Net). Towards the end of 2018, global equities tumbled as concerns about slowing global growth weighed heavily on the markets. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. On the monetary policy front, the U.S. Federal Reserve (Fed) raised rates by 0.25%, to the highest level in a decade.

In the first calendar quarter of 2019, global markets recovered and surged due to productive trade negotiations between the U.S. and China, and cautious policy actions from the major central banks. The U.S. delayed its plan to increase tariffs on $200 billion of imports from China amid constructive dialogue between U.S. and Chinese trade representatives. The United Kingdom’s (U.K.) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern with the British parliament rejecting Prime Minister Theresa May’s deal for the third time.

In the second calendar quarter of 2019, global equities rose for the second straight quarter. Trade tensions between China and the U.S. escalated in May but eased at the end of the quarter after the two countries agreed to resume trade negotiations at the G20 summit. The U.K. avoided an abrupt no-deal departure from the EU after EU leaders granted the U.K. a flexible extension until October 31. U.K. Prime Minister Theresa May announced that she would resign on June 7, 2019 after failing to secure a Brexit deal.

In the third calendar quarter of 2019, Boris Johnson was appointed as the new Prime Minister of the U.K. after his victory in the Conservative Party leadership contest. U.K. opposition parties vowed to block Prime Minister Johnson’s bid for a general election, and Parliament passed legislation requiring him to request an extension to the Brexit process if he failed to secure an acceptable deal. On the monetary front, the Fed cut interest rates in July and September in an effort to extend the U.S. economic expansion amid a slowdown in growth and trade uncertainty. The European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions.

At the end of the period, markets benefited from easing geopolitical tensions. U.S. President Donald Trump canceled a tariff increase scheduled for October 2019, and the U.S. and China have made substantial progress towards a “phase one” trade agreement. The risk of a “no-deal Brexit” declined significantly after a deal was agreed upon by the U.K. and the EU. On the monetary front, most global central banks reiterated their cautious policy stances. The Fed cut interest rates for the third time in 2019, which signaled that it intends to pause the current easing cycle.

Ten of the eleven sectors in the MSCI ACWI Index (Net) posted positive returns during the period. The Real Estate (+23%) and Information Technology (+22%) sectors rose the most, while the Energy (-5%) sector was the only sector that fell during the period.

Sector allocation, a result of the bottom-up stock selection process, contributed positively to relative performance, primarily due to not holding equities in the Energy sector and having an overweight to the Utilities sector. On the other hand, overweights to the Healthcare and Communication Services sectors detracted from returns relative to the MSCI ACWI Index (Net) over the period. Security selection also contributed positively to outperformance relative to the MSCI ACWI Index (Net). Selection in the Utilities, Industrials, and Information Technology sectors contributed positively to outperformance relative to the MSCI ACWI Index (Net). This was partially offset by weaker stock selection in the Communication Services and Consumer Staples sectors, which detracted from relative performance. On a regional basis, security selection in North America was the primary contributor to outperformance relative to the MSCI ACWI Index (Net), but this was partially offset by weaker selection in the Middle East, which detracted from relative performance.

Top contributors to absolute and relative performance included Hapvida Participacoe (Healthcare), Katitas (Real Estate), and Pattern Energy (Utilities). The share price of Hapvida Participacoe, a vertically integrated low-cost health insurer operating in Brazil’s rural markets, rose following the release of strong second quarter results, which was driven by better-than-expected cost management, as well as increased market share in the North and North-East region. Katitas is a Japanese home refurbishment company that “recycles” older single-family homes. Shares of the company performed well following strong interim results released in February, which showed higher revenue and improving operating margins. The share price of Pattern Energy, a renewable energy company that owns wind and solar farms in the U.S., Canada and Japan, rose sharply in August 2019 as the company drew interest as a potential acquisition target from third-party suitors. More recently, the company agreed to be acquired by the Canada Pension Plan Investment Board on November 4, 2019 for approximately $6.1 billion.

Top detractors from relative and absolute performance included Teva Pharmaceutical Industries (Healthcare), PureCircle (Consumer Staples), and Bharti Infratel (Communication Services). The share price of Teva,

 

 

 

  9  

 


Hartford Global Impact Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

an Israel-based global pharmaceutical company engaged in the development, production and marketing of generic drugs, came under heavy selling pressure in the period following an unexpectedly large single state settlement related to the company’s legacy opioid exposure. New legal concerns around price fixing across many jurisdictions and a broader softening in the pricing environment for first movers in the generic space led us to exit the Fund’s position after re-evaluating the company’s long-term prospects. The stock price of PureCircle, a producer and distributor of natural sweeteners and flavors, fell sharply in September after the company postponed the publication of its earnings results. Currently, the company is the subject of an investigation around its inventory valuation methodology. The company’s share listing is currently suspended until the publication of the company’s full-year audited results. When the shares resume trading, we will reassess the company’s market valuation relative to the rest of our opportunity set. Bharti Infratel, an India-based telecom tower company, also detracted from performance for the period. Shares of the company fell in April following the release of fourth-quarter results that missed net income estimates. Recently, the company’s share price has also been under pressure after it announced that its merger with Indus Towers would be delayed, pending government approvals.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe we are in the late stages of the economic cycle following the global manufacturing contraction, expansionary monetary policy by the Fed and the ECB, as well as a style rotation to value in September 2019. As a result, we are seeking to take advantage of year-to-date share price strength to reduce exposure in select emerging market holdings, while selectively increasing exposure to companies that behave more defensively while being supported by strong business fundamentals in our view.

We believe market volatility often highlights new opportunities. We continue to search for compelling impact companies with strong fundamentals in the context of reoccurring market volatility.

Within our impact themes, the Fund’s largest absolute weights at the end of the period were in the themes of health and resource efficiency. On a regional basis, the Fund ended the period being most overweight to Emerging Markets and most underweight to North America.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Small-cap and mid-cap securities can have greater risks and volatility than large-cap securities. Investing in companies that seek to address major social and environmental challenges may cause the Fund to forego certain investment opportunities and underperform funds that do not have a similar focus.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

  

Communication Services

     7.9

Consumer Discretionary

     6.7  

Consumer Staples

     0.4  

Financials

     1.4  

Health Care

     14.0  

Industrials

     15.6  

Information Technology

     25.4  

Materials

     0.5  

Real Estate

     12.5  

Utilities

     12.5  
  

 

 

 

Total

     96.9
  

 

 

 

Short-Term Investments

     3.7  

Other Assets & Liabilities

     (0.6
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  10  

 


Hartford International Equity Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 6/30/2008

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     8.88%        3.98%        5.63%  

Class A2

     2.80%        2.81%        5.03%  

Class C1

     8.01%        3.22%        4.84%  

Class C2

     7.01%        3.22%        4.84%  

Class I1

     9.29%        4.34%        6.01%  

Class R31

     8.59%        3.71%        5.36%  

Class R41

     8.89%        3.99%        5.66%  

Class R51

     9.27%        4.28%        5.97%  

Class R61

     9.29%        4.57%        6.13%  

Class Y1

     9.28%        4.48%        6.09%  

Class F1

     9.39%        4.42%        6.05%  

MSCI All Country World (ACWI)
ex USA Index (Net)

     11.27%        3.82%        4.94%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares. Class R6 shares commenced operations on 2/28/18. Performance prior to that date is that of the Fund’s Class Y shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

Performance information prior to 8/13/15 reflects when the Fund pursued a modified investment strategy.

Classes A, C, and I of the Fund are closed to new investors, subject to certain exceptions. For more information, please see the Fund’s prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.16%        1.05%  

Class C

     1.93%        1.80%  

Class I

     0.83%        0.75%  

Class R3

     1.44%        1.27%  

Class R4

     1.15%        0.97%  

Class R5

     0.85%        0.67%  

Class R6

     0.73%        0.55%  

Class Y

     0.81%        0.66%  

Class F

     0.73%        0.55%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  11  

 


Hartford International Equity Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Gregg R. Thomas, CFA

Senior Managing Director and Director, Investment Strategy

Wellington Management Company LLP

Tom S. Simon, CFA, FRM

Senior Managing Director and Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford International Equity Fund returned 8.88%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming the Fund’s benchmark, the MSCI All Country World (ACWI) ex USA Index (Net), which returned 11.27% for the same period. For the same period, Class A shares of the Fund also underperformed the 12.99% average return of the Lipper International Multi-Cap Growth peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

International equities, as measured by the MSCI ACWI ex USA Index (Net), rose over the twelve-month period ended October 31, 2019. Macro uncertainties weighed on markets throughout the period. Global equities tumbled towards the end of 2018 as investors grew increasingly weary of slowing global growth. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. Markets rebounded in the first half of 2019, fueled by developments pertaining to trade negotiations between the United States (U.S.) and China and as a result of accommodative policy actions from the major central banks. Meanwhile, the United Kingdom’s (U.K.) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern as the British parliament rejected Prime Minister Theresa May’s deal for the third time. The U.K. avoided an abrupt no-deal departure after the EU leaders granted the U.K. a flexible extension until October 31, 2019; however, Theresa May announced that she would resign on June 7, 2019 after failing to secure a Brexit deal. In the third quarter of 2019, Boris Johnson was appointed as the new Prime Minister of the U.K. On the monetary front, the European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions. More recently, markets in October 2019 benefited from easing geopolitical tension. U.S. President Donald Trump canceled a tariff increase scheduled for October 2019, and substantial progress has been made towards a “phase one” trade agreement with China. In Europe, the risk of a “no-deal Brexit” declined significantly after a drafted deal was agreed upon by the U.K. and the EU. Global central banks reiterated their accommodative policy stances, and the U.S. Federal Reserve (Fed) cut interest rates for the third time during 2019, and signaled that it intends to pause the current easing cycle.

Ten of eleven sectors within the MSCI ACWI ex USA Index (Net) posted positive returns for the twelve months ending October 31, 2019. The Information Technology (+22.0%), Utilities (+20.0%), and Real Estate

(+17.6%) sectors posted the largest gains while the Energy (-0.4%) sector was the sole detractor from relative performance.

Security selection was the primary reason for the Fund’s underperformance versus the MSCI ACWI ex USA Index (Net) during the period. Weak selection in the Financials, Consumer Discretionary, and Energy sectors was only partially offset by stronger selection in the Communication Services, Materials, and Healthcare sectors. Sector allocation, a residual of the underlying managers’ bottom-up stock selection processes, contributed positively to returns relative to the MSCI ACWI ex USA Index (Net) over the period. An underweight exposure to the Energy sector contributed positively to relative performance during the period, while the underweight to the Consumer Discretionary sector detracted most.

The largest detractors from performance relative to the MSCI All Country World ex USA Index (Net) were EnCana (Energy), Empresas Copec (Energy), and Uber Technologies (Industrials). EnCana is an oil and natural gas producer based in Canada. The stock price dropped during the period, initially due to negative market reaction to the company’s acquisition of Newfield Exploration, a U.S. based oil and gas exploration company. Management of EnCana has looked toward operational efficiencies and cost-cutting measures in order to help boost the share price, but the company has not been able to shield itself from the broad sell-off in the industry. We reduced the Fund’s exposure to the stock during the period. Shares of Empresas, a Chilean-based energy and natural resources company, declined during the period amid price volatility of key commodities. We trimmed the Fund’s position during the period. Uber, a U.S.-based transportation technology company, also detracted from relative performance for the period as a result of several well-publicized negative events and the ultimate departure of its CEO. As of the end of the period, the Fund continued to hold the position. Additionally, EnCana and Empresas were the top absolute detractors from performance during the period.

Top contributors to performance relative to the MSCI ACWI ex USA Index (Net) during the period included Cellnex Telecom (Communication Services), MediaTek (Information Technology), and Sunny Optical Technology (Information Technology). Cellnex is a Spanish wireless communications and broadcasting infrastructure company. The company has positioned itself as a consolidator of European tower companies and is benefiting from the secular growth opportunities in data usage as well as the capital investment cycle in 5G. We added to the Fund’s position in the company during the period. MediaTek is a Taiwan-based fabless integrated circuit design house. Shares have increased during the period as the company has consistently reported strong earnings. Despite concerns related to trade negotiations in the

 

 

 

  12  

 


Hartford International Equity Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

region, the company has seen limited impact from its customers. Sunny Optical Technology is a Chinese-based optical device producer. The company’s share price oscillated during the period on the back of the U.S. and China trade negotiations. Sunny is a large supplier of Huawei, the Chinese hardware company at the forefront of the trade dispute. The stock price ended the period higher as camera upgrade trends, operation efficiencies, and growing opportunities in the automotive market all helped lift the company higher during the market turbulence. We added to the Fund’s position during the period. Top contributors to absolute performance were Cellnex Telecom and Alibaba Group (Consumer Discretionary).

The Fund’s investment process includes the use of factor-based strategies, which involve targeting certain company characteristics, or factors, that we believe impact returns across asset classes. Factor impact on the Fund was negative. The Fund’s smaller cap footprint and value factor exposures hindered performance. This was partially offset by the Fund’s exposure to growth and volatility factors.

From a top-down perspective, the Fund’s country and currency exposure detracted from results, particularly driven by exposure to Japan, North America, and Pacific Basin ex-Japan (Australia, Hong Kong).

During the period, the Fund, at times, used equity index futures to hedge market risk. During the period, the use of equity index futures did not have a significant impact on performance.

What is the outlook as of the end of the period?

Macro challenges continued to weigh on markets; however, we remain confident that opportunities to generate alpha exist. In particular, we believe that slowing global growth and growing policy uncertainty have dampened investor risk appetite and impacted corporate fundamentals for companies and industries most exposed to these risks. Further, we believe that a multi-strategy factor-based approach to capital allocation can help manage risk amidst uncertainty and reduce excess drawdown in the event of market shocks.

As we look across the factor landscape, we maintain conviction in our diversified factor exposures. We are closely monitoring the Fund’s exposure to trend-following factors (e.g., growth and momentum) to ensure no unintended risks enter the Fund as valuations remain high. Similarly, we have been re-evaluating the Fund’s more defensive exposures and determining whether they will continue to be defensive when we need them most. Risk-averse factors, such as low volatility, have outperformed recently and appear overvalued on some metrics. However, our research indicates that low volatility (in particular) has historically provided downside protection even in instances where it appeared overvalued. In contrast, value and contrarian approaches continue to look attractive on most valuation frameworks. While a catalyst for any value recovery continues to be uncertain, we maintained the Fund’s exposure as it may help the Fund participate in any potential cyclical rally should the aforementioned macro tensions subside.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund’s strategy for allocating assets among portfolio management teams may not work as intended. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets or if the Fund focuses in a particular geographic region or country. Small- and mid-cap securities can have greater risks and volatility than large-cap securities.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     8.3

Consumer Discretionary

     9.0  

Consumer Staples

     9.0  

Energy

     5.2  

Financials

     20.6  

Health Care

     7.2  

Industrials

     13.5  

Information Technology

     10.7  

Materials

     6.8  

Real Estate

     3.4  

Utilities

     3.4  
  

 

 

 

Total

     97.1
  

 

 

 

Short-Term Investments

     3.7  

Other Assets & Liabilities

     (0.8
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  13  

 


The Hartford International Growth Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 4/30/2001

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     12.97%        5.04%        7.67%  

Class A2

     6.76%        3.86%        7.06%  

Class C1

     12.16%        4.26%        6.87%  

Class C2

     11.16%        4.26%        6.87%  

Class I1

     13.41%        5.36%        8.02%  

Class R31

     12.63%        4.76%        7.46%  

Class R41

     12.99%        5.08%        7.81%  

Class R51

     13.40%        5.40%        8.13%  

Class R61

     13.48%        5.48%        8.22%  

Class Y1

     13.45%        5.45%        8.20%  

Class F1

     13.50%        5.42%        8.05%  

MSCI All Country World (ACWI)
ex USA Growth Index (Net)

     16.66%        5.69%        6.24%  

MSCI All Country World (ACWI)
ex USA Index (Net)

     11.27%        3.82%        4.94%  

 

1

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares. Class R6 shares commenced on 2/28/18. Performance prior to that date is that of the Fund’s Class Y shares.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.37%        1.30%  

Class C

     2.17%        2.05%  

Class I

     1.01%        1.00%  

Class R3

     1.63%        1.57%  

Class R4

     1.32%        1.27%  

Class R5

     1.03%        1.00%  

Class R6

     0.91%        0.85%  

Class Y

     1.02%        0.95%  

Class F

     0.91%        0.85%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  14  

 


The Hartford International Growth Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

John A. Boselli, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Tara C. Stilwell, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Matthew D. Hudson, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford International Growth Fund returned 12.97%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming one of its benchmarks, the MSCI All Country World (ACWI) ex USA Growth Index (Net), which returned 16.66% for the same period, and outperforming its other benchmark, the MSCI All Country World (ACWI) ex USA Index (Net), which returned 11.27% for the same period. For the same period, the Class A shares of the Fund performed in line with the 12.99% average return of the Lipper International Multi-Cap Growth Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

International equities, as measured by the MSCI ACWI ex USA Index (Net), rose over the twelve-month period ended October 31, 2019. Macro uncertainties weighed on markets throughout the period. Global equities tumbled towards the end of 2018 as investors grew increasingly weary of slowing global growth. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. Markets rebounded in the first half of 2019, fueled by developments pertaining to trade negotiations between the United States (U.S.) and China and as a result of accommodative policy actions from the major central banks. Meanwhile, the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern as the British parliament rejected Prime Minister Theresa May’s deal for the third time. The U.K. avoided an abrupt no-deal departure after the EU leaders granted the U.K. a flexible extension until October 31, 2019; however, Theresa May announced that she would resign on June 7, 2019 after failing to secure a Brexit deal. In the third quarter of 2019, Boris Johnson was appointed as the new Prime Minister of the U.K. On the monetary front, the European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions. More recently, markets in October 2019 benefited from easing geopolitical tension. U.S. President Donald Trump canceled a tariff increase scheduled for October 2019, and substantial progress has been made towards a “phase one” trade agreement with China. In Europe, the risk of a “no-deal Brexit” declined significantly after a drafted deal was agreed upon by the U.K. and the EU. Global central banks reiterated their accommodative policy stances, and the U.S.

Federal Reserve (Fed) cut interest rates for the third time during 2019, and signaled that it intends to pause the current easing cycle.

All eleven sectors in the MSCI ACWI ex USA Growth Index (Net) rose during the period. Within this index, the Information Technology (+25%), Financials (+19%), and Consumer Discretionary (+19%) sectors performed best.

Security selection and sector allocation drove underperformance relative to the MSCI ACWI ex USA Growth Index (Net) during the period. Stock selection in the Energy, Information Technology, and Financials sectors detracted from performance relative to the MSCI ACWI ex USA Growth Index (Net), while strong selection within the Industrials and Communication Services sectors partially offset negative results. On a regional basis, security selection in Japan and North America detracted from relative performance during the period, while security selection in Emerging Markets aided results relative to the MSCI ACWI ex USA Growth Index (Net). Sector allocation, a residual of our bottom-up stock selection, also detracted from performance relative to the MSCI ACWI ex USA Growth Index (Net). The portfolio’s overweight to the Communication Services sector detracted from relative performance during the period, while an underweight to the Energy sector modestly contributed to performance relative to the MSCI ACWI ex USA Growth Index (Net).

EnCana (Energy), Sony (Consumer Discretionary), and Tencent (Communication Services) were the top detractors from performance relative to the MSCI ACWI ex USA Growth Index (Net) during the period. Shares of EnCana, a Canadian-based oil and gas company, fell following the announcement of its Newfield Oil acquisition late last year. The stock price continued to lag in 2019 as investors awaited improving execution in resource development from deal synergies. Sony, a multinational corporation with business in consumer and professional electronics, gaming and entertainment and financial services, saw its stock price fall after the company cut guidance at the beginning of 2019 as a result of increased risks facing the consumer electronics and gaming businesses. Tencent, a China-based internet company offering messaging, gaming, social networking, e-commerce, and on-line payment services, underperformed after releasing sluggish top-line growth in the first quarter of 2019 that was primarily due to weakness in advertising and fintech revenues.

Among top contributors to performance relative to the MSCI ACWI ex USA Growth Index (Net) during the period were Cellnex Telecom

 

 

 

  15  

 


The Hartford International Growth Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

(Communication Services), MediaTek (Information Technology), and a lack of exposure to Baidu (Communication Services), a constituent of the MSCI ACWI ex USA Growth Index (Net). Shares of Cellnex, a Spain-based wireless telecommunications and broadcasting infrastructure company, rose over the period as shares benefited from rising investor confidence in the company’s ability to maintain a favorable M&A deal pipeline. The stock price of MediaTek, a Taiwan-based fabless semiconductor chip design company, rose during the period after management’s 5G forecasts increased.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe Europe’s economic growth is decelerating, with manufacturing continuing to slow and services starting to soften. Positive drivers for the economy could include looser fiscal policy and solid wage growth, while global trade and Brexit remain key uncertainties. Brexit continues to present challenges for the U.K., which has underperformed relative to the EU and remains a hindrance to growth.

As geopolitical risks rise and global economic growth slows, developing economies are negatively affected. The China-U.S. trade war may cause disruption to supply chains, particularly for the Information Technology sector and certain Southeast Asian economies. Despite our more cautious near-term view, we continue to see long-term secular tailwinds for domestically oriented companies that should benefit from China’s emerging middle class and growing services economy.

At the end of the period, the Fund’s largest overweights were to the Information Technology, Financials, and Communication Services sectors, while the Fund was most underweight to the Consumer Staples, Materials, and Energy sectors relative to the MSCI ACWI ex USA Growth Index (Net).

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund’s strategy for allocating assets among portfolio management teams may not work as intended. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Small- and mid-cap securities can have greater risks and volatility than large-cap securities. The Fund may focus on investments in particular sectors, geographic regions or countries, so it may be more exposed to risks and volatility than a fund holding more geographically diverse investments.  Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     9.4

Consumer Discretionary

     13.4  

Consumer Staples

     11.5  

Energy

     1.6  

Financials

     14.4  

Health Care

     12.1  

Industrials

     15.2  

Information Technology

     16.9  

Materials

     1.5  

Real Estate

     1.3  

Utilities

     1.1  
  

 

 

 

Total

     98.4
  

 

 

 

Short-Term Investments

     4.7  

Other Assets & Liabilities

     (3.1
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  16  

 


The Hartford International Opportunities Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 7/22/1996

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term growth of capital.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     11.32%        3.56%        5.64%  

Class A2

     5.20%        2.39%        5.04%  

Class C1

     10.46%        2.80%        4.86%  

Class C2

     9.46%        2.80%        4.86%  

Class I1

     11.67%        3.89%        5.99%  

Class R31

     11.03%        3.29%        5.39%  

Class R41

     11.34%        3.60%        5.72%  

Class R51

     11.73%        3.91%        6.03%  

Class R61

     11.78%        4.01%        6.13%  

Class Y1

     11.80%        3.99%        6.12%  

Class F1

     11.82%        3.97%        6.03%  

MSCI All Country World (ACWI) ex USA Index (Net)

     11.27%        3.82%        4.94%  

 

1

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

 

Class R6 shares commenced operations on 11/7/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.11%        1.11%  

Class C

     1.87%        1.87%  

Class I

     0.80%        0.80%  

Class R3

     1.42%        1.42%  

Class R4

     1.12%        1.12%  

Class R5

     0.81%        0.81%  

Class R6

     0.71%        0.71%  

Class Y

     0.81%        0.76%  

Class F

     0.71%        0.71%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year 10/31/19.

 

 

 

  17  

 


The Hartford International Opportunities Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Nicolas M. Choumenkovitch

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Tara C. Stilwell, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford International Opportunities Fund returned 11.32%, before sales charge, for the twelve-month period ended October 31, 2019, slightly outperforming the Fund’s benchmark, the MSCI All Country World (ACWI) ex USA Index (Net), which returned 11.27% for the same period. For the same period, Class A shares of the Fund underperformed the 14.88% average return of the Lipper International Large-Cap Growth Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

International equities, as measured by the MSCI ACWI ex USA Index (Net), rose over the twelve-month period ended October 31, 2019. Macro uncertainties weighed on markets throughout the period. Global equities tumbled towards the end of 2018 as investors grew increasingly weary of slowing global growth. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. Markets rebounded in the first half of 2019, fueled by developments pertaining to trade negotiations between the United States (U.S.) and China and as a result of accommodative policy actions from the major central banks. Meanwhile, the United Kingdom’s (U.K.) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern as the British parliament rejected Prime Minister Theresa May’s deal for the third time. The U.K. avoided an abrupt no-deal departure after the EU leaders granted the U.K. a flexible extension until October 31, 2019; however, Theresa May announced that she would resign on June 7, 2019 after failing to secure a Brexit deal. In the third quarter of 2019, Boris Johnson was appointed as the new Prime Minister of the U.K. On the monetary front, the European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions. More recently, markets in October 2019 benefited from easing geopolitical tension. U.S. President Donald Trump canceled a tariff increase scheduled for October 2019, and substantial progress has been made towards a “phase one” trade agreement with China. In Europe, the risk of a “no-deal Brexit” declined significantly after a drafted deal was agreed upon by the U.K. and the EU. Global central banks reiterated their accommodative policy stances, and the U.S. Federal Reserve (Fed) cut interest rates for the third time during 2019, and signaled that it intends to pause the current easing cycle.

Within the MSCI ACWI ex USA Index (Net), ten of eleven sectors posted positive returns for the twelve months ending October 31, 2019. The Information Technology (+22%), Utilities (+20%), and Real Estate

(+18%) sectors posted the largest gains, while the Energy sector (-0.4%) posted slightly negative returns.

Security selection contributed positively to performance relative to the MSCI ACWI ex USA Index (Net) over the period, led by strong selection within the Consumer Discretionary, Communication Services, and Utilities sectors. Conversely, weak selection within the Information Technology, Energy, and Industrials sectors detracted from relative performance, partially offsetting the results. Sector allocation, a result of our bottom-up stock selection process, did not have a meaningful impact on relative performance during the period. The Fund’s relative underweights to the Materials and Energy sectors proved beneficial, while an overweight to the Communication Services sector and an underweight to the Consumer Staples sector detracted from relative performance, offsetting results.

New Oriental Education (Consumer Discretionary), Cellnex Telecom (Communication Services), and Ferrari (Consumer Discretionary) were among the top contributors to performance relative to the MSCI ACWI ex USA Index (Net) during the period. New Oriental Education is a China-based educational services provider. The stock price rose following the company’s release of its fiscal year second quarter 2019 earnings in which revenue, margin, and guidance came in ahead of expectations due to strong momentum from the K-12 segment. Shares of Cellnex, the largest independent European wireless tower operator, performed strongly after it announced the acquisition of a portfolio of towers in Italy, France, and Switzerland. The stock price for Ferrari performed well in the latter part of the twelve-month period as the Italy-based luxury sports car manufacturer posted strong first-quarter 2019 earnings which exceeded consensus expectations. The company has unique assets in its brand and a disciplined growth strategy while their production capacity at the Maranello facility is significantly underutilized. Formula 1 improvement and model expansion in China can be potential growth drivers as well. Nestle (Consumer Staples) was a top absolute contributor to performance during the period.

Top detractors from performance relative to the MSCI ACWI ex USA Index (Net) during the period included EnCana (Energy), Total (Energy), and Natixis (Financials). EnCana is a Canadian based exploration and production (E&P) company. The stock price fell over the period following the company’s mixed first-quarter 2019 earnings release in which production came in below consensus. Total is a France-based oil and gas exploration and production company. Despite posting quarterly earnings results that were mostly in line with consensus estimates, the stock price was volatile which weighed on relative performance. Shares of Natixis, the France-based investment bank, plunged after Morningstar, Inc. cited concerns about the “liquidity and appropriateness” of some corporate-bond holdings in a fund owned by

 

 

 

  18  

 


The Hartford International Opportunities Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

the French bank. We eliminated this position in the Fund. British-American Tobacco (Consumer Staples) was a top absolute detractor from performance during the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We are looking for signs of stabilization in an environment of weakening global economic data and increasing trade-related tensions. Major central banks have signaled their willingness to pursue further accommodative policy measures in order to support the global economic expansion. While we do believe the economic backdrop may be supportive for some parts of the equity market, there remain unresolved risks, like the U.S.-China trade dispute, which we continue to closely monitor. In our view, this issue is likely to remain unresolved in the near term given the multitude of issues that need to be addressed.

Overall, our investment approach leads us to seek companies with the potential to improve or sustain return on invested capital to a degree that the market underestimates. We continually strive to maintain a good balance in the Fund, investing in companies that we believe are showing improving returns and companies with sustainable returns, the combination of which we believe helps mitigate the impact of shifts in economic and/or industry cycles.

At the end of the period, the Fund’s largest overweight positions were in the Industrials, Communication Services, and Utilities sectors and the Fund was most underweight to the Materials, Financials, and Energy sectors. From a regional perspective, the Fund had its largest overweight in Developed Europe ex-UK and largest underweight to the Pacific Developed ex-Japan region relative to the MSCI ACWI ex USA Index (Net) at the end of the period.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Mid-cap securities can have greater risks and volatility than large-cap securities. The Fund’s focus on investments in particular sectors, geographic regions or countries may increase its volatility and risk of loss if adverse developments occur.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

 

Communication Services

     8.7

Consumer Discretionary

     12.5  

Consumer Staples

     8.2  

Energy

     4.1  

Financials

     18.6  

Health Care

     9.4  

Industrials

     16.0  

Information Technology

     9.4  

Materials

     2.3  

Real Estate

     4.5  

Utilities

     5.2  
  

 

 

 

Total

     98.9
  

 

 

 

Short-Term Investments

     2.9  

Other Assets & Liabilities

     (1.8
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  19  

 


The Hartford International Small Company Fund*

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 4/30/2001

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks capital appreciation.

 

*

Effective after the close of business on November 22, 2019, the Fund merged into Hartford Global Impact Fund.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     -0.60%        2.37%        6.29%  

Class A2

     -6.07%        1.22%        5.69%  

Class C1

     -1.26%        1.64%        5.51%  

Class C2

     -2.09%        1.64%        5.51%  

Class I1

     -0.23%        2.76%        6.71%  

Class R31

     -0.70%        2.20%        6.17%  

Class R41

     -0.42%        2.51%        6.48%  

Class R51

     -0.11%        2.81%        6.77%  

Class Y1

     -0.06%        2.87%        6.83%  

Class F1

     -0.12%        2.83%        6.74%  

S&P EPAC SmallCap Index

     8.19%        7.14%        8.21%  

 

1

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R3, R4 and R5 shares commenced operations on 5/28/10. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17 and performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

The Fund is closed to new investors, subject to certain exceptions. For more information, please see the Fund’s prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.46%        1.46%  

Class C

     2.24%        2.24%  

Class I

     1.08%        1.08%  

Class R3

     1.70%        1.65%  

Class R4

     1.40%        1.35%  

Class R5

     1.11%        1.05%  

Class Y

     1.05%        1.00%  

Class F

     0.99%        0.99%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  20  

 


The Hartford International Small Company Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Simon H. Thomas

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Daniel Maguire, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford International Small Company Fund returned -0.60%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming the Fund’s benchmark, the S&P EPAC SmallCap Index, which returned 8.19% for the same period. For the same period, the Class A shares of the Fund also underperformed the 8.88% average return of the Lipper International Small/Mid-Cap Growth peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

International equities, as measured by the MSCI All Country World Index (ACWI) ex USA Index (Net), rose over the twelve-month period ended October 31, 2019. Macro uncertainties weighed on markets throughout the period. Global equities tumbled towards the end of 2018 as investors grew increasingly weary of slowing global growth. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. Markets rebounded in the first half of 2019, fueled by developments pertaining to trade negotiations between the United States (U.S.) and China and as a result of accommodative policy actions from the major central banks. Meanwhile, the United Kingdom’s (U.K.) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern as the British parliament rejected Prime Minister Theresa May’s deal for the third time. The U.K. avoided an abrupt no-deal departure after the EU leaders granted the U.K. a flexible extension until October 31, 2019; however, Theresa May announced that she would resign on June 7, 2019 after failing to secure a Brexit deal. In the third quarter of 2019, Boris Johnson was appointed as the new Prime Minister of the U.K. On the monetary front, the European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions. More recently, markets in October 2019 benefited from easing geopolitical tension. U.S. President Donald Trump canceled a tariff increase scheduled for October 2019, and substantial progress has been made towards a “phase one” trade agreement with China. In Europe, the risk of a “no-deal Brexit” declined significantly after a drafted deal was agreed upon by the U.K. and the EU. Global central banks reiterated their accommodative policy stances, and the U.S. Federal Reserve (Fed) cut interest rates for the third time during 2019, and signaled that it intends to pause the current easing cycle.

Ten out of the eleven sectors within the S&P EPAC SmallCap Index experienced positive returns during the period. The Real Estate (24%),

Utilities (19%), and Information Technology (19%) sectors rose the most during the period while the Energy (-12%) sector declined.

The main driver of underperformance relative to the S&P EPAC SmallCap Index was security selection within the Consumer Discretionary, Industrials, Communication Services, and Consumer Staples sectors, which detracted from relative performance. This was partially offset by security selection strength in the Healthcare and Materials sectors, which contributed positively to performance relative to the S&P EPAC SmallCap Index. Sector allocation, a result of our bottom-up stock selection process, also underperformed relative to the S&P EPAC SmallCap Index over the period, with the Fund’s underweight in the Real Estate and Information Technology sectors detracting from relative performance. On a regional basis, security selection within Europe (primarily the U.K. and Italy) and Developed Asia ex-Japan (primarily Australia) detracted the most from returns relative to the S&P EPAC SmallCap Index, while selection within Emerging Markets contributed positively to relative performance.

The largest detractors from both absolute performance and performance relative to the S&P EPAC SmallCap Index during the period were oOh!media (Communication Services), IHI Corporation (Industrials), and Jamco (Industrials). oOh!media is an Australia-based outdoor advertising company. The stock sold off following an abrupt broad-based slowdown in the Australian advertising industry. IHI is a Japanese industrial machinery company whose stock has sold off on weaker-than-expected results and reduced guidance, compounded by a series of downward earnings revisions. Jamco is a Japanese manufacturer of aircraft parts whose stock has been adversely impacted by the company’s meaningful exposure to Boeing, due to the grounding of the 737 Max aircraft, which had an adverse impact on the stock. Additionally, the stock contended with some foreign exchange (FX) challenges and operational issues.

Top contributors to both absolute returns and returns relative to the S&P EPAC SmallCap Index during the period were Nippon Shinyaku (Healthcare), Ultra Electronics (Industrials), and SOITEC (Information Technology). Nippon Shinyaku is a Japan-based manufacturer and retailer of pharmaceuticals and foodstuffs. The company benefited from stronger-than-expected sales during the period, and also traded up on the news that the Food and Drug Administration (FDA) has delayed approval of competitor Sarepta Therapeutics’ drug candidate Golodirsen. Ultra Electronics is a U.K.-based defense contractor. Organic revenue growth came in meaningfully higher than expected, potentially pointing to early success in the new CEO’s “Focus, Fix, Grow” strategic initiative. SOITEC is a France-based manufacturer of high-performance semiconductor Materials with 70% global market share in Silicon-on-Insulator (SOI) wafers. The company reported better than

 

 

 

  21  

 


The Hartford International Small Company Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

expected results and issued promising guidance for the coming years. In addition, the company highlighted a rapidly growing addressable market with demand set to ramp from technological innovations in smartphones, automotive, the “internet of things,” and infrastructure (5G, cloud, etc.).

Derivatives were not used by the Fund for most of the period. During the end of the period, futures were used to equitize cash and did not have a meaningful impact on performance.

At the end of the period, the Fund had the largest overweight positions in the Utilities and Information Technology sectors relative to the S&P EPAC SmallCap Index, while the Fund’s largest underweights were to the Industrials, Financials, and Consumer Discretionary sectors. On a regional basis, the Fund was overweight to North America and underweight in Europe and Japan.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. The Fund may focus on investments in particular sectors, geographic regions or countries, so it may be more exposed to risks and volatility than a fund holding more geographically diverse investments. Small-cap securities can have greater risks and volatility than large-cap securities.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

  

Communication Services

     2.0

Consumer Discretionary

     2.5  

Consumer Staples

     0.1  

Financials

     0.4  

Health Care

     7.1  

Industrials

     6.7  

Information Technology

     11.8  

Real Estate

     6.8  

Utilities

     6.2  
  

 

 

 

Total

     43.6
  

 

 

 

Other Assets & Liabilities

     56.4  
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  22  

 


The Hartford International Value Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/28/2010

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      Since
Inception1
 

Class A2

     3.90%        4.90%        7.91%  

Class A3

     -1.82%        3.72%        7.26%  

Class C2

     3.14%        4.20%        7.18%  

Class C3

     2.18%        4.20%        7.18%  

Class I2

     4.20%        5.26%        8.29%  

Class R32

     3.53%        4.58%        7.62%  

Class R42

     3.85%        4.91%        7.95%  

Class R52

     4.13%        5.22%        8.27%  

Class R62

     4.31%        5.33%        8.56%  

Class Y2

     4.21%        5.31%        8.55%  

Class F2

     4.24%        5.31%        8.32%  

MSCI EAFE Value Index (Net)

     5.51%        2.12%        5.42%  

MSCI EAFE Index (Net)

     11.04%        4.31%        6.82%  

 

1

Inception: 05/28/2010

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

 

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares. Class R6 shares commenced operations on 2/28/19. Performance prior to that date is that of the Fund’s Class Y shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

The Fund is closed to new investors, subject to certain exceptions. For more information, please see the Fund’s prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.21%        1.21%  

Class C

     1.93%        1.93%  

Class I

     0.91%        0.91%  

Class R3

     1.56%        1.56%  

Class R4

     1.26%        1.26%  

Class R5

     0.94%        0.94%  

Class R6

     0.84%        0.84%  

Class Y

     0.92%        0.90%  

Class F

     0.84%        0.84%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year 10/31/19.

 

 

 

  23  

 


The Hartford International Value Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

James H. Shakin, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Andrew M. Corry, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

 

 

 

How did the Fund perform during the period?

The Class A shares of The Hartford International Value Fund returned 3.90% before sales charge, for the twelve-month period ended October 31, 2019, underperforming both of the Fund’s benchmarks, the MSCI EAFE Value Index (Net) and the MSCI EAFE Index (Net), which returned 5.51% and 11.04%, respectively, for the same period. For the same period, Class A shares of the Fund also underperformed the 5.27% average return of the Lipper International Multi Cap Value Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

International equities, as measured by the MSCI ACWI ex USA Index (Net), rose over the twelve-month period ended October 31, 2019. Macro uncertainties weighed on markets throughout the period. Global equities tumbled towards the end of 2018 as investors grew increasingly weary of slowing global growth. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. Markets rebounded in the first half of 2019, fueled by developments pertaining to trade negotiations between the United States (U.S.) and China and as a result of accommodative policy actions from the major central banks. Meanwhile, the United Kingdom’s (U.K.) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern as the British parliament rejected Prime Minister Theresa May’s deal for the third time. The U.K. avoided an abrupt no-deal departure after the EU leaders granted the U.K. a flexible extension until October 31, 2019; however, Theresa May announced that she would resign on June 7, 2019 after failing to secure a Brexit deal. In the third quarter of 2019, Boris Johnson was appointed as the new Prime Minister of the U.K. On the monetary front, the European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions. More recently, markets in October 2019 benefited from easing geopolitical tension. U.S. President Donald Trump canceled a tariff increase scheduled for October 2019, and substantial progress has been made towards a “phase one” trade agreement with China. In Europe, the risk of a “no-deal Brexit” declined significantly after a drafted deal was agreed upon by the U.K. and the EU. Global central banks reiterated their accommodative policy stances, and the U.S. Federal Reserve (Fed) cut interest rates for the third time during 2019, and signaled that it intends to pause the current easing cycle.

Eight out of the eleven sectors in the MSCI EAFE Value Index (Net) rose during the period. The Utilities (+22%), Real Estate (+18%), and Industrials (+13%) sectors gained the most during the period, while the Energy (-9%) and Consumer Staples (-6%) sectors declined.

The primary driver of underperformance relative to the MSCI EAFE Value Index (Net) was weak sector allocation, a result of bottom-up stock selection decisions, driven by the Fund’s underweight to the Real Estate and Utilities sectors, and overweight exposure to the Energy sector. This was partially offset by strong security selection within the Materials, Information Technology, and Energy sectors. On a regional basis, security selection in Europe and Japan detracted the most from returns relative to the MSCI EAFE Value Index (Net). The Fund’s overweight to Emerging Markets contributed positively to performance relative to the MSCI EAFE Value Index (Net) during the period.

The largest detractors from performance relative to the MSCI EAFE Value Index (Net) over the period were Enel (Utilities), Toyota Motor (Consumer Discretionary), and Salzgitter (Materials). The share price of Enel, an Italy-based energy company, outperformed over the period and the Fund did not have a position in the stock, which detracted from returns relative to the MSCI EAFE Value Index (Net) during the period. The share price of Toyota Motor, a Japan-based pharmaceutical manufacturer, saw its share price rise after reporting two consecutive quarters of strong financial results. The Fund did not hold this stock, which detracted from performance relative to the MSCI EAFE Value Index (Net). The share price of Salzgitter, a Germany-based steel manufacturer, underperformed after the company issued a profit warning. Centrica (Utilities) and T&D Holdings (Financials) were top absolute detractors from performance during the period.

Over the period, Gazprom PJSC (Energy), Gold Fields (Materials), and Impala Platinum (Materials) were the top contributors to absolute performance, as well as performance relative to the MSCI EAFE Value Index (Net). Gazprom, a large state-owned gas producer in Russia, outperformed after the company announced a new dividend policy. Gold Fields and Impala Platinum, both South African mining companies for gold and platinum, outperformed after a steady rise of gold and platinum prices throughout the period after bottoming last summer.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We continue to focus on opportunities which fit into our framework of looking for stocks with low relative price, low expectations, and low valuations that generally feature strong balance sheets and significant potential upside. At the end of the period, the Information Technology and Materials sectors were the Fund’s largest overweight exposures, while the Financials and Healthcare sectors were the Fund’s largest underweight exposures relative to the MSCI EAFE Value Index (Net). On a regional basis, the Fund ended the period with the largest overweights

 

 

 

  24  

 


The Hartford International Value Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

to Emerging Markets and Japan and the largest underweights to Europe and Developed Asia ex Japan relative to the MSCI EAFE Value Index (Net).

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets or if the Fund focuses in a particular geographic region or country. Small- and mid-cap securities can have greater risks and volatility than large-cap securities. Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market. The Fund’s focus on investments in particular sectors may increase its volatility and risk of loss if adverse developments occur.

Composition by Sector(1)

as of October 31, 2019

 

Sector    Percentage of
Net Assets
 

Equity Securities

  

Communication Services

     9.4

Consumer Discretionary

     12.8  

Consumer Staples

     1.5  

Energy

     11.6  

Financials

     24.1  

Health Care

     1.8  

Industrials

     13.1  

Information Technology

     6.0  

Materials

     12.2  

Real Estate

     1.4  

Utilities

     2.2  
  

 

 

 

Total

     96.1
  

 

 

 

Short-Term Investments

     3.5  

Other Assets & Liabilities

     0.4  
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

A sector may be comprised of several industries. For Fund compliance purposes, the Fund may not use the same classification system. These sector classifications are used for financial reporting purposes.

 

 

 

  25  

 


Hartford International/Global Equity Funds

Benchmark Glossary (Unaudited)

 

 

 

MSCI ACWI ex USA Growth Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture large and mid cap securities exhibiting overall growth style characteristics across developed market countries (excluding the United States) and emerging market countries.

MSCI ACWI Small Cap Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture small cap representation across developed markets and emerging markets countries.

MSCI ACWI ex USA Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture large and mid cap representation across developed markets (excluding the United States) and emerging market countries.

MSCI ACWI Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture large and mid cap representation across developed markets and emerging markets countries.

MSCI EAFE Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture large and mid cap representation across developed market countries, excluding the U.S. and Canada.

MSCI EAFE Value Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture large and mid cap securities exhibiting overall value style characteristics across developed market countries, excluding the U.S. and Canada.

MSCI Emerging Markets Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture large and mid cap representation across emerging market countries.

MSCI Global Environment Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to maximize its exposure to Clean Technology environmental themes. The MSCI Global Environment Index is comprised of companies that focus on offering products or services that contribute to a more environmentally sustainable economy by making a more efficient use of limited global natural resources.

S&P EPAC SmallCap Index (reflects no deduction for fees, expenses or taxes) is designed to capture the stocks representing the lowest 15% of float-adjusted market cap in each developed country. It is a subset of the S&P Global BMI, a comprehensive, rules-based index measuring global stock market performance.

 

 

 

  26  

 


Hartford International/Global Equity Funds

Expense Examples (Unaudited)

 

 

 

Your Fund’s Expenses

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, if any, and contingent deferred sales charges (CDSC), if any, and (2) ongoing costs, including investment management fees, distribution and/or service (12b-1) fees, if any, and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period of May 1, 2019 through October 31, 2019. To the extent a Fund was subject to acquired fund fees and expenses during the period, acquired fund fees and expenses are not included in the annualized expense ratios below.

Actual Expenses

The first set of columns of the table below provides information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the line under the heading entitled “Expenses Paid During The Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second set of columns of the table below provides information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (front-end sales loads and CDSC). Therefore, the second set of columns of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would be higher. Expenses for a class of a Fund are equal to the class’ annualized expense ratio multiplied by average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

Hartford Emerging Markets Equity Fund

 

Class A

   $     1,000.00      $ 980.30      $ 6.79      $     1,000.00      $     1,018.35      $ 6.92        1.36

Class C

   $ 1,000.00      $ 976.60      $     10.96      $ 1,000.00      $ 1,014.12      $     11.17        2.20

Class I

   $ 1,000.00      $ 980.30      $ 5.54      $ 1,000.00      $ 1,019.61      $ 5.65        1.11

Class R3

   $ 1,000.00      $ 979.20      $ 8.38      $ 1,000.00      $ 1,016.74      $ 8.54        1.68

Class R4

   $ 1,000.00      $ 980.40      $ 6.84      $ 1,000.00      $ 1,018.30      $ 6.97        1.37

Class R5

   $ 1,000.00      $ 981.30      $ 5.49      $ 1,000.00      $ 1,019.66      $ 5.60        1.10

Class R6

   $ 1,000.00      $ 982.50      $ 4.90      $ 1,000.00      $ 1,020.27      $ 4.99        0.98

Class Y

   $ 1,000.00      $ 980.20      $ 5.44      $ 1,000.00      $ 1,019.71      $ 5.55        1.09

Class F

   $ 1,000.00      $ 981.30      $ 4.89      $ 1,000.00      $ 1,020.27      $ 4.99        0.98

Hartford Environmental Opportunities Fund

 

Class A

   $ 1,000.00      $     1,050.00      $ 5.94      $ 1,000.00      $ 1,019.41      $ 5.85        1.15

Class C

   $ 1,000.00      $ 1,052.00      $ 6.00      $ 1,000.00      $ 1,019.36      $ 5.90        1.16

Class I

   $ 1,000.00      $ 1,052.70      $ 4.35      $ 1,000.00      $ 1,020.97      $ 4.28        0.84

Class R3

   $ 1,000.00      $ 1,061.70      $ 0.88      $ 1,000.00      $ 1,024.35      $ 0.87        0.17

Class R4

   $ 1,000.00      $ 1,052.00      $ 4.14      $ 1,000.00      $ 1,021.17      $ 4.08        0.80

Class R5

   $ 1,000.00      $ 1,053.90      $ 3.78      $ 1,000.00      $ 1,021.53      $ 3.72        0.73

Class R6

   $ 1,000.00      $ 1,054.90      $ 3.06      $ 1,000.00      $ 1,022.23      $ 3.01        0.59

Class Y

   $ 1,000.00      $ 1,053.90      $ 3.68      $ 1,000.00      $ 1,021.63      $ 3.62        0.71

Class F

   $ 1,000.00      $ 1,052.60      $ 3.57      $ 1,000.00      $ 1,021.73      $ 3.52        0.69

 

 

  27  

 


Hartford International/Global Equity Funds

Expense Examples (Unaudited) – (continued)

 

 

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

Hartford Global Impact Fund

 

Class A

   $     1,000.00      $     1,068.90      $ 5.63      $     1,000.00      $     1,019.76      $ 5.50        1.08

Class C

   $ 1,000.00      $ 1,066.20      $ 8.18      $ 1,000.00      $ 1,017.29      $ 7.98        1.57

Class I

   $ 1,000.00      $ 1,071.10      $ 3.86      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class R3

   $ 1,000.00      $ 1,068.10      $ 6.26      $ 1,000.00      $ 1,019.16      $ 6.11        1.20

Class R4

   $ 1,000.00      $ 1,069.20      $ 4.85      $ 1,000.00      $ 1,020.52      $ 4.74        0.93

Class R5

   $ 1,000.00      $ 1,070.90      $ 3.81      $ 1,000.00      $ 1,021.53      $ 3.72        0.73

Class R6

   $ 1,000.00      $ 1,071.70      $ 3.29      $ 1,000.00      $ 1,022.03      $ 3.21        0.63

Class Y

   $ 1,000.00      $ 1,070.90      $ 3.45      $ 1,000.00      $ 1,021.88      $ 3.36        0.66

Class F

   $ 1,000.00      $ 1,070.70      $ 3.29      $ 1,000.00      $ 1,022.03      $ 3.21        0.63

Hartford International Equity Fund

 

Class A

   $ 1,000.00      $ 1,016.10      $ 4.93      $ 1,000.00      $ 1,020.32      $ 4.94        0.97

Class C

   $ 1,000.00      $ 1,013.50      $ 8.27      $ 1,000.00      $ 1,016.99      $ 8.29        1.63

Class I

   $ 1,000.00      $ 1,018.70      $ 3.00      $ 1,000.00      $ 1,022.23      $ 3.01        0.59

Class R3

   $ 1,000.00      $ 1,015.30      $ 6.20      $ 1,000.00      $ 1,019.06      $ 6.21        1.22

Class R4

   $ 1,000.00      $ 1,017.00      $ 4.88      $ 1,000.00      $ 1,020.37      $ 4.89        0.96

Class R5

   $ 1,000.00      $ 1,018.20      $ 3.31      $ 1,000.00      $ 1,021.93      $ 3.31        0.65

Class R6

   $ 1,000.00      $ 1,018.60      $ 2.75      $ 1,000.00      $ 1,022.48      $ 2.75        0.54

Class Y

   $ 1,000.00      $ 1,018.70      $ 3.26      $ 1,000.00      $ 1,021.98      $ 3.26        0.64

Class F

   $ 1,000.00      $ 1,018.60      $ 2.70      $ 1,000.00      $ 1,022.53      $ 2.70        0.53

The Hartford International Growth Fund

 

Class A

   $ 1,000.00      $ 1,022.00      $ 6.63      $ 1,000.00      $ 1,018.65      $ 6.61        1.30

Class C

   $ 1,000.00      $ 1,017.90      $     10.43      $ 1,000.00      $ 1,014.87      $     10.41        2.05

Class I

   $ 1,000.00      $ 1,023.60      $ 4.74      $ 1,000.00      $ 1,020.52      $ 4.74        0.93

Class R3

   $ 1,000.00      $ 1,020.30      $ 8.10      $ 1,000.00      $ 1,017.19      $ 8.08        1.59

Class R4

   $ 1,000.00      $ 1,022.10      $ 6.47      $ 1,000.00      $ 1,018.80      $ 6.46        1.27

Class R5

   $ 1,000.00      $ 1,024.00      $ 4.95      $ 1,000.00      $ 1,020.32      $ 4.94        0.97

Class R6

   $ 1,000.00      $ 1,023.80      $ 4.34      $ 1,000.00      $ 1,020.92      $ 4.33        0.85

Class Y

   $ 1,000.00      $ 1,023.90      $ 4.85      $ 1,000.00      $ 1,020.42      $ 4.84        0.95

Class F

   $ 1,000.00      $ 1,024.30      $ 4.34      $ 1,000.00      $ 1,020.92      $ 4.33        0.85

The Hartford International Opportunities Fund

 

Class A

   $     1,000.00      $     1,011.60      $ 5.63      $     1,000.00      $     1,019.61      $ 5.65        1.11

Class C

   $ 1,000.00      $ 1,008.10      $ 9.31      $ 1,000.00      $ 1,015.93      $ 9.35        1.84

Class I

   $ 1,000.00      $ 1,013.60      $ 3.86      $ 1,000.00      $ 1,021.37      $ 3.87        0.76

Class R3

   $ 1,000.00      $ 1,010.80      $ 7.20      $ 1,000.00      $ 1,018.05      $ 7.22        1.42

Class R4

   $ 1,000.00      $ 1,011.80      $ 5.68      $ 1,000.00      $ 1,019.56      $ 5.70        1.12

Class R5

   $ 1,000.00      $ 1,013.60      $ 4.06      $ 1,000.00      $ 1,021.17      $ 4.08        0.80

Class R6

   $ 1,000.00      $ 1,014.10      $ 3.55      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

Class Y

   $ 1,000.00      $ 1,014.10      $ 3.81      $ 1,000.00      $ 1,021.43      $ 3.82        0.75

Class F

   $ 1,000.00      $ 1,014.30      $ 3.55      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

The Hartford International Small Company Fund

 

Class A

   $ 1,000.00      $ 984.20      $ 7.50      $ 1,000.00      $ 1,017.64      $ 7.63        1.50

Class C

   $ 1,000.00      $ 981.10      $     11.19      $ 1,000.00      $ 1,013.91      $     11.37        2.24

Class I

   $ 1,000.00      $ 986.60      $ 5.76      $ 1,000.00      $ 1,019.41      $ 5.85        1.15

Class R3

   $ 1,000.00      $ 984.40      $ 8.25      $ 1,000.00      $ 1,016.89      $ 8.39        1.65

Class R4

   $ 1,000.00      $ 986.10      $ 6.76      $ 1,000.00      $ 1,018.40      $ 6.87        1.35

Class R5

   $ 1,000.00      $ 987.80      $ 5.26      $ 1,000.00      $ 1,019.91      $ 5.35        1.05

Class Y

   $ 1,000.00      $ 987.80      $ 5.01      $ 1,000.00      $ 1,020.16      $ 5.09        1.00

Class F

   $ 1,000.00      $ 987.40      $ 5.01      $ 1,000.00      $ 1,020.16      $ 5.09        1.00

 

 

  28  

 


Hartford International/Global Equity Funds

Expense Examples (Unaudited) – (continued)

 

 

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford International Value Fund

 

Class A

   $     1,000.00      $     1,015.40      $     5.94      $     1,000.00      $     1,019.31      $     5.96        1.17

Class C

   $ 1,000.00      $ 1,011.30      $ 9.83      $ 1,000.00      $ 1,015.43      $ 9.86        1.94

Class I

   $ 1,000.00      $ 1,016.60      $ 4.57      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

Class R3

   $ 1,000.00      $ 1,013.20      $ 7.76      $ 1,000.00      $ 1,017.49      $ 7.78        1.53

Class R4

   $ 1,000.00      $ 1,014.60      $ 6.35      $ 1,000.00      $ 1,018.90      $ 6.36        1.25

Class R5

   $ 1,000.00      $ 1,015.90      $ 4.98      $ 1,000.00      $ 1,020.27      $ 4.99        0.98

Class R6

   $ 1,000.00      $ 1,016.90      $ 4.27      $ 1,000.00      $ 1,020.97      $ 4.28        0.84

Class Y

   $ 1,000.00      $ 1,016.20      $ 4.57      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

Class F

   $ 1,000.00      $ 1,016.60      $ 4.22      $ 1,000.00      $ 1,021.02      $ 4.23        0.83

 

 

  29  

 


Hartford Emerging Markets Equity Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.2%  
      Argentina - 0.3%  
  8,489    

Banco Macro S.A. ADR

  $ 194,398  
  52,505    

Grupo Financiero Galicia S.A. ADR

    606,958  
   

 

 

 
      801,356  
   

 

 

 
      Brazil - 6.2%  
  91,815    

B3 S.A. - Brasil Bolsa Balcao

    1,107,595  
  253,066    

Banco do Brasil S.A.

    3,038,307  
  191,800    

BRF S.A.*

    1,698,247  
  166,700    

Cia de Transmissao de Energia Eletrica Paulista

    979,708  
  45,200    

Cia Energetica de Sao Paulo Class B,

    334,731  
  232,543    

Cia Siderurgica Nacional S.A.

    684,206  
  134,188    

Cosan S.A. Industria e Comercio

    1,933,605  
  110,689    

Cyrela Brazil Realty S.A. Empreendimentos e Participacoes

    743,263  
  52,474    

Eneva S.A.*

    430,076  
  29,960    

Gol Linhas Aereas Inteligentes S.A. ADR

    544,373  
  130,424    

JBS S.A.

    920,009  
  63,471    

MRV Engenharia e Participacoes S.A.

    278,383  
  199,209    

Petrobras Distribuidora S.A.

    1,404,720  
  102,333    

Qualicorp Consultoria e Corretora de Seguros S.A.

    813,969  
  216,302    

TIM Participacoes S.A.

    615,925  
  301,338    

Vale S.A.*

    3,546,479  
   

 

 

 
      19,073,596  
   

 

 

 
      Cayman Islands - 0.1%  
  35,555    

Chlitina Holding Ltd.

    283,086  
   

 

 

 
      Chile - 0.1%  
  12,887    

Cia Cervecerias Unidas S.A. ADR

    255,807  
   

 

 

 
      China - 29.8%  
  7,904,131    

Agricultural Bank of China Ltd. Class H

    3,252,578  
  58,260    

Alibaba Group Holding Ltd. ADR*

    10,292,794  
  440,821    

Anhui Conch Cement Co., Ltd. Class H

    2,634,666  
  285,685    

ANTA Sports Products Ltd.

    2,794,603  
  13,952,205    

Bank of China Ltd. Class H

    5,689,497  
  2,672,224    

Bank of Communications Co., Ltd. Class H

    1,824,988  
  859,899    

China Aoyuan Group Ltd.

    1,098,891  
  2,066,345    

China Cinda Asset Management Co., Ltd. Class H

    428,657  
  1,681,137    

China CITIC Bank Corp. Ltd. Class H

    974,489  
  6,509,102    

China Construction Bank Corp. Class H

    5,215,551  
  698,000    

China Medical System Holdings Ltd.

    946,574  
  1,195,324    

China Minsheng Banking Corp. Ltd. Class H

    836,094  
  2,087,112    

China National Building Material Co., Ltd. Class H

    1,759,067  
  380,948    

China Oilfield Services Ltd. Class H

    530,385  
  567,356    

China Pacific Insurance Group Co., Ltd. Class H

    2,058,531  
  5,098,036    

China Petroleum & Chemical Corp. Class H

    2,899,634  
  307,758    

China Shenhua Energy Co., Ltd. Class H

    625,038  
  661,227    

China Telecom Corp. Ltd. Class H

    281,292  
  1,035,462    

CNOOC Ltd.

    1,541,026  
  251,951    

Country Garden Services Holdings Co., Ltd.

    853,703  
  769,677    

Daqin Railway Co., Ltd. Class A

    834,188  
  36,500    

Gree Electric Appliances, Inc. of Zhuhai Class A

    304,494  
  60,727    

Guangzhou Baiyunshan Pharmaceutical Holdings Co., Ltd. Class H

    192,068  
  445,457    

Guangzhou R&F Properties Co., Ltd. Class H

    690,215  
  1,282,016    

Haitong Securities Co., Ltd. Class H

    1,308,820  
  80,802    

Hangzhou Tigermed Consulting Co., Ltd. Class A

    783,942  
  876,446    

Industrial & Commercial Bank of China Ltd. Class H

    627,880  
  59,824    

JD.com, Inc. ADR*

    1,863,518  
  17,361    

Kweichow Moutai Co., Ltd. Class A

    2,907,395  
  599,374    

Li Ning Co., Ltd.

    2,032,369  
  109,884    

LONGi Green Energy Technology Co., Ltd. Class A

    355,958  
  104,684    

Luzhou Laojiao Co., Ltd. Class A

    1,295,269  
  10,699    

NetEase, Inc. ADR

    3,058,416  
  325,829    

New China Life Insurance Co., Ltd. Class H

    1,264,600  
  5,975    

New Oriental Education & Technology Group, Inc. ADR*

    729,308  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.2% - (continued)  
      China - 29.8% - (continued)  
  4,695,098    

People’s Insurance Co., Group of China Ltd. Class H

  $ 1,977,449  
  671,426    

PICC Property & Casualty Co., Ltd. Class H

    849,702  
  24,100    

Ping An Insurance Group Co., of China Ltd. Class A

    301,051  
  138,094    

Ping An Insurance Group Co., of China Ltd. Class H

    1,593,851  
  31,595    

Qudian, Inc. ADR*(1)

    218,953  
  587,741    

Sany Heavy Industry Co., Ltd. Class A

    1,123,808  
  184,500    

Shanghai Pudong Development Bank Co., Ltd. Class A

    327,689  
  725,700    

Shanxi Xishan Coal & Electricity Power Co., Ltd. Class A

    584,163  
  193,502    

Shenzhen Expressway Co., Ltd. Class H

    259,002  
  175,249    

Sinotruk Hong Kong Ltd.

    264,813  
  116,926    

Sunac China Holdings Ltd.

    530,351  
  222,580    

Tencent Holdings Ltd.

    9,028,493  
  346,758    

Tianneng Power International Ltd.

    226,509  
  692,666    

Weichai Power Co., Ltd. Class H

    1,090,269  
  97,400    

Wens Foodstuffs Group Co., Ltd. Class A

    556,700  
  92,416    

Wuliangye Yibin Co., Ltd. Class A

    1,729,826  
  831,521    

Yanzhou Coal Mining Co., Ltd. Class H

    843,638  
  137,745    

YiChang HEC ChangJiang Pharmaceutical Co., Ltd. Class H(2)

    844,901  
  98,817    

Yihai International Holding Ltd.*

    672,029  
  108,504    

Yum China Holdings, Inc.

    4,611,420  
   

 

 

 
      92,421,115  
   

 

 

 
      Hong Kong - 3.5%  
  321,407    

China Overseas Land & Investment Ltd.

    1,014,197  
  373,499    

China Resources Cement Holdings Ltd.

    409,015  
  3,299,769    

China Unicom Hong Kong Ltd.

    3,248,618  
  2,783,471    

CITIC Ltd.

    3,661,610  
  144,830    

Kingboard Holdings Ltd.

    385,958  
  101,315    

NetDragon Websoft Holdings Ltd.

    231,856  
  1,148,601    

Sino Biopharmaceutical Ltd.

    1,710,143  
  1,168,302    

Yuexiu Property Co., Ltd.

    257,333  
   

 

 

 
      10,918,730  
   

 

 

 
      Hungary - 0.6%  
  38,309    

OTP Bank Nyrt

    1,766,694  
   

 

 

 
      India - 6.8%  
  486,012    

Adani Power Ltd.*

    451,826  
  54,067    

Bajaj Finance Ltd.

    3,066,024  
  73,706    

Bata India Ltd.

    1,875,979  
  179,701    

Bharti Infratel Ltd.

    480,269  
  40,036    

Dr Reddy’s Laboratories Ltd.

    1,571,880  
  219,956    

Federal Bank Ltd.

    259,497  
  67,310    

HCL Technologies Ltd.

    1,103,427  
  17,312    

HDFC Asset Management Co., Ltd.(2)

    729,739  
  67,470    

Hindustan Petroleum Corp. Ltd.

    308,428  
  231,178    

Indraprastha Gas Ltd.

    1,274,805  
  77,518    

InterGlobe Aviation Ltd.(2)

    1,588,619  
  90,718    

Just Dial Ltd.*

    752,871  
  37,990    

Mahanagar Gas Ltd.

    545,425  
  338,062    

Manappuram Finance Ltd.

    806,018  
  94,710    

Muthoot Finance Ltd.

    943,229  
  484,444    

NMDC Ltd.

    767,465  
  890,637    

Oil & Natural Gas Corp. Ltd.

    1,777,592  
  472,228    

Power Finance Corp. Ltd.*

    725,810  
  248,287    

REC Ltd.

    488,441  
  167,113    

Wipro Ltd.

    611,964  
  17,608    

WNS Holdings Ltd. ADR*

    1,088,879  
   

 

 

 
      21,218,187  
   

 

 

 
      Indonesia - 1.2%  
  9,491,394    

Bank Tabungan Pensiunan Nasional Syariah Tbk PT*

    2,595,749  
  273,050    

Gudang Garam Tbk PT

    1,090,485  
   

 

 

 
      3,686,234  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  30  

 


Hartford Emerging Markets Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.2% - (continued)  
      Malaysia - 1.3%  
  257,381    

Genting Bhd

  $ 357,531  
  543,296    

Genting Malaysia Bhd

    416,701  
  469,424    

MISC Bhd

    934,998  
  1,094,607    

RHB Bank Bhd

    1,506,280  
  397,852    

Sime Darby Bhd

    215,719  
  756,279    

Telekom Malaysia Bhd

    679,621  
   

 

 

 
      4,110,850  
   

 

 

 
      Mexico - 3.0%  
  2,880,789    

America Movil S.A.B. de C.V. Class L

    2,280,790  
  730,312    

Fibra Uno Administracion S.A. de C.V. REIT

    1,110,094  
  25,206    

Fomento Economico Mexicano S.A.B. de C.V. ADR

    2,243,838  
  33,389    

Grupo Aeroportuario del Pacifico S.A.B. de C.V. Class B

    349,971  
  4,059    

Grupo Aeroportuario del Sureste S.A.B. de C.V. ADR

    664,661  
  107,497    

Grupo Financiero Banorte S.A.B. de C.V. Class O

    587,765  
  507,658    

Kimberly-Clark de Mexico S.A.B. de C.V. Class A

    1,019,987  
  382,165    

Wal-Mart de Mexico S.A.B. de C.V.

    1,145,313  
   

 

 

 
      9,402,419  
   

 

 

 
      Philippines - 0.3%  
  341,051    

International Container Terminal Services, Inc.

    797,300  
   

 

 

 
      Poland - 1.3%  
  10,387    

CD Projekt S.A.

    685,684  
  12,656    

Grupa Lotos S.A.

    316,059  
  57,154    

Jastrzebska Spolka Weglowa S.A.

    290,407  
  267,763    

Powszechna Kasa Oszczednosci Bank Polski S.A.

    2,673,585  
   

 

 

 
      3,965,735  
   

 

 

 
      Russia - 5.6%  
  290,350    

Gazprom PJSC ADR

    2,327,691  
  71,111    

LUKOIL PJSC ADR

    6,553,094  
  168,620    

MMC Norilsk Nickel PJSC ADR

    4,678,037  
  35,047    

Severstal PJSC GDR

    478,742  
  11,513    

Tatneft PJSC ADR

    807,325  
  1,401,618    

VTB Bank PJSC GDR

    1,862,751  
  15,005    

X5 Retail Group N.V. GDR

    501,793  
   

 

 

 
      17,209,433  
   

 

 

 
      South Africa - 5.0%  
  78,573    

African Rainbow Minerals Ltd.

    787,200  
  46,610    

Anglo American Platinum Ltd.

    3,478,453  
  74,008    

AngloGold Ashanti Ltd.

    1,636,931  
  139,230    

Exxaro Resources Ltd.

    1,138,285  
  266,660    

Harmony Gold Mining Co., Ltd. ADR*(1)

    927,977  
  35,452    

Impala Platinum Holdings Ltd.*

    244,086  
  33,505    

Investec Ltd.

    190,379  
  62,703    

Kumba Iron Ore Ltd.

    1,527,821  
  172,543    

MTN Group Ltd.

    1,067,969  
  18,494    

Naspers Ltd. Class N

    2,617,058  
  379,592    

Telkom S.A. SOC Ltd.

    1,735,285  
  56,993    

Woolworths Holdings Ltd.

    216,683  
   

 

 

 
      15,568,127  
   

 

 

 
      South Korea - 14.2%  
  9,594    

AfreecaTV Co., Ltd.

    608,282  
  12,970    

Daelim Industrial Co., Ltd.

    1,008,151  
  130,364    

DGB Financial Group, Inc.

    787,017  
  11,023    

Fila Korea Ltd.

    543,906  
  31,918    

GS Engineering & Construction Corp.

    845,052  
  33,057    

Hana Financial Group, Inc.

    957,084  
  2,948    

Hotel Shilla Co., Ltd.

    195,974  
  3,099    

Hyundai Department Store Co., Ltd.

    196,758  
  13,909    

Hyundai Mobis Co., Ltd.

    2,836,512  
  13,222    

Hyundai Motor Co.

    1,384,930  
  107,014    

Industrial Bank of Korea

    1,083,771  
  70,402    

KB Financial Group, Inc.

    2,534,430  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.2% - (continued)  
      South Korea - 14.2% - (continued)  
  108,345    

Kia Motors Corp.

  $ 3,959,724  
  15,263    

Korea Aerospace Industries Ltd.

    498,206  
  4,680    

Korea Investment Holdings Co., Ltd.

    271,882  
  78,469    

KT Corp. ADR

    881,207  
  10,976    

KT&G Corp.

    942,197  
  14,161    

LG Electronics, Inc.

    811,556  
  575    

LG Household & Health Care Ltd.

    622,206  
  14,460    

Mando Corp.

    443,225  
  270,625    

Meritz Securities Co., Ltd.

    1,046,228  
  46,051    

Partron Co., Ltd.

    466,981  
  5,725    

POSCO

    1,038,776  
  353,030    

Samsung Electronics Co., Ltd.

    15,257,903  
  50,652    

Samsung Engineering Co., Ltd.*

    773,258  
  96,445    

Shinhan Financial Group Co., Ltd.

    3,513,981  
  48,977    

Woori Financial Group, Inc.

    493,777  
   

 

 

 
      44,002,974  
   

 

 

 
      Taiwan - 12.9%  
  130,910    

Accton Technology Corp.

    778,742  
  244,455    

Arcadyan Technology Corp.

    753,927  
  1,912,381    

Asia Cement Corp.

    2,699,565  
  430,664    

Chipbond Technology Corp.

    853,264  
  242,000    

Compeq Manufacturing Co., Ltd.

    338,543  
  217,000    

Elan Microelectronics Corp.

    669,485  
  165,643    

Elite Material Co., Ltd.

    688,034  
  137,479    

Feng TAY Enterprise Co., Ltd.

    928,717  
  46,232    

Giant Manufacturing Co., Ltd.

    341,860  
  494,088    

Hon Hai Precision Industry Co., Ltd.

    1,304,937  
  50,471    

International Games System Co., Ltd.

    649,164  
  187,213    

ITEQ Corp.

    948,215  
  418,920    

King Yuan Electronics Co., Ltd.

    524,773  
  4,396    

Largan Precision Co., Ltd.

    645,044  
  593,086    

Lite-On Technology Corp.

    977,301  
  1,028,000    

Macronix International

    1,043,569  
  89,757    

Makalot Industrial Co., Ltd.

    501,103  
  192,959    

MediaTek, Inc.

    2,576,939  
  317,325    

Novatek Microelectronics Corp.

    2,032,669  
  183,919    

Radiant Opto-Electronics Corp.

    730,209  
  313,733    

Realtek Semiconductor Corp.

    2,327,257  
  1,805,000    

Shin Kong Financial Holding Co., Ltd.*

    570,213  
  142,516    

Shin Zu Shing Co., Ltd.

    565,188  
  1,373,436    

SinoPac Financial Holdings Co., Ltd.

    563,664  
  57,827    

Sitronix Technology Corp.

    345,065  
  1,193,251    

Taishin Financial Holding Co., Ltd.

    554,158  
  875,176    

Taiwan Semiconductor Manufacturing Co., Ltd.

    8,576,548  
  660,119    

Uni-President Enterprises Corp.

    1,630,745  
  3,651,724    

United Microelectronics Corp.

    1,681,693  
  400,309    

Wistron Corp.

    367,003  
  2,158,704    

Yuanta Financial Holding Co., Ltd.

    1,349,125  
  278,173    

Zhen Ding Technology Holding Ltd.

    1,315,312  
   

 

 

 
      39,832,031  
   

 

 

 
      Thailand - 3.5%  
  76,000    

Advanced Info Service PCL

    576,387  
  2,588,439    

Charoen Pokphand Foods PCL

    2,164,533  
  113,873    

Electricity Generating PCL

    1,308,625  
  999,471    

Krung Thai Bank PCL

    549,469  
  217,376    

Krungthai Card PCL

    298,761  
  1,256,467    

PTG Energy PCL

    749,012  
  1,029,299    

PTT Exploration & Production PCL

    4,107,651  
  1,021,130    

Thai Union Group PCL Class F

    493,741  
  247,905    

Thanachart Capital PCL

    435,137  
  98,336    

Tisco Financial Group PCL

    317,528  
   

 

 

 
      11,000,844  
   

 

 

 
      Turkey - 1.1%  
  747,894    

Akbank T.A.S.*

    903,579  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  31  

 


Hartford Emerging Markets Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.2% - (continued)  
      Turkey - 1.1% - (continued)  
  99,434    

Pegasus Hava Tasimaciligi AS*

  $ 1,148,241  
  133,622    

Tekfen Holding AS

    395,622  
  178,175    

Turkiye Garanti Bankasi AS*

    286,392  
  340,557    

Turkiye Is Bankasi AS Class C*

    345,091  
  700,828    

Yapi ve Kredi Bankasi AS*

    279,206  
   

 

 

 
      3,358,131  
   

 

 

 
      United Arab Emirates - 0.4%  
  1,450,543    

Aldar Properties PJSC

    927,637  
  143,227    

Emirates NBD PJSC

    467,967  
   

 

 

 
      1,395,604  
   

 

 

 
 

Total Common Stocks
(cost $292,206,319)

  $ 301,068,253  
   

 

 

 
PREFERRED STOCKS - 1.1%  
      Brazil - 1.1%  
  159,520    

Banco Bradesco S.A.

  $ 1,398,907  
  159,000    

Telefonica Brasil S.A.*

    2,104,406  
   

 

 

 
      3,503,313  
   

 

 

 
 

Total Preferred Stocks
(cost $3,167,701)

  $ 3,503,313  
   

 

 

 
RIGHTS - 0.0%  
      United Arab Emirates - 0.0%  
  19,555    

Emirates NBD PJSC*

  $ 18,635  
   

 

 

 
 

Total Rights
(cost $— )

  $ 18,635  
   

 

 

 
 

Total Long-Term Investments
(cost $295,374,020)

  $ 304,590,201  
   

 

 

 
SHORT-TERM INVESTMENTS - 1.9%  
      Other Investment Pools & Funds - 1.5%  
  4,717,652    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(3)

  $ 4,717,652  
   

 

 

 
      Securities Lending Collateral - 0.4%  
  50,940    

Citibank NA DDCA, 1.80%, 11/1/2019(3)

    50,940  
  714,697    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(3)

    714,697  
  11,465    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(3)

    11,465  
  94,803    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(3)

    94,803  
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 1.9% - (continued)  
      Securities Lending Collateral - 0.4% - (continued)  
  137,736    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(3)

  $ 137,736  
  9,159    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(3)

    9,159  
   

 

 

 
      1,018,800  
   

 

 

 
 

Total Short-Term Investments
(cost $5,736,452)

  $ 5,736,452  
   

 

 

 
 

Total Investments
(cost $301,110,472)

    100.2    $ 310,326,653  
 

Other Assets and Liabilities

    (0.2 )%       (566,241
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     309,760,412  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 9 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $3,163,259, representing 1.0% of net assets.

 

(3) 

Current yield as of period end.

 
Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

MSCI Emerging Market Index Future

     72        12/20/2019      $     3,749,040      $ 85,549  
           

 

 

 

Total futures contracts

 

   $     85,549  
           

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  32  

 


Hartford Emerging Markets Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Argentina

   $ 801,356      $ 801,356      $      $  

Brazil

     19,073,596        19,073,596                

Cayman Islands

     283,086               283,086         

Chile

     255,807        255,807                

China

     92,421,115        20,774,409        71,646,706         

Hong Kong

     10,918,730               10,918,730         

Hungary

     1,766,694               1,766,694         

India

     21,218,187        2,192,306        19,025,881         

Indonesia

     3,686,234               3,686,234         

Malaysia

     4,110,850        1,506,280        2,604,570         

Mexico

     9,402,419        9,402,419                

Philippines

     797,300               797,300         

Poland

     3,965,735               3,965,735         

Russia

     17,209,433        2,341,493        14,867,940         

South Africa

     15,568,127        4,406,430        11,161,697         

South Korea

     44,002,974        881,207        43,121,767         

Taiwan

     39,832,031               39,832,031         

Thailand

     11,000,844        11,000,844                

Turkey

     3,358,131               3,358,131         

United Arab Emirates

     1,395,604        467,967        927,637         

Preferred Stocks

     3,503,313        3,503,313                

Rights

     18,635        18,635                

Short-Term Investments

     5,736,452        5,736,452                

Futures Contracts(2)

     85,549        85,549                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     310,412,202      $     82,448,063      $     227,964,139      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  33  

 


Hartford Environmental Opportunities Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.7%  
      Brazil - 2.3%      
  20,080    

Cia de Saneamento do Parana

  $ 456,625  
   

 

 

 
      China - 6.8%      
  251,000    

China Everbright International Ltd.

    189,707  
  1,067,209    

China Longyuan Power Group Corp. Ltd. Class H

    576,543  
  1,579,590    

Huaneng Renewables Corp. Ltd. Class H

    603,049  
   

 

 

 
      1,369,299  
   

 

 

 
      Denmark - 1.7%      
  1,724    

Rockwool International A/S Class B

    338,832  
   

 

 

 
      France - 4.5%      
  14,666    

Cie de Saint-Gobain

    597,316  
  25,083    

Rexel S.A.

    310,967  
   

 

 

 
      908,283  
   

 

 

 
      Germany - 4.4%      
  1,133    

Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen

    314,792  
  4,930    

Siemens AG

    568,922  
   

 

 

 
      883,714  
   

 

 

 
      Japan - 7.7%      
  3,410    

Daikin Industries Ltd.

    477,262  
  19,065    

Fujitsu General Ltd.

    344,138  
  9,535    

Kyudenko Corp.

    311,572  
  23,545    

Sekisui Chemical Co., Ltd.

    410,524  
   

 

 

 
      1,543,496  
   

 

 

 
      Netherlands - 2.2%      
  22,203    

Arcadis N.V.(1)

    438,954  
   

 

 

 
      Spain - 3.6%      
  17,239    

Atlantica Yield plc

    413,908  
  29,674    

Iberdrola S.A.

    305,019  
   

 

 

 
      718,927  
   

 

 

 
      Sweden - 4.3%      
  14,694    

Electrolux AB Class B

    386,325  
  9,313    

Hexagon AB Class B

    476,806  
   

 

 

 
      863,131  
   

 

 

 
      Switzerland - 1.7%      
  16,218    

ABB Ltd.

    340,578  
   

 

 

 
      United Kingdom - 7.8%      
  55,700    

National Grid plc

    651,260  
  150,897    

Smart Metering Systems plc(1)

    928,456  
   

 

 

 
      1,579,716  
   

 

 

 
      United States - 49.7%      
  2,590    

Aptiv plc

    231,934  
  9,934    

Avangrid, Inc.

    497,197  
  8,021    

Clean Harbors, Inc.*

    661,412  
  10,679    

CoreLogic, Inc.*

    432,393  
  3,356    

Deere & Co.

    584,414  
  5,255    

Eaton Corp. plc

    457,763  
  5,825    

First Solar, Inc.*

    301,677  
  4,373    

FMC Corp.

    400,129  
  28,523    

Green Plains, Inc.

    351,689  
  22,880    

Hannon Armstrong Sustainable Infrastructure Capital, Inc. REIT

    683,197  
  2,794    

Hubbell, Inc.

    395,910  
  10,601    

Itron, Inc.*

    808,432  
  12,156    

Johnson Controls International plc

    526,719  
  1,353    

NextEra Energy, Inc.

    322,474  
  8,231    

Owens Corning

    504,396  
  12,066    

Pattern Energy Group, Inc. Class A

    338,210  
  14,959    

Skyline Champion Corp.*

    422,292  
  12,090    

Trimble, Inc.*

    481,666  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.7% - (continued)  
      United States - 49.7% - (continued)      
  2,025    

Verisk Analytics, Inc.

  $ 293,017  
  3,774    

Waste Management, Inc.

    423,480  
  12,590    

Weyerhaeuser Co., REIT

    367,754  
  6,359    

Xylem, Inc.

    487,672  
   

 

 

 
      9,973,827  
   

 

 

 
 

Total Common Stocks
(cost $18,187,833)

  $ 19,415,382  
   

 

 

 
SHORT-TERM INVESTMENTS - 7.8%  
      Other Investment Pools & Funds - 3.0%      
  597,344    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(2)

  $ 597,344  
   

 

 

 
      Securities Lending Collateral - 4.8%      
  47,988    

Citibank NA DDCA, 1.80%, 11/1/2019(2)

    47,988  
  673,280    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(2)

    673,280  
  10,801    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(2)

    10,801  
  89,309    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(2)

    89,309  
  129,754    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(2)

    129,754  
  8,628    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(2)

    8,628  
   

 

 

 
      959,760  
   

 

 

 
 

Total Short-Term Investments
(cost $1,557,104)

  $ 1,557,104  
   

 

 

 
 

Total Investments
(cost $19,744,937)

    104.5    $ 20,972,486  
 

Other Assets and Liabilities

    (4.5 )%       (902,709
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 20,069,777  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 9 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  34  

 


Hartford Environmental Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Brazil

   $ 456,625      $ 456,625      $      $  

China

     1,369,299               1,369,299         

Denmark

     338,832               338,832         

France

     908,283               908,283         

Germany

     883,714               883,714         

Japan

     1,543,496               1,543,496         

Netherlands

     438,954               438,954         

Spain

     718,927        413,908        305,019         

Sweden

     863,131               863,131         

Switzerland

     340,578               340,578         

United Kingdom

     1,579,716        928,456        651,260         

United States

     9,973,827        9,973,827                

Short-Term Investments

     1,557,104        1,557,104                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     20,972,486      $     13,329,920      $     7,642,566      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  35  

 


Hartford Global Impact Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.9%      
      Australia - 2.3%      
  67,252    

SEEK Ltd.

  $ 1,052,496  
   

 

 

 
      Bangladesh - 0.9%  
  111,653    

GrameenPhone Ltd.

    418,188  
   

 

 

 
      Brazil - 8.4%  
  64,100    

Hapvida Participacoes e Investimentos S.A.(1)

    899,845  
  119,400    

MRV Engenharia e Participacoes S.A.

    523,687  
  13,857    

Pagseguro Digital Ltd. Class A*

    513,818  
  27,231    

StoneCo Ltd. Class A*

    1,001,829  
  96,500    

YDUQS Part

    944,427  
   

 

 

 
      3,883,606  
   

 

 

 
      Canada - 2.1%  
  22,593    

Brookfield Renewable Partners L.P.

    961,288  
   

 

 

 
      China - 1.6%  
  1,918,792    

Huaneng Renewables Corp. Ltd. Class H

    732,548  
   

 

 

 
      Denmark - 1.5%  
  8,624    

Vestas Wind Systems A/S

    702,578  
   

 

 

 
      France - 4.7%  
  16,077    

Nexity S.A.

    832,117  
  10,668    

Suez

    166,394  
  45,144    

Veolia Environnement S.A.

    1,188,360  
   

 

 

 
      2,186,871  
   

 

 

 
      Germany - 3.6%  
  9,246    

LEG Immobilien AG

    1,062,031  
  11,683    

Vonovia SE

    622,176  
   

 

 

 
      1,684,207  
   

 

 

 
      India - 2.5%  
  192,333    

Bharti Infratel Ltd.

    514,029  
  41,213    

Shriram Transport Finance Co., Ltd.

    660,623  
   

 

 

 
      1,174,652  
   

 

 

 
      Japan - 1.9%  
  20,524    

Katitas Co., Ltd.

    885,608  
   

 

 

 
      Kenya - 1.7%  
  2,694,200    

Safaricom plc

    775,919  
   

 

 

 
      Luxembourg - 2.3%  
  23,130    

Millicom International Cellular S.A.

    1,054,453  
   

 

 

 
      Morocco - 0.4%  
  105,664    

PureCircle Ltd.*(2)(3)

    179,576  
   

 

 

 
      Netherlands - 4.7%  
  13,341    

Basic-Fit N.V.*(1)

    408,034  
  7,639    

Corbion N.V.

    220,662  
  25,793    

Koninklijke Philips N.V.

    1,131,644  
  14,739    

Signify N.V.(1)

    431,854  
   

 

 

 
      2,192,194  
   

 

 

 
      South Africa - 1.9%  
  103,001    

Vodacom Group Ltd.

    899,850  
   

 

 

 
      South Korea - 1.6%  
  3,804    

Samsung SDI Co., Ltd.

    742,334  
   

 

 

 
      Spain - 1.1%      
  4,756    

Acciona S.A.

    495,472  
   

 

 

 
      Switzerland - 1.7%  
  8,556    

Landis+Gyr Group AG*

    794,452  
   

 

 

 
      United Kingdom - 4.7%  
  11,212    

Genus plc

    421,249  
  24,291    

Hikma Pharmaceuticals plc

    632,605  
  155,843    

Sophos Group plc(1)

    1,146,321  
   

 

 

 
    2,200,175  
   

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.9% - (continued)      
      United States - 47.3%      
  19,545    

Advanced Drainage Systems, Inc.

  $ 723,556  
  13,805    

Agilent Technologies, Inc.

    1,045,729  
  23,846    

Avangrid, Inc.

    1,193,492  
  13,854    

Blackbaud, Inc.

    1,163,043  
  11,236    

Boston Properties, Inc. REIT

    1,541,579  
  63,408    

Covanta Holding Corp.

    915,612  
  7,594    

Danaher Corp.

    1,046,605  
  18,474    

First Solar, Inc.*

    956,768  
  21,455    

Instructure, Inc.*

    1,002,592  
  22,411    

Invitae Corp.*

    361,041  
  16,504    

Itron, Inc.*

    1,258,595  
  25,156    

Johnson Controls International plc

    1,090,010  
  80,933    

Laureate Education, Inc. Class A*

    1,250,820  
  82,270    

Nuance Communications, Inc.*

    1,342,646  
  36,504    

Pattern Energy Group, Inc. Class A

    1,023,207  
  11,343    

Rapid7, Inc.*

    568,171  
  9,581    

Square, Inc. Class A*

    588,561  
  5,442    

Sun Communities, Inc. REIT

    885,141  
  5,153    

Ubiquiti, Inc.

    652,318  
  26,417    

Upwork, Inc.*

    397,312  
  6,007    

Watts Water Technologies, Inc. Class A

    560,153  
  17,942    

Xylem, Inc.

    1,375,972  
  7,999    

Zoetis, Inc.

    1,023,232  
   

 

 

 
    21,966,155  
   

 

 

 
 

Total Common Stocks
(cost $40,617,908)

  $ 44,982,622  
   

 

 

 
SHORT-TERM INVESTMENTS - 3.7%  
      Other Investment Pools & Funds - 3.7%      
  1,713,962    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(4)

  $ 1,713,962  
   

 

 

 
 

Total Short-Term Investments
(cost $1,713,962)

  $ 1,713,962  
   

 

 

 
 

Total Investments
(cost $42,331,870)

    100.6    $ 46,696,584  
 

Other Assets and Liabilities

    (0.6 )%       (283,557
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 46,413,027  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $2,886,054, representing 6.2% of net assets.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  36  

 


Hartford Global Impact Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

(2) 

This security is valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of this security was $179,576, which represented 0.4% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(3) 

Investment valued using significant unobservable inputs.

 

(4) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Australia

   $ 1,052,496      $      $ 1,052,496      $  

Bangladesh

     418,188        418,188                

Brazil

     3,883,606        3,883,606                

Canada

     961,288        961,288                

China

     732,548               732,548         

Denmark

     702,578               702,578         

France

     2,186,871               2,186,871         

Germany

     1,684,207               1,684,207         

India

     1,174,652               1,174,652         

Japan

     885,608               885,608         

Kenya

     775,919        775,919                

Luxembourg

     1,054,453               1,054,453         

Morocco

     179,576                      179,576  

Netherlands

     2,192,194        220,662        1,971,532         

South Africa

     899,850               899,850         

South Korea

     742,334               742,334         

Spain

     495,472               495,472         

Switzerland

     794,452               794,452         

United Kingdom

     2,200,175               2,200,175         

United States

     21,966,155        21,966,155                

Short-Term Investments

     1,713,962        1,713,962                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     46,696,584      $     29,939,780      $     16,577,228      $     179,576  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  37  

 


Hartford International Equity Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.5%  
      Argentina - 0.2%  
  2,845    

MercadoLibre, Inc.*

  $ 1,483,725  
  55,817    

YPF S.A. ADR

    522,447  
   

 

 

 
      2,006,172  
   

 

 

 
      Australia - 1.3%  
  125,419    

BHP Group Ltd.

    3,074,327  
  65,656    

Commonwealth Bank of Australia

    3,559,874  
  429,908    

Goodman Group REIT

    4,268,668  
  480,545    

Resolute Mining Ltd.*

    402,555  
  423,082    

Western Areas Ltd.

    932,531  
   

 

 

 
      12,237,955  
   

 

 

 
      Austria - 0.1%  
  66,780    

Zumtobel Group AG*

    530,296  
   

 

 

 
      Belgium - 1.1%  
  32,725    

Ageas

    1,887,273  
  185,391    

AGFA-Gevaert N.V.*

    845,954  
  75,743    

bpost S.A.

    865,610  
  58,154    

Groupe Bruxelles Lambert S.A.

    5,841,908  
  37,948    

Orange Belgium S.A.

    834,617  
   

 

 

 
      10,275,362  
   

 

 

 
      Brazil - 2.2%  
  114,000    

Banco BMG S.A.*(1)

    1,247,874  
  2    

Banco Inter S.A.(1)

    9  
  61,351    

Gol Linhas Aereas Inteligentes S.A. ADR(2)

    1,114,748  
  116,800    

Linx S.A.

    1,010,296  
  341,300    

Localiza Rent a Car S.A.

    3,674,687  
  148,440    

Lojas Renner S.A.

    1,878,402  
  127,051    

Pagseguro Digital Ltd. Class A*

    4,711,051  
  102,176    

Petroleo Brasileiro S.A. ADR

    1,659,338  
  155,900    

TOTVS S.A.

    2,421,008  
  270,885    

Vale S.A. ADR*

    3,180,190  
   

 

 

 
      20,897,603  
   

 

 

 
      Canada - 6.0%  
  298,346    

Advantage Oil & Gas Ltd.*

    430,383  
  81,634    

ARC Resources Ltd.(2)

    345,849  
  46,381    

Bank of Montreal(2)

    3,433,412  
  61,971    

Bank of Nova Scotia

    3,554,240  
  104,760    

Barrick Gold Corp.

    1,819,838  
  60,937    

Cameco Corp.

    544,089  
  82,907    

Canadian National Railway Co.

    7,415,112  
  111,471    

Centerra Gold, Inc.*

    950,436  
  58,883    

CGI, Inc.*

    4,577,057  
  83,920    

Descartes Systems Group, Inc.*

    3,265,432  
  76,151    

Eldorado Gold Corp.*

    641,191  
  204,996    

Encana Corp.

    803,112  
  79,882    

IAMGOLD Corp.*

    298,759  
  89,572    

Imperial Oil Ltd.

    2,230,629  
  59,213    

Intact Financial Corp.

    6,107,545  
  196,675    

Kinross Gold Corp.*

    953,874  
  52,380    

Northern Dynasty Minerals Ltd.*(2)

    30,622  
  203,923    

Painted Pony Energy Ltd.*(2)

    94,445  
  64,294    

Royal Bank of Canada

    5,186,086  
  147,332    

SEMAFO, Inc.*

    475,409  
  160,941    

Smart REIT

    3,890,640  
  503,868    

StorageVault Canada, Inc.

    1,296,874  
  37,711    

TC Energy Corp.

    1,900,868  
  71,863    

Toronto-Dominion Bank

    4,103,573  
  46,672    

Tourmaline Oil Corp.

    400,420  
  274,219    

Trican Well Service Ltd.*(2)

    179,051  
  381,787    

Tricon Capital Group, Inc.

    3,090,008  
  125,612    

Uranium Participation Corp.*

    366,221  
   

 

 

 
      58,385,175  
   

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.5% - (continued)  
      Chile - 0.2%  
  263,486    

Empresas COPEC S.A.

  $ 2,358,379  
   

 

 

 
      China - 5.6%  
  1,998,760    

361 Degrees International Ltd.

    409,812  
  53,159    

Alibaba Group Holding Ltd. ADR*

    9,391,601  
  756,895    

AMVIG Holdings Ltd.

    195,117  
  7,828,052    

Bank of China Ltd. Class H

    3,192,160  
  2,409,350    

China BlueChemical Ltd. Class H

    586,331  
  2,563,419    

China Longyuan Power Group Corp. Ltd. Class H

    1,384,847  
  1,303,570    

China Machinery Engineering Corp. Class H

    513,577  
  371,000    

China Merchants Bank Co., Ltd. Class H

    1,769,385  
  2,688,966    

China Telecom Corp. Ltd. Class H

    1,143,909  
  956,000    

CNOOC Ltd.

    1,422,767  
  1,038,305    

CSPC Pharmaceutical Group Ltd.

    2,659,225  
  2,432,580    

Daphne International Holdings Ltd.*

    48,256  
  1,706,340    

Dongfeng Motor Group Co., Ltd. Class H

    1,711,651  
  5,169,719    

Industrial & Commercial Bank of China Ltd. Class H

    3,703,551  
  175,689    

Jiangsu Hengrui Medicine Co., Ltd. Class A

    2,266,597  
  406,520    

Livzon Pharmaceutical Group, Inc. Class A

    1,677,457  
  199,980    

Midea Group Co., Ltd. Class A

    1,575,924  
  294,140    

Ping An Insurance Group Co., of China Ltd. Class H

    3,394,899  
  305,265    

Sunny Optical Technology Group Co., Ltd.

    4,906,793  
  185,656    

Tencent Holdings Ltd.

    7,530,748  
  65,345    

Trip.com Group Ltd. ADR

    2,155,732  
  133,245    

Wuxi Biologics Cayman, Inc.*(1)

    1,565,823  
  36,377    

Zai Lab Ltd. ADR*

    1,229,179  
   

 

 

 
      54,435,341  
   

 

 

 
      Denmark - 0.6%  
  1,500    

AP Moller - Maersk A/S Class B

    1,913,403  
  54,840    

D/S Norden A/S

    802,183  
  2,999    

Drilling Co.*

    169,289  
  33,914    

DSV A/S

    3,296,071  
   

 

 

 
      6,180,946  
   

 

 

 
      Finland - 0.1%  
  314,193    

Nokia Oyj

    1,153,405  
   

 

 

 
      France - 9.2%  
  30,747    

Airbus SE

    4,410,910  
  55,251    

Alstom S.A.

    2,390,335  
  91,815    

AXA S.A.

    2,430,455  
  55,004    

BNP Paribas S.A.

    2,874,484  
  61,676    

Capgemini SE

    6,952,743  
  132,427    

Cie de Saint-Gobain

    5,393,479  
  26,101    

Criteo S.A. ADR*

    435,887  
  119,628    

Danone S.A.

    9,910,129  
  108,792    

Engie S.A.

    1,821,697  
  17,631    

Imerys S.A.

    681,062  
  13,324    

L’Oreal S.A.

    3,891,430  
  6,609    

LVMH Moet Hennessy Louis Vuitton SE

    2,822,410  
  51,281    

Metropole Television S.A.

    902,158  
  328,712    

Orange S.A.

    5,290,452  
  28,902    

Pernod Ricard S.A.(2)

    5,339,156  
  39,606    

Quadient

    848,212  
  27,936    

Renault S.A.

    1,426,382  
  139,458    

Rexel S.A.

    1,728,931  
  30,029    

Safran S.A.

    4,756,290  
  61,683    

Schneider Electric SE

    5,732,840  
  72,113    

Societe Generale S.A.

    2,050,815  
  1,911    

Sopra Steria Group

    262,325  
  115,926    

Television Francaise 1 S.A.

    972,825  
  7,458    

Thales S.A.

    729,091  
  133,810    

Total S.A.

    7,074,293  
  16,658    

Vicat S.A.

    706,374  
  64,472    

Vinci S.A.

    7,233,515  
   

 

 

 
      89,068,680  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  38  

 


Hartford International Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.5% - (continued)  
      Germany - 4.2%  
  42,935    

Allianz SE

  $ 10,485,695  
  136,254    

CECONOMY AG*

    685,662  
  39,926    

Daimler AG

    2,333,786  
  57,520    

Deutsche Lufthansa AG

    996,430  
  83,314    

E.ON SE

    840,177  
  22,787    

Hamburger Hafen und Logistik AG

    590,342  
  188,465    

Infineon Technologies AG

    3,650,335  
  17,910    

Merck KGaA

    2,136,062  
  28,047    

Metro AG

    457,990  
  29,693    

Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen

    8,249,891  
  8,850    

Rheinmetall AG

    1,067,368  
  73,179    

RWE AG

    2,230,091  
  48,452    

Salzgitter AG

    878,582  
  13,097    

Volkswagen AG

    2,489,808  
  58,402    

Vonovia SE

    3,110,190  
   

 

 

 
      40,202,409  
   

 

 

 
      Greece - 0.3%  
  124,555    

Hellenic Telecommunications Organization S.A.

    1,889,050  
  116,492    

OPAP S.A.

    1,266,897  
   

 

 

 
      3,155,947  
   

 

 

 
      Hong Kong - 3.3%  
  824,893    

AIA Group Ltd.

    8,214,464  
  450,200    

China Gas Holdings Ltd.

    1,917,824  
  186,400    

China Mobile Ltd.

    1,514,816  
  642,000    

China Overseas Land & Investment Ltd.

    2,025,825  
  1,888,720    

China Unicom Hong Kong Ltd.

    1,859,442  
  216,000    

CST Group Ltd.*

    689  
  145,580    

Dah Sing Financial Holdings Ltd.

    541,713  
  20,918,250    

G-Resources Group Ltd.*

    130,609  
  690,000    

Guangdong Investment Ltd.

    1,493,365  
  1,672,951    

Hong Kong & China Gas Co., Ltd.

    3,247,031  
  110,125    

Hong Kong Exchanges & Clearing Ltd.

    3,430,838  
  4,086,210    

Pacific Basin Shipping Ltd.

    946,110  
  1,025,377    

Sands China Ltd.

    5,050,616  
  964,000    

Sino Biopharmaceutical Ltd.

    1,435,292  
   

 

 

 
      31,808,634  
   

 

 

 
      Hungary - 0.2%  
  491,543    

Magyar Telekom Telecommunications plc

    732,771  
  29,622    

OTP Bank Nyrt

    1,366,076  
   

 

 

 
      2,098,847  
   

 

 

 
      India - 1.7%  
  297,645    

Allahabad Bank*

    112,790  
  233,219    

Canara Bank*

    668,019  
  212,750    

Corp. Bank*

    48,892  
  4,845    

Eicher Motors Ltd.

    1,536,101  
  95,972    

HDFC Bank Ltd. ADR

    5,862,929  
  284,516    

ICICI Bank Ltd.

    1,856,166  
  312,496    

ICICI Securities Ltd.(1)

    1,425,322  
  90,677    

Kotak Mahindra Bank Ltd.

    2,011,187  
  1,185,980    

Nava Bharat Ventures Ltd.

    1,229,671  
  85,794    

NTPC Ltd.

    148,053  
  446,928    

Power Grid Corp. of India Ltd.

    1,249,820  
  181,494    

Zee Entertainment Enterprises Ltd.

    666,829  
   

 

 

 
      16,815,779  
   

 

 

 
      Indonesia - 0.5%  
  750,900    

Bank Central Asia Tbk PT

    1,680,760  
  2,034,900    

Bank Mandiri Persero Tbk PT

    1,017,183  
  3,003,000    

Perusahaan Perkebunan London Sumatra Indonesia Tbk PT

    289,071  
  1,798,600    

Semen Indonesia Persero Tbk PT

    1,622,131  
   

 

 

 
      4,609,145  
   

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.5% - (continued)  
      Ireland - 1.5%  
  283,380    

Bank of Ireland Group plc

  $ 1,365,902  
  1,657,832    

Cairn Homes plc

    2,148,514  
  52,644    

CRH plc*

    1,916,755  
  61,817    

Experian plc

    1,948,552  
  1,171,168    

Glenveagh Properties plc*(1)

    1,029,288  
  734,117    

Hibernia plc REIT

    1,152,346  
  17,290    

Linde plc*

    3,412,971  
  52,616    

Smurfit Kappa Group plc

    1,757,244  
   

 

 

 
      14,731,572  
   

 

 

 
      Italy - 2.2%  
  73,774    

Assicurazioni Generali S.p.A.

    1,495,951  
  288,269    

BPER Banca

    1,289,654  
  331,780    

Davide Campari-Milano S.p.A.

    3,043,186  
  219,448    

Eni S.p.A.

    3,329,242  
  22,674    

Ferrari N.V.

    3,631,398  
  185,876    

Geox S.p.A.

    259,134  
  77,671    

Leonardo S.p.A.

    902,351  
  85,133    

Moncler S.p.A.

    3,285,176  
  226,625    

Saipem S.p.A.*

    1,028,660  
  198,450    

UniCredit S.p.A.

    2,517,742  
   

 

 

 
      20,782,494  
   

 

 

 
      Japan - 16.6%  
  32,280    

Aisan Industry Co., Ltd.

    266,884  
  113,627    

Aozora Bank Ltd.

    2,915,482  
  134,700    

Astellas Pharma, Inc.

    2,311,814  
  55,650    

Avex, Inc.

    677,031  
  19,590    

Benesse Holdings, Inc.

    524,420  
  33,780    

Canon, Inc.

    926,913  
  23,160    

Cawachi Ltd.

    472,462  
  20,818    

Central Japan Railway Co.

    4,270,480  
  88,080    

Chiyoda Corp.*

    227,748  
  20,020    

Chubu Steel Plate Co., Ltd.

    120,197  
  28,620    

Chugai Pharmaceutical Co., Ltd.

    2,408,538  
  226,060    

Citizen Watch Co., Ltd.

    1,201,860  
  6,860    

CMIC Holdings Co., Ltd.

    114,924  
  43,700    

Cosel Co., Ltd.

    479,567  
  99,360    

Dai-ichi Life Holdings, Inc.

    1,619,509  
  49,090    

DeNA Co., Ltd.

    836,778  
  89,553    

East Japan Railway Co.

    8,129,710  
  10,518    

Eisai Co., Ltd.

    761,387  
  17,450    

Enplas Corp.

    559,902  
  43,850    

Exedy Corp.

    1,032,872  
  10,460    

FANUC Corp.

    2,063,227  
  42,375    

Fuji Media Holdings, Inc.

    572,596  
  13,755    

Fujitsu Ltd.

    1,219,092  
  92,510    

Funai Electric Co., Ltd.*

    509,950  
  15,505    

Gendai Agency, Inc.

    60,124  
  42,500    

GMO Payment Gateway, Inc.

    3,132,212  
  239,870    

Gree, Inc.

    1,138,905  
  46,180    

Hisaka Works Ltd.

    398,606  
  56,200    

Hitachi Ltd.

    2,097,521  
  132,070    

Hitachi Metals Ltd.

    1,657,519  
  124,360    

Honda Motor Co., Ltd.

    3,364,433  
  58,170    

Ichiyoshi Securities Co., Ltd.

    375,495  
  182,000    

Inpex Corp.

    1,682,495  
  36,220    

Japan Petroleum Exploration Co., Ltd.

    926,059  
  478,108    

Japan Post Bank Co., Ltd.

    4,755,987  
  48,800    

Japan Steel Works Ltd.

    1,028,335  
  95,960    

JGC Holdings Corp.

    1,387,911  
  98,040    

JSR Corp.

    1,840,576  
  21,495    

Kao Corp.

    1,728,169  
  114,620    

KDDI Corp.

    3,171,666  
  64,470    

Keihin Corp.

    1,532,622  
  91,830    

Kirin Holdings Co., Ltd.

    1,948,113  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  39  

 


Hartford International Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.5% - (continued)  
      Japan - 16.6% - (continued)  
  58,360    

Kyoei Steel Ltd.

  $ 1,062,772  
  45,410    

Maxell Holdings Ltd.

    626,739  
  5,080    

Melco Holdings, Inc.

    136,599  
  18,920    

Miraial Co., Ltd.

    257,532  
  73,600    

Mitsubishi Estate Co., Ltd.

    1,428,971  
  34,901    

Mitsubishi Heavy Industries Ltd.

    1,412,420  
  102,800    

Mitsubishi Motors Corp.

    469,364  
  1,163,909    

Mitsubishi UFJ Financial Group, Inc.

    6,034,040  
  999,520    

Mizuho Financial Group, Inc.

    1,551,730  
  88,120    

Nakayama Steel Works Ltd.

    376,858  
  30,750    

Neturen Co., Ltd.

    270,764  
  50,800    

Nexon Co., Ltd.*

    588,683  
  109,895    

Nichicon Corp.

    1,081,431  
  85,830    

Nikon Corp.

    1,094,358  
  46,780    

Nippon Chemi-Con Corp.

    773,241  
  80,334    

Nippon Television Holdings, Inc.

    1,050,667  
  74,300    

Nipro Corp.

    871,210  
  74,730    

Nishimatsuya Chain Co., Ltd.

    665,026  
  545,363    

Nissan Motor Co., Ltd.

    3,441,557  
  58,372    

Nissin Kogyo Co., Ltd.

    1,195,398  
  20,450    

Nitto Denko Corp.

    1,131,411  
  86,660    

NOK Corp.

    1,357,360  
  397,900    

Nomura Holdings, Inc.

    1,808,448  
  247,753    

NTT DOCOMO, Inc.

    6,792,173  
  22,140    

Pacific Metals Co., Ltd.

    529,377  
  40,200    

Relia, Inc.

    524,862  
  374,200    

Resona Holdings, Inc.

    1,627,232  
  36,750    

Sanyo Shokai Ltd.

    488,487  
  86,293    

Secom Co., Ltd.

    7,996,205  
  15,990    

Shimamura Co., Ltd.

    1,354,402  
  28,877    

Shin-Etsu Chemical Co., Ltd.

    3,219,820  
  36,000    

Shiseido Co., Ltd.

    2,968,124  
  77,340    

SoftBank Group Corp.

    2,974,992  
  243,145    

Sony Financial Holdings, Inc.

    5,230,883  
  76,398    

Sumitomo Mitsui Financial Group, Inc.

    2,712,371  
  42,290    

Sumitomo Mitsui Trust Holdings, Inc.

    1,541,276  
  49,310    

Sumitomo Riko Co., Ltd.

    429,059  
  43,200    

Suzuki Motor Corp.

    2,039,650  
  26,100    

Sysmex Corp.

    1,702,974  
  278,884    

T&D Holdings, Inc.

    3,106,136  
  42,700    

Tachi-S Co., Ltd.

    567,121  
  70,880    

Takeda Pharmaceutical Co., Ltd.

    2,561,111  
  31,800    

THK Co., Ltd.

    914,418  
  140,890    

Tochigi Bank Ltd.

    295,837  
  57,580    

Tokai Rika Co., Ltd.

    1,111,310  
  28,210    

Tokyo Seimitsu Co., Ltd.

    906,079  
  130,850    

Tokyo Steel Manufacturing Co., Ltd.

    1,053,436  
  81,480    

Toppan Forms Co., Ltd.

    814,461  
  25,836    

Toshiba Machine Co., Ltd.

    578,140  
  66,480    

Toyo Engineering Corp.*

    423,448  
  141,275    

Toyo Tire Corp.

    1,970,540  
  59,150    

Toyoda Gosei Co., Ltd.

    1,383,797  
  4,200    

Toyota Boshoku Corp.

    61,710  
  51,160    

TV Asahi Holdings Corp.

    799,065  
  57,400    

Unipres Corp.

    938,816  
  66,750    

Ushio, Inc.

    997,568  
  69,140    

Xebio Holdings Co., Ltd.

    774,813  
  42,700    

Yamato Kogyo Co., Ltd.

    1,107,709  
  711,240    

Z Holdings Corp

    2,189,706  
   

 

 

 
      159,823,778  
   

 

 

 
      Malaysia - 1.1%  
  527,000    

CIMB Group Holdings Bhd

    661,396  
  1,074,271    

Kuala Lumpur Kepong Bhd

    5,569,939  
  948,216    

Public Bank Bhd

    4,602,028  
   

 

 

 
      10,833,363  
   

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.5% - (continued)  
      Netherlands - 4.7%  
  50,300    

ABN Amro Bank N.V.(1)

  $ 937,595  
  4,430    

Adyen N.V.*(1)

    3,118,787  
  38,255    

Akzo Nobel N.V.

    3,526,858  
  14,426    

ASML Holding N.V.

    3,781,261  
  56,920    

Fugro N.V.*(2)

    515,964  
  90,548    

Heineken N.V.

    9,246,712  
  207,047    

ING Groep N.V.

    2,344,494  
  50,339    

InterXion Holding N.V.*

    4,440,907  
  136,244    

Koninklijke Philips N.V.

    5,977,579  
  94,564    

NN Group N.V.

    3,608,268  
  397,853    

PostNL N.V.

    914,116  
  82,451    

Royal Dutch Shell plc Class A

    2,390,096  
  161,604    

Royal Dutch Shell plc Class B

    4,654,157  
   

 

 

 
      45,456,794  
   

 

 

 
      New Zealand - 0.3%  
  352,054    

a2 Milk Co., Ltd.*(2)

    2,908,203  
   

 

 

 
      Norway - 0.2%  
  434,230    

Norsk Hydro ASA

    1,534,377  
   

 

 

 
      Peru - 0.1%  
  5,437    

Credicorp Ltd.

    1,163,736  
   

 

 

 
      Philippines - 0.1%  
  996,070    

Ayala Land, Inc.

    951,872  
   

 

 

 
      Portugal - 0.4%  
  109,923    

CTT-Correios de Portugal S.A.

    351,118  
  214,143    

Galp Energia SGPS S.A.

    3,425,168  
   

 

 

 
      3,776,286  
   

 

 

 
      Russia - 2.1%  
  380,628    

Gazprom PJSC ADR

    3,051,436  
  88,899    

HeadHunter Group plc ADR

    1,552,176  
  48,639    

LUKOIL PJSC ADR

    4,482,231  
  214,757    

Sberbank of Russia PJSC ADR

    3,162,576  
  208,570    

Surgutneftegas PJSC ADR

    1,378,738  
  288,270    

VEON Ltd.

    691,848  
  191,282    

Yandex N.V. Class A*

    6,386,906  
   

 

 

 
      20,705,911  
   

 

 

 
      South Africa - 0.9%  
  7,728    

Anglo American Platinum Ltd.

    576,732  
  192,603    

Gold Fields Ltd.

    1,196,138  
  217,728    

Harmony Gold Mining Co., Ltd. ADR*

    757,694  
  64,070    

Impala Platinum Holdings Ltd.*

    441,120  
  107,481    

MTN Group Ltd.

    665,262  
  932,365    

Nampak Ltd.*

    496,116  
  4,083    

Naspers Ltd. Class N

    577,779  
  899,541    

Petra Diamonds Ltd.*

    99,044  
  294,940    

Raubex Group Ltd.

    381,204  
  304,247    

Standard Bank Group Ltd.

    3,492,830  
   

 

 

 
      8,683,919  
   

 

 

 
      South Korea - 2.3%  
  8,382    

CJ CheilJedang Corp.

    1,647,468  
  13,515    

CJ Logistics Corp.*

    1,829,066  
  114,367    

DGB Financial Group, Inc.

    690,442  
  39,530    

KB Financial Group, Inc.

    1,423,057  
  66,568    

KT Corp. ADR

    1,516,317  
  1,496    

LG Household & Health Care Ltd.

    1,618,817  
  3,930    

NHN Corp.*

    194,720  
  203,790    

Samsung Electronics Co., Ltd.

    8,807,773  
  37,740    

Shinhan Financial Group Co., Ltd.

    1,375,060  
  44,803    

SK Hynix, Inc.

    3,150,366  
  107,225    

Tongyang Life Insurance Co., Ltd.

    337,670  
   

 

 

 
      22,590,756  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  40  

 


Hartford International Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.5% - (continued)  
      Spain - 2.4%  
  49,455    

Aedas Homes SAU*(1)

  $ 1,142,612  
  665,931    

CaixaBank S.A.

    1,909,622  
  187,607    

Cellnex Telecom S.A.(1)

    7,672,661  
  843,478    

Iberdrola S.A.

    8,670,105  
  88,338    

Industria de Diseno Textil S.A.

    2,752,684  
  867,184    

Unicaja Banco S.A.(1)

    785,309  
   

 

 

 
      22,932,993  
   

 

 

 
      Sweden - 1.1%  
  227,669    

Assa Abloy AB Class B

    5,406,767  
  2,210    

Klarna Holding AB(3)(4)(5)

    518,185  
  227,043    

Qliro Group AB*

    202,219  
  607,657    

SAS AB*

    950,110  
  24,315    

Spotify Technology S.A.*

    3,508,655  
   

 

 

 
      10,585,936  
   

 

 

 
      Switzerland - 7.6%  
  38,549    

Adecco Group AG

    2,291,590  
  30,190    

Alcon, Inc.*

    1,785,380  
  38,058    

Coca-Cola HBC AG*

    1,158,816  
  107,658    

GAM Holding AG*

    359,384  
  8,707    

Geberit AG

    4,423,939  
  19,882    

Implenia AG

    757,705  
  109,672    

Julius Baer Group Ltd.*

    4,856,670  
  21,900    

Kuehne + Nagel International AG

    3,538,102  
  42,239    

LafargeHolcim Ltd.*

    2,180,312  
  22,577    

Nestle S.A.

    2,415,317  
  133,201    

Novartis AG

    11,638,464  
  3,564    

Partners Group Holding AG

    2,785,128  
  26,546    

Roche Holding AG

    7,989,173  
  13,175    

Schindler Holding AG

    3,227,827  
  76,406    

Swiss Prime Site AG*

    7,875,307  
  11,859    

Swisscom AG

    6,065,811  
  33,453    

Temenos AG*

    4,786,151  
  423,879    

UBS Group AG*

    5,016,676  
   

 

 

 
      73,151,752  
   

 

 

 
      Taiwan - 4.3%  
  1,528,350    

Acer, Inc.

    891,781  
  2,644,984    

Cathay Financial Holding Co., Ltd.

    3,501,055  
  1,379,489    

Chunghwa Telecom Co., Ltd.

    5,079,921  
  2,331,110    

Compal Electronics, Inc.

    1,391,597  
  923,412    

Formosa Chemicals & Fibre Corp.

    2,684,059  
  1,214,428    

Formosa Plastics Corp.

    3,898,186  
  445,840    

Foxconn Technology Co., Ltd.

    953,423  
  172,419    

Globalwafers Co., Ltd.

    2,057,176  
  3,446,110    

Innolux Corp.

    763,887  
  478,710    

MediaTek, Inc.

    6,393,101  
  1,817,586    

Nan Ya Plastics Corp.

    4,295,088  
  144,000    

Realtek Semiconductor Corp.

    1,068,185  
  2,210,102    

Shin Kong Financial Holding Co., Ltd.*

    698,188  
  397,960    

Taiwan Semiconductor Manufacturing Co., Ltd.

    3,899,928  
  67,101    

Taiwan Semiconductor Manufacturing Co., Ltd. ADR

    3,464,425  
   

 

 

 
      41,040,000  
   

 

 

 
      Thailand - 0.8%  
  719,400    

Airports of Thailand PCL

    1,870,273  
  1,882,900    

CP ALL PCL

    4,879,514  
  184,000    

Kasikornbank PCL NVDR

    846,669  
   

 

 

 
      7,596,456  
   

 

 

 
      Turkey - 0.1%  
  149,026    

Anadolu Efes Biracilik Ve Malt Sanayii AS

    501,373  
  56,776    

Coca-Cola Icecek AS

    310,188  
   

 

 

 
      811,561  
   

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 96.5% - (continued)  
      United Kingdom - 10.1%  
  83,604    

Anglo American plc

  $ 2,151,724  
  106,381    

AstraZeneca plc

    10,373,979  
  695,844    

Aviva plc

    3,750,631  
  440,030    

Babcock International Group plc

    3,160,382  
  290,777    

BAE Systems plc

    2,172,020  
  140,010    

BHP Group plc

    2,969,688  
  500,634    

BP plc

    3,174,701  
  110,356    

British Land Co. plc REIT

    887,277  
  674,776    

BT Group plc

    1,790,759  
  889,321    

Centrica plc

    836,910  
  91,485    

Compass Group plc

    2,435,705  
  162,501    

Diageo plc

    6,651,325  
  111,748    

Fevertree Drinks plc

    2,692,687  
  320,667    

Firstgroup plc*

    536,250  
  21,399    

Go-Ahead Group plc

    566,392  
  229,287    

Halfords Group plc

    470,459  
  351,899    

Hays plc

    716,138  
  454,298    

HSBC Holdings plc

    3,432,270  
  501,239    

J Sainsbury plc

    1,320,902  
  491,215    

Kingfisher plc

    1,317,737  
  74,591    

Land Securities Group plc REIT

    908,557  
  3,129,940    

Lloyds Banking Group plc

    2,302,403  
  333,277    

Marks & Spencer Group plc

    785,131  
  741,497    

National Grid plc

    8,669,792  
  69,270    

Pagegroup plc

    399,116  
  82,176    

Provident Financial plc

    469,226  
  110,420    

Prudential plc

    1,928,688  
  48,219    

Reckitt Benckiser Group plc

    3,731,264  
  877,340    

Serco Group plc*

    1,772,882  
  294,071    

SIG plc

    428,921  
  308,163    

Smith & Nephew plc

    6,615,153  
  404,906    

Standard Chartered plc

    3,674,088  
  103,542    

SThree plc

    382,922  
  396,191    

Synthomer plc

    1,430,389  
  59,880    

Ultra Electronics Holdings plc

    1,512,439  
  24,745    

Unilever N.V.(2)

    1,462,595  
  155,568    

Unilever plc

    9,315,247  
   

 

 

 
      97,196,749  
   

 

 

 
      United States - 0.7%  
  727,000    

Allstar Co.(3)(4)(5)

    167,210  
  202,061    

DraftKings, Inc.(3)(4)(5)

    640,533  
  8,678    

EPAM Systems, Inc.*

    1,526,981  
  5,907    

JAND, Inc. Class A(3)(4)(5)

    90,141  
  16,188    

Tory Burch LLC*(3)(4)(5)

    898,265  
  129,258    

Uber Technologies, Inc.*(4)(5)

    4,058,055  
   

 

 

 
      7,381,185  
   

 

 

 
      Vietnam - 0.1%  
  925,660    

Vincom Retail JSC

    1,321,946  
   

 

 

 
 

Total Common Stocks
(cost $894,731,292)

  $ 932,181,714  
   

 

 

 
PREFERRED STOCKS - 0.1%  
      Brazil - 0.1%  
  58,600    

Cia Paranaense de Energia

  $ 813,430  
   

 

 

 
 

Total Preferred Stocks
(cost $543,977)

  $ 813,430  
   

 

 

 
ESCROWS - 0.0%(6)  
      United States - 0.0%  
  75,898    

Birst, Inc.*(3)(4)(5)

  $ 3,947  
  198,151    

Lithium Technology Corp.*(3)(4)(5)

    1,981  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  41  

 


Hartford International Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ESCROWS - 0.0%(6) - (continued)  
      United States - 0.0% - (continued)  
  46,766    

One Kings Lane, Inc.*(3)(4)(5)

  $ 7,483  
  28,813    

Veracode, Inc.*(3)(4)(5)

    15,674  
   

 

 

 
      29,085  
   

 

 

 
 

Total Escrows
(cost $—)

  $ 29,085  
   

 

 

 
CONVERTIBLE PREFERRED STOCKS - 0.5%  
      United States - 0.5%  
  5,648    

Airbnb, Inc. Series E*(3)(4)(5)

  $ 711,027  
  225,050    

Coupang LLC*(3)(4)(5)

    1,195,015  
  243,469    

Essence Group Holdings Corp. Series 3*(3)(4)(5)

    559,979  
  13,926    

Honest Co., Inc. Series C(3)(4)(5)

    451,342  
  13,190    

JAND, Inc. Series D*(3)(4)(5)

    203,258  
  38,688    

Lookout, Inc. Series F*(3)(4)(5)

    273,524  
  51,890    

MarkLogic Corp. Series F*(3)(4)(5)

    504,890  
  15,711    

Rubicon Global Holdings LLC Series C*(3)(4)(5)

    369,994  
  18,160    

We Co. Series D1*(3)(4)(5)

    264,718  
  15,935    

We Co. Series D2*(3)(4)(5)

    232,281  
   

 

 

 
 

Total Convertible Preferred Stocks
(cost $4,065,612)

  $ 4,766,028  
   

 

 

 
 

Total Long-Term Investments
(cost $899,340,881)

  $ 937,790,257  
   

 

 

 
SHORT-TERM INVESTMENTS - 3.7%  
      Other Investment Pools & Funds - 2.5%  
  24,059,976    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(7)

  $ 24,059,976  
   

 

 

 
      Securities Lending Collateral - 1.2%  
  589,146    

Citibank NA DDCA, 1.80%, 11/1/2019(7)

    589,146  
  8,265,827    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(7)

    8,265,827  
  132,598    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(7)

    132,598  
  1,096,438    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(7)

    1,096,438  
  1,592,989    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(7)

    1,592,989  
  105,928    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(7)

    105,928  
   

 

 

 
      11,782,926  
   

 

 

 
 

Total Short-Term Investments
(cost $35,842,902)

  $ 35,842,902  
   

 

 

 
 

Total Investments
(cost $935,183,783)

    100.8    $ 973,633,159  
 

Other Assets and Liabilities

    (0.8 )%       (7,742,358
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 965,890,801  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1)

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $18,925,280 representing 2.0% of net assets.

 

(2) 

Represents entire or partial securities on loan. See Note 9 in the accompanying Notes to Financial Statements for securities lending information.

 

(3) 

Investment valued using significant unobservable inputs.

 

(4) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $11,167,502, which represented 1.1% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(5) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $11,167,502 or 1.1% of net assets.

 

Period
Acquired
    

Security Name

   Shares/
Par Value
     Base Total
Cost
     Base
Market Value
 
  06/2015      Airbnb, Inc. Series E Convertible Preferred      5,648      $ 525,797      $ 711,027  
  08/2011      Allstar Co.      727,000        316,259        167,210  
  03/2015      Birst, Inc.      75,898               3,947  
  11/2014      Coupang LLC Convertible Preferred      225,050        700,608        1,195,015  
  12/2014      DraftKings, Inc.      202,061        298,156        640,533  
  05/2014      Essence Group Holdings Corp. Series 3 Convertible Preferred      243,469        384,997        559,979  
  08/2014      Honest Co., Inc.
Series C Convertible Preferred
     13,926        376,800        451,342  
  04/2015      JAND, Inc. Class A      5,907        67,844        90,141  
  04/2015      JAND, Inc. Series D Convertible Preferred      13,190        151,491        203,258  
  08/2015      Klarna Holding AB      2,210        242,394        518,185  
  08/2013      Lithium Technology Corp.      198,151               1,981  
  07/2014      Lookout, Inc. Series F Convertible Preferred      38,688        441,937        273,524  
  04/2015      MarkLogic Corp. Series F Convertible Preferred      51,890        602,661        504,890  
  08/2014      One Kings Lane, Inc.      46,766               7,483  
  09/2015     

Rubicon Global Holdings LLC Series C Convertible

Preferred

     15,711        313,599        369,994  
  11/2013      Tory Burch LLC      16,188        1,268,749        898,265  
  06/2014      Uber Technologies, Inc.      129,258        2,005,186        4,058,055  
  04/2017      Veracode, Inc.      28,813               15,674  
  12/2014      We Co. Series D1      18,160        302,385        264,718  
  12/2014      We Co. Series D2      15,935        265,336        232,281  
        

 

 

    

 

 

 
   $     8,264,199      $     11,167,502  
        

 

 

    

 

 

 

 

(6) 

Share amount represents shares of the issuer previously held that resulted in receipt of the escrow.

 

(7) 

Current yield as of period end.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  42  

 


Hartford International Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

S&P/TSX 60 Index Future

     79        12/19/2019      $     11,814,911      $ (15,005

SPI 200 Future

     107        12/19/2019        12,242,390        131,953  
              

 

 

 

Total

 

   $ 116,948  
              

 

 

 

Total futures contracts

 

   $     116,948  
              

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Argentina

   $ 2,006,172      $ 2,006,172      $      $  

Australia

     12,237,955               12,237,955         

Austria

     530,296        530,296                

Belgium

     10,275,362        834,617        9,440,745         

Brazil

     20,897,603        20,897,603                

Canada

     58,385,175            58,385,175                

Chile

     2,358,379               2,358,379         

China

         54,435,341        12,971,629            41,463,712         

Denmark

     6,180,946               6,180,946         

Finland

     1,153,405               1,153,405         

France

     89,068,680        435,887        88,632,793         

Germany

     40,202,409        2,333,786        37,868,623         

Greece

     3,155,947               3,155,947         

Hong Kong

     31,808,634        689        31,807,945         

Hungary

     2,098,847               2,098,847         

India

     16,815,779        7,976,523        8,839,256         

Indonesia

     4,609,145               4,609,145         

Ireland

     14,731,572        4,330,148        10,401,424         

Italy

     20,782,494        259,134        20,523,360         

Japan

     159,823,778               159,823,778         

Malaysia

     10,833,363               10,833,363         

Netherlands

     45,456,794        4,440,907        41,015,887         

New Zealand

     2,908,203               2,908,203         

Norway

     1,534,377               1,534,377         

Peru

     1,163,736        1,163,736                

Philippines

     951,872               951,872         

Portugal

     3,776,286        351,118        3,425,168         

Russia

     20,705,911        8,630,930        12,074,981         

South Africa

     8,683,919        1,814,674        6,869,245         

South Korea

     22,590,756               22,590,756         

Spain

     22,932,993               22,932,993         

Sweden

     10,585,936        3,710,874        6,356,877        518,185  

Switzerland

     73,151,752               73,151,752         

Taiwan

     41,040,000        3,464,425        37,575,575         

Thailand

     7,596,456        6,749,787        846,669         

Turkey

     811,561               811,561         

United Kingdom

     97,196,749        3,591,434        93,605,315         

United States

     7,381,185        1,526,981        4,058,055            1,796,149  

Vietnam

     1,321,946               1,321,946         

 

The accompanying notes are an integral part of these financial statements.

 

 

  43  

 


Hartford International Equity Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Description

   Total     Level 1     Level 2      Level 3(1)  

Preferred Stocks

   $ 813,430     $ 813,430     $      $  

Escrows

     29,085                    29,085  

Convertible Preferred Stocks

     4,766,028                    4,766,028  

Short-Term Investments

     35,842,902       35,842,902               

Futures Contracts(2)

     131,953       131,953               
  

 

 

   

 

 

   

 

 

    

 

 

 

Total

   $     973,765,112     $     183,194,810     $     783,460,855      $     7,109,447  
  

 

 

   

 

 

   

 

 

    

 

 

 

Liabilities

 

Futures Contracts(2)

   $ (15,005   $ (15,005   $      $  
  

 

 

   

 

 

   

 

 

    

 

 

 

Total

   $ (15,005   $ (15,005   $      $  
  

 

 

   

 

 

   

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, investments valued at $5,616,260 were transferred out of Level 3 due to the expiration of trading restrictions. There were no transfers in to Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  44  

 


The Hartford International Growth Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.9%  
      Australia - 1.1%  
  421,172    

Qantas Airways Ltd.

  $ 1,862,900  
  509,257    

South32 Ltd.

    891,164  
  67,280    

Treasury Wine Estates Ltd.

    815,645  
   

 

 

 
      3,569,709  
   

 

 

 
      Brazil - 1.2%  
  336,570    

BR Malls Participacoes S.A.

    1,288,206  
  73,755    

Pagseguro Digital Ltd. Class A*

    2,734,835  
   

 

 

 
      4,023,041  
   

 

 

 
      Canada - 3.5%  
  51,418    

Canadian National Railway Co.

    4,598,771  
  99,265    

Dollarama, Inc.

    3,339,482  
  229,675    

Encana Corp.

    899,797  
  16,193    

Intact Financial Corp.

    1,670,434  
  23,512    

Magna International, Inc.

    1,264,232  
   

 

 

 
      11,772,716  
   

 

 

 
      China - 12.6%  
  61,251    

Alibaba Group Holding Ltd. ADR*

    10,821,214  
  1,642,400    

China Longyuan Power Group Corp. Ltd. Class H

    887,281  
  13,248,150    

China Tower Corp. Ltd. Class H(1)

    2,915,820  
  1,046,000    

CSPC Pharmaceutical Group Ltd.

    2,678,932  
  130,930    

ENN Energy Holdings Ltd.

    1,493,721  
  220,100    

Midea Group Co., Ltd. Class A

    1,734,478  
  10,013    

New Oriental Education & Technology Group, Inc. ADR*

    1,222,187  
  336,431    

Ping An Insurance Group Co., of China Ltd. Class H

    3,883,013  
  177,000    

Shenzhou International Group Holdings Ltd.

    2,445,901  
  68,550    

Sunny Optical Technology Group Co., Ltd.

    1,101,864  
  52,415    

TAL Education Group ADR*

    2,243,886  
  244,075    

Tencent Holdings Ltd.

    9,900,393  
  29,953    

Trip.com Group Ltd. ADR

    988,150  
  24,044    

WuXi AppTec Co., Ltd. Class H(1)

    289,892  
   

 

 

 
      42,606,732  
   

 

 

 
      Denmark - 1.5%  
  12,133    

Carlsberg A/S Class B

    1,708,619  
  33,188    

DSV A/S

    3,225,512  
   

 

 

 
      4,934,131  
   

 

 

 
      Finland - 0.6%  
  33,551    

Kone Oyj Class B

    2,136,387  
   

 

 

 
      France - 11.3%  
  48,648    

Airbus SE

    6,978,956  
  44,652    

Alstom S.A.

    1,931,788  
  70,066    

AXA S.A.

    1,854,732  
  38,036    

Capgemini SE

    4,287,803  
  37,634    

Cie de Saint-Gobain

    1,532,755  
  55,808    

Edenred

    2,941,513  
  81,782    

Engie S.A.

    1,369,421  
  6,879    

L’Oreal S.A.

    2,009,092  
  8,377    

LVMH Moet Hennessy Louis Vuitton SE

    3,577,445  
  38,474    

Safran S.A.

    6,093,893  
  20,444    

Schneider Electric SE

    1,900,073  
  21,723    

Total S.A.

    1,148,456  
  43,865    

Worldline S.A.*(1)

    2,669,066  
   

 

 

 
      38,294,993  
   

 

 

 
      Germany - 3.1%  
  13,623    

adidas AG

    4,206,383  
  18,406    

Beiersdorf AG

    2,179,069  
  147,547    

Infineon Technologies AG

    2,857,804  
  5,938    

Volkswagen AG

    1,128,845  
   

 

 

 
      10,372,101  
   

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.9% - (continued)  
      Hong Kong - 3.2%  
  722,358    

AIA Group Ltd.

  $ 7,193,398  
  1,339,015    

China Unicom Hong Kong Ltd.

    1,318,259  
  269,895    

Sands China Ltd.

    1,329,400  
  119,965    

Techtronic Industries Co., Ltd.

    937,527  
   

 

 

 
      10,778,584  
   

 

 

 
      India - 2.4%  
  156,084    

HDFC Bank Ltd.

    2,704,355  
  20,746    

HDFC Bank Ltd. ADR

    1,267,373  
  409,891    

ICICI Bank Ltd.

    2,674,106  
  100,329    

ICICI Bank Ltd. ADR

    1,307,287  
   

 

 

 
      7,953,121  
   

 

 

 
      Indonesia - 0.1%  
  421,100    

Bank Mandiri Persero Tbk PT

    210,495  
   

 

 

 
      Ireland - 1.3%  
  66,508    

Experian plc

    2,096,419  
  14,712    

ICON plc*

    2,161,193  
   

 

 

 
      4,257,612  
   

 

 

 
      Italy - 2.4%  
  136,785    

Davide Campari-Milano S.p.A.

    1,254,633  
  124,859    

Eni S.p.A.

    1,894,234  
  15,648    

Ferrari N.V.(2)

    2,505,859  
  27,768    

Moncler S.p.A.

    1,071,532  
  113,759    

UniCredit S.p.A.

    1,443,264  
   

 

 

 
      8,169,522  
   

 

 

 
      Japan - 9.8%  
  39,900    

Bandai Namco Holdings, Inc.

    2,453,417  
  15,000    

GMO Payment Gateway, Inc.

    1,105,487  
  43,400    

Hoya Corp.

    3,835,571  
  6,160    

Keyence Corp.

    3,894,946  
  51,080    

Mitsui Fudosan Co., Ltd. REIT

    1,306,771  
  241,370    

Nexon Co., Ltd.*

    2,797,054  
  7,375    

Nidec Corp.

    1,085,790  
  2,424    

Nintendo Co., Ltd.

    889,093  
  35,500    

Recruit Holdings Co., Ltd.

    1,179,808  
  35,765    

Seven & i Holdings Co., Ltd.

    1,351,212  
  10,515    

Shin-Etsu Chemical Co., Ltd.

    1,172,435  
  63,800    

SoftBank Group Corp.

    2,454,157  
  17,410    

Sony Corp.

    1,059,732  
  65,255    

Sumitomo Mitsui Financial Group, Inc.

    2,316,759  
  73,805    

Tokio Marine Holdings, Inc.

    3,990,311  
  11,200    

Tokyo Electron Ltd.

    2,269,104  
   

 

 

 
      33,161,647  
   

 

 

 
      Netherlands - 6.4%  
  1,659    

Adyen N.V.*(1)

    1,167,961  
  25,494    

AerCap Holdings N.V.*

    1,475,593  
  19,490    

ASML Holding N.V.

    5,108,608  
  38,893    

Heineken N.V.

    3,971,732  
  106,904    

ING Groep N.V.

    1,210,526  
  18,971    

InterXion Holding N.V.*

    1,673,621  
  113,247    

Koninklijke Philips N.V.

    4,968,607  
  27,300    

Wolters Kluwer N.V.

    2,010,727  
   

 

 

 
      21,587,375  
   

 

 

 
      New Zealand - 0.3%  
  123,930    

a2 Milk Co., Ltd.*(2)

    1,023,745  
   

 

 

 
      Portugal - 0.4%  
  80,252    

Galp Energia SGPS S.A.

    1,283,612  
   

 

 

 
      Russia - 0.3%  
  4,000    

HeadHunter Group plc ADR

    69,840  
  32,160    

Yandex N.V. Class A*

    1,073,822  
   

 

 

 
      1,143,662  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  45  

 


The Hartford International Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 97.9% - (continued)  
      Singapore - 0.6%  
  106,010    

DBS Group Holdings Ltd.

  $ 2,020,643  
   

 

 

 
      South Korea - 2.0%  
  91,436    

Samsung Electronics Co., Ltd.

    3,951,850  
  41,073    

SK Hynix, Inc.

    2,888,087  
   

 

 

 
      6,839,937  
   

 

 

 
      Spain - 2.5%  
  187,517    

Cellnex Telecom S.A.(1)

    7,788,169  
  25,690    

Industria de Diseno Textil S.A.

    800,521  
   

 

 

 
      8,588,690  
   

 

 

 
      Sweden - 2.2%  
  45,946    

Alfa Laval AB

    1,063,432  
  62,953    

Assa Abloy AB Class B

    1,495,031  
  32,928    

Atlas Copco AB Class A

    1,162,243  
  17,786    

Spotify Technology S.A.*

    2,566,520  
  64,483    

Trelleborg AB Class B

    1,042,732  
   

 

 

 
      7,329,958  
   

 

 

 
      Switzerland - 10.2%  
  38,920    

Alcon, Inc.*

    2,301,656  
  11,991    

Cie Financiere Richemont S.A.

    942,267  
  25,727    

Julius Baer Group Ltd.*

    1,139,284  
  39,500    

Logitech International S.A.

    1,621,360  
  105,507    

Nestle S.A.

    11,287,277  
  106,817    

Novartis AG

    9,333,156  
  4,682    

Partners Group Holding AG

    3,658,801  
  21,336    

Temenos AG*

    3,052,561  
  79,192    

UBS Group AG*

    937,250  
   

 

 

 
      34,273,612  
   

 

 

 
      Taiwan - 4.0%  
  394,885    

MediaTek, Inc.

    5,273,630  
  857,949    

Taiwan Semiconductor Manufacturing Co., Ltd.

    8,407,727  
   

 

 

 
      13,681,357  
   

 

 

 
      United Kingdom - 13.2%  
  74,046    

Anglo American plc

    1,905,729  
  14,187    

Aon plc

    2,740,361  
  93,960    

AstraZeneca plc

    9,162,718  
  51,116    

BHP Group plc

    1,084,198  
  89,321    

Compass Group plc

    2,378,090  
  123,747    

Diageo plc

    5,065,086  
  41,707    

Fevertree Drinks plc

    1,004,975  
  464,559    

Grainger plc

    1,545,337  
  45,357    

IHS Markit Ltd.*

    3,175,897  
  20,160    

Intertek Group plc

    1,397,810  
  25,618    

London Stock Exchange Group plc

    2,308,664  
  48,441    

Prudential plc

    846,111  
  144,215    

Smith & Nephew plc

    3,095,778  
  151,213    

Standard Chartered plc

    1,372,096  
  126,933    

Unilever N.V.(2)

    7,502,587  
   

 

 

 
      44,585,437  
   

 

 

 
      United States - 1.7%  
  15,560    

Accenture plc Class A

    2,885,135  
  25,065    

Medtronic plc

    2,729,579  
   

 

 

 
      5,614,714  
   

 

 

 
 

Total Common Stocks
(cost $285,313,821)

  $ 330,213,533  
   

 

 

 
Shares or Principal Amount   Market Value  
EXCHANGE-TRADED FUNDS - 0.5%  
      Other Investment Pools & Funds - 0.5%  
  39,769    

iShares MSCI ACWI ex U.S. ETF(2)

  $ 1,887,834  
   

 

 

 
 

Total Exchange-Traded Funds
(cost $1,857,804)

  $ 1,887,834  
   

 

 

 
 

Total Long-Term Investments
(cost $287,171,625)

  $ 332,101,367  
   

 

 

 
SHORT-TERM INVESTMENTS - 4.7%  
      Other Investment Pools & Funds - 1.8%  
  5,919,017    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(3)

  $ 5,919,017  
   

 

 

 
      Securities Lending Collateral - 2.9%  
  485,189    

Citibank NA DDCA, 1.80%, 11/1/2019(3)

    485,189  
  6,807,284    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(3)

    6,807,284  
  109,200    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(3)

    109,200  
  902,967    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(3)

    902,967  
  1,311,899    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(3)

    1,311,899  
  87,237    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(3)

    87,237  
   

 

 

 
      9,703,776  
   

 

 

 
 

Total Short-Term Investments
(cost $15,622,793)

  $ 15,622,793  
   

 

 

 
 

Total Investments
(cost $302,794,418)

    103.1    $ 347,724,160  
 

Other Assets and Liabilities

    (3.1 )%       (10,297,580
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     337,426,580  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $14,830,908, representing 4.4% of net assets.

 

(2) 

Represents entire or partial securities on loan. See Note 9 in the accompanying Notes to Financial Statements for securities lending information.

 

(3) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  46  

 


The Hartford International Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Australia

   $ 3,569,709      $      $ 3,569,709      $  

Brazil

     4,023,041        4,023,041                

Canada

     11,772,716        11,772,716                

China

     42,606,732        15,275,437        27,331,295         

Denmark

     4,934,131               4,934,131         

Finland

     2,136,387               2,136,387         

France

     38,294,993               38,294,993         

Germany

     10,372,101        6,385,452        3,986,649         

Hong Kong

     10,778,584               10,778,584         

India

     7,953,121        2,574,660        5,378,461         

Indonesia

     210,495               210,495         

Ireland

     4,257,612        2,161,193        2,096,419         

Italy

     8,169,522        1,200,740        6,968,782         

Japan

     33,161,647               33,161,647         

Netherlands

     21,587,375        3,149,214        18,438,161         

New Zealand

     1,023,745               1,023,745         

Portugal

     1,283,612               1,283,612         

Russia

     1,143,662        1,143,662                

Singapore

     2,020,643               2,020,643         

South Korea

     6,839,937               6,839,937         

Spain

     8,588,690               8,588,690         

Sweden

     7,329,958        2,566,520        4,763,438         

Switzerland

     34,273,612               34,273,612         

Taiwan

     13,681,357               13,681,357         

United Kingdom

     44,585,437        7,461,595        37,123,842         

United States

     5,614,714        5,614,714                

Exchange-Traded Funds

     1,887,834        1,887,834                

Short-Term Investments

     15,622,793        15,622,793                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     347,724,160      $     80,839,571      $     266,884,589      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  47  

 


The Hartford International Opportunities Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.9%  
      Brazil - 2.4%  
  1,861,865    

B3 S.A. - Brasil Bolsa Balcao

  $ 22,460,298  
  944,160    

Banco do Brasil S.A.

    11,335,570  
  1,881,400    

BR Malls Participacoes S.A.

    7,200,970  
  1,250,595    

Localiza Rent a Car S.A.

    13,464,828  
  553,100    

Lojas Renner S.A.

    6,999,083  
  510,200    

Magazine Luiza S.A.

    5,678,925  
  2,543,700    

Petrobras Distribuidora S.A.

    17,936,875  
   

 

 

 
      85,076,549  
   

 

 

 
      Canada - 4.9%  
  862,603    

Canadian National Railway Co.

    77,150,280  
  1,097,739    

Dollarama, Inc.

    36,930,237  
  7,022,780    

Encana Corp.

    27,513,131  
  132,346    

Intact Financial Corp.

    13,655,623  
  434,084    

TC Energy Corp.

    21,880,523  
   

 

 

 
      177,129,794  
   

 

 

 
      China - 13.9%  
  416,738    

58.com, Inc. ADR*

    22,007,934  
  501,771    

Alibaba Group Holding Ltd. ADR*

    88,647,882  
  2,141,865    

China National Accord Medicines Corp. Ltd. Class A

    14,170,018  
  273,558,964    

China Tower Corp. Ltd. Class H(1)

    60,208,317  
  4,138,484    

ENN Energy Holdings Ltd.

    47,214,086  
  4,793,765    

Great Wall Motor Co., Ltd. Class H(2)

    3,884,154  
  3,311,325    

Guangzhou Automobile Group Co., Ltd. Class H

    3,307,138  
  1,325,491    

Hangzhou Tigermed Consulting Co., Ltd. Class A

    12,859,939  
  9,106,642    

Kingdee International Software Group Co., Ltd.

    9,978,595  
  356,211    

New Oriental Education & Technology Group, Inc. ADR*

    43,479,115  
  4,831,309    

Ping An Insurance Group Co., of China Ltd. Class H

    55,761,907  
  415,100    

TAL Education Group ADR*

    17,770,431  
  2,387,474    

Tencent Holdings Ltd.

    96,842,901  
  332,118    

Trip.com Group Ltd. ADR

    10,956,573  
  898,670    

WuXi AppTec Co., Ltd. Class H(1)

    10,835,011  
   

 

 

 
      497,924,001  
   

 

 

 
      Denmark - 1.5%  
  183,435    

Carlsberg A/S Class B

    25,832,077  
  269,292    

DSV A/S

    26,172,249  
   

 

 

 
      52,004,326  
   

 

 

 
      France - 15.0%  
  494,273    

Airbus SE

    70,907,534  
  2,579,868    

AXA S.A.

    68,292,238  
  429,611    

Capgemini SE

    48,430,102  
  3,812,963    

Engie S.A.

    63,847,198  
  46,816    

Kering S.A.

    26,638,131  
  33,630    

LVMH Moet Hennessy Louis Vuitton SE

    14,361,880  
  346,549    

Safran S.A.

    54,889,856  
  1,853,177    

Total S.A.

    97,974,119  
  338,355    

Valeo S.A.

    12,600,572  
  591,542    

Vinci S.A.

    66,368,783  
  208,718    

Worldline S.A.*(1)

    12,699,922  
   

 

 

 
      537,010,335  
   

 

 

 
      Germany - 4.7%  
  33,116    

adidas AG

    10,225,251  
  231,055    

Allianz SE

    56,428,839  
  3,091,010    

Infineon Technologies AG

    59,869,060  
  520,706    

Vonovia SE

    27,730,118  
  293,333    

Zalando SE*(1)

    12,718,037  
   

 

 

 
      166,971,305  
   

 

 

 
      Hong Kong - 1.4%  
  5,103,534    

AIA Group Ltd.

    50,822,103  
   

 

 

 
      India - 2.4%  
  3,437,490    

HDFC Bank Ltd.

    59,558,915  
  2,451,465    

ICICI Bank Ltd.

    15,993,218  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.9% - (continued)  
      India - 2.4% - (continued)  
  4,156,852    

Power Grid Corp. of India Ltd.

  $ 11,624,505  
   

 

 

 
      87,176,638  
   

 

 

 
      Italy - 2.6%  
  275,690    

Ferrari N.V.

    44,153,663  
  4,944,780    

Pirelli & C. S.p.A.(1)

    28,585,215  
  1,513,536    

UniCredit S.p.A.

    19,202,279  
   

 

 

 
      91,941,157  
   

 

 

 
      Japan - 13.9%  
  284,280    

CyberAgent, Inc.

    9,239,544  
  303,620    

Daikin Industries Ltd.

    42,494,533  
  330,820    

FANUC Corp.

    65,254,001  
  31,300    

Fast Retailing Co., Ltd.

    19,302,451  
  93,760    

Keyence Corp.

    59,284,112  
  2,019,282    

Mitsui Fudosan Co., Ltd. REIT

    51,658,950  
  1,277,235    

Nexon Co., Ltd.*

    14,800,911  
  1,269,470    

Recruit Holdings Co., Ltd.

    42,189,617  
  593,986    

Shiseido Co., Ltd.

    48,972,889  
  1,416,820    

Sony Financial Holdings, Inc.

    30,480,656  
  1,035,155    

Sumitomo Mitsui Financial Group, Inc.

    36,751,282  
  286,325    

Sysmex Corp.

    18,682,146  
  491,640    

Terumo Corp.

    16,045,520  
  770,244    

Tokio Marine Holdings, Inc.

    41,643,693  
   

 

 

 
      496,800,305  
   

 

 

 
      Netherlands - 2.4%  
  505,456    

AerCap Holdings N.V.*

    29,255,793  
  1,042,746    

ING Groep N.V.

    11,807,520  
  1,026,246    

Koninklijke Philips N.V.

    45,025,589  
   

 

 

 
      86,088,902  
   

 

 

 
      Philippines - 0.3%  
  12,217,220    

Ayala Land, Inc.

    11,675,117  
   

 

 

 
      Russia - 0.6%  
  600,131    

Yandex N.V. Class A*

    20,038,374  
   

 

 

 
      South Korea - 2.5%  
  17,191    

LG Household & Health Care Ltd.

    18,602,333  
  1,668,012    

Samsung Electronics Co., Ltd.

    72,091,223  
   

 

 

 
      90,693,556  
   

 

 

 
      Spain - 5.3%  
  18,810,311    

Banco Santander S.A.

    75,528,994  
  14,241,283    

CaixaBank S.A.

    40,838,263  
  1,377,624    

Cellnex Telecom S.A.(1)

    54,643,819  
  1,956,228    

Iberdrola S.A.

    20,108,054  
   

 

 

 
      191,119,130  
   

 

 

 
      Sweden - 2.1%  
  2,406,604    

Sandvik AB

    42,518,248  
  220,976    

Spotify Technology S.A.*

    31,886,837  
   

 

 

 
      74,405,085  
   

 

 

 
      Switzerland - 7.3%  
  714,688    

Alcon, Inc.*

    42,265,306  
  52,104    

Lonza Group AG*

    18,779,971  
  975,423    

Nestle S.A.

    104,352,032  
  777,331    

Novartis AG

    67,919,449  
  204,963    

PSP Swiss Property AG

    27,129,921  
   

 

 

 
      260,446,679  
   

 

 

 
      Taiwan - 1.9%  
  1,830,057    

MediaTek, Inc.

    24,440,139  
  4,497,528    

Taiwan Semiconductor Manufacturing Co., Ltd.

    44,074,866  
   

 

 

 
      68,515,005  
   

 

 

 
      United Kingdom - 13.6%  
  1,680,808    

Anglo American plc

    43,259,110  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  48  

 


The Hartford International Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 98.9% - (continued)  
      United Kingdom - 13.6% - (continued)  
  683,497    

AstraZeneca plc

  $ 66,652,725  
  212,983    

Berkeley Group Holdings plc

    12,139,906  
  1,462,555    

Compass Group plc

    38,939,197  
  747,246    

Derwent London plc REIT

    34,362,057  
  863,573    

Diageo plc

    35,346,885  
  577,342    

Intertek Group plc

    40,030,475  
  288,281    

London Stock Exchange Group plc

    25,979,546  
  3,589,085    

National Grid plc

    41,964,593  
  763,467    

Rio Tinto plc

    39,747,471  
  732,979    

Smith & Nephew plc

    15,734,428  
  3,448,653    

Standard Chartered plc

    31,292,834  
  1,055,057    

Unilever N.V.(2)

    62,360,909  
   

 

 

 
      487,810,136  
   

 

 

 
      United States - 0.2%  
  337,072    

Bausch Health Cos., Inc.*

    8,372,868  
   

 

 

 
 

Total Common Stocks
(cost $3,237,038,896)

  $ 3,542,021,365  
   

 

 

 
SHORT-TERM INVESTMENTS - 2.9%  
      Other Investment Pools & Funds - 1.1%  
  41,258,391    

Fidelity Institutional Government Fund, Institutional Class, 1.70%(3)

  $ 41,258,391  
   

 

 

 
      Securities Lending Collateral - 1.8%  
  3,250,858    

Citibank NA DDCA, 1.80%, 11/1/2019(3)

    3,250,858  
  45,610,108    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(3)

    45,610,108  
  731,662    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(3)

    731,662  
  6,050,050    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(3)

    6,050,050  
  8,789,972    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(3)

    8,789,972  
  584,504    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(3)

    584,504  
   

 

 

 
      65,017,154  
   

 

 

 
 

Total Short-Term Investments
(cost $106,275,544)

  $ 106,275,545  
   

 

 

 
 

Total Investments
(cost $3,343,314,440)

    101.8    $ 3,648,296,910  
 

Other Assets and Liabilities

    (1.8 )%       (65,809,640
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     3,582,487,270  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $179,690,321, representing 5.0% of net assets.

 

(2) 

Represents entire or partial securities on loan. See Note 9 in the accompanying Notes to Financial Statements for securities lending information.

 

(3) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  49  

 


The Hartford International Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Brazil

   $ 85,076,549      $ 85,076,549      $      $  

Canada

     177,129,794        177,129,794                

China

     497,924,001        182,861,935        315,062,066         

Denmark

     52,004,326               52,004,326         

France

     537,010,335               537,010,335         

Germany

     166,971,305        10,225,251        156,746,054         

Hong Kong

     50,822,103               50,822,103         

India

     87,176,638        11,624,505        75,552,133         

Italy

     91,941,157               91,941,157         

Japan

     496,800,305               496,800,305         

Netherlands

     86,088,902        29,255,793        56,833,109         

Philippines

     11,675,117               11,675,117         

Russia

     20,038,374        20,038,374                

South Korea

     90,693,556               90,693,556         

Spain

     191,119,130               191,119,130         

Sweden

     74,405,085        31,886,837        42,518,248         

Switzerland

     260,446,679               260,446,679         

Taiwan

     68,515,005               68,515,005         

United Kingdom

     487,810,136        34,362,057        453,448,079         

United States

     8,372,868        8,372,868                

Short-Term Investments

     106,275,545        106,275,545                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     3,648,296,910      $     697,109,508      $     2,951,187,402      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  50  

 


The Hartford International Small Company Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 43.6%  
      Australia - 1.9%  
  121,120    

SEEK Ltd.

  $ 1,895,531  
   

 

 

 
      Brazil - 2.8%  
  24,498    

Pagseguro Digital Ltd. Class A*

    908,386  
  49,585    

StoneCo Ltd. Class A*

    1,824,232  
   

 

 

 
      2,732,618  
   

 

 

 
      China - 1.5%  
  3,392,000    

Huaneng Renewables Corp. Ltd. Class H

    1,294,982  
  168,091    

Shandong Weigao Group Medical Polymer Co., Ltd. Class H

    192,975  
   

 

 

 
      1,487,957  
   

 

 

 
      France - 5.2%  
  28,577    

Nexity S.A.

    1,479,095  
  19,601    

Suez

    305,727  
  80,903    

Veolia Environnement S.A.

    2,129,671  
  4,768    

Virbac S.A.*

    1,161,928  
   

 

 

 
      5,076,421  
   

 

 

 
      Germany - 3.2%  
  16,550    

LEG Immobilien AG

    1,900,996  
  15,716    

STRATEC Biomedical SE

    1,186,649  
   

 

 

 
      3,087,645  
   

 

 

 
      Japan - 2.7%  
  9,100    

Bank of Kyoto Ltd.

    360,183  
  7,800    

Daikyonishikawa Corp.

    59,924  
  6,900    

EPS Holdings, Inc.

    84,137  
  9,300    

Jamco Corp.

    126,423  
  16,800    

JGC Holdings Corp.

    242,986  
  37,400    

Katitas Co., Ltd.

    1,613,805  
  8,100    

Warabeya Nichiyo Holdings Co., Ltd.

    142,598  
   

 

 

 
      2,630,056  
   

 

 

 
      Luxembourg - 2.0%  
  42,173    

Millicom International Cellular S.A.

    1,922,588  
   

 

 

 
      Netherlands - 1.6%  
  24,246    

Basic-Fit N.V.*(1)

    741,563  
  26,643    

Signify N.V.(1)

    780,642  
   

 

 

 
      1,522,205  
   

 

 

 
      South Korea - 0.7%  
  80,254    

Nexen Tire Corp.

    644,960  
   

 

 

 
      Spain - 0.9%  
  8,385    

Acciona S.A.

    873,535  
   

 

 

 
      Switzerland - 1.5%  
  15,353    

Landis+Gyr Group AG*

    1,425,575  
   

 

 

 
      Taiwan - 0.1%  
  26,000    

Chroma ATE, Inc.

    129,275  
   

 

 

 
      United Kingdom - 4.4%  
  20,473    

Genus plc

    769,196  
  43,467    

Hikma Pharmaceuticals plc

    1,132,002  
  279,994    

Sophos Group plc(1)

    2,059,528  
  127,615    

Tyman plc

    351,276  
   

 

 

 
      4,312,002  
   

 

 

 
      United States - 15.1%  
  12,872    

Advanced Drainage Systems, Inc.

    476,521  
  9,122    

Agilent Technologies, Inc.

    690,991  
  15,817    

Avangrid, Inc.

    791,641  
  9,241    

Blackbaud, Inc.

    775,782  
  7,440    

Boston Properties, Inc. REIT

    1,020,768  
  42,240    

Covanta Holding Corp.

    609,946  
  5,062    

Danaher Corp.

    697,645  
  12,288    

First Solar, Inc.*

    636,396  
  14,287    

Instructure, Inc.*

    667,632  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 43.6% - (continued)  
      United States - 15.1% - (continued)  
  15,135    

Invitae Corp.*

  $ 243,825  
  10,953    

Itron, Inc.*

    835,276  
  16,621    

Johnson Controls International plc

    720,188  
  53,642    

Laureate Education, Inc. Class A*

    829,037  
  54,462    

Nuance Communications, Inc.*

    888,820  
  24,338    

Pattern Energy Group, Inc. Class A

    682,194  
  7,470    

Rapid7, Inc.*

    374,172  
  6,310    

Square, Inc. Class A*

    387,623  
  3,623    

Sun Communities, Inc. REIT

    589,281  
  3,885    

Ubiquiti, Inc.

    491,802  
  17,293    

Upwork, Inc.*

    260,087  
  3,914    

Watts Water Technologies, Inc. Class A

    364,980  
  11,898    

Xylem, Inc.

    912,458  
  5,319    

Zoetis, Inc.

    680,406  
   

 

 

 
      14,627,471  
   

 

 

 
 

Total Common Stocks
(cost $41,619,565)

  $ 42,367,839  
   

 

 

 
RIGHTS - 0.0%  
      Australia - 0.0%  
  50,008    

Costa Group Holdings Ltd.*

  $ 23,097  
   

 

 

 
 

Total Rights
(cost $—)

  $ 23,097  
   

 

 

 
 

Total Long-Term Investments
(cost $41,619,565)

  $ 42,390,936  
   

 

 

 
                               
 

Total Investments
(cost $41,619,565)

    43.6    $ 42,390,936  
 

Other Assets and Liabilities

    56.4      54,738,830  
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     97,129,766  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $3,581,733, representing 3.7% of net assets.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  51  

 


The Hartford International Small Company Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

MSCI EAFE Index Future

     485        12/20/2019      $     47,462,100      $ 20,959  
           

 

 

 

Total futures contracts

 

   $     20,959  
           

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Australia

   $ 1,895,531      $      $ 1,895,531      $  

Brazil

     2,732,618        2,732,618                

China

     1,487,957               1,487,957         

France

     5,076,421        1,161,928        3,914,493         

Germany

     3,087,645        1,186,649        1,900,996         

Japan

     2,630,056               2,630,056         

Luxembourg

     1,922,588               1,922,588         

Netherlands

     1,522,205               1,522,205         

South Korea

     644,960               644,960         

Spain

     873,535               873,535         

Switzerland

     1,425,575               1,425,575         

Taiwan

     129,275               129,275         

United Kingdom

     4,312,002        351,276        3,960,726         

United States

     14,627,471        14,627,471                

Rights

     23,097        23,097                

Futures Contracts(2)

     20,959        20,959                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     42,411,895      $     20,103,998      $     22,307,897      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  52  

 


The Hartford International Value Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.8%  
      Argentina - 0.2%  
  555,297    

YPF S.A. ADR

  $ 5,197,580  
   

 

 

 
      Australia - 0.6%  
  4,780,585    

Resolute Mining Ltd.*

    4,004,723  
  4,058,675    

Western Areas Ltd.

    8,945,874  
   

 

 

 
      12,950,597  
   

 

 

 
      Austria - 0.2%  
  665,506    

Zumtobel Group AG*

    5,284,739  
   

 

 

 
      Belgium - 1.9%  
  326,543    

Ageas

    18,831,955  
  1,825,170    

AGFA-Gevaert N.V.*

    8,328,397  
  753,515    

bpost S.A.

    8,611,362  
  373,605    

Orange Belgium S.A.

    8,216,960  
   

 

 

 
      43,988,674  
   

 

 

 
      Canada - 3.6%  
  2,967,931    

Advantage Oil & Gas Ltd.*(1)

    4,281,428  
  812,108    

ARC Resources Ltd.(1)

    3,440,561  
  1,023,956    

Barrick Gold Corp.

    17,787,650  
  606,221    

Cameco Corp.

    5,412,770  
  1,138,383    

Centerra Gold, Inc.*

    9,706,204  
  757,579    

Eldorado Gold Corp.*

    6,378,815  
  2,063,333    

Encana Corp.

    8,083,515  
  813,062    

IAMGOLD Corp.*

    3,040,852  
  1,956,507    

Kinross Gold Corp.*

    9,489,059  
  587,756    

Northern Dynasty Minerals Ltd.*(1)

    343,612  
  2,028,670    

Painted Pony Energy Ltd.*(1)

    939,556  
  1,526,483    

SEMAFO, Inc.*

    4,925,634  
  473,793    

Tourmaline Oil Corp.

    4,064,886  
  2,728,270    

Trican Well Service Ltd.*(1)

    1,781,423  
  1,218,745    

Uranium Participation Corp.*

    3,553,246  
   

 

 

 
      83,229,211  
   

 

 

 
      China - 2.0%  
  19,872,049    

361 Degrees International Ltd.

    4,074,425  
  7,610,954    

AMVIG Holdings Ltd.

    1,961,999  
  23,718,701    

China BlueChemical Ltd. Class H

    5,772,102  
  12,962,958    

China Machinery Engineering Corp. Class H

    5,107,114  
  27,003,864    

China Telecom Corp. Ltd. Class H

    11,487,674  
  26,268,578    

Daphne International Holdings Ltd.*

    521,098  
  16,690,174    

Dongfeng Motor Group Co., Ltd. Class H

    16,742,121  
   

 

 

 
      45,666,533  
   

 

 

 
      Denmark - 1.2%  
  14,658    

AP Moller - Maersk A/S Class B

    18,697,771  
  545,569    

D/S Norden A/S

    7,980,418  
  29,836    

Drilling Co.*

    1,684,194  
   

 

 

 
      28,362,383  
   

 

 

 
      Finland - 0.5%  
  3,166,700    

Nokia Oyj

    11,624,984  
   

 

 

 
      France - 9.5%  
  537,657    

BNP Paribas S.A.

    28,097,708  
  717,109    

Cie de Saint-Gobain

    29,206,370  
  266,079    

Criteo S.A. ADR*

    4,443,519  
  1,063,413    

Engie S.A.

    17,806,609  
  180,692    

Imerys S.A.

    6,979,891  
  510,162    

Metropole Television S.A.

    8,974,996  
  394,001    

Quadient

    8,438,028  
  280,890    

Renault S.A.

    14,341,942  
  1,374,845    

Rexel S.A.

    17,044,646  
  704,387    

Societe Generale S.A.

    20,031,994  
  19,006    

Sopra Steria Group

    2,608,975  
  1,153,271    

Television Francaise 1 S.A.

    9,677,990  
  881,193    

Total S.A.

    46,587,082  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.8% - (continued)  
      France - 9.5% - (continued)  
  163,998    

Vicat S.A.

  $ 6,954,251  
   

 

 

 
      221,194,001  
   

 

 

 
      Germany - 3.2%  
  1,355,484    

CECONOMY AG*

    6,821,081  
  397,313    

Daimler AG

    23,224,080  
  571,859    

Deutsche Lufthansa AG

    9,906,420  
  850,161    

E.ON SE

    8,573,420  
  226,687    

Hamburger Hafen und Logistik AG

    5,872,773  
  292,560    

Metro AG

    4,777,327  
  247,715    

RWE AG

    7,548,982  
  494,009    

Salzgitter AG

    8,957,887  
   

 

 

 
      75,681,970  
   

 

 

 
      Greece - 0.5%  
  770,925    

Hellenic Telecommunications Organization S.A.

    11,692,150  
   

 

 

 
      Hong Kong - 2.1%  
  1,815,415    

China Mobile Ltd.

    14,753,324  
  19,177,625    

China Unicom Hong Kong Ltd.

    18,880,348  
  35,872,000    

CST Group Ltd.*

    114,447  
  1,397,002    

Dah Sing Financial Holdings Ltd.

    5,198,344  
  210,071,428    

G-Resources Group Ltd.*

    1,311,641  
  40,813,248    

Pacific Basin Shipping Ltd.

    9,449,785  
   

 

 

 
      49,707,889  
   

 

 

 
      Hungary - 0.3%  
  4,839,231    

Magyar Telekom Telecommunications plc

    7,214,114  
   

 

 

 
      India - 0.7%  
  2,961,049    

Allahabad Bank*

    1,122,059  
  2,320,111    

Canara Bank*

    6,645,594  
  1,912,859    

Corp. Bank*

    439,591  
  873,289    

NTPC Ltd.

    1,507,013  
  1,804,434    

Zee Entertainment Enterprises Ltd.

    6,629,688  
   

 

 

 
      16,343,945  
   

 

 

 
      Indonesia - 0.1%  
  30,739,900    

Perusahaan Perkebunan London Sumatra Indonesia Tbk PT

    2,959,040  
   

 

 

 
      Ireland - 0.6%  
  2,885,072    

Bank of Ireland Group plc

    13,906,149  
   

 

 

 
      Italy - 4.2%  
  741,770    

Assicurazioni Generali S.p.A.

    15,041,229  
  2,867,801    

BPER Banca

    12,829,931  
  2,198,440    

Eni S.p.A.

    33,352,499  
  1,568,219    

Geox S.p.A.

    2,186,293  
  2,254,559    

Saipem S.p.A.*

    10,233,528  
  2,015,714    

UniCredit S.p.A.

    25,573,426  
   

 

 

 
      99,216,906  
   

 

 

 
      Japan - 33.5%  
  300,374    

Aisan Industry Co., Ltd.

    2,483,427  
  554,051    

Avex, Inc.

    6,740,510  
  196,082    

Benesse Holdings, Inc.

    5,249,068  
  343,651    

Canon, Inc.

    9,429,684  
  232,168    

Cawachi Ltd.

    4,736,211  
  867,666    

Chiyoda Corp.*

    2,243,517  
  187,547    

Chubu Steel Plate Co., Ltd.

    1,126,007  
  2,311,465    

Citizen Watch Co., Ltd.

    12,289,028  
  49,456    

CMIC Holdings Co., Ltd.

    828,528  
  438,800    

Cosel Co., Ltd.

    4,815,422  
  970,844    

Dai-ichi Life Holdings, Inc.

    15,824,179  
  489,280    

DeNA Co., Ltd.

    8,340,167  
  107,427    

Eisai Co., Ltd.

    7,776,532  
  174,236    

Enplas Corp.

    5,590,548  
  446,699    

Exedy Corp.

    10,521,840  
  421,046    

Fuji Media Holdings, Inc.

    5,689,423  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  53  

 


The Hartford International Value Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.8% - (continued)  
      Japan - 33.5% - (continued)  
  138,434    

Fujitsu Ltd.

  $ 12,269,270  
  909,991    

Funai Electric Co., Ltd.*

    5,016,214  
  155,429    

Gendai Agency, Inc.

    602,709  
  2,385,849    

Gree, Inc.

    11,328,035  
  398,027    

Hisaka Works Ltd.

    3,435,600  
  1,291,121    

Hitachi Metals Ltd.

    16,203,965  
  1,215,661    

Honda Motor Co., Ltd.

    32,888,465  
  579,457    

Ichiyoshi Securities Co., Ltd.

    3,740,472  
  1,782,060    

Inpex Corp.

    16,474,214  
  360,107    

Japan Petroleum Exploration Co., Ltd.

    9,207,079  
  498,990    

Japan Steel Works Ltd.

    10,514,936  
  981,905    

JGC Holdings Corp.

    14,201,721  
  958,304    

JSR Corp.

    17,990,938  
  657,378    

Keihin Corp.

    15,627,605  
  581,992    

Kyoei Steel Ltd.

    10,598,442  
  451,546    

Maxell Holdings Ltd.

    6,232,144  
  61,850    

Melco Holdings, Inc.

    1,663,115  
  199,084    

Miraial Co., Ltd.

    2,709,855  
  719,300    

Mitsubishi Estate Co., Ltd.

    13,965,473  
  353,248    

Mitsubishi Heavy Industries Ltd.

    14,295,712  
  1,042,000    

Mitsubishi Motors Corp.

    4,757,564  
  5,832,044    

Mitsubishi UFJ Financial Group, Inc.

    30,234,997  
  10,058,087    

Mizuho Financial Group, Inc.

    15,614,933  
  871,866    

Nakayama Steel Works Ltd.

    3,728,661  
  325,961    

Neturen Co., Ltd.

    2,870,191  
  1,083,038    

Nichicon Corp.

    10,657,725  
  874,720    

Nikon Corp.

    11,152,942  
  487,060    

Nippon Chemi-Con Corp.

    8,050,766  
  799,093    

Nippon Television Holdings, Inc.

    10,451,129  
  769,402    

Nishimatsuya Chain Co., Ltd.

    6,846,949  
  1,764,000    

Nissan Motor Co., Ltd.

    11,131,862  
  582,133    

Nissin Kogyo Co., Ltd.

    11,921,483  
  205,100    

Nitto Denko Corp.

    11,347,302  
  847,302    

NOK Corp.

    13,271,332  
  3,889,300    

Nomura Holdings, Inc.

    17,676,798  
  220,601    

Pacific Metals Co., Ltd.

    5,274,665  
  407,300    

Relia, Inc.

    5,317,815  
  3,749,200    

Resona Holdings, Inc.

    16,303,628  
  366,177    

Sanyo Shokai Ltd.

    4,867,286  
  160,827    

Shimamura Co., Ltd.

    13,622,544  
  746,471    

Sumitomo Mitsui Financial Group, Inc.

    26,502,085  
  417,590    

Sumitomo Mitsui Trust Holdings, Inc.

    15,219,236  
  504,546    

Sumitomo Riko Co., Ltd.

    4,390,181  
  2,067,641    

T&D Holdings, Inc.

    23,028,834  
  433,300    

Tachi-S Co., Ltd.

    5,754,887  
  693,199    

Takeda Pharmaceutical Co., Ltd.

    25,047,396  
  329,220    

THK Co., Ltd.

    9,466,816  
  1,440,946    

Tochigi Bank Ltd.

    3,025,656  
  578,821    

Tokai Rika Co., Ltd.

    11,171,406  
  280,663    

Tokyo Seimitsu Co., Ltd.

    9,014,638  
  1,301,126    

Tokyo Steel Manufacturing Co., Ltd.

    10,474,992  
  802,558    

Toppan Forms Co., Ltd.

    8,022,239  
  256,869    

Toshiba Machine Co., Ltd.

    5,748,039  
  662,583    

Toyo Engineering Corp.*(1)

    4,220,360  
  589,330    

Toyoda Gosei Co., Ltd.

    13,787,200  
  42,000    

Toyota Boshoku Corp.

    617,098  
  520,962    

TV Asahi Holdings Corp.

    8,136,870  
  583,632    

Unipres Corp.

    9,545,701  
  654,814    

Ushio, Inc.

    9,786,088  
  680,059    

Xebio Holdings Co., Ltd.

    7,621,034  
  425,037    

Yamato Kogyo Co., Ltd.

    11,026,170  
  6,938,709    

Z Holdings Corp

    21,362,319  
   

 

 

 
      780,719,872  
   

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.8% - (continued)  
      Malaysia - 0.3%  
  5,297,000    

CIMB Group Holdings Bhd

  $ 6,647,845  
   

 

 

 
      Netherlands - 3.9%  
  500,903    

ABN Amro Bank N.V.(2)

    9,336,861  
  566,250    

Fugro N.V.*(1)

    5,132,898  
  2,041,167    

ING Groep N.V.

    23,113,126  
  3,957,984    

PostNL N.V.

    9,093,956  
  1,579,670    

Royal Dutch Shell plc Class B

    45,494,122  
   

 

 

 
      92,170,963  
   

 

 

 
      Norway - 0.7%  
  4,345,173    

Norsk Hydro ASA

    15,353,925  
   

 

 

 
      Portugal - 0.1%  
  1,103,801    

CTT-Correios de Portugal S.A.

    3,525,781  
   

 

 

 
      Russia - 2.3%  
  1,809,831    

Gazprom PJSC ADR

    14,509,136  
  114,029    

LUKOIL PJSC ADR

    10,508,117  
  525,581    

Sberbank of Russia PJSC ADR

    7,739,863  
  2,093,843    

Surgutneftegas PJSC ADR

    13,841,211  
  2,942,446    

VEON Ltd.

    7,061,870  
   

 

 

 
      53,660,197  
   

 

 

 
      South Africa - 2.0%  
  77,152    

Anglo American Platinum Ltd.

    5,757,769  
  1,932,842    

Gold Fields Ltd.

    12,003,688  
  2,184,980    

Harmony Gold Mining Co., Ltd. ADR*

    7,603,730  
  642,983    

Impala Platinum Holdings Ltd.*

    4,426,916  
  1,069,257    

MTN Group Ltd.

    6,618,253  
  9,292,380    

Nampak Ltd.*

    4,944,523  
  8,643,516    

Petra Diamonds Ltd.*

    951,692  
  2,939,338    

Raubex Group Ltd.

    3,799,032  
   

 

 

 
      46,105,603  
   

 

 

 
      South Korea - 2.3%  
  1,166,971    

DGB Financial Group, Inc.

    7,045,091  
  386,415    

KB Financial Group, Inc.

    13,910,711  
  649,401    

KT Corp. ADR

    14,792,364  
  38,894    

NHN Corp.*

    1,927,084  
  368,902    

Shinhan Financial Group Co., Ltd.

    13,440,974  
  1,091,303    

Tongyang Life Insurance Co., Ltd.

    3,436,697  
   

 

 

 
      54,552,921  
   

 

 

 
      Spain - 1.2%  
  6,655,680    

CaixaBank S.A.

    19,085,809  
  8,626,956    

Unicaja Banco S.A.(2)

    7,812,446  
   

 

 

 
      26,898,255  
   

 

 

 
      Sweden - 0.5%  
  2,220,537    

Qliro Group AB*

    1,977,756  
  6,308,240    

SAS AB*

    9,863,331  
   

 

 

 
      11,841,087  
   

 

 

 
      Switzerland - 4.3%  
  385,708    

Adecco Group AG

    22,928,856  
  1,070,981    

GAM Holding AG*

    3,575,154  
  203,763    

Implenia AG

    7,765,434  
  374,304    

Julius Baer Group Ltd.*

    16,575,527  
  412,883    

LafargeHolcim Ltd.*

    21,312,388  
  2,437,969    

UBS Group AG*

    28,853,752  
   

 

 

 
      101,011,111  
   

 

 

 
      Taiwan - 2.0%  
  15,210,243    

Acer, Inc.

    8,875,071  
  22,792,676    

Compal Electronics, Inc.

    13,606,487  
  4,437,240    

Foxconn Technology Co., Ltd.

    9,488,977  
  34,264,400    

Innolux Corp.

    7,595,268  
  21,988,746    

Shin Kong Financial Holding Co., Ltd.*

    6,946,410  
   

 

 

 
      46,512,213  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  54  

 


The Hartford International Value Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 95.8% - (continued)  
      Thailand - 0.4%  
  1,851,600    

Kasikornbank PCL NVDR

  $ 8,520,062  
   

 

 

 
      Turkey - 0.4%  
  1,578,770    

Anadolu Efes Biracilik Ve Malt Sanayii AS

    5,311,507  
  574,870    

Coca-Cola Icecek AS

    3,140,723  
   

 

 

 
      8,452,230  
   

 

 

 
      United Kingdom - 10.5%  
  817,228    

Anglo American plc

    21,033,072  
  1,908,194    

Babcock International Group plc

    13,705,024  
  5,015,395    

BP plc

    31,804,431  
  1,097,849    

British Land Co. plc REIT

    8,826,852  
  6,595,807    

BT Group plc

    17,504,325  
  8,847,258    

Centrica plc

    8,325,860  
  3,223,401    

Firstgroup plc*

    5,390,484  
  212,887    

Go-Ahead Group plc

    5,634,729  
  2,280,997    

Halfords Group plc

    4,680,229  
  3,500,811    

Hays plc

    7,124,387  
  4,516,847    

HSBC Holdings plc

    34,125,267  
  5,016,654    

J Sainsbury plc

    13,220,261  
  4,886,753    

Kingfisher plc

    13,109,237  
  742,045    

Land Securities Group plc REIT

    9,038,491  
  3,315,554    

Marks & Spencer Group plc

    7,810,749  
  719,560    

Pagegroup plc

    4,145,919  
  817,822    

Provident Financial plc

    4,669,771  
  3,016,539    

Serco Group plc*

    6,095,660  
  2,471,277    

SIG plc

    3,604,517  
  2,401,922    

Standard Chartered plc

    21,794,871  
  1,031,880    

SThree plc

    3,816,124  
   

 

 

 
      245,460,260  
   

 

 

 
 

Total Common Stocks
(cost $2,324,390,648)

  $ 2,235,653,190  
   

 

 

 
PREFERRED STOCKS - 0.3%  
      Brazil - 0.3%  
  592,700    

Cia Paranaense de Energia

  $ 8,227,305  
   

 

 

 
 

Total Preferred Stocks
(cost $4,814,014)

  $ 8,227,305  
   

 

 

 
 

Total Long-Term Investments
(cost $2,329,204,662)

  $ 2,243,880,495  
   

 

 

 
SHORT-TERM INVESTMENTS - 3.5%  
      Other Investment Pools & Funds - 3.1%  
  71,318,227    

Fidelity Institutional Government Fund, Institutional Class, 1.70%(3)

  $ 71,318,227  
   

 

 

 
      Securities Lending Collateral - 0.4%  
  453,724    

Citibank NA DDCA, 1.80%, 11/1/2019(3)

    453,724  
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 3.5% - (continued)  
      Securities Lending Collateral - 0.4% - (continued)  
  6,365,834    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(3)

  $ 6,365,834  
  102,119    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(3)

    102,119  
  844,410    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(3)

    844,410  
  1,226,822    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(3)

    1,226,822  
  81,580    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(3)

    81,580  
   

 

 

 
      9,074,489  
   

 

 

 
 

Total Short-Term Investments
(cost $80,392,716)

  $ 80,392,716  
   

 

 

 
 

Total Investments
(cost $2,409,597,378)

    99.6    $ 2,324,273,211  
 

Other Assets and Liabilities

    0.4      9,622,499  
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     2,333,895,710  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Represents entire or partial securities on loan. See Note 9 in the accompanying Notes to Financial Statements for securities lending information.

 

(2) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $17,149,307, representing 0.7% of net assets.

 

(3) 

Current yield as of period end.

 
Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

MSCI EAFE Index Future

     192        12/20/2019      $     18,789,120      $     337,626  
           

 

 

 

Total futures contracts

 

   $ 337,626  
           

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  55  

 


The Hartford International Value Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Argentina

   $ 5,197,580      $ 5,197,580      $      $  

Australia

     12,950,597               12,950,597         

Austria

     5,284,739        5,284,739                

Belgium

     43,988,674        8,216,960        35,771,714         

Canada

     83,229,211        83,229,211                

China

     45,666,533        1,961,999        43,704,534         

Denmark

     28,362,383               28,362,383         

Finland

     11,624,984               11,624,984         

France

     221,194,001        4,443,519        216,750,482         

Germany

     75,681,970        23,224,080        52,457,890         

Greece

     11,692,150               11,692,150         

Hong Kong

     49,707,889        114,447        49,593,442         

Hungary

     7,214,114               7,214,114         

India

     16,343,945        8,576,292        7,767,653         

Indonesia

     2,959,040               2,959,040         

Ireland

     13,906,149               13,906,149         

Italy

     99,216,906        2,186,293        97,030,613         

Japan

     780,719,872               780,719,872         

Malaysia

     6,647,845               6,647,845         

Netherlands

     92,170,963               92,170,963         

Norway

     15,353,925               15,353,925         

Portugal

     3,525,781        3,525,781                

Russia

     53,660,197        7,061,870        46,598,327         

South Africa

     46,105,603        18,112,223        27,993,380         

South Korea

     54,552,921               54,552,921         

Spain

     26,898,255               26,898,255         

Sweden

     11,841,087        1,977,756        9,863,331         

Switzerland

     101,011,111               101,011,111         

Taiwan

     46,512,213               46,512,213         

Thailand

     8,520,062               8,520,062         

Turkey

     8,452,230               8,452,230         

United Kingdom

     245,460,260        23,587,014        221,873,246         

Preferred Stocks

     8,227,305        8,227,305                

Short-Term Investments

     80,392,716        80,392,716                

Futures Contracts(2)

     337,626        337,626                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     2,324,610,837      $     285,657,411      $     2,038,953,426      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  56  

 


Hartford International/Global Equity Funds

Glossary (abbreviations used in the preceding Schedules of Investments)

 

 

 

Other Abbreviations:

ACWI

   All Country World Index

ADR

   American Depositary Receipt

DDCA

   Dollars on Deposit in Custody Account

ETF

   Exchange-Traded Fund

GDR

   Global Depositary Receipt

JSC

   Joint Stock Company

NVDR

   Non-Voting Depositary Receipt

PJSC

   Private Joint Stock Company

PT

   Perseroan Terbatas

REIT

   Real Estate Investment Trust
Index Abbreviations:

EAFE

   Europe, Australasia and Far East

MSCI

   Morgan Stanley Capital International
 

 

 

  57  

 


Hartford International/Global Equity Funds

Statements of Assets and Liabilities

October 31, 2019

 

 

 

     Hartford
Emerging
Markets Equity
Fund
    Hartford
Environmental
Opportunities
Fund
     Hartford
Global Impact
Fund
     Hartford
International
Equity Fund
     The Hartford
International
Growth Fund
 

Assets:

             

Investments in securities, at market value(1)

   $     310,326,653     $     20,972,486      $     46,696,584      $     973,633,159      $     347,724,160  

Cash collateral due from broker on futures contracts

     187,200                     1,006,282         

Foreign currency

     57,558       1,865        208,223        846,858        9,488  

Receivables:

 

  

Investment securities sold

                  76,141        15,574,108        1,234,282  

Fund shares sold

     362,954       18,623        29,558        251,087        595,591  

Dividends and interest

     543,825       40,934        89,404        2,291,258        364,135  

Securities lending income

     5,110       363               7,341        589  

Tax reclaims

     3,382       26,821               1,204,067        476,285  

Other assets

     110,473       38,912        42,765        439,822        64,450  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total assets

     311,597,155       21,100,004        47,142,675        995,253,982        350,468,980  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

  

Bank overdraft

                                 

Obligation to return securities lending collateral

     1,018,800       959,760               11,782,926        9,703,776  

Payables:

 

  

Investment securities purchased

                  665,058        15,906,199        2,475,247  

Fund shares redeemed

     265,174       25,736               614,272        435,088  

Investment management fees

     232,977       10,209        11,111        371,003        221,172  

Transfer agent fees

     85,029       2,429        3,062        381,441        97,051  

Accounting services fees

     4,660       296        887        14,517        5,053  

Fund administration fees

                  329                

Board of Directors’ fees

     704       142        202        4,146        1,445  

Foreign taxes

     125,847                     28,679        19,556  

Variation margin on futures contracts

     28,431                     89,581         

Distribution fees

     1,474              41        28,274        4,181  

Accrued expenses

     73,647       31,655        48,958        142,143        79,831  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total liabilities

     1,836,743       1,030,227        729,648        29,363,181        13,042,400  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Net assets

   $ 309,760,412     $ 20,069,777      $ 46,413,027      $ 965,890,801      $ 337,426,580  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Summary of Net Assets:

 

  

Capital stock and paid-in-capital

   $ 328,378,050     $ 17,979,629      $ 43,348,055      $ 953,836,393      $ 303,422,148  

Distributable earnings (loss)

     (18,617,638     2,090,148        3,064,972        12,054,408        34,004,432  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Net assets

   $ 309,760,412     $ 20,069,777      $ 46,413,027      $ 965,890,801      $ 337,426,580  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Shares authorized

     710,000,000       225,000,000        225,000,000        685,000,000        610,000,000  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Par value

   $ 0.0010     $ 0.0010      $ 0.0010      $ 0.0010      $ 0.0010  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Class A:  Net asset value per share

   $ 8.96     $ 10.92      $ 11.32      $ 10.74      $ 14.40  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Maximum offering price per share

   $ 9.48     $ 11.56      $ 11.98      $ 11.37      $ 15.24  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     5,036,184       412,884        77,057        63,851,550        8,892,470  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 45,113,232     $ 4,509,650      $ 872,216      $ 685,464,692      $ 128,065,299  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Class C:  Net asset value per share

   $ 8.78     $ 10.93      $ 11.12      $ 10.52      $ 13.12  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     312,076       26,206        3,443        4,087,838        521,661  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 2,738,479     $ 286,359      $ 38,291      $ 43,008,981      $ 6,841,664  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Class I:  Net asset value per share

   $ 8.94     $ 10.78      $ 11.30      $ 10.88      $ 14.29  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     2,585,027       214,660        1,181,932        7,550,120        2,741,566  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 23,116,137     $ 2,313,738      $ 13,351,077      $ 82,135,786      $ 39,175,150  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Class R3:  Net asset value per share

   $ 8.95     $ 11.02      $ 11.14      $ 10.65      $ 14.59  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     24,553       10,204        25,283        1,540,937        43,329  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 219,657     $ 112,471      $ 281,717      $ 16,410,276      $ 632,375  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Class R4:  Net asset value per share

   $ 9.01     $ 10.93      $ 11.28      $ 10.74      $ 14.83  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     39,051       11,399        2,408        805,778        276,546  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 351,706     $ 124,590      $ 27,169      $ 8,652,695      $ 4,101,713  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Class R5:  Net asset value per share

   $ 8.90     $ 10.94      $ 11.18      $ 9.50      $ 14.96  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     77,637       10,215        1,207        177,471        1,691,637  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 690,921     $ 111,723      $ 13,489      $ 1,686,059      $ 25,302,929  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  58  

 


Hartford International/Global Equity Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     Hartford
Emerging
Markets Equity
Fund
     Hartford
Environmental
Opportunities
Fund
     Hartford
Global Impact
Fund
     Hartford
International
Equity Fund
     The Hartford
International
Growth Fund
 

Class R6:  Net asset value per share

   $ 8.96      $ 10.96      $ 11.21      $ 10.93      $ 15.04  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     112,357        10,214        80,075        2,069,888        203,340  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 1,006,187      $ 111,908      $ 897,257      $ 22,624,376      $ 3,059,146  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class Y:  Net asset value per share

   $ 8.93      $ 10.94      $ 11.17      $ 10.88      $ 15.01  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     23,020,582        73,460        26,853        3,103,093        1,205,766  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 205,679,567      $ 803,557      $ 300,005      $ 33,756,275      $ 18,099,701  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class F:  Net asset value per share

   $ 8.90      $ 11.01      $ 11.36      $ 10.94      $ 14.31  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     3,464,616        1,062,238        2,695,722        6,597,614        7,835,578  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 30,844,526      $ 11,695,781      $ 30,631,806      $ 72,151,661      $ 112,148,603  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cost of investments

   $     301,110,472      $     19,744,937      $     42,331,870      $     935,183,783      $     302,794,418  

Cost of foreign currency

   $ 57,314      $ 1,859      $ 208,223      $ 846,773      $ 9,479  

(1) Includes Investment in securities on loan, at market value

   $ 885,816      $ 1,261,787      $      $ 13,528,491      $ 9,522,897  

 

The accompanying notes are an integral part of these financial statements.

 

 

  59  

 


Hartford International/Global Equity Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     The Hartford
International
Opportunities
Fund
     The Hartford
International
Small
Company
Fund
    The Hartford
International
Value Fund
 

Assets:

       

Investments in securities, at market value(1)

   $ 3,648,296,910      $ 42,390,936     $ 2,324,273,211  

Cash collateral due from broker on futures contracts

                  864,000  

Foreign currency

     282,741        4,835       362,316  

Due from Custodian

     2,516,642               

Receivables:

       

Investment securities sold

     21,512,731        76,234,856       6,686,752  

Fund shares sold

     3,315,468        18,130       3,348,091  

Dividends and interest

     5,086,100        269,223       11,170,701  

Securities lending income

     6,193        6,573       39,001  

Variation margin on futures contracts

            20,958        

Tax reclaims

     5,578,698        186,608       1,105,090  

Other assets

     2,296,651        44,931       1,160,144  
  

 

 

    

 

 

   

 

 

 

Total assets

     3,688,892,134        119,177,050       2,349,009,306  
  

 

 

    

 

 

   

 

 

 

Liabilities:

 

Bank overdraft

            396,191        

Obligation to return securities lending collateral

     65,017,154              9,074,489  

Payables:

 

Investment securities purchased

     33,106,568        21,420,051       841,586  

Fund shares redeemed

     5,284,441        29,721       3,037,378  

Investment management fees

     1,949,601        90,642       1,516,688  

Transfer agent fees

     646,130        54,652       380,971  

Accounting services fees

     53,428        1,813       34,872  

Fund administration fees

                   

Board of Directors’ fees

     16,797        1,252       10,002  

Foreign taxes

     36,864               

Variation margin on futures contracts

                  56,635  

Distribution fees

     23,065        1,686       7,584  

Accrued expenses

     270,816        51,276       153,391  
  

 

 

    

 

 

   

 

 

 

Total liabilities

     106,404,864        22,047,284       15,113,596  
  

 

 

    

 

 

   

 

 

 

Net assets

   $ 3,582,487,270      $ 97,129,766     $ 2,333,895,710  
  

 

 

    

 

 

   

 

 

 

Summary of Net Assets:

 

Capital stock and paid-in-capital

   $     3,443,468,819      $     121,481,107     $     2,470,384,351  

Distributable earnings (loss)

     139,018,451        (24,351,341     (136,488,641
  

 

 

    

 

 

   

 

 

 

Net assets

   $ 3,582,487,270      $ 97,129,766     $ 2,333,895,710  
  

 

 

    

 

 

   

 

 

 

Shares authorized

     950,000,000        610,000,000       780,000,000  
  

 

 

    

 

 

   

 

 

 

Par value

   $ 0.0010      $ 0.0010     $ 0.0010  
  

 

 

    

 

 

   

 

 

 

Class A:  Net asset value per share

   $ 15.70      $ 11.86     $ 14.53  
  

 

 

    

 

 

   

 

 

 

         Maximum offering price per share

   $ 16.61      $ 12.55     $ 15.38  
  

 

 

    

 

 

   

 

 

 

         Shares outstanding

     29,552,821        3,459,114       14,149,180  
  

 

 

    

 

 

   

 

 

 

         Net Assets

   $ 464,082,642      $ 41,036,263     $ 205,565,612  
  

 

 

    

 

 

   

 

 

 

Class C:  Net asset value per share

   $ 13.63      $ 10.40     $ 14.31  
  

 

 

    

 

 

   

 

 

 

         Shares outstanding

     2,747,302        275,833       1,213,951  
  

 

 

    

 

 

   

 

 

 

         Net Assets

   $ 37,457,054      $ 2,867,448     $ 17,367,134  
  

 

 

    

 

 

   

 

 

 

Class I:  Net asset value per share

   $ 15.62      $ 11.77     $ 14.69  
  

 

 

    

 

 

   

 

 

 

         Shares outstanding

     22,441,604        471,088       68,334,059  
  

 

 

    

 

 

   

 

 

 

         Net Assets

   $ 350,647,497      $ 5,544,954     $ 1,004,020,794  
  

 

 

    

 

 

   

 

 

 

Class R3:  Net asset value per share

   $ 15.95      $ 11.97     $ 14.62  
  

 

 

    

 

 

   

 

 

 

         Shares outstanding

     3,235,050        538,064       45,798  
  

 

 

    

 

 

   

 

 

 

         Net Assets

   $ 51,593,022      $ 6,440,216     $ 669,378  
  

 

 

    

 

 

   

 

 

 

Class R4:  Net asset value per share

   $ 16.26      $ 12.04     $ 14.62  
  

 

 

    

 

 

   

 

 

 

         Shares outstanding

     8,201,326        263,757       95,512  
  

 

 

    

 

 

   

 

 

 

         Net Assets

   $ 133,349,400      $ 3,176,651     $ 1,396,457  
  

 

 

    

 

 

   

 

 

 

Class R5:  Net asset value per share

   $ 16.43      $ 12.12     $ 14.72  
  

 

 

    

 

 

   

 

 

 

         Shares outstanding

     16,133,585        57,453       2,329,008  
  

 

 

    

 

 

   

 

 

 

         Net Assets

   $ 265,061,699      $ 696,587     $ 34,293,391  
  

 

 

    

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  60  

 


Hartford International/Global Equity Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     The Hartford
International
Opportunities
Fund
     The Hartford
International
Small
Company
Fund
     The Hartford
International
Value Fund
 

Class R6:  Net asset value per share

   $ 16.53      $      $ 15.03  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     38,636,532               11,332,516  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 638,619,167      $      $ 170,365,479  
  

 

 

    

 

 

    

 

 

 

Class Y:  Net asset value per share

   $ 16.53      $ 12.14      $ 15.02  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     59,381,835        2,966,109        41,243,116  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 981,425,997      $ 35,994,872      $ 619,624,438  
  

 

 

    

 

 

    

 

 

 

Class F:  Net asset value per share

   $ 15.63      $ 11.77      $ 14.70  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     42,238,667        116,636        19,086,290  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 660,250,792      $ 1,372,775      $ 280,593,027  
  

 

 

    

 

 

    

 

 

 

Cost of investments

   $     3,343,314,440      $     41,619,565      $     2,409,597,378  

Cost of foreign currency

   $ 282,859      $ 4,890      $ 362,115  

(1) Includes Investment in securities on loan, at market value

   $ 62,167,174      $      $ 9,676,919  

 

The accompanying notes are an integral part of these financial statements.

 

 

  61  

 


Hartford International/Global Equity Funds

Statements of Operations

For the Year Ended October 31, 2019

 

 

 

     Hartford
Emerging
Markets Equity
Fund
    Hartford
Environmental
Opportunities
Fund
    Hartford
Global Impact
Fund
    Hartford
International
Equity Fund
    The Hartford
International
Growth Fund
 

Investment Income:

 

   

Dividends

   $ 9,819,825     $ 491,542     $ 2,178     $ 31,194,325     $ 6,819,949  

Dividends allocated from Master Portfolio

                 891,360              

Interest

     152,157       14,861       2,920       505,021       171,359  

Interest allocated from Master Portfolio

                 18,045              

Securities lending

     41,580       7,683       38,131       270,460       47,944  

Less: Foreign tax withheld

     (994,133     (26,067     280       (3,102,897     (694,553

Less: Foreign tax withheld allocated from Master Portfolio

                 (80,433            

Expenses allocated from Master Portfolio

                 (354,370            
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total investment income, net

     9,019,429       488,019       518,111       28,866,909       6,344,699  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expenses:

 

   

Investment management fees

     2,001,986       139,708       19,205       4,576,899       2,546,254  

Transfer agent fees

 

   

Class A

     81,905       6,224       1,479       1,295,904       282,947  

Class C

     7,982       563       101       95,698       17,566  

Class I

     26,108       1,464       7,414       85,959       32,726  

Class R3

     438       301       156       37,498       1,362  

Class R4

     4,644       360       43       22,594       10,786  

Class R5

     822       302       15       1,468       26,443  

Class R6

     41       31       15       495       60  

Class Y

     123,093       91       173       25,302       12,001  

Class F

     700       89       50       352       438  

Distribution fees

 

   

Class A

     125,113       10,777       1,741       1,762,093       312,515  

Class C

     31,927       9,427       406       542,922       73,428  

Class R3

     996       3,861       495       90,464       3,096  

Class R4

     6,828       1,967       62       33,231       15,886  

Custodian fees

     54,541       9,450       266       93,025       32,440  

Registration and filing fees

     158,198       113,564       114,085       181,877       141,033  

Accounting services fees

     40,040       4,056       11,737       179,150       58,110  

Fund administration fees

                 18,629              

Board of Directors’ fees

     6,624       757       60       31,824       10,397  

Audit fees

     115,581       27,740       24,359       113,810       51,625  

Other expenses

     42,506       16,161       34,837       152,101       84,974  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses (before waivers, reimbursements and fees paid indirectly)

     2,830,073       346,893       235,328       9,322,666       3,714,087  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expense waivers

     (250,144         (150,210     (309,642           (212,839

Management fee waivers

                 (12,644            

Transfer agent fee waivers

                              

Distribution fee reimbursements

     (510     (17,044     (260     (24,468     (3,966

Commission recapture

           (88           (5,587     (519
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total waivers, reimbursements and fees paid indirectly

     (250,654     (167,342     (322,546     (30,055     (217,324
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses, net

     2,579,419       179,551       (87,218     9,292,611       3,496,763  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Investment Income (Loss)

     6,440,010       308,468       605,329       19,574,298       2,847,936  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions:

          

Net realized gain (loss) on investments

         (13,640,032     517,112       (48,133         (36,780,494         (11,283,341

Net realized gain (loss) on investments allocated from Master Portfolio

                     (1,582,071            

Less: Foreign taxes paid on realized capital gains

     (26,032                        

Net realized gain (loss) on futures contracts

     (170,292                 2,724,213        

Net realized gain (loss) on foreign currency contracts

                              

Net realized gain (loss) on foreign currency contracts allocated from Master Portfolio

                 (11,302            

Net realized gain (loss) on other foreign currency transactions

     (119,781     (3,560     (27,587     (583,765     (106,617

Net realized gain (loss) on other foreign currency transactions allocated from Master Portfolio

                 (29,168            
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     (13,956,137     513,552       (1,698,261     (34,640,046     (11,389,958
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  62  

 


Hartford International/Global Equity Funds

Statements of Operations – (continued)

For the Year Ended October 31, 2019

 

 

 

     Hartford
Emerging
Markets Equity
Fund
    Hartford
Environmental
Opportunities
Fund
    Hartford
Global Impact
Fund
     Hartford
International
Equity Fund
    The Hartford
International
Growth Fund
 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions:

           

Net unrealized appreciation (depreciation) of investments*

   $ 19,191,561     $ 2,329,177     $ 7,421,936      $ 97,083,950     $ 48,828,781  

Net unrealized appreciation (depreciation) of futures contracts

     63,975                    (100,113      

Net unrealized appreciation (depreciation) of translation of other assets and liabilities in foreign currencies

     5,514       (1,149     73,474        31,090       21,468  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions

     19,261,050       2,328,028       7,495,410        97,014,927       48,850,249  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Net Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     5,304,913       2,841,580       5,797,149        62,374,881       37,460,291  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

   $     11,744,923     $     3,150,048     $     6,402,478      $     81,949,179     $     40,308,227  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

* Includes change in unrealized appreciation (depreciation) on deferred capital gains tax of:

   $ (115,850   $     $ 14,733      $ (28,679   $ (19,556

 

The accompanying notes are an integral part of these financial statements.

 

 

  63  

 


Hartford International/Global Equity Funds

Statements of Operations – (continued)

For the Year Ended October 31, 2019

 

 

 

     The Hartford
International
Opportunities
Fund
    The Hartford
International
Small
Company
Fund
    The Hartford
International
Value Fund
 

Investment Income:

 

Dividends

   $ 97,758,358     $ 4,478,377     $ 82,449,192  

Dividends allocated from Master Portfolio

                  

Interest

     1,803,879       35,584       1,911,171  

Interest allocated from Master Portfolio

                  

Securities lending

     1,323,590       191,944       1,131,063  

Less: Foreign tax withheld

     (10,442,310     (396,846     (7,729,721

Less: Foreign tax withheld allocated from Master Portfolio

                  

Expenses allocated from Master Portfolio

                  
  

 

 

   

 

 

   

 

 

 

Total investment income, net

     90,443,517       4,309,059       77,761,705  
  

 

 

   

 

 

   

 

 

 

Expenses:

 

Investment management fees

     23,207,085       1,725,265       17,133,956  

Transfer agent fees

 

Class A

     800,439       110,055       265,846  

Class C

     76,749       8,629       23,904  

Class I

     324,270       21,760       678,901  

Class R3

     117,454       13,898       1,417  

Class R4

     243,054       7,033       2,281  

Class R5

     258,650       1,229       53,348  

Class R6

     19,264             2,881  

Class Y

     776,297       48,740       404,219  

Class F

     2,537       173       1,302  

Distribution fees

 

Class A

     1,161,109       109,029       587,156  

Class C

     416,396       35,520       212,578  

Class R3

     274,103       33,444       3,421  

Class R4

     366,733       10,808       3,370  

Custodian fees

     141,451       34,673       127,466  

Registration and filing fees

     268,865       103,159       198,927  

Accounting services fees

     634,412       34,505       393,215  

Fund administration fees

                  

Board of Directors’ fees

     114,504       6,497       68,711  

Audit fees

     60,209       36,885       74,197  

Other expenses

     417,995       32,402       226,011  
  

 

 

   

 

 

   

 

 

 

Total expenses (before waivers, reimbursements and fees paid indirectly)

     29,681,576       2,373,704       20,463,107  
  

 

 

   

 

 

   

 

 

 

Expense waivers

           (112,263      

Management fee waivers

                  

Transfer agent fee waivers

     (275,111           (59,478

Distribution fee reimbursements

     (8,435     (3,951     (324

Commission recapture

     (46,965     (37     (901
  

 

 

   

 

 

   

 

 

 

Total waivers, reimbursements and fees paid indirectly

     (330,511     (116,251     (60,703
  

 

 

   

 

 

   

 

 

 

Total expenses, net

     29,351,065       2,257,453       20,402,404  
  

 

 

   

 

 

   

 

 

 

Net Investment Income (Loss)

     61,092,452       2,051,606       57,359,301  
  

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions:

 

Net realized gain (loss) on investments

     (215,857,000     (23,349,843     (48,159,101

Net realized gain (loss) on investments allocated from Master Portfolio

                  

Less: Foreign taxes paid on realized capital gains

                  

Net realized gain (loss) on futures contracts

                 2,112,996  

Net realized gain (loss) on foreign currency contracts

                 338,299  

Net realized gain (loss) on foreign currency contracts allocated from Master Portfolio

                  

Net realized gain (loss) on other foreign currency transactions

     (844,521     16,146       (46,321

Net realized gain (loss) on other foreign currency transactions allocated from Master Portfolio

                  
  

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

         (216,701,521         (23,333,697         (45,754,127
  

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  64  

 


Hartford International/Global Equity Funds

Statements of Operations – (continued)

For the Year Ended October 31, 2019

 

 

 

     The Hartford
International
Opportunities
Fund
    The Hartford
International
Small
Company
Fund
    The Hartford
International
Value Fund
 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions:

      

Net unrealized appreciation (depreciation) of investments*

   $ 543,063,930     $ 13,543,636     $ 45,408,116  

Net unrealized appreciation (depreciation) of futures contracts

           20,959       337,626  

Net unrealized appreciation (depreciation) of translation of other assets and liabilities in foreign currencies

     304,800       13,158       66,099  
  

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions

     543,368,730           13,577,753           45,811,841  
  

 

 

   

 

 

   

 

 

 

Net Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     326,667,209       (9,755,944     57,714  
  

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

   $     387,759,661     $ (7,704,338   $ 57,417,015  
  

 

 

   

 

 

   

 

 

 

* Includes change in unrealized appreciation (depreciation) on deferred capital gains tax of:

   $ (36,864   $     $  

 

The accompanying notes are an integral part of these financial statements.

 

 

  65  

 


Hartford International/Global Equity Funds

Statements of Changes in Net Assets

 

 

 

     Hartford Emerging
Markets Equity Fund
    Hartford Environmental
Opportunities Fund
    Hartford
Global Impact Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

 

   

Net investment income (loss)

   $ 6,440,010     $ 2,722,087     $ 308,468     $ 452,102     $ 605,329     $ 331,679  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     (13,956,137     (4,564,317     513,552       3,063,448       (1,698,261     3,233,016  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     19,261,050       (23,823,226     2,328,028       (7,686,869     7,495,410       (4,105,187
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     11,744,923       (25,665,456     3,150,048       (4,171,319     6,402,478       (540,492
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

Class A

     (958,691     (423,895     (626,953     (366,284     (56,772     (5,706

Class C

     (19,122     (58,552     (200,802     (128,522     (4,833     (574

Class I

     (442,367     (170,558     (493,966     (1,670,472     (357,502     (50,126

Class R3

     (3,118     (2,938     (173,663     (117,042     (1,473     (501

Class R4

     (69,783     (598     (176,698     (119,330     (2,940     (686

Class R5

     (12,968     (14,120     (176,726     (120,227     (1,496     (529

Class R6

     (18,910           (178,619     (121,629     (1,519     (538

Class Y

     (1,092,943     (677,249     (192,550     (127,447     (2,907     (540

Class F

     (43,618     (40,175     (1,311,452     (608,068     (3,385,308     (838,910
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (2,661,520     (1,388,085     (3,531,429     (3,379,021     (3,814,750     (898,110
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

 

   

Sold

     261,275,462       148,170,132       7,728,398       8,315,578       13,767,962       2,493,524  

Issued in merger

                                    

Issued on reinvestment of distributions

     2,650,991       1,376,702       3,453,670       3,342,241       3,531,252       887,281  

Redeemed

         (101,840,033     (65,585,509         (20,147,438         (13,140,643     (2,754,259     (546,952
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     162,086,420       83,961,325       (8,965,370     (1,482,824     14,544,955       2,833,853  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     171,169,823       56,907,784       (9,346,751     (9,033,164     17,132,683       1,395,251  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

 

   

Beginning of period

     138,590,589       81,682,805       29,416,528       38,449,692       29,280,344       27,885,093  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $ 309,760,412     $     138,590,589     $ 20,069,777     $ 29,416,528     $     46,413,027     $     29,280,344  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  66  

 


Hartford International/Global Equity Funds

Statements of Changes in Net Assets – (continued)

 

 

 

     Hartford
International Equity Fund
    The Hartford
International Growth Fund
    The Hartford
International Opportunities Fund
 
     For the
Year Ended
October 31, 2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

 

   

Net investment income (loss)

   $ 19,574,298     $ 1,922,947     $ 2,847,936     $ 2,512,598     $ 61,092,452     $ 51,561,815  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     (34,640,046     (3,779,469     (11,389,958     20,908,718       (216,701,521     84,377,156  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     97,014,927       (10,901,208     48,850,249       (53,352,127     543,368,730       (637,192,807
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     81,949,179       (12,757,730     40,308,227       (29,930,811     387,759,661       (501,253,836
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

Class A

     (3,190,662     (510,061     (9,270,646     (654,722     (16,748,487     (27,103,108

Class C

     (129,482     (133,789     (589,259           (1,356,020     (3,356,309

Class I

     (531,598     (558,601     (2,609,314     (249,753     (15,473,343     (22,310,614

Class R3

     (77,335     (2,728     (40,927     (510     (1,838,521     (3,088,773

Class R4

     (69,116     (21,068     (509,112     (56,043     (5,381,710     (9,021,702

Class R5

     (6,824     (14,973     (1,774,523     (177,288     (9,675,206     (11,978,889

Class R6

     (32,690           (77,484           (20,714,677     (15,197,967

Class Y

     (161,978     (439,298     (1,259,943     (102,125     (38,119,791     (53,913,944

Class F

     (400,679     (66,466     (7,789,236     (560,109     (24,783,692     (27,988,835
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (4,600,364     (1,746,984     (23,920,444     (1,800,550     (134,091,447     (173,960,141
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

 

   

Sold

     97,983,678       73,122,383       71,745,516       149,445,062       947,713,632       1,630,439,776  

Issued in merger

           1,034,196,495                          

Issued on reinvestment of distributions

     4,412,669       1,738,942       23,421,317       1,734,158       129,273,370       168,473,738  

Redeemed

         (297,454,808     (61,183,690     (83,443,489     (69,055,734         (1,338,530,040     (980,973,061
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     (195,058,461     1,047,874,130       11,723,344       82,123,486       (261,543,038     817,940,453  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     (117,709,646     1,033,369,416       28,111,127       50,392,125       (7,874,824     142,726,476  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

 

   

Beginning of period

         1,083,600,447       50,231,031       309,315,453       258,923,328       3,590,362,094       3,447,635,618  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $ 965,890,801     $     1,083,600,447     $     337,426,580     $     309,315,453     $ 3,582,487,270     $     3,590,362,094  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  67  

 


Hartford International/Global Equity Funds

Statements of Changes in Net Assets – (continued)

 

 

 

     The Hartford International
Small Company Fund
    The Hartford
International Value Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

 

Net investment income (loss)

   $ 2,051,606     $ 3,290,778     $ 57,359,301     $ 53,453,299  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     (23,333,697     33,202,994       (45,754,127     107,274,850  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     13,577,753       (77,254,710     45,811,841       (418,684,346
  

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     (7,704,338     (40,760,938     57,417,015       (257,956,197
  

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

        

Class A

     (6,500,833     (4,509,006     (19,424,941     (24,639,325

Class C

     (611,272     (826,473     (1,595,295     (2,084,865

Class I

     (2,378,048     (4,904,657     (58,663,245     (81,559,780

Class R3

     (898,921     (726,575     (49,201     (61,037

Class R4

     (684,627     (585,246     (103,976     (116,962

Class R5

     (259,718     (166,290     (2,391,166     (1,531,085

Class R6

                        

Class Y

     (13,448,226     (11,767,246     (41,199,699     (50,738,680

Class F

     (8,556,120     (5,778,440     (24,502,454     (26,335,996
  

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (33,337,765     (29,263,933     (147,929,977     (187,067,730
  

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

 

Sold

     22,933,362       82,483,136       1,393,683,414       952,010,467  

Issued in merger

                        

Issued on reinvestment of distributions

     29,411,898       28,095,820       143,495,664       163,109,315  

Redeemed

         (181,957,987     (163,157,880         (1,439,127,290         (1,092,857,083
  

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     (129,612,727     (52,578,924     98,051,788       22,262,699  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     (170,654,830         (122,603,795     7,538,826       (422,761,228
  

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

 

Beginning of period

     267,784,596       390,388,391       2,326,356,884       2,749,118,112  
  

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $ 97,129,766     $ 267,784,596     $ 2,333,895,710     $ 2,326,356,884  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  68  

 


Hartford International/Global Equity Funds

Financial Highlights

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
Hartford Emerging Markets Equity Fund  

For the Year Ended October 31, 2019

 

A

  $ 8.39     $ 0.18     $ 0.54     $ 0.72     $ (0.15   $     $ (0.15   $ 8.96       8.82   $ 45,113       1.50     1.39     2.02     81

C

    8.18       0.10       0.54       0.64       (0.04           (0.04     8.78       7.93       2,738       2.34       2.20       1.20       81  

I

    8.39       0.23       0.50       0.73       (0.18           (0.18     8.94       8.99       23,116       1.19       1.09       2.60       81  

R3

    8.38       0.16       0.54       0.70       (0.13           (0.13     8.95       8.45       220       1.81       1.69       1.78       81  

R4

    8.44       0.14       0.59       0.73       (0.16           (0.16     9.01       8.87       352       1.51       1.39       1.65       81  

R5

    8.34       0.22       0.52       0.74       (0.18           (0.18     8.90       9.14       691       1.21       1.10       2.51       81  

R6

    8.39       0.22       0.54       0.76       (0.19           (0.19     8.96       9.26       1,006       1.09       0.98       2.57       81  

Y

    8.38       0.29       0.45       0.74       (0.19           (0.19     8.93       9.06         205,680       1.19       1.07       3.34       81  

F

    8.35       0.28       0.46       0.74       (0.19           (0.19     8.90       9.17       30,845       1.09       0.98       3.20       81  

For the Year Ended October 31, 2018

 

A

  $ 9.85     $   0.20     $   (1.52   $   (1.32   $   (0.14   $     $ (0.14   $ 8.39       (13.61 )%    $ 61,016       1.53     1.38     2.10     85

C

    9.64       0.08       (1.45     (1.37     (0.09           (0.09     8.18       (14.32     3,682       2.37       2.20       0.83       85  

I

    9.83       0.22       (1.50     (1.28     (0.16           (0.16     8.39       (13.30     16,780       1.24       1.07       2.23       85  

R3

    9.85       0.13       (1.48     (1.35     (0.12           (0.12     8.38       (13.89     206       1.85       1.68       1.37       85  

R4

    9.90       0.27       (1.59     (1.32     (0.14           (0.14     8.44       (13.57     5,580       1.55       1.38       2.90       85  

R5

    9.79       0.18       (1.47     (1.29     (0.16           (0.16     8.34       (13.43     611       1.26       1.11       1.88       85  

R6(14)

      10.24       0.11       (1.96     (1.85                       8.39       (18.07 )(5)      838       1.14 (6)      0.98 (6)      1.90 (6)      85  

Y

    9.83       0.20       (1.48     (1.28     (0.17           (0.17     8.38       (13.32     47,966       1.19       1.02       2.06       85  

F

    9.85       0.21       (1.49     (1.28     (0.22           (0.22     8.35       (13.30     1,912       1.14       0.98       2.23       85  

For the Year Ended October 31, 2017

 

A

  $ 7.65     $ 0.15     $ 2.12     $ 2.27     $ (0.07   $     $ (0.07   $ 9.85       30.12   $ 23,924       1.76     1.56     1.78     98

C

    7.49       0.08       2.10       2.18       (0.03           (0.03     9.64       29.28       5,560       2.50       2.33       0.91       98  

I

    7.64       0.21       2.08       2.29       (0.10           (0.10     9.83       30.54       11,361       1.42       1.29       2.43       98  

R3

    7.58       0.12       2.15       2.27                         9.85       29.95       197       2.11       1.82       1.41       98  

R4

    7.61       0.11       2.18       2.29                         9.90       30.09       41       1.87       1.56       1.38       98  

R5

    7.59       0.09       2.20       2.29       (0.09           (0.09     9.79       30.66       876       1.35       1.17       0.95       98  

Y

    7.64       0.13       2.17       2.30       (0.11           (0.11     9.83       30.64       38,223       1.32       1.23       1.62       98  

F(7)

    7.96       0.21       1.68       1.89                         9.85       23.74 (5)      1,500       1.25 (6)      1.03 (6)      3.54 (6)      98  

For the Year Ended October 31, 2016

 

A

  $ 7.30     $ 0.08     $ 0.50 (8)    $ 0.58     $ (0.13   $   (0.10   $   (0.23   $   7.65       8.52   $ 10,848       1.94     1.76 %(9)      1.12     97

C

    7.15       0.03       0.49 (8)      0.52       (0.08     (0.10     (0.18     7.49       7.69       1,520       2.61       2.51 (9)      0.46       97  

I

    7.30       0.10       0.51 (8)      0.61       (0.17     (0.10     (0.27     7.64       8.94       2,665       1.42       1.36 (9)      1.52       97  

R3

    7.24             0.56 (8)      0.56       (0.12     (0.10     (0.22     7.58       8.30       165       2.09       1.96 (9)      (0.01     97  

R4

    7.28       0.01       0.57 (8)      0.58       (0.15     (0.10     (0.25     7.61       8.44       40       1.78       1.66 (9)      0.11       97  

R5

    7.30       0.02       0.54 (8)      0.56       (0.17     (0.10     (0.27     7.59       8.22       13       1.47       1.36 (9)      0.35       97  

Y

    7.29       0.09       0.53 (8)      0.62       (0.17     (0.10     (0.27     7.64       9.16       65,378       1.37       1.31 (9)      1.33       97  

For the Year Ended October 31, 2015

 

A

  $ 9.09     $ 0.08     $ (1.19   $ (1.11   $ (0.05   $ (0.63   $ (0.68   $ 7.30       (12.64 )%    $ 8,161       1.79     1.75     0.94     151

C

    8.92       0.01       (1.15     (1.14           (0.63     (0.63     7.15       (13.20     2,211       2.50       2.50       0.14       151  

I

    9.09       0.11       (1.19     (1.08     (0.08     (0.63     (0.71     7.30       (12.27     2,705       1.34       1.34       1.35       151  

R3

    9.02       0.05       (1.17     (1.12     (0.03     (0.63     (0.66     7.24       (12.84     1,749       2.02       1.95       0.68       151  

R4

    9.06       0.08       (1.18     (1.10     (0.05     (0.63     (0.68     7.28       (12.50     1,640       1.71       1.65       0.99       151  

R5

    9.09       0.10       (1.18     (1.08     (0.08     (0.63     (0.71     7.30       (12.30     1,638       1.41       1.35       1.29       151  

Y

    9.08       0.10       (1.18     (1.08     (0.08     (0.63     (0.71     7.29       (12.27     163,053       1.32       1.30       1.31       151  

 

The accompanying notes are an integral part of these financial statements.

 

 

  69  

 


Hartford International/Global Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
Hartford Environmental Opportunities Fund  

For the Year Ended October 31, 2019

 

A

  $   10.99     $   0.11     $ 1.34     $ 1.45     $ (0.11   $ (1.41   $ (1.52   $ 10.92       16.47   $ 4,510       1.79     1.08     1.12     50

C

    10.99       0.12       1.35       1.47       (0.12     (1.41     (1.53     10.93       16.68       286       2.38       0.95       1.19       50  

I

    11.00       0.13       1.32       1.45       (0.26     (1.41     (1.67     10.78       16.85       2,314       1.41       0.77       1.25       50  

R3

    10.98       0.14       1.43       1.57       (0.12     (1.41     (1.53     11.02       17.77       112       1.85       0.75       1.39       50  

R4

    10.99       0.13       1.35       1.48       (0.13     (1.41     (1.54     10.93       16.78       125       1.61       0.84       1.30       50  

R5

    10.99       0.13       1.36       1.49       (0.13     (1.41     (1.54     10.94       16.88       112       1.35       0.79       1.35       50  

R6

    11.01       0.15       1.36       1.51       (0.15     (1.41     (1.56     10.96       17.12       112       1.31       0.67       1.47       50  

Y

    11.00       0.14       1.35       1.49       (0.14     (1.41     (1.55     10.94       17.00       804       1.36       0.71       1.39       50  

F

    11.06       0.16       1.34       1.50       (0.14     (1.41     (1.55     11.01       16.88         11,696       1.41       0.69       1.52       50  

For the Year Ended October 31, 2018

 

A

  $ 13.64     $ 0.13     $   (1.65   $   (1.52   $   (0.06   $   (1.07   $   (1.13   $   10.99       (12.08 )%    $ 4,266       1.64     1.07     1.04     42

C

    13.62       0.14       (1.65     (1.51     (0.05     (1.07     (1.12     10.99       (11.95     1,425       2.34       0.97       1.13       42  

I

    13.68       0.15       (1.64     (1.49     (0.12     (1.07     (1.19     11.00       (11.82     8,157       1.26       0.76       1.25       42  

R3

    13.63       0.14       (1.65     (1.51     (0.07     (1.07     (1.14     10.98       (12.02     1,231       1.96       0.98       1.13       42  

R4

    13.64       0.14       (1.64     (1.50     (0.08     (1.07     (1.15     10.99       (11.93     1,247       1.66       0.92       1.18       42  

R5

    13.65       0.15       (1.65     (1.50     (0.09     (1.07     (1.16     10.99       (11.84     1,241       1.36       0.87       1.24       42  

R6

    13.66       0.17       (1.65     (1.48     (0.10     (1.07     (1.17     11.01       (11.74     1,244       1.24       0.75       1.35       42  

Y

    13.66       0.16       (1.64     (1.48     (0.11     (1.07     (1.18     11.00       (11.77     1,342       1.29       0.76       1.34       42  

F

    13.68       0.17       (1.67     (1.50     (0.05     (1.07     (1.12     11.06       (11.78     9,263       1.24       0.75       1.38       42  

For the Year Ended October 31, 2017

 

A

  $ 11.53     $ 0.11     $ 2.33     $ 2.44     $ (0.12   $ (0.21   $ (0.33   $ 13.64       21.76   $ 4,336       1.87     1.18     0.87     44

C

    11.47       0.08       2.33       2.41       (0.05     (0.21     (0.26     13.62       21.48       1,559       2.53       1.37       0.69       44  

I

    11.55       0.14       2.34       2.48       (0.14     (0.21     (0.35     13.68       22.12       19,040       1.53       0.92       1.18       44  

R3

    11.50       0.10       2.33       2.43       (0.09     (0.21     (0.30     13.63       21.68       1,399       2.20       1.22       0.83       44  

R4

    11.52       0.12       2.32       2.44       (0.11     (0.21     (0.32     13.64       21.84       1,404       1.90       1.11       0.94       44  

R5

    11.54       0.13       2.33       2.46       (0.14     (0.21     (0.35     13.65       22.01       1,408       1.60       1.00       1.05       44  

R6

    11.55       0.14       2.33       2.47       (0.15     (0.21     (0.36     13.66       22.09       1,411       1.50       0.90       1.16       44  

Y

    11.55       0.14       2.33       2.47       (0.15     (0.21     (0.36     13.66       22.09       1,469       1.51       0.90       1.16       44  

F(7)

    11.81       0.08       1.79       1.87                         13.68       15.83 (5)      6,424       1.58 (6)      0.90 (6)      0.87 (6)      44  

For the Period Ended October 31, 2016

 

A(10)

  $ 10.00     $ 0.13     $ 1.40     $ 1.53     $     $     $     $ 11.53       15.30 %(5)    $ 1,489       1.46 %(6)      1.17 %(6)      1.75 %(6)      25 %(5) 

C(10)

    10.00       0.07       1.40       1.47                         11.47       14.70 (5)      1,196       2.20 (6)      1.90 (6)      0.99 (6)      25 (5) 

I(10)

    10.00       0.15       1.40       1.55                         11.55       15.50 (5)      21,506       1.20 (6)      0.90 (6)      1.99 (6)      25 (5) 

R3(10)

    10.00       0.10       1.40       1.50                         11.50       15.00 (5)      1,150       1.90 (6)      1.60 (6)      1.29 (6)      25 (5) 

R4(10)

    10.00       0.12       1.40       1.52                         11.52       15.20 (5)      1,152       1.60 (6)      1.30 (6)      1.59 (6)      25 (5) 

R5(10)

    10.00       0.14       1.40       1.54                         11.54       15.40 (5)      1,154       1.30 (6)      1.00 (6)      1.89 (6)      25 (5) 

R6(10)

    10.00       0.15       1.40       1.55                         11.55       15.50 (5)      1,155       1.20 (6)      0.90 (6)      1.99 (6)      25 (5) 

Y(10)

    10.00       0.15       1.40       1.55                         11.55       15.50 (5)      1,155       1.20 (6)      0.90 (6)      1.99 (6)      25 (5) 
Hartford Global Impact Fund  

For the Year Ended October 31, 2019

 

A

  $ 11.10     $ 0.12     $ 1.46     $ 1.58     $ (0.06   $ (1.30   $ (1.36   $ 11.32       16.93   $ 872       1.94 %(4)      1.10 %(4)      1.17     5 %(20) 

C

    10.93       0.07       1.45       1.52       (0.03     (1.30     (1.33     11.12       16.45       38       2.74 (4)      1.60 (4)      0.63       5 (20) 

I

    11.05       0.17       1.46       1.63       (0.08     (1.30     (1.38     11.30       17.47       13,351       1.54 (4)      0.73 (4)      1.60       5 (20) 

R3

    10.98       0.08       1.48       1.56       (0.10     (1.30     (1.40     11.14       16.94       282       2.07 (4)      1.19 (4)      0.79       5 (20) 

R4

    11.08       0.13       1.46       1.59       (0.09     (1.30     (1.39     11.28       17.11       27       1.91 (4)      0.95 (4)      1.25       5 (20) 

R5

    11.00       0.15       1.44       1.59       (0.11     (1.30     (1.41     11.18       17.45       13       1.61 (4)      0.76 (4)      1.43       5 (20) 

R6

    11.01       0.20       1.41       1.61       (0.11     (1.30     (1.41     11.21       17.45       897       1.43 (4)      0.63 (4)      1.81       5 (20) 

Y

    10.99       0.23       1.37       1.60       (0.12     (1.30     (1.42     11.17       17.42       300       1.54 (4)      0.67 (4)      2.11       5 (20) 

F

    11.16       0.16       1.47       1.63       (0.13     (1.30     (1.43     11.36       17.43         30,632       1.49 (4)      0.66 (4)      1.54       5 (20) 

 

The accompanying notes are an integral part of these financial statements.

 

 

  70  

 


Hartford International/Global Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
Hartford Global Impact Fund – (continued)  

For the Year Ended October 31, 2018

 

A

  $   11.63     $   0.09     $   (0.27   $   (0.18   $     $ (0.35   $ (0.35   $ 11.10       (1.69 )%    $ 455       2.35 %(4)      1.20 %(4)      0.78     79 %(11) 

C

    11.57       0.03       (0.27     (0.24       (0.05       (0.35       (0.40       10.93       (2.25     40       3.12 (4)      1.64 (4)      0.28       79 (11) 

I

    11.66       0.13       (0.26     (0.13     (0.13     (0.35     (0.48     11.05       (1.34     2,588       1.91 (4)      0.79 (4)      1.12       79 (11) 

R3

    11.63       0.10       (0.25     (0.15     (0.15     (0.35     (0.50     10.98       (1.54     11       2.60 (4)      0.98 (4)      0.85       79 (11) 

R4

    11.64       0.10       (0.26     (0.16     (0.05     (0.35     (0.40     11.08       (1.58     23       2.30 (4)      1.03 (4)      0.88       79 (11) 

R5

    11.65       0.12       (0.25     (0.13     (0.17     (0.35     (0.52     11.00       (1.40     11       1.99 (4)      0.85 (4)      1.00       79 (11) 

R6

    11.66       0.13       (0.25     (0.12     (0.18     (0.35     (0.53     11.01       (1.23     12       1.88 (4)      0.74 (4)      1.10       79 (11) 

Y

    11.65       0.14       (0.27     (0.13     (0.18     (0.35     (0.53     10.99       (1.31     22       1.93 (4)      0.79 (4)      1.15       79 (11) 

F

    11.66       0.13       (0.26     (0.13     (0.02     (0.35     (0.37     11.16       (1.26       26,117       1.88 (4)      0.74 (4)      1.10       79 (11) 

For the Period Ended October 31, 2017(7)

 

A

  $ 10.00     $ 0.06     $ 1.57     $ 1.63     $     $     $     $ 11.63       16.30 %(5)    $ 140       5.13 %(4)(6)      1.19 %(4)(6)      0.76 %(6)      50 %(11) 

C

    10.00       0.01       1.56       1.57                         11.57       15.70 (5)      16       5.94 (4)(6)      2.00 (4)(6)      0.11 (6)      50 (11) 

I

    10.00       0.09       1.57       1.66                         11.66       16.60 (5)      1,214       4.76 (4)(6)      0.86 (4)(6)      1.26 (6)      50 (11) 

R3

    10.00       0.07       1.56       1.63                         11.63       16.30 (5)      12       5.54 (4)(6)      1.22 (4)(6)      0.93 (6)      50 (11) 

R4

    10.00       0.07       1.57       1.64                         11.64       16.40 (5)      12       5.24 (4)(6)      1.12 (4)(6)      1.01 (6)      50 (11) 

R5

    10.00       0.09       1.56       1.65                         11.65       16.50 (5)      12       4.94 (4)(6)      0.95 (4)(6)      1.19 (6)      50 (11) 

R6

    10.00       0.09       1.57       1.66                         11.66       16.60 (5)      12       4.84 (4)(6)      0.85 (4)(6)      1.29 (6)      50 (11) 

Y

    10.00       0.12       1.53       1.65                         11.65       16.50 (5)      12       4.79 (4)(6)      0.90 (4)(6)      1.63 (6)      50 (11) 

F

    10.00       0.10       1.56       1.66                         11.66       16.50 (5)      26,456       4.74 (4)(6)      0.85 (4)(6)      1.28 (6)      50 (11) 
Hartford International Equity Fund  

For the Year Ended October 31, 2019

 

A

  $ 9.91     $ 0.20     $ 0.67     $ 0.87     $ (0.02   $ (0.02   $ (0.04   $ 10.74       8.88   $   685,465       0.97     0.97     1.94     78

C

    9.76       0.11       0.67       0.78             (0.02     (0.02     10.52       8.01       43,009       1.71       1.71       1.13       78  

I

    10.01       0.23       0.69       0.92       (0.03     (0.02     (0.05     10.88       9.29       82,136       0.63       0.63       2.20       78  

R3

    9.85       0.17       0.67       0.84       (0.02     (0.02     (0.04     10.65       8.59       16,410       1.24       1.24       1.67       78  

R4

    9.91       0.20       0.68       0.88       (0.03     (0.02     (0.05     10.74       8.89       8,653       0.96       0.96       1.99       78  

R5

    8.75       0.20       0.60       0.80       (0.03     (0.02     (0.05     9.50       9.27       1,686       0.65       0.65       2.23       78  

R6

    10.06       0.24       0.69       0.93       (0.04     (0.02     (0.06     10.93       9.29       22,624       0.54       0.54       2.32       78  

Y

    10.02       0.25       0.67       0.92       (0.04     (0.02     (0.06     10.88       9.28       33,756       0.62       0.62       2.38       78  

F

    10.06       0.25       0.69       0.94       (0.04     (0.02     (0.06     10.94       9.39       72,152       0.54       0.54       2.38       78  

For the Year Ended October 31, 2018

 

A

  $ 11.42     $ 0.13     $ (1.28   $ (1.15   $ (0.18   $ (0.18   $ (0.36   $ 9.91       (10.47 )%    $ 750,143       1.15     0.97     1.30     85

C

    11.28       0.07       (1.29     (1.22     (0.12     (0.18     (0.30     9.76       (11.16     70,348       1.96       1.75       0.65       85  

I

    11.52       0.20       (1.33     (1.13     (0.20     (0.18     (0.38     10.01       (10.21     120,491       0.87       0.66       1.85       85  

R3

    11.37       0.02       (1.21     (1.19     (0.15     (0.18     (0.33     9.85       (10.84     19,595       1.41       1.27       0.29       85  

R4

    11.43       0.12       (1.28     (1.16     (0.18     (0.18     (0.36     9.91       (10.58     15,357       1.19       0.99       1.29       85  

R5

    10.09       0.17       (1.13     (0.96     (0.20     (0.18     (0.38     8.75       (9.97     1,109       0.91       0.69       1.75       85  

R6

    11.48       0.11       (1.53     (1.42                       10.06       (12.37 )(5)      4,959       0.68 (6)      0.53 (6)      1.50 (6)      85  

Y

    11.51       0.22       (1.31     (1.09     (0.22     (0.18     (0.40     10.02       (9.92     27,321       0.83       0.59       2.02       85  

F

    11.53       0.18       (1.28     (1.10     (0.19     (0.18     (0.37     10.06       (9.94     74,278       0.71       0.55       1.76       85  

For the Year Ended October 31, 2017

 

A

  $ 9.37     $ 0.15     $ 2.07     $ 2.22     $ (0.17   $     $ (0.17   $ 11.42       24.17   $ 15,943       1.74     1.16     1.43     133

C

    9.25       0.07       2.06       2.13       (0.10           (0.10     11.28       23.29       4,527       2.47       1.91       0.71       133  

I

    9.44       0.20       2.06       2.26       (0.18           (0.18     11.52       24.49       14,971       1.43       0.88       1.88       133  

R3

    9.37       0.11       2.07       2.18       (0.18           (0.18     11.37       23.76       93       2.28       1.46       1.10       133  

R4

    9.40       0.15       2.07       2.22       (0.19           (0.19     11.43       24.13       740       1.75       1.17       1.39       133  

R5

    9.38       0.21       1.75       1.96       (1.25           (1.25     10.09       24.50       397       1.38       0.85       2.28       133  

Y

    9.44       0.18       2.09       2.27       (0.20           (0.20     11.51       24.67       11,822       1.31       0.78       1.76       133  

F(7)

    9.65       0.08       1.80       1.88                         11.53       19.48 (5)      1,739       1.26 (6)      0.66 (6)      1.01 (6)      133  

 

The accompanying notes are an integral part of these financial statements.

 

 

  71  

 


Hartford International/Global Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
Hartford International Equity Fund – (continued)  

For the Year Ended October 31, 2016

 

A

  $ 9.40     $ 0.14     $ 0.06     $ 0.20     $ (0.10   $ (0.13   $ (0.23   $ 9.37       2.29   $ 10,519       1.99     1.20 %(13)      1.52     95

B

    9.35       0.01       0.11       0.12       (0.03     (0.13     (0.16     9.31       1.37       120       2.71       1.95 (13)      0.17       95  

C

    9.29       0.07       0.06       0.13       (0.04     (0.13     (0.17     9.25       1.46       2,583       2.73       1.95 (13)      0.80       95  

I

    9.47       0.16       0.07       0.23       (0.13     (0.13     (0.26     9.44       2.55       5,109       1.63       0.90 (13)      1.82       95  

R3

    9.41       0.05       0.13       0.18       (0.09     (0.13     (0.22     9.37       2.02       110       2.26       1.50 (13)      0.57       95  

R4

    9.44       0.07       0.13       0.20       (0.11     (0.13     (0.24     9.40       2.24       251       1.94       1.20 (13)      0.80       95  

R5

    9.47       0.07       0.11       0.18       (0.14     (0.13     (0.27     9.38       2.01       11       1.61       0.90 (13)      0.79       95  

Y

    9.47       0.18       0.07       0.25       (0.15     (0.13     (0.28     9.44       2.73       10,857       1.51       0.80 (13)      1.96       95  

For the Year Ended October 31, 2015

 

A

  $   9.92     $   0.07     $   (0.26   $   (0.19   $   (0.08   $   (0.25   $   (0.33   $   9.40       (1.76 )%    $   12,648       1.84     1.39     0.77     125

B

    9.84             (0.24     (0.24           (0.25     (0.25     9.35       (2.34     821       2.49       2.13       0.02       125  

C

    9.80       0.01       (0.25     (0.24     (0.02     (0.25     (0.27     9.29       (2.39     2,859       2.57       2.14       0.08       125  

I

    9.98       0.11       (0.25     (0.14     (0.12     (0.25     (0.37     9.47       (1.30     4,554       1.45       1.07       1.13       125  

R3

    9.91       0.05       (0.24     (0.19     (0.06     (0.25     (0.31     9.41       (1.84     1,226       2.09       1.62       0.55       125  

R4

    9.95       0.08       (0.25     (0.17     (0.09     (0.25     (0.34     9.44       (1.62     1,149       1.78       1.32       0.85       125  

R5

    9.98       0.11       (0.25     (0.14     (0.12     (0.25     (0.37     9.47       (1.30     1,057       1.47       1.02       1.15       125  

Y

    9.98       0.12       (0.26     (0.14     (0.12     (0.25     (0.37     9.47       (1.25     10,625       1.37       0.96       1.21       125  
The Hartford International Growth Fund  

For the Year Ended October 31, 2019

 

A

  $   13.85     $ 0.09     $ 1.51     $ 1.60     $ (0.08   $ (0.97   $ (1.05   $ 14.40       12.97   $ 128,065       1.38     1.30     0.66     64

C

    12.71         (0.01     1.39       1.38             (0.97     (0.97       13.12       12.16       6,842       2.15       2.05       (0.11     64  

I

    13.75       0.14       1.49       1.63       (0.12     (0.97     (1.09     14.29       13.41       39,175       0.99       0.94       1.04       64  

R3

    14.00       0.06       1.53       1.59       (0.03     (0.97     (1.00     14.59       12.63       632       1.63       1.57       0.44       64  

R4

    14.21       0.09       1.56       1.65       (0.06     (0.97     (1.03     14.83       12.99       4,102       1.33       1.27       0.67       64  

R5

    14.34       0.14       1.57       1.71       (0.12     (0.97     (1.09     14.96       13.40       25,303       1.02       0.96       1.00       64  

R6

    14.41       0.16       1.57       1.73       (0.13     (0.97     (1.10     15.04       13.48       3,059       0.91       0.85       1.09       64  

Y

    14.39       0.15       1.57       1.72       (0.13     (0.97     (1.10     15.01       13.45       18,100       0.98       0.92       1.05       64  

F

    13.77       0.15       1.49       1.64       (0.13     (0.97     (1.10     14.31       13.50       112,149       0.91       0.85       1.12       64  

For the Year Ended October 31, 2018

 

A

  $ 15.21     $ 0.10     $ (1.38   $ (1.28   $ (0.08   $     $ (0.08   $ 13.85       (8.47 )%    $ 123,681       1.40     1.30     0.64     76

C

    13.99       (0.01     (1.27     (1.28                       12.71       (9.15     7,962       2.21       2.05       (0.09     76  

I

    15.09       0.15       (1.37     (1.22     (0.12           (0.12     13.75       (8.16     35,144       1.04       0.98       0.98       76  

R3

    15.36       0.06       (1.41     (1.35     (0.01           (0.01     14.00       (8.72     556       1.67       1.60       0.36       76  

R4

    15.59       0.09       (1.39     (1.30     (0.08           (0.08     14.21       (8.41     8,748       1.36       1.30       0.59       76  

R5

    15.74       0.17       (1.45     (1.28     (0.12           (0.12     14.34       (8.19     21,691       1.06       1.00       1.03       76  

R6(14)

    16.23       0.02       (1.84     (1.82                       14.41       (11.21 )(5)      583       0.94 (6)      0.86 (6)      0.22 (6)      76  

Y

    15.79       0.17       (1.44     (1.27     (0.13           (0.13     14.39       (8.13     16,422       0.98       0.91       1.05       76  

F

    15.11       0.16       (1.37     (1.21     (0.13           (0.13     13.77       (8.10     94,527       0.95       0.89       1.07       76  

For the Year Ended October 31, 2017

 

A

  $ 12.24     $ 0.09     $ 3.02     $ 3.11     $ (0.14   $     $ (0.14   $ 15.21       25.79   $   124,332       1.48     1.30     0.71     82

C

    11.26       (0.01     2.79       2.78       (0.05           (0.05     13.99       24.88       15,539       2.21       2.05       (0.06     82  

I

    12.16       0.15       2.96       3.11       (0.18           (0.18     15.09       26.05       26,644       1.34       1.00       1.18       82  

R3

    12.33       0.06       3.05       3.11       (0.08           (0.08     15.36       25.48       649       1.81       1.60       0.45       82  

R4

    12.55       0.10       3.09       3.19       (0.15           (0.15     15.59       25.75       11,579       1.39       1.30       0.75       82  

R5

    12.67       0.13       3.12       3.25       (0.18           (0.18     15.74       26.23       7,184       1.10       1.00       0.93       82  

Y

    12.71       0.11       3.16       3.27       (0.19           (0.19     15.79       26.20       11,865       1.01       0.95       0.81       82  

F(7)

    12.18       0.06       2.87       2.93                         15.11       24.06 (5)      61,131       0.99 (6)      0.90 (6)      0.65 (6)      82  

 

The accompanying notes are an integral part of these financial statements.

 

 

  72  

 


Hartford International/Global Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford International Growth Fund – (continued)  

For the Year Ended October 31, 2016

 

A

  $ 12.38     $ 0.13     $ (0.19   $ (0.06   $ (0.08   $     $ (0.08   $ 12.24       (0.39 )%    $ 109,049       1.56     1.32 %(15)      1.07     89

B

    11.41       0.02       (0.16     (0.14                       11.27       (1.23     911       2.69       2.07 (15)      0.19       89  

C

    11.40       0.03       (0.16     (0.13     (0.01           (0.01     11.26       (1.22     14,706       2.27       2.07 (15)      0.30       89  

I

    12.30       0.17       (0.18     (0.01     (0.13           (0.13     12.16       (0.12     35,437       1.19       1.02 (15)      1.39       89  

R3

    12.50       0.10       (0.20     (0.10     (0.07           (0.07     12.33       (0.78     1,027       1.79       1.62 (15)      0.81       89  

R4

    12.72       0.15       (0.20     (0.05     (0.12           (0.12     12.55       (0.45     10,542       1.43       1.32 (15)      1.18       89  

R5

    12.82       0.17       (0.19     (0.02     (0.13           (0.13     12.67       (0.17     5,925       1.13       1.02 (15)      1.39       89  

Y

    12.86       0.16       (0.17     (0.01     (0.14           (0.14     12.71       (0.09     17,282       1.03       0.97 (15)      1.25       89  

For the Year Ended October 31, 2015

 

A

  $   12.56     $ 0.08     $ (0.24   $ (0.16   $   (0.02   $   —     $   (0.02   $   12.38       (1.31 )%    $   119,554       1.51     1.43     0.65     121

B

    11.65         (0.03       (0.21       (0.24                       11.41       (2.06     2,379       2.63       2.20       (0.24     121  

C

    11.63             (0.23     (0.23                       11.40       (1.98     18,454       2.22       2.14       (0.04     121  

I

    12.51       0.16       (0.28     (0.12     (0.09           (0.09     12.30       (0.98     42,404       1.09       1.03       1.27       121  

R3

    12.68       0.08       (0.26     (0.18                       12.50       (1.42     1,152       1.75       1.60       0.59       121  

R4

    12.92       0.11       (0.25     (0.14     (0.06           (0.06     12.72       (1.09     6,280       1.39       1.30       0.84       121  

R5

    13.01       0.18       (0.28     (0.10     (0.09           (0.09     12.82       (0.83     5,915       1.08       1.00       1.33       121  

Y

    13.06       0.14       (0.25     (0.11     (0.09           (0.09     12.86       (0.79     39,569       0.97       0.95       1.09       121  
The Hartford International Opportunities Fund  

For the Year Ended October 31, 2019

 

A

  $ 14.66     $ 0.21     $ 1.36     $ 1.57     $ (0.18   $   (0.35   $ (0.53   $ 15.70       11.32   $ 464,083       1.12     1.12     1.42     92

C

    12.74       0.08       1.19       1.27       (0.03     (0.35     (0.38     13.63       10.46       37,457       1.89       1.89       0.64       92  

I

    14.60       0.25       1.35       1.60       (0.23     (0.35     (0.58     15.62       11.67       350,647       0.79       0.79       1.71       92  

R3

    14.87       0.17       1.39       1.56       (0.13     (0.35     (0.48     15.95       11.03       51,593       1.42       1.42       1.14       92  

R4

    15.16       0.22       1.41       1.63       (0.18     (0.35     (0.53     16.26       11.34       133,349       1.12       1.12       1.44       92  

R5

    15.32       0.27       1.42       1.69       (0.23     (0.35     (0.58     16.43       11.73       265,062       0.80       0.80       1.74       92  

R6

    15.42       0.30       1.41       1.71       (0.25     (0.35     (0.60     16.53       11.78       638,619       0.70       0.70       1.93       92  

Y

    15.41       0.28       1.43       1.71       (0.24     (0.35     (0.59     16.53       11.80       981,426       0.78       0.75       1.80       92  

F

    14.61       0.27       1.35       1.62       (0.25     (0.35     (0.60     15.63       11.82       660,251       0.70       0.70       1.82       92  

For the Year Ended October 31, 2018

 

A

  $ 17.49     $ 0.18     $ (2.19   $ (2.01   $ (0.21   $ (0.61   $ (0.82   $ 14.66       (12.07 )%    $ 480,730       1.10     1.10     1.05     76

C

    15.33       0.05       (1.90     (1.85     (0.13     (0.61     (0.74     12.74       (12.71     48,193       1.87       1.86       0.32       76  

I

    17.41       0.24       (2.19     (1.95     (0.25     (0.61     (0.86     14.60       (11.81     457,499       0.79       0.79       1.41       76  

R3

    17.73       0.13       (2.22     (2.09     (0.16     (0.61     (0.77     14.87       (12.33     57,967       1.41       1.41       0.73       76  

R4

    18.06       0.18       (2.26     (2.08     (0.21     (0.61     (0.82     15.16       (12.07     157,811       1.11       1.11       1.04       76  

R5

    18.24       0.24       (2.29     (2.05     (0.26     (0.61     (0.87     15.32       (11.82     253,440       0.80       0.80       1.35       76  

R6

    18.34       0.27       (2.30     (2.03     (0.28     (0.61     (0.89     15.42       (11.69     505,433       0.70       0.70       1.56       76  

Y

    18.34       0.25       (2.30     (2.05     (0.27     (0.61     (0.88     15.41       (11.77       1,029,715       0.74       0.74       1.41       76  

F

    17.43       0.25       (2.18     (1.93     (0.28     (0.61     (0.89     14.61       (11.72     599,574       0.70       0.70       1.49       76  

For the Year Ended October 31, 2017

 

A

  $ 14.36     $ 0.18     $ 3.10     $ 3.28     $ (0.15   $     $ (0.15   $ 17.49       23.07   $ 571,753       1.14     1.14     1.11     102

C

    12.61       0.05       2.73       2.78       (0.06           (0.06     15.33       22.13       67,778       1.88       1.88       0.37       102  

I

    14.31       0.24       3.07       3.31       (0.21           (0.21     17.41       23.36       428,563       0.89       0.89       1.54       102  

R3

    14.58       0.14       3.14       3.28       (0.13           (0.13     17.73       22.69       69,884       1.42       1.42       0.87       102  

R4

    14.84       0.19       3.20       3.39       (0.17           (0.17     18.06       23.07       192,812       1.12       1.12       1.17       102  

R5

    14.98       0.25       3.22       3.47       (0.21           (0.21     18.24       23.47       240,029       0.82       0.82       1.52       102  

R6

    15.06       0.29       3.21       3.50       (0.22           (0.22     18.34       23.59       218,688       0.71       0.71       1.70       102  

Y

    15.07       0.24       3.25       3.49       (0.22           (0.22     18.34       23.51       1,131,809       0.74       0.74       1.49       102  

F(7)

    14.79       0.20       2.44       2.64                         17.43       17.85 (5)      526,321       0.71 (6)      0.71 (6)      1.75 (6)      102  

 

The accompanying notes are an integral part of these financial statements.

 

 

  73  

 


Hartford International/Global Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford International Opportunities Fund – (continued)  

For the Year Ended October 31, 2016

 

A

  $ 15.11     $ 0.18     $ (0.59   $ (0.41   $ (0.11   $ (0.23   $ (0.34   $ 14.36       (2.68 )%    $ 483,835       1.20     1.20     1.27     82

B

    13.69       0.03       (0.52     (0.49           (0.23     (0.23     12.97       (3.52     1,354       2.39       2.04       0.26       82  

C

    13.32       0.07       (0.53     (0.46     (0.02     (0.23     (0.25     12.61       (3.38     54,507       1.93       1.93       0.52       82  

I

    15.07       0.23       (0.60     (0.37     (0.16     (0.23     (0.39     14.31       (2.34     271,707       0.88       0.88       1.65       82  

R3

    15.33       0.15       (0.60     (0.45     (0.07     (0.23     (0.30     14.58       (2.88     58,367       1.45       1.45       1.02       82  

R4

    15.59       0.19       (0.60     (0.41     (0.11     (0.23     (0.34     14.84       (2.58     139,731       1.14       1.14       1.32       82  

R5

    15.74       0.24       (0.61     (0.37     (0.16     (0.23     (0.39     14.98       (2.33     101,936       0.84       0.84       1.64       82  

R6

    15.82       0.28       (0.64     (0.36     (0.17     (0.23     (0.40     15.06       (2.23     29,571       0.74       0.74       1.87       82  

Y

    15.82       0.27         (0.62       (0.35       (0.17       (0.23       (0.40       15.07       (2.16       1,093,849       0.74       0.74       1.80       82  

For the Year Ended October 31, 2015

 

A

  $   16.96     $   0.15     $ 0.04     $ 0.19     $ (0.17   $ (1.87   $ (2.04   $ 15.11       1.59   $ 545,253       1.19     1.19     0.99     78

B

    15.52       0.01       0.05       0.06       (0.02     (1.87     (1.89     13.69       0.79       4,594       2.30       2.03       0.07       78  

C

    15.20       0.03       0.04       0.07       (0.08     (1.87     (1.95     13.32       0.90       60,015       1.92       1.92       0.23       78  

I

    16.91       0.20       0.05       0.25       (0.22     (1.87     (2.09     15.07       2.03       102,836       0.84       0.84       1.27       78  

R3

    17.18       0.12       0.04       0.16       (0.14     (1.87     (2.01     15.33       1.36       48,652       1.44       1.44       0.75       78  

R4

    17.43       0.16       0.05       0.21       (0.18     (1.87     (2.05     15.59       1.68       122,311       1.14       1.14       1.03       78  

R5

    17.58       0.21       0.04       0.25       (0.22     (1.87     (2.09     15.74       1.94       98,671       0.84       0.84       1.32       78  

R6(16)

    17.42       0.07       0.43       0.50       (0.23     (1.87     (2.10     15.82       3.44 (5)      2,984       0.85 (6)      0.85 (6)      0.46 (6)      78  

Y

    17.66       0.23       0.03       0.26       (0.23     (1.87     (2.10     15.82       2.03       648,411       0.74       0.74       1.42       78  
The Hartford International Small Company Fund  

For the Year Ended October 31, 2019

 

A

  $ 14.00     $ 0.09     $ (0.40   $ (0.31   $ (0.07   $ (1.76   $ (1.83   $ 11.86       (0.60 )%    $ 41,036       1.53     1.49     0.74     44

C

    12.52       0.0 (19)      (0.36     (0.36           (1.76     (1.76     10.40       (1.26     2,867       2.27       2.24       (0.02     44  

I

    13.91       0.12       (0.39     (0.27     (0.11     (1.76     (1.87     11.77       (0.23     5,545       1.20       1.17       1.00       44  

R3

    14.08       0.07       (0.39     (0.32     (0.03     (1.76     (1.79     11.97       (0.70     6,440       1.74       1.65       0.61       44  

R4

    14.18       0.11       (0.41     (0.30     (0.08     (1.76     (1.84     12.04       (0.42     3,177       1.44       1.35       0.90       44  

R5

    14.28       0.13       (0.40     (0.27     (0.13     (1.76     (1.89     12.12       (0.11     697       1.15       1.05       1.06       44  

Y

    14.29       0.16       (0.41     (0.25     (0.14     (1.76     (1.90     12.14       (0.06     35,995       1.09       1.00       1.30       44  

F

    13.93       0.14       (0.40     (0.26     (0.14     (1.76     (1.90     11.77       (0.12     1,373       1.03       1.00       1.20       44  

For the Year Ended October 31, 2018

 

A

  $ 17.51     $ 0.10     $ (2.34   $ (2.24   $ (0.20   $ (1.07   $ (1.27   $ 14.00       (13.85 )%    $ 51,258       1.46     1.46     0.61     38

C

    15.80       (0.02     (2.10     (2.12     (0.09     (1.07     (1.16     12.52       (14.50     4,669       2.24       2.22       (0.13     38  

I

    17.41       0.14       (2.31     (2.17     (0.26     (1.07     (1.33     13.91       (13.55     23,382       1.08       1.08       0.83       38  

R3

    17.61       0.07       (2.36     (2.29     (0.17     (1.07     (1.24     14.08       (14.02     7,505       1.70       1.65       0.44       38  

R4

    17.70       0.12       (2.37     (2.25     (0.20     (1.07     (1.27     14.18       (13.71     5,176       1.40       1.35       0.73       38  

R5

    17.82       0.18       (2.39     (2.21     (0.26     (1.07     (1.33     14.28       (13.46     1,922       1.11       1.05       1.04       38  

Y

    17.83       0.18       (2.39     (2.21     (0.26     (1.07     (1.33     14.29       (13.43     113,001       1.00       1.00       1.07       38  

F

    17.42       0.18       (2.33     (2.15     (0.27     (1.07     (1.34     13.93       (13.43     60,870       0.99       0.99       1.12       38  

For the Year Ended October 31, 2017

 

A

  $ 13.61     $ 0.09     $ 3.87     $ 3.96     $ (0.06   $     $ (0.06   $ 17.51       29.29   $ 63,826       1.43     1.43     0.59     36

C

    12.32         (0.02     3.50       3.48                         15.80       28.25       11,541       2.18       2.17       (0.15     36  

I

    13.53       0.15       3.84       3.99       (0.11           (0.11     17.41       29.76       61,910       1.05       1.05       0.97       36  

R3

    13.69       0.06       3.89       3.95       (0.03           (0.03     17.61       28.95       9,709       1.69       1.65       0.37       36  

R4

    13.77       0.11       3.90       4.01       (0.08           (0.08     17.70       29.35       8,412       1.39       1.35       0.71       36  

R5

    13.86       0.15       3.93       4.08       (0.12           (0.12     17.82       29.75       2,241       1.09       1.05       0.99       36  

Y

    13.88       0.14       3.94       4.08       (0.13           (0.13     17.83       29.72       157,763       1.00       1.00       0.91       36  

F(7)

    14.12       0.13       3.17       3.30                         17.42       23.37 (5)      74,987       0.98 (6)      0.98 (6)      1.24 (6)      36  

 

The accompanying notes are an integral part of these financial statements.

 

 

  74  

 


Hartford International/Global Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford International Small Company Fund – (continued)  

For the Year Ended October 31, 2016

 

A

  $   14.49     $ 0.07     $ (0.83   $ (0.76   $   (0.05   $   (0.07   $   (0.12   $   13.61       (5.31 )%    $ 61,507       1.47     1.47 %(17)      0.48     43

B

    13.56         (0.07       (0.75       (0.82           (0.07     (0.07     12.67       (6.05     318       2.70       2.29 (17)      (0.53     43  

C

    13.18       (0.03     (0.76     (0.79           (0.07     (0.07     12.32       (5.99     11,202       2.21       2.21 (17)      (0.27     43  

I

    14.41       0.11       (0.81     (0.70     (0.11     (0.07     (0.18     13.53       (4.90     66,525       1.11       1.11 (17)      0.83       43  

R3

    14.58       0.04       (0.84     (0.80     (0.02     (0.07     (0.09     13.69       (5.47     8,954       1.69       1.66 (17)      0.32       43  

R4

    14.66       0.09       (0.85     (0.76     (0.06     (0.07     (0.13     13.77       (5.17     7,619       1.39       1.36 (17)      0.66       43  

R5

    14.76       0.21       (0.93     (0.72     (0.11     (0.07     (0.18     13.86       (4.92     1,975       1.10       1.06 (17)      1.51       43  

Y

    14.76       0.15       (0.84     (0.69     (0.12     (0.07     (0.19     13.88       (4.73       290,395       0.99       0.99 (17)      1.09       43  

For the Year Ended October 31, 2015

 

A

  $ 16.85     $ 0.04     $ 0.85     $ 0.89     $ (0.24   $ (3.01   $ (3.25   $ 14.49       7.24   $ 74,087       1.47     1.47     0.27     55

B

    15.88       (0.07     0.83       0.76       (0.07     (3.01     (3.08     13.56       6.64       1,072       2.58       2.16       (0.53     55  

C

    15.61       (0.06     0.78       0.72       (0.14     (3.01     (3.15     13.18       6.56       15,623       2.19       2.19       (0.47     55  

I

    16.76       0.11       0.83       0.94       (0.28     (3.01     (3.29     14.41       7.68       77,563       1.09       1.09       0.76       55  

R3

    16.94       0.01       0.87       0.88       (0.23     (3.01     (3.24     14.58       7.12       10,022       1.69       1.65       0.10       55  

R4

    17.02       0.06       0.87       0.93       (0.28     (3.01     (3.29     14.66       7.43       7,413       1.39       1.35       0.42       55  

R5

    17.11       0.11       0.86       0.97       (0.31     (3.01     (3.32     14.76       7.69       476       1.12       1.05       0.75       55  

Y

    17.12       0.12       0.85       0.97       (0.32     (3.01     (3.33     14.76       7.72       166,480       0.99       0.99       0.82       55  
The Hartford International Value Fund  

For the Year Ended October 31, 2019

 

A

  $ 15.11     $ 0.31     $ 0.15     $ 0.46     $ (0.34   $ (0.70   $ (1.04   $ 14.53       3.90   $ 205,566       1.20     1.20     2.19     51

C

    14.86       0.20       0.17       0.37       (0.22     (0.70     (0.92     14.31       3.14       17,367       1.95       1.95       1.45       51  

I

    15.28       0.39       0.12       0.51       (0.40     (0.70     (1.10     14.69       4.20         1,004,021       0.91       0.91       2.74       51  

R3

    15.17       0.25       0.18       0.43       (0.28     (0.70     (0.98     14.62       3.53       669       1.54       1.54       1.80       51  

R4

    15.20       0.31       0.15       0.46       (0.34     (0.70     (1.04     14.62       3.85       1,396       1.25       1.25       2.17       51  

R5

    15.32       0.39       0.11       0.50       (0.40     (0.70     (1.10     14.72       4.13       34,293       0.95       0.95       2.80       51  

R6(12)

    14.59       0.30       0.14       0.44                         15.03       3.05 (5)      170,365       0.84 (6)      0.84 (6)      3.15 (6)      51  

Y

    15.60       0.38       0.14       0.52       (0.40     (0.70     (1.10     15.02       4.21       619,624       0.90       0.89       2.63       51  

F

    15.30       0.36       0.15       0.51       (0.41     (0.70     (1.11     14.70       4.24       280,593       0.84       0.84       2.55       51  

For the Year Ended October 31, 2018

 

A

  $ 17.87     $ 0.28     $ (1.88   $ (1.60   $ (0.55   $ (0.61   $ (1.16   $ 15.11       (9.67 )%    $ 293,131       1.20     1.20     1.65     22

C

    17.61       0.15       (1.85     (1.70     (0.44     (0.61     (1.05     14.86       (10.32     26,524       1.92       1.92       0.92       22  

I

    18.07       0.33       (1.90     (1.57     (0.61     (0.61     (1.22     15.28       (9.41     905,960       0.90       0.90       1.91       22  

R3

    17.99       0.23       (1.91     (1.68     (0.53     (0.61     (1.14     15.17       (10.02     851       1.55       1.55       1.32       22  

R4

    17.98       0.28       (1.90     (1.62     (0.55     (0.61     (1.16     15.20       (9.71     1,441       1.25       1.25       1.64       22  

R5

    18.13       0.34       (1.93     (1.59     (0.61     (0.61     (1.22     15.32       (9.46     30,210       0.93       0.93       1.98       22  

Y

    18.43       0.35       (1.95     (1.60     (0.62     (0.61     (1.23     15.60       (9.39     685,942       0.87       0.87       1.99       22  

F

    18.09       0.37       (1.93     (1.56     (0.62     (0.61     (1.23     15.30       (9.31     382,297       0.83       0.83       2.16       22  

For the Year Ended October 31, 2017

 

A

  $ 15.02     $ 0.28     $ 3.28     $ 3.56     $ (0.27   $ (0.44   $ (0.71   $ 17.87       24.76   $ 379,165       1.32     1.32     1.77     26

C

    14.80       0.18       3.24       3.42       (0.17     (0.44     (0.61     17.61       24.01       34,949       1.93       1.93       1.14       26  

I

    15.19       0.40       3.26       3.66       (0.34     (0.44     (0.78     18.07       25.21       1,196,683       0.93       0.93       2.43       26  

R3

    15.14       0.25       3.30       3.55       (0.26     (0.44     (0.70     17.99       24.46       933       1.57       1.57       1.51       26  

R4

    15.12       0.31       3.28       3.59       (0.29     (0.44     (0.73     17.98       24.83       1,758       1.25       1.25       1.91       26  

R5

    15.24       0.46       3.21       3.67       (0.34     (0.44     (0.78     18.13       25.18       21,727       0.93       0.93       2.65       26  

Y

    15.48       0.40       3.34       3.74       (0.35     (0.44     (0.79     18.43       25.29       736,027       0.86       0.86       2.37       26  

F(7)

    15.50       0.31       2.28       2.59                         18.09       16.71 (5)      377,877       0.83 (6)      0.83 (6)      2.61 (6)      26  

 

The accompanying notes are an integral part of these financial statements.

 

 

  75  

 


Hartford International/Global Equity Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(3)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets
    Portfolio
Turnover
 
The Hartford International Value Fund – (continued)  

For the Year Ended October 31, 2016

 

A

  $ 14.31     $ 0.19     $ 0.96     $ 1.15     $ (0.18   $ (0.26   $ (0.44   $ 15.02       8.38   $ 445,154       1.35     1.35 %(18)      1.40     32

C

    14.06       0.09       0.96       1.05       (0.05     (0.26     (0.31     14.80       7.70       34,860       2.00       2.00 (18)      0.70       32  

I

    14.45       0.24       0.98       1.22       (0.22     (0.26     (0.48     15.19       8.84       685,403       0.98       0.98 (18)      1.74       32  

R3

    14.28       0.12       1.00       1.12             (0.26     (0.26     15.14       8.08       545       1.61       1.61 (18)      0.85       32  

R4

    14.36       0.19       0.98       1.17       (0.15     (0.26     (0.41     15.12       8.48       1,679       1.30       1.30 (18)      1.36       32  

R5

    14.46       0.23       0.99       1.22       (0.18     (0.26     (0.44     15.24       8.83       708       1.00       1.00 (18)      1.67       32  

Y

    14.72       0.27       0.98       1.25       (0.23       (0.26       (0.49       15.48       8.90         361,119       0.89       0.89 (18)      1.88       32  

For the Year Ended October 31, 2015

 

A

  $   14.37     $   0.16     $   (0.15   $ 0.01     $ (0.07   $     $ (0.07   $ 14.31       0.08   $ 376,993       1.35     1.35     1.11     23

C

    14.16       0.03       (0.11       (0.08       (0.02           (0.02     14.06       (0.56     47,089       2.01       2.01       0.24       23  

I

    14.49       0.18       (0.12     0.06       (0.10           (0.10     14.45       0.45       679,114       0.98       0.98       1.24       23  

R3

    14.33       0.10       (0.12     (0.02     (0.03           (0.03     14.28       (0.15     1,279       1.60       1.60       0.68       23  

R4

    14.42       0.16       (0.15     0.01       (0.07           (0.07     14.36       0.08       2,431       1.30       1.30       1.08       23  

R5

    14.50       0.19       (0.13     0.06       (0.10           (0.10     14.46       0.40       1,183       0.99       0.99       1.25       23  

Y

    14.75       0.21       (0.13     0.08       (0.11           (0.11     14.72       0.55       179,103       0.90       0.90       1.41       23  

 

(1) 

Information presented relates to a share outstanding throughout the indicated period. Net investment income (loss) per share amounts are calculated based on average shares outstanding unless otherwise noted.

(2) 

Assumes initial investment at net asset value at the beginning of each period, reinvestment of all distributions, the complete redemption of the investment at net asset value at the end of each period and no sales charge. Total return would be reduced if sales charges were taken into account.

(3) 

Adjustments include waivers and reimbursements, if applicable. Ratios do not include fees paid indirectly (see Expenses in the accompanying Notes to Financial Statements).

(4) 

Includes the Fund’s share of the Master Portfolio’s allocated expenses.

(5) 

Not annualized.

(6) 

Annualized.

(7) 

Commenced operations on February 28, 2017.

(8) 

Per share amount was not in accord with the net realized and unrealized gain (loss) for the period because of the timing of transactions in shares of the Fund and the amount and timing of per-share net realized and unrealized gain (loss) on such shares.

(9) 

Excluding the expenses not subject to cap, the ratios would have been 1.75%, 2.50%, 1.35%, 1.95%, 1.65%, 1.35% and 1.30% for Class A, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(10) 

Commenced operations on February 29, 2016

(11) 

The portfolio turnover of the Fund is reflective of the portfolio turnover of the Master Portfolio.

(12) 

Commenced operations on February 28, 2019.

(13) 

Excluding the expenses not subject to cap, the ratios would have been 1.19%, 1.94%, 1.94%, 0.89%, 1.49%, 1.19%, 0.89% and 0.79% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(14) 

Commenced operations on February 28, 2018.

(15) 

Excluding the expenses not subject to cap, the ratios would have been 1.30%, 2.05%, 2.05%, 1.00%, 1.60%, 1.30%, 1.00% and 0.95% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(16) 

Commenced operations on November 7, 2014.

(17)

Excluding the expenses not subject to cap, the ratios would have been 1.46%, 2.28%, 2.20%, 1.10%, 1.65%, 1.35%, 1.05% and 0.98% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(18) 

Excluding the expenses not subject to cap, the ratios would have been 1.34%, 1.99%, 0.97%, 1.60%, 1.29%, 0.99%, and 0.88% for Class A, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(19) 

Amount is less than $0.01 per share.

(20) 

Effective October 7, 2019, the Global Impact Fund commenced operations as a stand-alone fund. The portfolio turnover is reflective of the activity from October 7, 2019 to October 31, 2019. The blended portfolio turnover rate of the Global Impact Fund and its former master portfolio, the Global Impact Master Portfolio (the “Master Portfolio”), is 108%, which reflects the portfolio turnover of the Master Portfolio from November 1, 2018 through October 4, 2019 and the Global Impact Fund from October 7, 2019 to October 31, 2019.

 

The accompanying notes are an integral part of these financial statements.

 

 

  76  

 


Hartford International/Global Equity Funds

Notes to Financial Statements

October 31, 2019

 

 

 

1.

Organization:

The Hartford Mutual Funds, Inc. (the “Company”) is an open-end registered management investment company comprised of thirty-eight series, as of October 31, 2019. Financial statements for the series of the Company listed below (each, a “Fund” and collectively, the “Funds”) are included in this report.

The Hartford Mutual Funds, Inc.:

Hartford Emerging Markets Equity Fund (the “Emerging Markets Equity Fund”)

Hartford Environmental Opportunities Fund (the “Environmental Opportunities Fund”)

Hartford Global Impact Fund (the “Global Impact Fund”)

Hartford International Equity Fund (the “International Equity Fund”)

The Hartford International Growth Fund (the “International Growth Fund”)

The Hartford International Opportunities Fund (the “International Opportunities Fund”)

The Hartford International Small Company Fund (the “International Small Company Fund”)

The Hartford International Value Fund (the “International Value Fund”)

The assets of each Fund are separate, and a shareholder’s interest is limited to the Fund in which shares are held. The Company is organized under the laws of the State of Maryland and is registered with the Securities and Exchange Commission (the “SEC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). Each Fund is a diversified open-end management investment company. Each Fund applies specialized accounting and reporting standards under Accounting Standards Codification Topic 946, “Financial Services – Investment Companies”.

Prior to the close of business on October 4, 2019, the Global Impact Fund invested all of its investable assets in the Global Impact Master Portfolio (the “Master Portfolio”), a statutory trust organized under the laws of the State of Delaware. As of the close of business on October 4, 2019, the Global Impact Fund received its pro-rata share of net assets from the Master Portfolio as part of the termination of the Master Portfolio. Effective October 7, 2019, the Global Impact Fund commenced operations as a stand-alone fund.

Each Fund has registered for sale Class A, Class C, Class I, Class R3, Class R4, Class R5, Class Y and Class F shares. In addition, each Fund, except International Small Company Fund, has registered for sale Class R6 shares. Class A shares of each Fund are sold with a front-end sales charge of up to 5.50%. Class C shares are sold with a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase. Effective October 1, 2018, Class C shares automatically convert to Class A shares of the same Fund after ten years provided that the Fund or the financial intermediary has records verifying that the Class C shares have been held for at least ten years. Classes I, R3, R4, R5, R6, Y and F shares do not have a sales charge. The International Small Company Fund, International Value Fund, and certain classes of the International Equity Fund are closed to new investors, subject to certain exceptions. For more information, please see the Funds’ prospectus.

 

2.

Significant Accounting Policies:

The following is a summary of significant accounting policies of each Fund used in the preparation of its financial statements, which are in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”). The preparation of financial statements in accordance with U.S. GAAP may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

 

  a)

Determination of Net Asset Value – The net asset value (“NAV”) of each class of each Fund’s shares is determined as of the close of regular trading (normally 4:00 p.m. Eastern Time) (the “NYSE Close”) on each day that the New York Stock Exchange (the “Exchange”) is open. Information that becomes known to the Funds after the NAV has been calculated on a particular day will not generally be used to retroactively adjust the NAV determined earlier that day.

 

  b)

Investment Valuation and Fair Value Measurements – For purposes of calculating the NAV of each class of each Fund, portfolio securities and other assets held in the Fund’s portfolio for which market prices are readily available are valued at market value. Market value is generally determined on the basis of official close price or last reported trade price. If no trades were reported, market value is based on prices obtained from a quotation reporting system, established market makers (including evaluated prices), or independent pricing services. Pricing vendors may use matrix pricing or valuation models that utilize certain inputs and assumptions to derive values, including transaction data, credit quality information, general market conditions, news, and other factors and assumptions.

If market prices are not readily available or are deemed unreliable, a Fund will use the fair value of the security or other instrument as determined in good faith under policies and procedures established by and under the supervision of the Board of Directors of the Company (the “Board of Directors”) (“Valuation Procedures”). Market prices are considered not readily available where there is an absence of current or reliable market-based data (e.g., trade information or broker quotes), including where events occur after the close of the relevant market, but prior to the NYSE Close, that materially affect the values of a Fund’s portfolio holdings or assets. In addition, market prices are considered not readily available when, due to extraordinary circumstances, the exchanges or markets on which the securities or other

 

 

  77  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

instruments trade do not open for trading for the entire day and no other market prices are available. Fair value pricing is subjective in nature and the use of fair value pricing by a Fund may cause the NAV of its shares to differ significantly from the NAV that would have been calculated using market prices at the close of the exchange on which a portfolio holding is primarily traded. There can be no assurance that a Fund could obtain the fair value assigned to an investment if the Fund were to sell the investment at approximately the time at which the Fund determines its NAV.

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service in order to reflect an adjustment for the factors occurring after the close of certain foreign markets but before the NYSE Close. Securities and other instruments that are primarily traded on foreign markets may trade on days that are not business days of the Funds. The value of the foreign securities or other instruments in which a Fund invests may change on days when a shareholder will not be able to purchase or redeem shares of the Fund.

Fixed income investments (other than short-term obligations) held by a Fund are normally valued at prices supplied by independent pricing services in accordance with the Valuation Procedures. Short-term investments maturing in 60 days or less are generally valued at amortized cost if their original term to maturity was 60 days or less, or by amortizing their value on the 61st day prior to maturity, if the original term exceeded 60 days.

Exchange-traded derivatives, such as options, futures and options on futures, are valued at the last sale price determined by the exchange where such instruments principally trade as of the close of such exchange (“Exchange Close”). If a last sale price is not available, the value will be the mean of the most recently quoted bid and ask prices as of the Exchange Close. If a mean of the bid and ask prices cannot be calculated for the day, the value will be the most recently quoted bid price as of the Exchange Close. Over-the-counter derivatives are normally valued based on prices supplied by independent pricing services in accordance with the Valuation Procedures.

Investments valued in currencies other than U.S. dollars are converted to U.S. dollars using the prevailing spot currency exchange rates obtained from independent pricing services for calculation of the NAV. As a result, the NAV of a Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of securities or other instruments traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the Exchange is closed and the market value may change on days when an investor is not able to purchase, redeem or exchange shares of a Fund.

Foreign currency contracts represent agreements to exchange currencies on specific future dates at predetermined rates. Foreign currency contracts are valued using foreign currency exchange rates and forward rates as provided by an independent pricing service on the Valuation Date.

Investments in open-end mutual funds, if any, are valued at the respective NAV of each open-end mutual fund on the Valuation Date. Shares of investment companies listed and traded on an exchange are valued in the same manner as any exchange-listed equity security. Such open-end mutual funds and listed investment companies may use fair value pricing as disclosed in their prospectuses.

Financial instruments for which prices are not available from an independent pricing service may be valued using market quotations obtained from one or more dealers that make markets in the respective financial instrument in accordance with the Valuation Procedures.

U.S. GAAP defines fair value as the price that a Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants. The U.S. GAAP fair value measurement standards require disclosure of a fair value hierarchy for each major category of assets and liabilities. Various inputs are used in determining the fair value of each Fund’s investments. These inputs are summarized into three broad hierarchy levels. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are:

 

   

Level 1 – Quoted prices in active markets for identical investments. Level 1 may include exchange traded instruments, such as domestic equities, some foreign equities, options, futures, mutual funds, exchange traded funds, rights and warrants.

   

Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar investments; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 2 may include debt investments that are traded less frequently than exchange traded instruments and which are valued using independent pricing services; foreign equities, which are principally traded on certain foreign markets and are adjusted daily pursuant to a fair value pricing service in order to reflect an adjustment for the factors occurring after the close of certain foreign markets but before the NYSE Close; senior floating rate interests, which are valued using an aggregate of dealer bids; short-term investments, which are valued at amortized cost; and swaps, which are valued based upon the terms of each swap contract.

   

Level 3 – Significant unobservable inputs that are supported by limited or no market activity. Level 3 may include financial instruments whose values are determined using indicative market quotes or require significant management judgment or estimation. These unobservable valuation inputs may include estimates for current yields, maturity/duration, prepayment speed, and indicative market quotes for comparable investments along with other assumptions relating to credit quality, collateral value, complexity of the investment structure, general market conditions and liquidity. This category may include investments where trading has been halted or there are

 

 

  78  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  certain restrictions on trading. While these investments are priced using unobservable inputs, the valuation of these investments reflects the best available data and management believes the prices are a reasonable representation of exit price.

The Board of Directors has delegated the day-to-day responsibility for implementing the Valuation Procedures to the Valuation Committee. The Valuation Committee will consider all relevant factors in determining an investment’s fair value, and may seek the advice of such Fund’s sub-advisor(s), as applicable, knowledgeable brokers, and legal counsel in making such determination. The Valuation Committee reports to the Audit Committee of the Board of Directors.

Valuation levels are not necessarily indicative of the risk associated with investing in such investments. Individual investments within any of the above mentioned asset classes may be assigned a different hierarchical level than those presented above, as individual circumstances dictate.

For additional information, refer to the Fair Valuation Summary and the Level 3 roll-forward reconciliation, if applicable, which follows each Fund’s Schedule of Investments.

 

  c)

Investment Transactions and Investment Income – Investment transactions are recorded as of the trade date (the date the order to buy or sell is executed) for financial reporting purposes. Investments purchased or sold on a when-issued or delayed-delivery basis may be settled a month or more after the trade date. Realized gains and losses are determined on the basis of identified cost.

Dividend income from domestic securities is accrued on the ex-dividend date. In general, dividend income from foreign securities is recorded on the ex-date; however, dividend notifications in certain foreign jurisdictions may not be available in a timely manner and as a result, a Fund will record the dividend as soon as the relevant details (i.e., rate per share, payment date, shareholders of record, etc.) are publicly available. Interest income, including amortization of premium, accretion of discounts and additional principal received in-kind in lieu of cash, is accrued on a daily basis.

Please refer to Note 9 for Securities Lending Information.

Prior to the close of business on October 4, 2019, the net investment income or loss of the Global Impact Fund consisted of the Global Impact Fund’s pro-rata share of the net investment income or loss of the Master Portfolio, less all actual and accrued expenses of the Global Impact Fund.

 

  d)

Taxes – A Fund may be subject to taxes imposed on realized gains on securities of certain foreign countries in which such Fund invests. A Fund may also be subject to taxes withheld on foreign dividends from securities in which the Fund invests. The amount of any foreign taxes withheld and foreign tax expense is included on the accompanying Statements of Operations as a reduction to net investment income or net realized gain on investments in these securities, if applicable.

 

  e)

Foreign Currency Transactions – Assets and liabilities denominated in currencies other than U.S. dollars are translated into U.S. dollars at the exchange rates in effect on the Valuation Date. Purchases and sales of investments, income and expenses are translated into U.S. dollars at the exchange rates on the dates of such transactions.

A Fund does not isolate that portion of portfolio investment valuation resulting from fluctuations in the foreign currency exchange rates from the fluctuations arising from changes in the market prices of investments held. Exchange rate fluctuations are included with the net realized and unrealized gain or loss on investments in the accompanying financial statements.

Net realized foreign exchange gains or losses arise from sales of foreign currencies and the difference between asset and liability amounts initially stated in foreign currencies and the U.S. dollar value of the amounts actually received or paid. Net unrealized foreign exchange gains or losses arise from changes in the value of other assets and liabilities at the end of the reporting period, resulting from changes in the exchange rates.

 

  f)

Joint Trading Account – A Fund may invest cash balances into a joint trading account that may be invested in one or more repurchase agreements.

 

  g)

Fund Share Valuation and Dividend Distributions to Shareholders – Orders for each class of each Fund’s shares are executed in accordance with the investment instructions of the shareholders. The NAV of each class of each Fund’s shares is determined as of the close of business on each business day of the Exchange (see Note 2(a)). The NAV is determined separately for each class of shares of a Fund by dividing the Fund’s net assets attributable to that class by the number of shares of the class outstanding. Each class of shares offered by a Fund has equal rights as to assets and voting privileges (except that shareholders of a class have exclusive voting rights regarding any matter relating solely to that class of shares). Income and non-class specific expenses are allocated daily to each class on the basis of the relative net assets of the class of the Fund. Realized and unrealized gains and losses are allocated daily based on the relative net assets of each class of shares of each Fund.

 

 

  79  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Orders for the purchase of a Fund’s shares received prior to the close of the Exchange on any day the Exchange is open for business are priced at the NAV determined as of the close of the Exchange. Orders received after the close of the Exchange, or on a day on which the Exchange and/or the Funds are not open for business, are priced at the next determined NAV.

Dividends are declared pursuant to a policy adopted by the Company’s Board of Directors. Dividends and/or distributions to shareholders are recorded on ex-date. The policy of each Fund is to pay dividends from net investment income and realized gains, if any, at least once a year.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP with respect to character and timing (see Federal Income Taxes: Distributions and Components of Distributable Earnings and Reclassification of Capital Accounts notes).

 

3.

Securities and Other Investments:

Restricted Securities – Each Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities, if applicable, is included at the end of each Fund’s Schedule of Investments.

 

4.

Financial Derivative Instruments:

The following disclosures contain information on how and why a Fund may use derivative instruments, the credit-risk-related contingent features in certain derivative instruments, and how derivative instruments affect a Fund’s financial position and results of operations. The location and fair value amounts of these instruments on the Statements of Assets and Liabilities and the realized gains and losses and changes in unrealized gains and losses on the Statements of Operations, each categorized by type of derivative contract, are included in the following Additional Derivative Instrument Information footnote. The derivative instruments outstanding as of period-end are disclosed in the notes to the Schedules of Investments, if applicable. The amounts of realized gains and losses and changes in unrealized gains and losses on derivative instruments during the period are disclosed in the Statements of Operations.

 

  a)

Foreign Currency Contracts – A Fund may enter into foreign currency contracts that obligate the Fund to purchase or sell currencies at specified future dates. Foreign currency contracts may be used in connection with settling purchases or sales of securities to hedge the currency exposure associated with some or all of a Fund’s investments and/or as part of an investment strategy. Foreign currency contracts are marked to market daily and the change in value is recorded by a Fund as an unrealized gain or loss. A Fund will record a realized gain or loss when the foreign currency contract is settled.

Foreign currency contracts involve elements of market risk in excess of the amounts reflected in the Statements of Assets and Liabilities. In addition, risks may arise upon entering into these contracts from the potential inability of the counterparties to meet the terms of the contracts and from unanticipated movements in the value of the foreign currencies relative to the U.S. dollar. Upon entering into a foreign currency contract, a Fund may be required to post margin equal to its outstanding exposure thereunder.

During the year ended October 31, 2019, Global Impact Fund and International Value Fund had used Foreign Currency Contracts.

 

  b)

Futures Contracts – A Fund may enter into futures contracts. A futures contract is an agreement between two parties to buy or sell an asset at a set price on a future date. A Fund may use futures contracts to manage risk or obtain exposure to the investment markets, commodities, or movements in interest rates and currency values. The primary risks associated with the use of futures contracts are the imperfect correlation between the change in market value of the investments held by a Fund and the prices of futures contracts and the possibility of an illiquid market. Upon entering into a futures contract, a Fund is required to deposit with a futures commission merchant (“FCM”) an amount of cash or U.S. Government or Agency Obligations in accordance with the initial margin requirements of the broker or exchange. Futures contracts are marked to market daily and an appropriate amount equal to the change in value (“variation margin”) is paid or received by a Fund. Gains or losses are recognized but not considered realized until the contracts expire or are closed. Futures contracts involve, to varying degrees, risk of loss in excess of the variation margin disclosed on the Statements of Assets and Liabilities.

During the year ended October 31, 2019, Emerging Markets Equity Fund, International Equity Fund, International Small Company Fund and International Value Fund had used Futures Contracts.

 

 

  80  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  c)

Additional Derivative Instrument Information:

Emerging Markets Equity Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on futures contracts(1)

   $     —      $     —      $     —      $     85,549      $     —      $     —      $     85,549  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $      $      $ 85,549      $      $      $ 85,549  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
    Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                   

Net realized gain (loss) on futures contracts

   $      $      $      $ (170,292   $      $      $ (170,292
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $      $      $      $     (170,292   $     —      $     —      $     (170,292
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                   

Net change in unrealized appreciation (depreciation) of futures contracts

   $      $      $      $ 63,975     $      $      $ 63,975  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     —      $     —      $     —      $ 63,975     $      $      $ 63,975  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Futures Contracts Long at Number of Contracts

     70  

Global Impact Fund

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
    Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                   

Net realized gain (loss) on foreign currency contracts

   $     —      $     (11,302   $     —      $     —      $     —      $     —      $     (11,302
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $ (11,302   $      $      $      $      $ (11,302
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

 

  81  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

International Equity Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

                    

Unrealized appreciation on futures contracts(1)

   $      $      $      $ 131,953      $      $      $ 131,953  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $      $      $ 131,953      $      $      $ 131,953  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(1)

   $      $      $      $ 15,005      $      $      $ 15,005  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $     —      $     —      $     15,005      $     —      $     —      $     15,005  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
    Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a
Result of Operations:

 

          

Net realized gain (loss) on futures contracts

   $      $      $      $ 2,724,213     $      $      $ 2,724,213  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $      $     —      $     —      $     2,724,213     $     —      $     —      $     2,724,213  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on
Derivatives Recognized as a Result of Operations:

 

          

Net change in unrealized appreciation (depreciation) of futures contracts

   $      $      $      $ (100,113   $      $      $ (100,113
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     —      $      $      $ (100,113   $      $      $ (100,113
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Futures Contracts Long at Number of Contracts

     146  

International Small Company Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on futures contracts(1)

   $      $      $      $ 20,959      $      $      $ 20,959  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $     —      $     —      $     20,959      $     —      $     —      $     20,959  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

 

 

  82  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

International Small Company Fund – (continued)

 

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Net Change in Unrealized Appreciation (Depreciation) on
Derivatives Recognized as a Result of Operations:

 

Net change in unrealized appreciation (depreciation) of futures contracts

   $      $      $      $ 20,959      $      $      $ 20,959  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $     —      $     —      $     20,959      $     —      $     —      $     20,959  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Futures Contracts Long at Number of Contracts

     485  

International Value Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

                    

Unrealized appreciation on futures contracts(1)

   $     —      $     —      $     —      $     337,626      $     —      $     —      $     337,626  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $      $      $ 337,626      $      $      $ 337,626  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                    

Net realized gain (loss) on futures contracts

   $      $      $      $ 2,112,996      $      $      $ 2,112,996  

Net realized gain (loss) on foreign currency contracts

            338,299                                    338,299  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $     338,299      $     —      $     2,112,996      $     —      $     —      $     2,451,295  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                    

Net change in unrealized appreciation (depreciation) of futures contracts

   $      $      $      $ 337,626      $      $      $ 337,626  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $      $      $ 337,626      $      $      $ 337,626  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Futures Contracts Long at Number of Contracts

     468  

Foreign Currency Contracts Purchased at Contract Amount

   $     22,278,051  

Foreign Currency Contracts Sold at Contract Amount

   $ 27,027  

 

 

  83  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  d)

Balance Sheet Offsetting Information – Set forth below are tables which disclose both gross information and net information about instruments and transactions eligible for offset in the financial statements, and instruments and transactions that are subject to a master netting arrangement, as well as amounts related to margin, reflected as financial collateral (including cash collateral), held at clearing brokers, counterparties and a Fund’s custodian. The master netting arrangements allow the clearing brokers to net any collateral held in or on behalf of a Fund, or liabilities or payment obligations of the clearing brokers to a Fund, against any liabilities or payment obligations of a Fund to the clearing brokers. A Fund is required to deposit financial collateral (including cash collateral) at the Fund’s custodian on behalf of clearing brokers and counterparties to continually meet the original and maintenance requirements established by the clearing brokers and counterparties. Such requirements are specific to the respective clearing broker or counterparty. Certain master netting arrangements may not be enforceable in a bankruptcy.

The following tables present a Fund’s derivative assets and liabilities, presented on a gross basis as no amounts are netted within the Statements of Assets and Liabilities, by counterparty net of amounts available for offset under a master netting agreement or similar agreement (“MNA”) and net of the related collateral received/pledged by a Fund as of October 31, 2019:

Emerging Markets Equity Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Futures contracts

   $ 85,549     $     —  
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     85,549        
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (85,549      
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     $  
  

 

 

   

 

 

 

International Equity Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Futures contracts

   $ 131,953     $     (15,005
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     131,953       (15,005
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (131,953     15,005  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     $  
  

 

 

   

 

 

 

International Small Company Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Futures contracts

   $ 20,959     $     —  
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     20,959        
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (20,959      
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     $  
  

 

 

   

 

 

 

International Value Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Futures contracts

   $ 337,626     $     —  
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     337,626        
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (337,626      
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     $  
  

 

 

   

 

 

 

 

5.

Principal Risks:

A Fund’s investments expose it to various types of risks associated with financial instruments and the markets. A Fund may be exposed to the risks described below. Each Fund’s prospectus provides details of its principal risks.

The market values of equity securities, such as common stocks and preferred stocks, or equity related derivative investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. The market value of equity securities may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry. Equity securities and equity related investments generally have greater market price volatility than fixed income securities. The extent of each Fund’s exposure to market risk is the market value of the investments held as shown in the Fund’s Schedule of Investments.

 

 

  84  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Certain investments held by a Fund expose the Fund to various risks which may include, but are not limited to, interest rate, prepayment, and extension risks. Interest rate risk is the risk that fixed income securities will decline in value because of changes in interest rates. As nominal interest rates rise, the values of certain fixed income securities held by a Fund are likely to decrease. A nominal interest rate can be described as the sum of a real interest rate and an expected inflation rate. Fixed income securities with longer durations tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations. Duration is useful primarily as a measure of the sensitivity of a fixed income security’s market price to interest rate (i.e., yield) movements. Senior floating rate interests and securities subject to prepayment and extension risk generally offer less potential for gains when interest rates decline. Rising interest rates may cause prepayments to occur at a slower than expected rate, thereby effectively lengthening the maturity of the security and making the security more sensitive to interest rate changes. Prepayment and extension risk are major risks of mortgage-backed securities, senior floating rate interests and certain asset-backed securities. For certain asset-backed securities, the actual maturity may be less than the stated maturity shown in the Schedule of Investments, if applicable. As a result, the timing of income recognition relating to these securities may vary based upon the actual maturity.

Investing in the securities of non-U.S. issuers, whether directly or indirectly, involves certain considerations and risks not typically associated with securities of U.S. issuers. Such risks include, but are not limited to: generally less liquid and less efficient securities markets; generally greater price volatility; exchange rate fluctuations; imposition of restrictions on the expatriation of funds or other protectionist measures; less publicly available information about issuers; the imposition of withholding or other taxes; higher transaction and custody costs; settlement delays and risk of loss attendant in settlement procedures; difficulties in enforcing contractual obligations; less regulation of securities markets; different accounting, disclosure and reporting requirements; more substantial governmental involvement in the economy; higher inflation rates; and greater social, economic and political uncertainties. These risks are heightened for investments in issuers from countries with less developed markets.

Credit risk depends largely on the perceived financial health of bond issuers. In general, the credit rating is inversely related to the credit risk of the issuer. Higher rated bonds generally are deemed to have less credit risk, while lower or unrated bonds are deemed to have higher risk of default. The share price, yield and total return of a fund that holds securities with higher credit risk may be more volatile than those of a fund that holds bonds with lower credit risk. A Fund may be exposed to counterparty risk, or the risk that an institution or other entity with which a Fund has unsettled or open transactions will default.

 

6.

Federal Income Taxes:

 

  a)

Each Fund intends to continue to qualify as a Regulated Investment Company (“RIC”) under Subchapter M of the Internal Revenue Code (“IRC”) by distributing substantially all of its taxable net investment income and net realized capital gains to its shareholders each year. Each Fund has distributed substantially all of its income and capital gains in prior years, if applicable, and intends to distribute substantially all of its income and capital gains during the calendar year ending December 31, 2019. Accordingly, no provision for federal income or excise taxes has been made in the accompanying financial statements. Distributions from short-term capital gains are treated as ordinary income distributions for federal income tax purposes.

 

  b)

Net Investment Income (Loss), Net Realized Gains (Losses) and Distributions – Net investment income (loss) and net realized gains (losses) may differ for financial statement and tax purposes primarily because of losses deferred due to wash sale adjustments, foreign currency gains and losses, adjustments related to Passive Foreign Investment Companies (“PFICs”), Real Estate Investment Trusts (“REITs”), RICs, certain derivatives and partnerships. The character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. Also, due to the timing of dividend distributions, the fiscal year in which amounts are distributed may differ from the year that the income or realized gains (losses) were recorded by each Fund.

 

  c)

Distributions and Components of Distributable Earnings – The tax character of distributions paid by each Fund for the years ended October 31, 2019 and October 31, 2018 are as follows:

 

     For the Year Ended
October 31, 2019
     For the Year Ended
October 31, 2018
 

Fund

   Ordinary
Income
     Long-Term
Capital Gains
     Ordinary
Income
     Long-Term
Capital Gains
 

Emerging Markets Equity Fund

   $ 2,661,520      $      $ 1,388,085      $  

Environmental Opportunities Fund

     815,434        2,715,995        962,208        2,416,813  

Global Impact Fund

     3,814,750               898,110         

International Equity Fund

     2,079,593        2,520,771        1,006,796        740,188  

International Growth Fund

     2,456,585        21,463,859        1,800,550         

International Opportunities Fund

         52,957,294            81,134,153            110,128,068            63,832,073  

International Small Company Fund

     6,806,759        26,531,006        12,899,138        16,364,795  

International Value Fund

     70,664,397        77,265,580        143,484,786        43,582,944  

 

 

  85  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

As of October 31, 2019, the components of distributable earnings (deficit) for each Fund on a tax basis are as follows:

 

Fund

   Undistributed
Ordinary
Income
     Undistributed
Long-Term
Capital Gain
     Accumulated
Capital and
Other Losses
    Unrealized
Appreciation
(Depreciation) on
Investments(1)
    Total
Accumulated
Earnings
(Deficit)
 

Emerging Markets Equity Fund

   $ 6,603,767      $      $ (33,016,949   $ 7,795,544     $ (18,617,638

Environmental Opportunities Fund

     178,853            783,777              1,127,518       2,090,148  

Global Impact Fund

     362,785               (1,051,389     3,753,576       3,064,972  

International Equity Fund

         21,477,097               (37,821,331     28,398,642       12,054,408  

International Growth Fund

     2,743,080               (11,973,201     43,234,553       34,004,432  

International Opportunities Fund

     58,064,975                   (213,610,331     294,563,807       139,018,451  

International Small Company Fund

     2,234,369               (27,347,510     761,799       (24,351,342

International Value Fund

     68,790,397               (57,808,544         (147,470,494         (136,488,641

 

  (1) 

Differences between book-basis and tax-basis unrealized appreciation (depreciation) may be attributable to the losses deferred due to wash sale adjustments, foreign currency gains and losses, adjustments related to PFICs, REITs, RICs, certain derivatives and partnerships.

 

  d)

Reclassification of Capital Accounts – The Funds may record reclassifications in their capital accounts. These reclassifications have no impact on the total net assets of the Funds. The reclassifications are a result of permanent differences between U.S. GAAP and tax accounting for such items as non-deductible expenses from partnership investments and adjustments due to liquidation of master partnership fund. Adjustments are made to reflect the impact these items have on current and future distributions to shareholders. Therefore, the source of the Funds’ distributions may be shown in the accompanying Statements of Changes in Net Assets as from distributable earnings or from capital depending on the type of book and tax differences that exist. For the year or period ended October 31, 2019, the Funds recorded reclassifications to increase (decrease) the accounts listed below:

 

Fund

   Paid-in Capital     Distributable
Earnings (Loss)
 

Global Impact Fund

   $     (639,511   $     639,511  

International Equity Fund

     243,059       (243,059

 

  e)

Tax Basis of Investments – The aggregate cost of investments for federal income tax purposes at October 31, 2019 is different from book purposes primarily due to wash sale loss deferrals and passive foreign investment company (PFIC) mark-to-market adjustments. The net unrealized appreciation/(depreciation) on investments for tax purposes, which consists of gross unrealized appreciation and depreciation, was also different from book purposes primarily due to wash sale loss deferrals and mark-to-market adjustments on futures and PFICs. Both the cost and unrealized appreciation and depreciation for federal income tax purposes are disclosed below:

 

Fund

   Tax Cost      Gross
Unrealized
Appreciation
     Gross
Unrealized
(Depreciation)
    Net Unrealized
Appreciation/
(Depreciation)
 

Emerging Markets Equity Fund

   $ 302,406,643      $ 25,293,394      $ (17,373,384   $ 7,920,010  

Environmental Opportunities Fund

     19,844,141        1,976,699        (848,353     1,128,346  

Global Impact Fund

     42,942,675        4,744,893        (990,750     3,754,143  

International Equity Fund

     945,296,971        71,771,762        (43,329,093     28,442,669  

International Growth Fund

     304,470,785        51,202,318        (7,947,368     43,254,950  

International Opportunities Fund

         3,353,687,609            371,131,031        (76,515,320     294,615,711  

International Small Company Fund

     41,628,883        1,492,920        (1,054,911     438,009  

International Value Fund

     2,471,756,908        163,957,737            (311,446,700         (147,488,963

 

  f)

Capital Loss Carryforward – Under the Regulated Investment Company Modernization Act of 2010, funds are permitted to carry forward capital losses for an unlimited period. At October 31, 2019 (tax year end), each Fund’s capital loss carryforwards for U.S. federal income tax purposes were as follows:

 

Fund

   Short-Term
Capital Loss
Carryforward with
No Expiration
    Long-Term
Capital Loss
Carryforward with
No Expiration
 

Emerging Markets Equity Fund

   $ 32,979,728     $ 37,221  

Global Impact Fund

     10,680       1,040,709  

International Equity Fund

     27,749,520     10,071,811

International Growth Fund

     11,973,201        

International Opportunities Fund

         171,670,331       41,940,000  

International Small Company Fund

     4,638,809       22,708,701  

International Value Fund

           57,808,544  

 

 

Future utilization of losses are subject to limitation under current tax laws.

The Environmental Opportunities Fund had no capital loss carryforwards for U.S. federal income tax purposes as of October 31, 2019.

 

 

  86  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  g)

Accounting for Uncertainty in Income Taxes – Pursuant to provisions set forth by U.S. GAAP, Hartford Funds Management Company, LLC (“HFMC”) reviews each Fund’s tax positions for all open tax years. As of October 31, 2019, HFMC had reviewed the open tax years and concluded that there was no reason to record a liability for net unrecognized tax obligations relating to uncertain income tax positions. Each Fund files U.S. tax returns. Although the statute of limitations for examining a Fund’s U.S. tax returns remains open for 3 years, no examination is currently in progress. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense on the Statements of Operations. During the year ended October 31, 2019, the Funds did not incur any interest or penalties. HFMC is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax obligations will significantly change in the next twelve months.

 

7.

Expenses:

 

  a)

Investment Management Agreement – HFMC serves as each Fund’s investment manager. The Company, on behalf of each Fund, has entered into an Investment Management Agreement with HFMC. HFMC is an indirect subsidiary of The Hartford Financial Services Group, Inc. (“The Hartford”). HFMC has overall investment supervisory responsibility for each Fund. In addition, HFMC provides administrative personnel, services, equipment, facilities and office space for proper operation of each Fund. HFMC has contracted with Wellington Management Company LLP (“Wellington Management”) under a sub-advisory agreement and Wellington Management performs the daily investment of the assets of each Fund in accordance with the Fund’s investment objective and policies. Each Fund pays a fee to HFMC, a portion of which may be used to compensate Wellington Management.

The schedule below reflects the rates of compensation paid to HFMC for investment management services rendered as of October 31, 2019; the rates are accrued daily and paid monthly based on each Fund’s average daily net assets, at the following annual rates:

 

Fund

  

Management Fee Rates

Emerging Markets Equity Fund

  

0.9000% on first $500 million and;

  

0.8500% on next $500 million and;

  

0.8000% over $1 billion

Environmental Opportunities Fund

  

0.6200% on first $500 million and;

  

0.6000% on next $500 million and;

  

0.5800% on next $1.5 billion and;

  

0.5750% on next $2.5 billion and;

  

0.5700% over $5 billion

Global Impact Fund

  

0.6200% on first $500 million and;

  

0.6000% on next $500 million and;

  

0.5800% on next $1.5 billion and;

  

0.5750% on next $2.5 billion and;

  

0.5700% over $5 billion

International Equity Fund

  

0.4600% on first $1 billion and;

  

0.4500% on next $1 billion and;

  

0.4400% on next $3 billion and

  

0.4300% over $5 billion

International Growth Fund

  

0.8000% on first $250 million and;

  

0.7500% on next $250 million and;

  

0.7000% on next $500 million and;

  

0.6500% over $1 billion

International Opportunities Fund

  

0.7500% on first $500 million and;

  

0.6500% on next $500 million and;

  

0.6400% on next $1.5 billion and;

  

0.6350% on next $2.5 billion and;

  

0.6300% on next $5 billion and;

  

0.6250% over $10 billion

International Small Company Fund

  

0.9000% on first $500 million and;

  

0.8500% on next $500 million and;

  

0.8000% on next $4 billion and;

  

0.7975% on next $5 billion and;

  

0.7950% over $10 billion

International Value Fund

  

0.8500% on first $500 million and;

  

0.8000% on next $500 million and;

  

0.7500% on next $4 billion and;

  

0.7475% on next $5 billion and;

  

0.7450% over $10 billion

 

 

  87  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Prior to October 7, 2019, the Global Impact Fund had a management fee rate of 0% so long as the Global Impact Fund invested all (or substantially all) of its assets in the Master Portfolio. During this time, the Global Impact Fund paid its allocated share of the management fees of the Master Portfolio. The management fee schedule of the Master Portfolio was as follows during the fiscal year ended October 31, 2019:

 

  

0.6200% on first $500 million and;

  

0.6000% on next $500 million and;

  

0.5800% on next $1.5 billion and;

  

0.5750% on next $2.5 billion and;

  

0.5700% over $5 billion

 

  b)

Accounting Services Agreement – Pursuant to the Fund Accounting Agreement between HFMC and the Company, on behalf of each Fund, HFMC provides accounting services to each Fund and receives monthly compensation based on each Fund’s average daily net assets at the rates set forth below. Each Fund’s accounting services fees are accrued daily and paid monthly.

 

Emerging Markets Equity Fund, Environmental Opportunities Fund, International Equity Fund, International Growth Fund,
International Opportunities Fund, International Small Company Fund and International Value Fund
 
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.018%  

next $3.5 billion and

     0.014%  

Amount over $7 billion

     0.010%  

Effective October 7, 2019, the Fund Accounting Agreement with respect to Global Impact Fund was amended to reflect a change to the fund accounting fee paid to HFMC. Effective October 7, 2019, Global Impact Fund pays HFMC a fee calculated at the following annual rate based on its average daily net assets shown below.

 

Average Daily Net Assets    Annual Fee  

First $3.5 billion

     0.018%  

Next $3.5 billion

     0.014%  

Amount Over $7 billion

     0.010%  

Prior to October 7, 2019, the Global Impact Fund had an accounting services fee of $52,000 per year.

HFMC has delegated certain accounting and administrative services functions to State Street Bank and Trust Company (“State Street”). The costs and expenses of such delegation are borne by HFMC, not by the Funds, and HFMC compensates State Street for its services out of its own resources.

 

  c)

Operating Expenses – Allocable expenses incurred by the Company are allocated to each series within the Company, and allocated to classes within each such series, in proportion to the average daily net assets of such series and classes, except where allocation of certain expenses is more fairly made directly to a Fund or to specific classes within a Fund. As of October 31, 2019, HFMC contractually limited the total operating expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses) for the Funds listed below through February 29, 2020, except as noted in the footnotes below:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Equity Fund(2)

     1.45     2.20     1.20     1.70     1.45     1.15     0.98     1.10     0.98

Environmental Opportunities Fund(3)

     1.19     1.94     0.89     1.41     1.11     0.81     0.69     0.79     0.69

Global Impact Fund(1)(3)

     1.19     1.94     0.89     1.41     1.11     0.81     0.69     0.79     0.69

International Equity Fund(2)

     1.04     1.79     0.74     1.26     0.96     0.66     0.54     0.65     0.54

International Growth Fund(2)

     1.30     2.05     1.00     1.57     1.27     1.00     0.85     0.95     0.85

International Small Company Fund(2)

     1.60     2.35     1.35     1.65     1.35     1.05     N/A       1.00     1.00

 

  (1)

This contractual arrangement will remain in effect until February 28, 2021 unless the Board of Directors of the Company approves its earlier termination.

  (2) 

Expense limitation was effective from November 1, 2018 through October 31, 2019.

  (3) 

Expense limitation was effective from March 1, 2019 through October 31, 2019.

From November 1, 2018 through February 28, 2019, HFMC contractually limited the total operating expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses) for the following Funds, as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Environmental Opportunities Fund

     1.19     1.94     0.89     1.41     1.11     0.81     0.69     0.75     0.69

Global Impact Fund

     1.19     1.94     0.89     1.41     1.11     0.81     0.69     0.75     0.69

 

  d)

Fees Paid Indirectly – Certain Funds have entered into agreements with State Street Global Markets, LLC and Russell Implementation Services, Inc. to partially recapture non-discounted trade commissions. Such rebates are used to pay a portion of a Fund’s expenses. In

 

 

  88  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  addition, the Funds’ custodian bank has agreed to reduce its fees when a Fund maintains cash on deposit in a non-interest-bearing custody account. For the year ended October 31, 2019, these amounts, if any, are included in the Statements of Operations.

The ratio of expenses to average net assets in the accompanying financial highlights excludes the reduction in expenses related to fees paid indirectly. The annualized expense ratio after waivers reflecting the reduction for fees paid indirectly for the period is as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Equity Fund

     1.39     2.20     1.09     1.69     1.39     1.10     0.98     1.07     0.98

Environmental Opportunities Fund

     1.08     0.95     0.77     0.75     0.84     0.79     0.67     0.71     0.69

Global Impact Fund

     1.10     1.60     0.73     1.19     0.95     0.76     0.63     0.67     0.66

International Equity Fund

     0.97     1.71     0.63     1.24     0.95     0.65     0.54     0.62     0.54

International Growth Fund

     1.30     2.05     0.94     1.57     1.27     0.96     0.85     0.92     0.85

International Opportunities Fund

     1.12     1.88     0.79     1.41     1.12     0.80     0.70     0.75     0.70

International Small Company Fund

     1.49     2.24     1.17     1.65     1.35     1.05     N/A       1.00     1.00

International Value Fund

     1.20     1.95     0.91     1.54     1.25     0.95     0.84     0.89     0.84

 

  e)

Sales Charges and Distribution and Service Plan for Class A, C, R3 and R4 Shares – Hartford Funds Distributors, LLC (“HFD”), an indirect subsidiary of The Hartford, is the principal underwriter and distributor of each Fund. For the year ended October 31, 2019, HFD received front-end sales charges and contingent deferred sales charges for each Fund as follows:

 

Fund

   Front-end
Sales Charges
     Contingent Deferred
Sales Charges
 

Emerging Markets Equity Fund

   $ 39,062      $ 8,089  

Environmental Opportunities Fund

     28,622        45  

Global Impact Fund

     686        5  

International Equity Fund

         210,723        5,483  

International Growth Fund

     174,316        5,631  

International Opportunities Fund

     652,047            19,319  

International Small Company Fund

     12,829        85  

International Value Fund

     10,690        2,137  

The Board of Directors of the Company has approved the adoption of a separate distribution plan (each a “Plan”) pursuant to Rule 12b-1 under the 1940 Act for each of Class A, C, R3 and R4 shares. Under a Plan, Class A, Class C, Class R3 and Class R4 shares of a Fund, as applicable, bear distribution and/or service fees paid to HFD, some of which may be paid to select broker-dealers. Pursuant to the Class A Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class A shares for distribution financing activities and shareholder account servicing activities. The entire amount of the fee may be used for shareholder servicing expenses and/or distribution expenses. Pursuant to the Class C Plan, a Fund may pay HFD a fee of up to 1.00% of the average daily net assets attributable to Class C shares for distribution financing activities, and up to 0.25% may be used for shareholder account servicing activities. The Class C Plan also provides that HFD will receive all contingent deferred sales charges attributable to Class C shares. Pursuant to the Class R3 Plan, a Fund may pay HFD a fee of up to 0.50% of the average daily net assets attributable to Class R3 shares for distribution financing activities, and up to 0.25% may be used for shareholder account servicing activities. Pursuant to the Class R4 Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class R4 shares for distribution financing activities. The entire amount of the fee may be used for shareholder account servicing activities. Each Fund’s 12b-1 fees are accrued daily and paid monthly or at such other intervals as the Company’s Board of Directors may determine. Any 12b-1 fees attributable to assets held in an account held directly with the Funds’ transfer agent for which there is not a third party listed as the broker-dealer of record (or HFD does not otherwise have a payment obligation) are generally reimbursed to the applicable Fund. Such amounts are reflected as “Distribution fee reimbursements” on the Statement of Operations.

 

  f)

Other Related Party Transactions – Certain officers of the Company are directors and/or officers of HFMC and/or The Hartford or its subsidiaries. For the year ended October 31, 2019, a portion of the Company’s Chief Compliance Officer’s (“CCO”) compensation was paid by all of the investment companies in the Hartford fund complex. The portion allocated to each Fund, as represented in other expenses on the Statements of Operations, is outlined in the table below.

 

Fund

   CCO Compensation
Paid by Fund
 

Emerging Markets Equity Fund

   $ 438  

Environmental Opportunities Fund

     60  

Global Impact Fund

     97  

International Equity Fund

         2,073  

International Growth Fund

     755  

International Opportunities Fund

     8,486  

International Small Company Fund

     530  

International Value Fund

     5,143  

Hartford Administrative Services Company (“HASCO”), an indirect subsidiary of The Hartford, provides transfer agent services to each Fund. Each Fund pays HASCO a transfer agency fee payable monthly based on the lesser of (i) the costs of providing or overseeing transfer

 

 

  89  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

agency services provided to each share class of such Fund plus a target profit margin or (ii) a Specified Amount (as defined in the table below). Such fee is intended to compensate HASCO for: (i) fees payable by HASCO to DST Asset Manager Solutions, Inc. (“DST”) (and any other designated sub-agent) according to the agreed-upon fee schedule under the sub-transfer agency agreement between HASCO and DST (or between HASCO and any other designated sub-agent, as applicable); (ii) sub-transfer agency fees payable by HASCO to financial intermediaries, according to the agreed-upon terms between HASCO and the financial intermediaries, provided that such payments are within certain limits approved by the Company’s Board of Directors; (iii) certain expenses that HASCO’s parent company, Hartford Funds Management Group, Inc., allocates to HASCO that relate to HASCO’s transfer agency services provided to the Fund; and (iv) a target profit margin.

 

Share Class

   Specified Amount
(as a percentage
average daily
net assets)
 

Class A

     0.25

Class C

     0.25

Class I

     0.20

Class Y

     0.11 %* 

Class R3

     0.22

Class R4

     0.17

Class R5

     0.12

Class R6

     0.004

Class F

     0.004

 

  *

From November 1, 2018 through April 30, 2019, the Specified Amount for Class Y shares for all Funds, except the International Equity Fund, was 0.06%.

Effective March 1, 2019, HASCO has contractually agreed to waive and/or reimburse a portion of the transfer agency fees for the share classes of the Funds listed below to the extent necessary to maintain the transfer agency fees as follows:

 

Fund

   Class Y  

International Opportunities Fund

     0.05

International Value Fund

     0.06

This contractual arrangement for each of these Funds will remain in effect until February 29, 2020 unless the Board of Directors approves its earlier termination.

Pursuant to a sub-transfer agency agreement between HASCO and DST, HASCO has delegated certain transfer agent, dividend disbursing agent and shareholder servicing agent functions to DST. Each Fund does not pay any fee directly to DST; rather, HASCO makes all such payments to DST. The accrued amount shown in the Statements of Operations reflects the amounts charged by HASCO. These fees are accrued daily and paid monthly.

For the year or period ended October 31, 2019, the effective rate of compensation paid to HASCO for transfer agency services as a percentage of each Class’ average daily net assets is as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Equity Fund

     0.16     0.25     0.11     0.22     0.17     0.12     0.00     0.10     0.00

Environmental Opportunities Fund

     0.14     0.06     0.05     0.04     0.05     0.04     0.00     0.01     0.00

Global Impact Fund

     0.21     0.25     0.08     0.16     0.17     0.12     0.00     0.11     0.00

International Equity Fund

     0.18     0.18     0.10     0.21     0.17     0.11     0.00     0.08     0.00

International Growth Fund

     0.23     0.24     0.09     0.22     0.17     0.11     0.00     0.07     0.00

International Opportunities Fund

     0.17     0.18     0.09     0.21     0.17     0.10     0.00     0.05     0.00

International Small Company Fund

     0.25     0.24     0.17     0.21     0.16     0.12     N/A       0.06     0.00

International Value Fund

     0.11     0.11     0.07     0.21     0.17     0.12     0.00     0.06     0.00

 

8.

Affiliate Holdings:

As of October 31, 2019, affiliates of The Hartford had ownership of shares in each Fund as follows:

Percentage of a Class:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Equity Fund

                             3           1            

Environmental Opportunities Fund

                       100     90     100     100            

Global Impact Fund

     2     34     5     5     49     100     2     5     50

International Equity Fund

                                         %*             

International Growth Fund

                                         %*             

International Value Fund

                                         %*             

 

 

  90  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Percentage of Fund by Class:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Equity Fund

                             %*        %*             

Environmental Opportunities Fund

                       1     1     1     1            

Global Impact Fund

     %*      %*      1     %*      %*      %*      %*      %*      33

International Equity Fund

                                         %*             

International Growth Fund

                                         %*             

International Value Fund

                                         %*             

 

  *

Percentage rounds to zero.

As of October 31, 2019, affiliated funds of funds and certain 529 plans administered by HFMC in the aggregate owned a portion of the Funds identified below. Therefore, these Funds may experience relatively large purchases or redemptions of its shares from these affiliated funds of funds and certain 529 plans administered by HFMC. Affiliated funds of funds and certain 529 plans administered by HFMC owned shares in the Funds listed below as follows:

 

Fund

   Percentage
of Fund*
 

Emerging Markets Equity Fund

     6

International Opportunities Fund

     6

International Value Fund

     1

 

  *

As of October 31, 2019, the affiliated funds of funds and certain 529 plans administered by HFMC were invested in Class F shares.

 

9.

Securities Lending:

The Company has entered into a securities lending agency agreement (“lending agreement”) with Citibank, N.A. (“Citibank”). A Fund may lend portfolio securities to certain borrowers in U.S. and non-U.S. markets in an amount not to exceed one-third (33 1/3%) of the value of its total assets. If a Fund security is on loan, under the lending agreement, the borrower is required to deposit cash or liquid securities as collateral at least equal to 100% of the market value of the loaned securities; cash collateral is invested for the benefit of the Fund by the Fund’s lending agent pursuant to collateral investment guidelines. The collateral is marked to market daily, in an amount at least equal to the current market value of the securities loaned.

A Fund is subject to certain risks while its securities are on loan, including the following: (i) the risk that the borrower defaults on the loan and the collateral is inadequate to cover the Fund’s loss; (ii) the risk that the earnings on the collateral invested are not sufficient to pay fees incurred in connection with the loan; (iii) the risk that the principal value of the collateral invested may decline; (iv) the risk that the borrower may use the loaned securities to cover a short sale, which may in turn place downward pressure on the market prices of the loaned securities; (v) the risk that return of loaned securities could be delayed and interfere with portfolio management decisions; and (vi) the risk that any efforts to restrict the securities for purposes of voting may not be effective. These events could also trigger adverse tax consequences for the Fund.

The Funds retain loan fees and the interest on cash collateral investments but are required to pay the borrower a rebate for the use of cash collateral. In cases where the lent security is of high value to borrowers, there may be a negative rebate (i.e., a net payment from the borrower to the Funds). Upon termination of a loan, the Funds are required to return to the borrower an amount equal to the cash collateral, plus any rebate owed to the borrowers.

The net income earned on the securities lending (after payment of rebates and Citibank’s fee) is included on the Statements of Operations as Investment Income from securities lending. The Funds also receive payments from the borrower during the period of the loan, equivalent to dividends and interest earned on the securities loaned, which are recorded as Investment Income from dividends or interest, respectively, on the Statements of Operations.

The following table presents the market value of the Funds’ securities on loan, net of amounts available for offset under the master netting arrangements and any related collateral received by the Funds as of October 31, 2019.

 

     Investment Securities
on Loan, at market
value, Presented on
the Statement of
Assets and Liabilities(1)
     Collateral
Posted by
Borrower(3)
    Net
Amount(2)
 

Emerging Markets Equity Fund

   $ 885,816      $ (885,816   $  

Environmental Opportunities Fund

     1,261,787        (1,261,787      

International Equity Fund

         13,528,491            (13,528,491         —  

International Growth Fund

     9,522,897        (9,522,897      

International Opportunities Fund

     62,167,174        (62,167,174      

International Value Fund

     9,676,919        (9,676,919      

 

  (1) 

It is each Fund’s policy to obtain additional collateral from, or return excess collateral to, the borrower by the end of the next business day following the valuation date of the securities loaned. Therefore, the value of the collateral held may be temporarily less than that required under the lending contract.

  (2) 

Net amount represents the net amount receivable due from the counterparty in the event of default.

  (3) 

Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash and non-cash collateral with value of $1,018,800, $1,341,239, $14,220,182, $9,910,550, $65,017,154 and $10,346,665, respectively, has been received by Emerging Markets Equity Fund, Environmental Opportunities Fund, International Equity Fund, International Growth Fund, International Opportunities Fund, and International Value Fund, respectively, in connection with securities lending transactions.

 

 

  91  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

10.

Secured Borrowings:

The following tables reflect a breakdown of transactions accounted for as secured borrowings, the gross obligation by the type of collateral pledged, and the remaining contractual maturity of those transactions as of October 31, 2019.

Certain Transfers Accounted for as Secured Borrowings

Remaining Contractual Maturity of the Agreements

 

     Overnight and
Continuous
     <30 days      Between
30 & 90 days
     >90 days      Total  
Emerging Markets Equity Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 1,018,800      $      $      $      $ 1,018,800  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 1,018,800      $      $      $      $ 1,018,800  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 1,018,800  
              

 

 

 
Environmental Opportunities Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 959,760      $      $      $      $ 959,760  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 959,760      $      $      $      $ 959,760  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 959,760  
              

 

 

 
International Equity Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 11,782,926      $      $      $      $ 11,782,926  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $     11,782,926      $     —      $     —      $     —      $     11,782,926  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 11,782,926  
              

 

 

 
International Growth Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 9,248,347      $      $      $      $ 9,248,347  

Exchange-Traded Funds

     455,429                             455,429  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 9,703,776      $      $      $      $ 9,703,776  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 9,703,776      $      $      $      $ 9,703,776  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 9,703,776  
              

 

 

 
International Opportunities Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 65,017,154      $      $      $      $ 65,017,154  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 65,017,154      $      $      $      $ 65,017,154  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 65,017,154  
              

 

 

 
International Value Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 9,074,489      $      $      $      $ 9,074,489  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 9,074,489      $      $      $      $ 9,074,489  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 9,074,489  
              

 

 

 

 

  (1) 

Amount represents the payable for cash collateral received on securities on loan. This will generally be in the “Overnight and Continuous” column as the securities are typically callable on demand.

 

11.

Investment Transactions:

For the year or period ended October 31, 2019, the cost of purchases and proceeds from sales of investment securities (excluding short-term investments) were as follows:

 

Fund

   Cost of Purchases
Excluding U.S.
Government
Obligations
     Sales Proceeds
Excluding U.S.
Government
Obligations
     Cost of Purchases
For U.S.
Government
Obligations
     Sales Proceeds
For U.S.
Government
Obligations
     Total Cost of
Purchases
     Total Sales
Proceeds
 

Emerging Markets Equity Fund

   $     339,659,419      $     178,212,125      $     —      $     —      $     339,659,419      $     178,212,125  

Environmental Opportunities Fund

     10,702,434        22,893,535                      10,702,434        22,893,535  

Global Impact Fund

     9,374,621        2,393,499                      9,374,621        2,393,499  

 

 

  92  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Fund

   Cost of Purchases
Excluding U.S.
Government
Obligations
     Sales Proceeds
Excluding U.S.
Government
Obligations
     Cost of Purchases
For U.S.
Government
Obligations
     Sales Proceeds
For U.S.
Government
Obligations
     Total Cost of
Purchases
     Total Sales
Proceeds
 

International Equity Fund

   $ 758,168,853      $ 964,394,174      $      $      $ 758,168,853      $ 964,394,174  

International Growth Fund

     202,991,206        205,439,080                      202,991,206        205,439,080  

International Opportunities Fund

         3,176,910,535            3,400,623,077            —            —            3,176,910,535            3,400,623,077  

International Small Company Fund

     81,143,206        289,393,575                      81,143,206        289,393,575  

International Value Fund

     1,071,096,137        1,101,836,103                      1,071,096,137        1,101,836,103  

 

12.

Capital Share Transactions:

The following information is for the year ended October 31, 2019, and the year ended October 31, 2018:

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Emerging Markets Equity Fund                                    

Class A

                   

Shares Sold

       2,872,373        $ 24,823,616          7,985,052        $ 79,919,885  

Shares Issued for Reinvested Dividends

       118,135          958,075          42,897          423,396  

Shares Redeemed

       (5,224,419            (45,128,908        (3,185,671            (29,206,502
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,233,911        (19,347,217        4,842,278          51,136,779  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       92,266        $ 788,516          268,405        $ 2,610,761  

Shares Issued for Reinvested Dividends

       2,391          19,122          6,035          58,483  

Shares Redeemed

       (232,746        (1,992,363        (401,125        (3,719,694
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (138,089        (1,184,725        (126,685        (1,050,450
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       3,179,444        $ 27,266,920          2,419,598        $ 23,835,659  

Shares Issued for Reinvested Dividends

       54,068          436,869          16,849          165,790  

Shares Redeemed

       (2,649,448            (22,961,059        (1,590,932            (15,245,081
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       584,064          4,742,730          845,515          8,756,368  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       17,127        $ 149,647          21,585        $ 213,348  

Shares Issued for Reinvested Dividends

       349          2,837          163          1,611  

Shares Redeemed

       (17,480        (151,998        (17,175        (166,247
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (4        486          4,573          48,712  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       33,505        $ 296,291          727,848        $ 7,088,243  

Shares Issued for Reinvested Dividends

       8,562          69,783          60          598  

Shares Redeemed

       (664,219        (5,883,302        (70,885        (655,089
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (622,152        (5,517,228        657,023          6,433,752  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       26,245        $ 228,722          37,779        $ 370,432  

Shares Issued for Reinvested Dividends

       1,613          12,968          1,442          14,120  

Shares Redeemed

       (23,431        (200,655        (55,497        (550,044
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       4,427          41,035          (16,276        (165,492
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(1)

                   

Shares Sold

       31,970        $ 280,041          105,404        $ 985,688  

Shares Issued for Reinvested Dividends

       2,340          18,910                    

Shares Redeemed

       (21,807        (186,653        (5,550        (50,085
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       12,503          112,298          99,854          935,603  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       19,774,265        $     176,639,378          3,354,337        $ 31,771,005  

Shares Issued for Reinvested Dividends

       134,921          1,088,809          68,416          672,529  

Shares Redeemed

       (2,612,633        (22,416,539        (1,587,487            (15,341,729
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       17,296,553          155,311,648          1,835,266          17,101,805  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       3,571,758        $ 30,802,331          139,817        $ 1,375,111  

Shares Issued for Reinvested Dividends

       5,432          43,618          4,104          40,175  

Shares Redeemed

       (341,483        (2,918,556        (67,346        (651,038
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       3,235,707          27,927,393          76,575          764,248  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       18,139,098        $ 162,086,420          8,218,123        $ 83,961,325  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  93  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Environmental Opportunities Fund                                    

Class A

                   

Shares Sold

       217,623        $ 2,212,961          119,587        $ 1,452,766  

Shares Issued for Reinvested Dividends

       70,113          626,953          29,598          366,284  

Shares Redeemed

       (263,084            (2,570,085        (78,904        (965,422
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       24,652          269,829          70,281          853,628  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       9,859        $ 101,885          7,058        $ 86,521  

Shares Issued for Reinvested Dividends

       22,464          200,803          10,394          128,522  

Shares Redeemed

       (135,838        (1,335,866        (2,124        (25,945
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (103,515        (1,033,178        15,328          189,098  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       113,745        $ 1,148,629          87,796        $ 1,058,785  

Shares Issued for Reinvested Dividends

       54,341          483,773          134,542          1,670,112  

Shares Redeemed

       (695,032        (7,375,366        (873,047            (10,498,436
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (526,946        (5,742,964        (650,709        (7,769,539
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       10,204        $ 99,999                 $  

Shares Issued for Reinvested Dividends

       19,448          173,664          9,465          117,042  

Shares Redeemed

       (131,575        (1,293,379                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (101,923        (1,019,716        9,465          117,042  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       10,231        $ 100,268          938        $ 12,215  

Shares Issued for Reinvested Dividends

       19,771          176,697          9,635          119,330  

Shares Redeemed

       (132,083        (1,298,377                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (102,081        (1,021,412        10,573          131,545  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       10,215        $ 100,000                 $  

Shares Issued for Reinvested Dividends

       19,778          176,726          9,700          120,227  

Shares Redeemed

       (132,633        (1,302,456                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (102,640        (1,025,730        9,700          120,227  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       10,214        $ 100,105                 $  

Shares Issued for Reinvested Dividends

       19,957          178,619          9,805          121,628  

Shares Redeemed

       (132,994        (1,307,336                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (102,823            (1,028,612        9,805          121,628  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       64,520        $ 658,414          4,785        $ 58,100  

Shares Issued for Reinvested Dividends

       19,950          178,367          9,869          122,423  

Shares Redeemed

       (133,051        (1,307,892        (115        (1,403
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (48,581        (471,111        14,539          179,120  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       317,112        $ 3,206,137          456,617        $ 5,647,191  

Shares Issued for Reinvested Dividends

       139,772          1,258,068          46,449          576,673  

Shares Redeemed

       (231,803        (2,356,681        (135,612        (1,649,437
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       225,081          2,107,524          367,454          4,574,427  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (838,776      $     (8,965,370        (143,564      $     (1,482,824
    

 

 

      

 

 

      

 

 

      

 

 

 
Global Impact Fund                                    

Class A

                   

Shares Sold

       40,145        $ 402,964          28,492        $ 344,557  

Shares Issued for Reinvested Dividends

       6,063          56,772          490          5,706  

Shares Redeemed

       (10,179        (107,894        (35        (407
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       36,029          351,842          28,947          349,856  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

              $          2,436        $ 29,170  

Shares Issued for Reinvested Dividends

       525          4,833          50          575  

Shares Redeemed

       (712        (7,943        (235        (2,620
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (187        (3,110        2,251          27,125  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  94  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Global Impact Fund – (continued)                                    

Class I

                   

Shares Sold

       1,112,977        $ 11,628,257          173,161        $ 2,095,956  

Shares Issued for Reinvested Dividends

       38,324          357,502          4,283          50,126  

Shares Redeemed

       (203,558        (2,222,573        (47,420        (543,925
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       947,743          9,763,186          130,024          1,602,157  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       27,940        $ 293,996                 $  

Shares Issued for Reinvested Dividends

       159          1,473          43          501  

Shares Redeemed

       (3,859        (47,499                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       24,240          247,970          43          501  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

              $          1,034        $ 12,216  

Shares Issued for Reinvested Dividends

       315          2,813          59          686  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       315          2,813          1,093          12,902  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Issued for Reinvested Dividends

       162          1,877          45          528  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       162          1,877          45          528  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       99,093        $ 1,037,465                 $  

Shares Issued for Reinvested Dividends

       164          1,519          46          538  

Shares Redeemed

       (20,228        (222,232                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       79,029          816,752          46          538  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       38,555        $ 405,280          976        $ 11,625  

Shares Issued for Reinvested Dividends

       314          2,907          46          540  

Shares Redeemed

       (14,038        (146,118                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       24,831          262,069          1,022          12,165  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

              $                 $  

Shares Issued for Reinvested Dividends

       354,961          3,101,556          70,827          828,081  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       354,961          3,101,556          70,827          828,081  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       1,467,123        $ 14,544,955          234,298        $ 2,833,853  
    

 

 

      

 

 

      

 

 

      

 

 

 
International Equity Fund                                    

Class A

                   

Shares Sold

       2,592,741        $ 26,278,287          1,191,248        $ 12,902,798  

Issued in Merger

                         74,134,076              737,743,950  

Shares Issued for Reinvested Dividends

       333,282          3,122,818          45,088          509,040  

Shares Redeemed

       (14,792,519            (149,705,605        (1,048,420        (11,236,764
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (11,866,496        (120,304,500        74,321,992          739,919,024  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       140,424        $ 1,389,981          156,978        $ 1,785,803  

Issued in Merger

                         7,365,167          72,317,575  

Shares Issued for Reinvested Dividends

       13,496          125,651          11,958          133,456  

Shares Redeemed

       (3,276,760        (32,730,531        (724,759        (7,375,865
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (3,122,840        (31,214,899        6,809,344          66,860,969  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

 

Shares Sold

       1,082,382        $ 11,163,862          1,681,881        $ 19,216,710  

Issued in Merger

                         10,579,567          105,581,535  

Shares Issued for Reinvested Dividends

       52,007          491,774          49,080          558,484  

Shares Redeemed

       (5,615,916        (56,506,085        (1,578,681        (17,051,236
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (4,481,527        (44,850,449        10,731,847          108,305,493  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

 

Shares Sold

       125,914        $ 1,276,623          6,702        $ 70,430  

Issued in Merger

                         1,979,064          19,294,492  

Shares Issued for Reinvested Dividends

       7,971          74,263          243          2,728  

Shares Redeemed

       (581,947        (5,903,342        (5,167        (56,779
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (448,062        (4,552,456        1,980,842          19,310,871  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  95  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
International Equity Fund – (continued)                                    

Class R4

 

Shares Sold

       231,864        $ 2,315,279          54,192        $ 604,145  

Issued in Merger

                         1,500,397          14,712,577  

Shares Issued for Reinvested Dividends

       4,788          44,854          1,284          14,497  

Shares Redeemed

       (980,442        (9,961,102        (71,037        (750,207
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (743,790        (7,600,969        1,484,836          14,581,012  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

 

Shares Sold

       80,939        $ 751,945          14,454        $ 141,964  

Issued in Merger

                         82,429          738,156  

Shares Issued for Reinvested Dividends

       795          6,564          1,507          14,973  

Shares Redeemed

       (30,972        (287,930        (10,999        (110,072
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       50,762          470,579          87,391          785,021  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(1)

 

Shares Sold

       1,772,671        $ 18,891,609          503,390        $ 5,607,673  

Shares Issued for Reinvested Dividends

       3,445          32,690                    

Shares Redeemed

       (199,233        (2,069,923        (10,385        (110,770
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,576,883          16,854,376          493,005          5,496,903  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

 

Shares Sold

       2,255,257        $ 23,782,874          1,787,087        $ 20,494,363  

Issued in Merger

                         1,814,010          18,479,817  

Shares Issued for Reinvested Dividends

       17,151          161,978          38,659          439,298  

Shares Redeemed

       (1,895,604        (19,618,935        (1,940,870        (21,729,548
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       376,804          4,325,917          1,698,886          17,683,930  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

 

Shares Sold

       1,173,152        $ 12,133,218          1,122,368        $ 12,298,437  

Issued in Merger

                         6,358,331          65,328,453  

Shares Issued for Reinvested Dividends

       37,078          352,077          5,830          66,466  

Shares Redeemed

       (1,995,684        (20,671,355        (254,264        (2,762,449
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (785,454        (8,186,060        7,232,265          74,930,907  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (19,443,720      $     (195,058,461        104,840,408        $     1,047,874,130  
    

 

 

      

 

 

      

 

 

      

 

 

 
International Growth Fund                                    

Class A

                   

Shares Sold

       963,478        $ 12,911,824          1,984,194        $ 30,347,221  

Shares Issued for Reinvested Dividends

       751,085          9,175,761          42,132          645,038  

Shares Redeemed

       (1,754,064            (23,723,733        (1,271,318            (19,652,980
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (39,501        (1,636,148        755,008          11,339,279  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       100,260        $ 1,221,549          159,253        $ 2,297,694  

Shares Issued for Reinvested Dividends

       51,427          573,408                    

Shares Redeemed

       (256,280        (3,167,487        (643,662        (8,589,779
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (104,593        (1,372,530        (484,409        (6,292,085
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       878,780        $ 11,435,119          1,342,931        $ 20,571,727  

Shares Issued for Reinvested Dividends

       208,673          2,526,999          15,486          234,763  

Shares Redeemed

       (901,920        (12,112,098        (567,876        (8,732,314
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       185,533          1,850,020          790,541          12,074,176  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       14,942        $ 204,257          13,178        $ 208,126  

Shares Issued for Reinvested Dividends

       2,250          27,856          20          318  

Shares Redeemed

       (13,592        (193,012        (15,726        (247,043
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       3,600          39,101          (2,528        (38,599
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

 

Shares Sold

       90,037        $ 1,219,247          118,947        $ 1,899,996  

Shares Issued for Reinvested Dividends

       19,891          250,050          1,127          17,691  

Shares Redeemed

       (449,087        (6,281,582        (246,942        (3,928,601
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (339,159        (4,812,285        (126,868        (2,010,914
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  96  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
International Growth Fund – (continued)                                    

Class R5

 

Shares Sold

       392,949        $ 5,565,805          1,541,087        $ 24,161,498  

Shares Issued for Reinvested Dividends

       137,294          1,740,581          11,013          174,114  

Shares Redeemed

       (351,317        (4,899,858        (495,829        (7,842,517
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       178,926          2,406,528          1,056,271          16,493,095  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(1)

 

Shares Sold

       193,511        $ 2,776,094          42,855        $ 681,506  

Shares Issued for Reinvested Dividends

       6,082          77,484                    

Shares Redeemed

       (36,731        (526,713        (2,377        (34,901
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       162,862          2,326,865          40,478          646,605  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

 

Shares Sold

       273,799        $ 3,878,373          561,985        $ 9,081,723  

Shares Issued for Reinvested Dividends

       99,026          1,259,942          6,439          102,125  

Shares Redeemed

       (308,068        (4,364,217        (178,886        (2,855,325
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       64,757          774,098          389,538          6,328,523  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

 

Shares Sold

       2,411,917        $ 32,533,248          3,903,110        $ 60,195,571  

Shares Issued for Reinvested Dividends

       641,953          7,789,236          36,922          560,109  

Shares Redeemed

       (2,082,551        (28,174,789        (1,122,092        (17,172,274
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       971,319          12,147,695          2,817,940          43,583,406  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       1,083,744        $ 11,723,344          5,235,971        $ 82,123,486  
    

 

 

      

 

 

      

 

 

      

 

 

 
International Opportunities Fund                                    

Class A

                   

Shares Sold

       2,917,598        $ 42,927,574          7,102,699        $ 119,649,674  

Shares Issued for Reinvested Dividends

       1,242,589          16,665,281          1,594,868          26,961,784  

Shares Redeemed

       (7,397,677        (108,558,523        (8,595,623        (141,757,685
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (3,237,490        (48,965,668        101,944          4,853,773  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       287,524        $ 3,685,462          1,071,999        $ 16,078,714  

Shares Issued for Reinvested Dividends

       110,953          1,299,711          219,186          3,231,002  

Shares Redeemed

       (1,434,437        (18,392,689        (1,928,075        (26,855,056
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,035,960        (13,407,516        (636,890        (7,545,340
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       7,905,153        $ 114,497,238          14,169,544        $ 239,007,574  

Shares Issued for Reinvested Dividends

       1,064,219          14,186,661          1,201,705          20,205,477  

Shares Redeemed

       (17,865,550            (253,613,960        (8,655,294            (141,215,046
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (8,896,178        (124,930,061        6,715,955          117,998,005  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       535,837        $ 7,937,648          877,318        $ 15,083,172  

Shares Issued for Reinvested Dividends

       127,906          1,745,493          168,994          2,897,449  

Shares Redeemed

       (1,326,983        (19,962,202        (1,088,995        (18,500,879
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (663,240        (10,279,061        (42,683        (520,258
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       1,573,978        $ 24,103,430          2,647,459        $ 46,324,301  

Shares Issued for Reinvested Dividends

       365,945          5,079,398          480,430          8,395,694  

Shares Redeemed

       (4,149,538        (63,892,340        (3,393,642        (58,859,463
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,209,615        (34,709,512        (265,753        (4,139,468
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       4,185,315        $ 65,017,143          8,024,653        $ 138,766,762  

Shares Issued for Reinvested Dividends

       577,408          8,077,933          643,946          11,368,071  

Shares Redeemed

       (5,168,074        (80,337,628        (5,287,763        (90,758,269
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (405,351        (7,242,552        3,380,836          59,376,564  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       17,136,452        $ 261,290,187          23,707,085        $ 426,162,295  

Shares Issued for Reinvested Dividends

       1,470,907          20,677,025          856,210          15,197,967  

Shares Redeemed

       (12,759,086        (201,483,429        (3,698,797        (64,602,675
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       5,848,273          80,483,783          20,864,498          376,757,587  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  97  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
International Opportunities Fund – (continued)                                    

Class Y

                   

Shares Sold

       15,176,458        $ 235,020,307          21,131,540        $ 374,262,223  

Shares Issued for Reinvested Dividends

       2,644,048          37,202,380          2,943,789          52,254,451  

Shares Redeemed

       (25,240,924        (390,656,483        (18,979,169        (337,213,833
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (7,420,418        (118,433,796        5,096,160          89,302,841  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       13,129,724        $ 193,234,643          15,225,165        $ 255,105,061  

Shares Issued for Reinvested Dividends

       1,829,291          24,339,488          1,661,053          27,961,843  

Shares Redeemed

       (13,752,086        (201,632,786        (6,046,892            (101,210,155
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,206,929          15,941,345          10,839,326          181,856,749  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (16,813,050      $     (261,543,038        46,053,393        $ 817,940,453  
    

 

 

      

 

 

      

 

 

      

 

 

 
International Small Company Fund                                    

Class A

                   

Shares Sold

       128,317        $ 1,482,573          364,224        $ 5,617,152  

Shares Issued for Reinvested Dividends

       599,732          6,361,015          265,910          4,383,154  

Shares Redeemed

       (929,793        (10,858,990        (614,992        (10,216,179
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (201,744        (3,015,402        15,142          (215,873
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       11,274        $ 111,732          17,724        $ 265,599  

Shares Issued for Reinvested Dividends

       60,626          563,825          51,838          764,679  

Shares Redeemed

       (168,907        (1,740,384        (426,984        (5,907,311
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (97,007        (1,064,827        (357,422        (4,877,033
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       216,675        $ 2,481,633          669,914        $ 11,363,670  

Shares Issued for Reinvested Dividends

       220,942          2,324,219          250,776          4,109,646  

Shares Redeemed

       (1,646,923        (19,209,311        (2,797,012        (46,844,557
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,209,306        (14,403,459        (1,876,322        (31,371,241
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       97,173        $ 1,110,084          136,784        $ 2,324,760  

Shares Issued for Reinvested Dividends

       82,176          877,955          43,068          714,178  

Shares Redeemed

       (174,124        (2,106,510        (198,282        (3,249,703
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       5,225          (118,471        (18,430        (210,765
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       79,887        $ 906,654          99,222        $ 1,681,662  

Shares Issued for Reinvested Dividends

       57,605          619,428          32,203          537,257  

Shares Redeemed

       (238,898        (2,747,842        (241,544        (3,883,568
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (101,406        (1,221,760        (110,119        (1,664,649
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       34,528        $ 379,190          42,201        $ 721,622  

Shares Issued for Reinvested Dividends

       10,198          110,506          4,382          73,636  

Shares Redeemed

       (121,869        (1,314,888        (37,757        (626,483
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (77,143        (825,192        8,826          168,775  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       770,084        $ 9,009,110          1,256,505        $ 21,636,939  

Shares Issued for Reinvested Dividends

       1,239,283          13,445,421          697,643          11,734,829  

Shares Redeemed

       (6,949,996        (83,566,981        (2,893,548        (48,006,643
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (4,940,629        (61,112,450        (939,400        (14,634,875
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       657,480        $ 7,452,386          2,344,055        $ 38,871,732  

Shares Issued for Reinvested Dividends

       485,308          5,109,529          352,405          5,778,441  

Shares Redeemed

       (5,396,651        (60,413,081        (2,631,815        (44,423,436
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (4,253,863        (47,851,166        64,645          226,737  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (10,875,873      $     (129,612,727        (3,213,080      $     (52,578,924
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  98  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
International Value Fund                                    

Class A

                   

Shares Sold

       5,106,208        $ 70,322,957          6,244,178        $ 104,649,568  

Shares Issued for Reinvested Dividends

       1,457,954          19,311,300          1,425,133          24,502,461  

Shares Redeemed

       (11,817,573        (163,264,806        (9,486,754        (158,083,275
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (5,253,411        (73,630,549        (1,817,443        (28,931,246
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       38,415        $ 524,595          181,445        $ 3,092,171  

Shares Issued for Reinvested Dividends

       112,692          1,476,446          112,637          1,911,149  

Shares Redeemed

       (722,163        (9,859,840        (493,574        (8,154,775
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (571,056        (7,858,799        (199,492        (3,151,455
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

 

Shares Sold

       43,594,443        $ 622,670,966          17,342,776        $ 302,216,688  

Shares Issued for Reinvested Dividends

       4,347,079          58,169,041          4,608,570          80,061,214  

Shares Redeemed

       (38,886,202        (541,912,459        (28,883,054        (495,490,544
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       9,055,320          138,927,548          (6,931,708        (113,212,642
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

 

Shares Sold

       22,612        $ 305,593          9,623        $ 164,247  

Shares Issued for Reinvested Dividends

       2,689          35,897          2,760          47,783  

Shares Redeemed

       (35,616        (511,787        (8,128        (139,279
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (10,315        (170,297        4,255          72,751  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

 

Shares Sold

       34,664        $ 482,147          32,098        $ 552,191  

Shares Issued for Reinvested Dividends

       3,130          41,741          3,728          64,527  

Shares Redeemed

       (37,104        (519,728        (38,739        (651,087
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       690          4,160          (2,913        (34,369
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

 

Shares Sold

       2,362,880        $ 33,294,216          885,541        $ 14,846,400  

Shares Issued for Reinvested Dividends

       178,409          2,391,166          87,912          1,531,085  

Shares Redeemed

       (2,184,059        (31,008,267        (200,298        (3,376,061
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       357,230          4,677,115          773,155          13,001,424  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(2)

 

Shares Sold

       12,012,749        $ 172,441,643                 $  

Shares Redeemed

       (680,233        (9,917,943                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       11,332,516          162,523,700                    
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

 

Shares Sold

       19,777,516        $ 282,137,117          12,292,604        $ 214,452,990  

Shares Issued for Reinvested Dividends

       2,748,802          37,620,509          2,806,616          49,749,496  

Shares Redeemed

       (25,245,214            (356,808,372        (11,065,202            (190,942,610
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,718,896        (37,050,746        4,034,018          73,259,876  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

 

Shares Sold

       15,084,526        $ 211,504,180          18,272,095        $ 312,036,212  

Shares Issued for Reinvested Dividends

       1,828,032          24,449,564          301,514          5,241,600  

Shares Redeemed

       (22,819,790        (325,324,088        (14,468,073        (236,019,452
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (5,907,232        (89,370,344        4,105,536          81,258,360  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       6,284,846        $ 98,051,788          (34,592      $ 22,262,699  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

  (1) 

Inception date was February 28, 2018.

  (2) 

Inception date was February 28, 2019.

 

13.

Line of Credit:

Certain Funds participate in a committed line of credit pursuant to a credit agreement. Each such Fund may borrow under the line of credit for temporary or emergency purposes. These Funds (together with certain other Hartford Funds) may borrow up to $370 million in the aggregate, subject to asset coverage and other limitations specified in the credit agreement. The interest rate on borrowings varies depending on the nature of the loan. The facility also charges a commitment fee, which is allocated to each of the funds participating in the line of credit based on average net assets of the funds. During and as of the year ended October 31, 2019, none of the Funds had borrowings under this facility.

 

 

  99  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

14.

Indemnifications:

Under the Company’s organizational documents, the Company shall indemnify its officers and directors to the full extent required or permitted under Maryland General Corporation Law and federal securities laws. In addition, the Company, on behalf of each Fund, may enter into contracts that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, as of the date of these financial statements, the Company has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

 

15.

Recent Accounting Pronouncement:

The FASB recently issued ASU 2017-08 (the “ASU” or “Update”) to amend the amortization period to the earliest call date for purchased callable debt securities held at a premium. The ASU is effective for public entities for fiscal years beginning after December 15, 2018, and will become effective for private entities one year later. Management is currently evaluating the implication, if any, of additional disclosure and its impact on the Funds’ financial statements.

In August 2018, the FASB issued Accounting Standards Update 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). The update introduces new fair value disclosure requirements, eliminates some prior fair value disclosure requirements, and modifies certain existing fair value disclosure requirements.

ASU 2018-13 is effective for fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years, however, an entity is permitted to early adopt either the entire standard or only the provisions that eliminate or modify requirements. Management has elected to early adopt the provisions of ASU 2018-13 that eliminate disclosure requirements effective with the current reporting period. The impact of each Fund’s early adoption of these provisions was limited to changes in the Fund’s financial statement disclosures regarding fair value, primarily those disclosures related to transfers between Level 1 and Level 2 of the fair value hierarchy and the timing of transfers between levels of the fair value hierarchy. Management is currently evaluating the potential impact of adopting the additional provisions of ASU 2018-13.

 

16.

Subsequent Events:

In connection with the preparation of the financial statements of the Funds as of and for the year ended October 31, 2019, events and transactions subsequent to October 31, 2019, through the date the financial statements were issued have been evaluated by the Funds’ management for possible adjustment and/or disclosure. The following subsequent events requiring financial statement disclosure have been identified.

Effective November 8, 2019, the Environmental Opportunities Fund changed its name (now known as Hartford Climate Opportunities Fund) and its principal investment strategy. In addition to Wellington Management Company LLP, Schroder Investment Management North America Inc. also serves as a sub-adviser and Schroder Investment Management North America Ltd. as a sub-sub-adviser to the Hartford Climate Opportunities Fund effective November 8, 2019. The information in this report is as of October 31, 2019 and therefore, does not reflect any of these changes. For more information, please see the Hartford Climate Opportunities Fund’s most recent prospectus.

At a meeting held August 6-7, 2019, the Board of Directors of the Company approved an Agreement and Plan of Reorganization that provided for the reorganization of the International Small Company Fund, a series of the Company, with and into the Global Impact Fund, a separate series of the Company (the “Reorganization”).

Pursuant to the terms of the Agreement and Plan of Reorganization, after the close of business on November 22, 2019, the International Small Company Fund transferred all of its assets to the Global Impact Fund, in exchange for shares of the Global Impact Fund and the assumption of all of the liabilities of the International Small Company Fund by the Global Impact Fund.

After the close of business on November 22, 2019, the consummation of the Reorganization was accomplished by a tax-free exchange of shares of the Global Impact Fund in the following amounts:

 

Share Class

   Net assets of International
Small Company Fund as of
the close of business on
November 22, 2019
(“Reorganization Date”)
     Shares of the International
Small Company Fund as of
the Reorganization Date
     Value of Shares Issued by
Global Impact Fund
     Shares Issued By Global
Impact Fund
     Net Assets of the Global
Impact Fund immediately
after the Reorganization
 

Class A

   $ 40,870,135        3,497,018      $     40,870,135            3,556,151      $     41,662,028  

Class C

     2,726,961        265,134        2,726,961        241,538        2,765,829  

Class I

     5,256,190        453,959        5,256,190        458,167        19,495,626  

Class R3

     6,439,177        545,236        6,439,177        569,209        6,743,012  

Class R4

     3,142,747        264,884        3,142,747        274,255        3,170,337  

Class R5

     574,188        48,210        574,188        50,594        690,320  

Class R6

     N/A        N/A        N/A        N/A        986,093  

Class Y

     22,049,744            1,852,131        22,049,744        1,943,325        22,354,435  

Class F

     1,356,433        118,490        1,356,433        117,529        32,567,024  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 
   $     82,415,575        7,045,062      $ 82,415,575        7,210,768      $ 130,434,704  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

 

  100  

 


Hartford International/Global Equity Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Each shareholder of a share class of International Small Company Fund received shares of the same share class of the Global Impact Fund with the same class designation and at the respective class NAV, as determined on the Reorganization Date.

Some of the investments held by of International Small Company Fund may have been purchased or sold prior to the Reorganization for the purpose of complying with the anticipated investment policies or limitations of the Global Impact Fund after the Reorganization. The expenses associated with the Reorganization other than brokerage-related expenses, including stamp taxes and other similar transaction costs, were borne by HFMC or its affiliates.

As of the Reorganization Date the International Small Company Fund had investments valued at $82,029,834 with a cost basis of $80,872,975. For financial reporting purposes, assets received, liabilities assumed and shares issued by the Global Impact Fund were recorded at fair value; however, the cost basis of the investments received by the Global Impact Fund from of International Small Company Fund were carried forward to align ongoing reporting of the Global Impact Fund’s realized and unrealized gains and losses with amounts distributable to shareholders for tax purposes.

The aggregate net assets of the Global Impact Fund immediately after the acquisition were $130,434,704 which included $1,156,859 of acquired unrealized appreciation.

 

 

  101  

 


Report of Independent Registered Public Accounting Firm

To the Shareholders of

Hartford Emerging Markets Equity Fund, Hartford Environmental Opportunities Fund, Hartford Global Impact Fund, Hartford International Equity Fund, The Hartford International Growth Fund, The Hartford International Opportunities Fund, The Hartford International Small Company Fund, and The Hartford International Value Fund and the Board of Directors of The Hartford Mutual Funds, Inc.

 

 

 

Opinion on the Financial Statements

We have audited the accompanying statements of assets and liabilities of Hartford Emerging Markets Equity Fund, Hartford Environmental Opportunities Fund, Hartford Global Impact Fund, Hartford International Equity Fund, The Hartford International Growth Fund, The Hartford International Opportunities Fund, The Hartford International Small Company Fund, and The Hartford International Value Fund (collectively referred to as the “Funds”) (eight of the funds constituting The Hartford Mutual Funds, Inc. (the “Company”)), including the schedules of investments, as of October 31, 2019, and the related statements of operations and changes in net assets, and the financial highlights for each of the periods indicated in the table below and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds (eight of the funds constituting The Hartford Mutual Funds, Inc.) at October 31, 2019, and the results of their operations, changes in net assets and financial highlights for each of the periods indicated in the table below, in conformity with U.S. generally accepted accounting principles.

 

Individual fund constituting

The Hartford Mutual Funds, Inc.

   Statement of operations    Statements of changes in
net assets
   Financial highlights

Hartford Emerging Markets Equity Fund

Hartford International Equity Fund

The Hartford International Growth Fund

The Hartford International Opportunities Fund

The Hartford International Small Company Fund

The Hartford International Value Fund

   For the year ended October 31, 2019    For each of the two years in the period ended October 31, 2019    For each of the five years in the period ended October 31, 2019
Hartford Environmental Opportunities Fund    For the year ended October 31, 2019    For each of the two years in the period ended October 31, 2019    For each of the three years in the period ended October 31, 2019 and the period from February 29, 2016 (commencement of operations) through October 31, 2016.
Hartford Global Impact Fund    For the year ended October 31, 2019    For each of the two years in the period ended October 31, 2019    For each of the two years in the period ended October 31, 2019 and the period from February 28, 2017 (commencement of operations) through October 31, 2017.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on each of the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2019, by correspondence with the custodian and others or by other appropriate auditing procedures where replies from others were not received. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

 

LOGO

We have served as the auditor of one or more Hartford investment companies since 2002.

Philadelphia, Pennsylvania

December 30, 2019

 

 

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Hartford International/Global Equity Funds

Directors and Officers of the Company (Unaudited)

 

 

 

The Hartford Mutual Funds, Inc. (the “Company”) is governed by a Board of Directors (the “Directors”). The following tables present certain information regarding the Directors and officers of the Company as of October 31, 2019. For more information regarding the Directors and officers, please refer to the Statement of Additional Information, which is available, without charge, upon request by calling 1-888-843-7824.

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY  DIRECTOR

NON-INTERESTED DIRECTORS

HILARY E. ACKERMANN

(1956)

   Director   Since 2014   Ms. Ackermann served as Chief Risk Officer at Goldman Sachs Bank USA from October 2008 to November 2011. Ms. Ackermann has served as a Director of Vistra Energy Corporation, formerly known as Dynegy, Inc. (an independent power company) since October 2012 and as a Director of Credit Suisse Holdings (USA), Inc. since January 2017.   82    Ms. Ackermann serves as a Director of Vistra Energy Corporation (October 2012 to present) and as a Director of Credit Suisse Holdings (USA), Inc. from January 2017 to present.

ROBIN C. BEERY

(1967)

   Director   Since 2017   Ms. Beery has served as a consultant to ArrowMark Partners (an alternative asset manager) since March of 2015 and since November 2018 has been employed by ArrowMark Partners as a Senior Advisor. Previously, she was Executive Vice President, Head of Distribution, for Janus Capital Group, and Chief Executive Officer and President of the Janus Mutual Funds (a global asset manager) from September 2009 to August 2014.   82    Ms. Beery serves as a Director of UMB Financial Corporation (January 2015 to present).

LYNN S. BIRDSONG

(1946)

   Director and Chair of the Board   Director since 2003; Chair of the Board since August 2019   Mr. Birdsong currently serves as a Director of Aberdeen Global and Aberdeen Global II (investment funds) (since September 2014), Aberdeen Islamic SICAV and Aberdeen Liquidity Fund (investment funds) (since 2016), and Aberdeen Alpha Fund (since December 2017). Mr. Birdsong served as an Independent Director of Nomura Partners Funds, Inc. (formerly, The Japan Fund) (April 2003 to February 2015) and as a Director of the Sovereign High Yield Investment Company (April 2010 to June 2014). From 2003 to March 2005, Mr. Birdsong was an Independent Director of the Atlantic Whitehall Funds. From 1979 to 2002, Mr. Birdsong was a Managing Director of Zurich Scudder Investments, an investment management firm. During his employment with Scudder, Mr. Birdsong was an Interested Director of The Japan Fund. From January 1981 through December 2013, Mr. Birdsong was a partner in Birdsong Company, an advertising specialty firm.   82    None

CHRISTINE R. DETRICK

(1958)

   Director   Since 2016   Ms. Detrick has served as a Director of Reinsurance Group of America since January 2014. Previously, she was a director of Forest City Realty Trust (a real estate company) from November 2014 to March 2018, a Director of Forethought Financial Group, Inc. (a financial services company) from January 2012 to January 2014, and a Senior Partner/Advisor at Bain & Company (a management consulting firm) from September 2002 to December 2012.   82    Ms. Detrick serves as a Director of Reinsurance Group of America (January 2014 to present).

DUANE E. HILL

(1945)

   Director   Since 2001   Mr. Hill is a Partner of TSG Ventures L.P., a private equity investment company. Mr. Hill is a former partner of TSG Capital Group, a private equity investment firm that served as sponsor and lead investor in leveraged buyouts of middle market companies.   82    None

 

 

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Hartford International/Global Equity Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY  DIRECTOR

PHILLIP O. PETERSON(4)

(1944)

   Director   Since 2002   Mr. Peterson is a mutual fund industry consultant. He was a partner of KPMG LLP (an accounting firm) until July 1999. From February 2007 to February 2018, Mr. Peterson served as a member of the Board of Trustees of the William Blair Funds. From February 2012 to February 2014, Mr. Peterson served as a Trustee of Symetra Variable Mutual Funds. From January 2004 to April 2005, Mr. Peterson served as Independent President of the Strong Mutual Funds.   82    None

LEMMA W. SENBET

(1946)

   Director   Since 2005   Dr. Senbet currently serves as the William E. Mayer Chair Professor of Finance, and previously was the Founding Director, Center for Financial Policy, in the Robert H. Smith School of Business at the University of Maryland. He was chair of the Finance Department Robert H. Smith School of Business at the University of Maryland from 1998 to 2006. In June 2013, he began a sabbatical from the University to serve as Executive Director of the African Economic Research Consortium which focuses on economic policy research and training, which he completed in 2018. Previously, he was a chaired professor of finance at the University of Wisconsin-Madison. Also, he was a Director of the Fortis Funds from March 2000 to July 2002. Dr. Senbet served as Director of the American Finance Association and President of the Western Finance Association. In 2006, Dr. Senbet was inducted Fellow of Financial Management Association International for his career-long distinguished scholarship and professional service.   82    None

DAVID SUNG

(1953)

   Director   Since 2017   Mr. Sung has served as a Director of Nippon Wealth Bank since April 2015 and CITIC-Prudential Fund Management Company, Inc. since January 2016. Mr. Sung is an Independent Director of seven investment funds, including two closed-end registered investment companies, sponsored by Ironwood Capital Management. Previously, he was a Partner at Ernst & Young LLP from October 1995 to July 2014.   82    Mr. Sung serves as a Trustee of Ironwood Institutional Multi-Strategy Fund, LLC and Ironwood Multi-Strategy Fund, LLC (October 2015 to present) (2 portfolios).
OFFICERS AND INTERESTED DIRECTORS

JAMES E. DAVEY(5)

(1964)

   Director, President and Chief Executive Officer   President and Chief Executive Officer since 2010; Director since 2012   Mr. Davey serves as Executive Vice President of The Hartford Financial Services Group, Inc. Additionally, Mr. Davey serves as Chairman of the Board, Manager, and Senior Managing Director of Hartford Funds Distributors, LLC (“HFD”). He also currently serves as Director, Chairman of the Board, President and Senior Managing Director of Hartford Administrative Services Company (“HASCO”). Mr. Davey also serves as President, Manager, Chairman of the Board, and Senior Managing Director for Hartford Funds Management Company, LLC (“HFMC”), and Director, Chairman, President, and Senior Managing Director for Hartford Funds Management Group, Inc. (“HFMG”). Mr. Davey also serves as Manager, Chairman of the Board, and President of Lattice Strategies LLC (since July 2016). Mr. Davey has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Davey joined The Hartford in 2002.   82    None

 

 

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Hartford International/Global Equity Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY  DIRECTOR

ANDREW S. DECKER

(1963)

   AML Compliance Officer   Since 2015   Mr. Decker serves as Chief Compliance Officer and AML Compliance Officer of HASCO (since April 2015) and Vice President of HASCO (since April 2018). Mr. Decker serves as AML Officer of HFD (since May 2015). Mr. Decker also serves as Vice President of HFMG (since April 2018). Prior to joining The Hartford, Mr. Decker served as Vice President and AML Officer at Janney Montgomery Scott (a broker dealer) from April 2011 to January 2015. Mr. Decker served as AML Compliance and Sanctions Enforcement Officer at SEI Investments from December 2007 to April 2011.   N/A    N/A

AMY N. FURLONG

(1979)

   Vice President and Treasurer   Since 2018   Ms. Furlong serves as Vice President and Assistant Treasurer of HFMC (since September 2019). Ms. Furlong has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Ms. Furlong joined The Hartford in 2004. Prior to joining The Hartford, Ms. Furlong worked at KPMG LLP in audit services.   N/A    N/A

WALTER F. GARGER

(1965)

  

Vice President and Chief

Legal Officer

  Since 2016   Mr. Garger serves as Secretary, Managing Director and General Counsel of HFD, HASCO, HFMC and HFMG (since 2013). Mr. Garger also serves as Secretary and General Counsel of Lattice Strategies LLC (since July 2016). Mr. Garger has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Garger joined The Hartford in 1995.   N/A    N/A

ALBERT Y. LEE

(1979)

   Vice President and Assistant Treasurer   Since 2017   Mr. Lee serves as Head of Systemic Strategies and ETF Operations and Senior Vice President of HFMG (since July 2016). Mr. Lee also serves as Senior Vice President of Lattice Strategies LLC (since June 2017). Previously, Mr. Lee served as Managing Director and Chief Operating Officer, Lattice Strategies LLC (2009-2016); Chief Operating Officer at Avicenna Capital Management (2007-2009); and Chief Financial Officer at Steeple Capital LP (2005-2007).   N/A    N/A

THEODORE J. LUCAS

(1966)

   Vice President   Since 2017   Mr. Lucas serves as Executive Vice President of HFMG (since July 2016) and as Executive Vice President of Lattice Strategies LLC (since June 2017). Previously, Mr. Lucas served as Managing Partner of Lattice Strategies LLC (2003 to 2016).   N/A    N/A

JOSEPH G. MELCHER

(1973)

   Vice President and Chief Compliance Officer   Since 2013   Mr. Melcher serves as Executive Vice President of HFD (since December 2013) and has served as President (from April 2018 to June 2019) and Chief Executive Officer (from April 2018 to June 2019) of HFD. He also serves as Executive Vice President of HFMG and HASCO (since December 2013). Mr. Melcher also serves as Executive Vice President (since December 2013) and Chief Compliance Officer (since December 2012) of HFMC. Mr. Melcher also serves as Executive Vice President and Chief Compliance Officer of Lattice Strategies, LLC (since July 2016). Mr. Melcher has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds since joining The Hartford in 2012. Prior to joining The Hartford, Mr. Melcher worked at Touchstone Investments, a member of the Western & Southern Financial Group, where he held the position of Vice President and Chief Compliance Officer from 2010 through 2012 and Assistant Vice President, Compliance from 2005 to 2010.   N/A    N/A

 

 

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Hartford International/Global Equity Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY  DIRECTOR

VERNON J. MEYER

(1964)

   Vice President   Since 2006   Mr. Meyer serves as Managing Director and Chief Investment Officer of HFMC and Managing Director of HFMG (since 2013). Mr. Meyer has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Meyer joined The Hartford in 2004.   N/A    N/A

ALICE A. PELLEGRINO

(1960)

   Vice President   Since 2016   Ms. Pellegrino serves as Vice President of HFMG (since December 2013). Ms. Pellegrino also serves as Vice President and Assistant Secretary of Lattice Strategies LLC (since June 2017). Ms. Pellegrino is a Senior Counsel and has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Ms. Pellegrino joined The Hartford in 2007.   N/A    N/A

THOMAS R. PHILLIPS

(1960)

   Vice President and Secretary   Since 2017   Mr. Phillips currently serves as Vice President (since February 2017) and Assistant Secretary (since June 2017) for HFMG. Mr. Phillips is Deputy General Counsel for HFMG. Prior to joining HFMG in 2017, Mr. Phillips was a Director and Chief Legal Officer of Saturna Capital Corporation from 2014–2016. Prior to that, Mr. Phillips was a Partner and Deputy General Counsel of Lord, Abbett & Co. LLC.   N/A    N/A

 

(1)

The address for each officer and Director is c/o Hartford Funds 690 Lee Road, Wayne, PA 19087.

(2)

Each Director holds an indefinite term until the earlier of (i) the election and qualification of his or her successor or (ii) when the Director turns 75 years of age. Each officer shall serve until his or her successor is elected and qualifies.

(3)

The portfolios of the “Fund Complex” are series of The Hartford Mutual Funds, Inc., The Hartford Mutual Funds II, Inc., Hartford Series Fund, Inc., Hartford HLS Series Fund II, Inc., Hartford Funds Master Fund, Lattice Strategies Trust, Hartford Funds Exchange-Traded Trust, Hartford Funds NextShares Trust, and Hartford Schroders Opportunistic Income Fund.

(4)

Effective December 5, 2019, Mr. Peterson is retiring from the Company.

(5)

“Interested person,” as defined in the 1940 Act, of the Company because of the person’s affiliation with, or equity ownership of, HFMC, HFD or affiliated companies.

 

 

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Hartford International/Global Equity Funds

 

 

 

 

HOW TO OBTAIN A COPY OF EACH FUND’S PROXY VOTING POLICIES AND VOTING RECORDS (UNAUDITED)

A description of the policies and procedures that each Fund uses to determine how to vote proxies relating to portfolio securities and information about how each Fund voted proxies relating to portfolio securities during the most recent twelve-month period ended June 30 are available (1) without charge, upon request, by calling 888-843-7824 and (2)  on the SEC’s website at http://www.sec.gov.

QUARTERLY PORTFOLIO HOLDINGS INFORMATION (UNAUDITED)

Each Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. Each Fund’s Form N-PORT reports are available (1) without charge, upon request, by calling 888-843-7824 and (2) on the SEC’s website at http://www.sec.gov.

 

 

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Hartford International/Global Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited)

 

 

 

The Hartford Mutual Funds, Inc.

Hartford Emerging Markets Equity Fund

Hartford Environmental Opportunities Fund

Hartford Global Impact Fund

Hartford International Equity Fund

The Hartford International Growth Fund

The Hartford International Opportunities Fund

The Hartford International Small Company Fund

The Hartford International Value Fund

(each a “Fund” and collectively, the “Funds”)

Section 15(c) of the Investment Company Act of 1940, as amended (the “1940 Act”), requires that each mutual fund’s board of directors, including a majority of those directors who are not “interested persons” of the mutual fund, as defined in the 1940 Act (the “Independent Directors”), annually review and consider the continuation of the mutual fund’s investment advisory and sub-advisory agreements. At its meeting held on August 6-7, 2019, the Board of Directors (the “Board”) of The Hartford Mutual Funds, Inc. (“HMF”), including each of the Independent Directors, unanimously voted to approve (i) the continuation of an investment management agreement by and between Hartford Funds Management Company, LLC (“HFMC”) and each of HMF, on behalf of each of Hartford Emerging Markets Equity Fund, Hartford Environmental Opportunities Fund, Hartford International Equity Fund, The Hartford International Growth Fund, The Hartford International Opportunities Fund, The Hartford International Small Company Fund, and The Hartford International Value Fund, and The Hartford Mutual Funds II, Inc. (“HMF II”), on behalf of its series (the “Management Agreement”); (ii) the continuation of an investment management agreement by and between HFMC and HMF, on behalf of the Hartford Global Impact Fund (the “Global Impact Management Agreement”); (iii) the continuation of an investment sub-advisory agreement between Wellington Management Company LLP (“Wellington Management”) and HFMC (the “Sub-Advisory Agreement”) with respect to each of Hartford Emerging Markets Equity Fund, Hartford Environmental Opportunities Fund, Hartford International Equity Fund, The Hartford International Growth Fund, The Hartford International Opportunities Fund, The Hartford International Small Company Fund, and The Hartford International Value Fund; and (iv) an amendment to the Sub-Advisory Agreement appointing Wellington Management as the sub-adviser for the Hartford Global Impact Fund (the “Amendment,” and collectively with the Management Agreement, Global Impact Management Agreement, and Sub-Advisory Agreement, the “Agreements”).

In the months preceding the August 6-7, 2019 meeting, the Board requested and reviewed written responses from HFMC and Wellington Management (collectively, the “Advisers”) to questions posed to the Advisers on behalf of the Independent Directors and supporting materials relating to those questions and responses. With respect to the Hartford Global Impact Fund, the information provided and presentations made to the Board also included information with respect to the Global Impact Master Portfolio (the “Master Portfolio”), a series of Hartford Funds Master Fund. In addition, the Board considered such additional information as it deemed reasonably necessary to evaluate the Agreements, as applicable, with respect to each Fund, which included information furnished to the Board at its meetings throughout the year, as well as information specifically prepared in connection with the approval of the Agreements that was presented at the Board’s meetings held on June 18, 2019 and August 6-7, 2019. Information provided to the Board at its meetings throughout the year included, among other things, reports on Fund performance, legal, compliance and risk management matters, sales and marketing activity, shareholder services, and the other services provided to each Fund by the Advisers and their affiliates. The Board also considered the materials and in-person presentations by Fund officers and representatives of HFMC received at the Board’s meetings on June 18, 2019 and August 6-7, 2019 concerning the Agreements. In evaluating the Global Impact Management Agreement, the Board noted that the Hartford Global Impact Fund operates under a “master-feeder” structure whereby, as a feeder fund that invests all of its assets in the Master Portfolio, the Hartford Global Impact Fund has the same investment objective and policies as the Master Portfolio. At its meeting held on August 6-7, 2019, the Board also unanimously voted, however, to unwind the master-feeder structure, resulting in the Hartford Global Impact Fund holding securities directly in its portfolio rather than investing through the Master Portfolio on or about October 4, 2019. The Board considered that HFMC serves as investment adviser to each of the Hartford Global Impact Fund and the Master Portfolio and that Wellington Management Company LLP serves or is proposed to serve as the investment sub-adviser to each of the Master Portfolio and the Hartford Global Impact Fund, respectively.

The Independent Directors, advised by independent legal counsel throughout the evaluation process, engaged service providers to assist them with evaluating the Agreements with respect to each Fund, as applicable. Broadridge Financial Solutions, Inc. (“Broadridge”), an independent provider of investment company data, was retained to provide the Board with reports on how each Fund’s contractual management fees, actual management fees, transfer agency and other non-management fees, overall expense ratios and investment performance compared to those of comparable mutual funds with similar investment objectives. The Independent Directors also engaged an independent financial services consultant (the “Consultant”) to assist them in evaluating each Fund’s management fees, transfer agency and other non-management fees, overall expense ratios and investment performance. In addition, the Consultant reviewed the profitability methodologies utilized by HFMC in connection with the continuation of the Management Agreement.

In determining whether to approve the Agreements for a Fund, the members of the Board reviewed and evaluated information and factors they believed to be relevant and appropriate through the exercise of their reasonable business judgment. While individual members of the Board may have weighed certain factors differently, the Board’s determination to approve the Agreements was based on a comprehensive consideration of all

 

 

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Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

information provided to the Board throughout the year and specifically with respect to the approval of the Agreements. The Board was also furnished with an analysis of its fiduciary obligations in connection with its evaluation of the Agreements and, throughout the evaluation process, the Board was assisted by counsel for the Funds. The Independent Directors were also separately assisted by independent legal counsel throughout the evaluation process. A more detailed summary of the important, but not necessarily all, factors the Board considered with respect to its approval of the Agreements is provided below.

Nature, Extent and Quality of Services Provided by the Advisers

The Board requested and considered information concerning the nature, extent and quality of the services provided to each Fund by the Advisers (or to be provided in the case of the services to be provided by Wellington Management Company LLP for the Hartford Global Impact Fund). The Board considered, among other things, the terms of the Agreements and the range of services provided by the Advisers. The Board considered the Advisers’ professional personnel who provide services to the Funds, including each Adviser’s ability and experience in attracting and retaining qualified personnel to service the Funds. With respect to the Hartford Global Impact Fund, the Board considered that, because of the master-feeder structure, the portfolio management services provided by HFMC to the Fund through October 4, 2019 are generally limited to selecting the Master Portfolio, investing the Fund’s assets in the Master Portfolio, and monitoring the Master Portfolio’s performance as an investment for the Fund and the Board considered that after October 4, 2019 the services that Wellington Management Company LLP will provide will be substantially similar to the services previously provided to the Master Portfolio. The Board considered each Adviser’s reputation and overall financial strength, as well as its willingness to consider and implement organizational and operational changes designed to enhance services to the funds managed by HFMC and its affiliates (the “Hartford Funds”). In addition, the Board considered the quality of each Adviser’s communications with the Board and responsiveness to Board inquiries and requests made from time to time with respect to the Funds and other Hartford Funds.

The Board also requested and evaluated information concerning each Adviser’s regulatory and compliance environment. In this regard, the Board requested and reviewed information about each Adviser’s compliance policies and procedures, compliance history, and a report from the Funds’ Chief Compliance Officer about each Adviser’s compliance with applicable laws and regulations, including responses to regulatory developments and any compliance or other issues raised by regulators. The Board also noted the Advisers’ support of the Funds’ compliance control structure, as applicable, and, in particular, the resources devoted by the Advisers in support of the Funds’ obligations pursuant to Rule 38a-1 under the 1940 Act and the Funds’ liquidity risk management program, as well as the efforts of the Advisers to combat cybersecurity risks and invest in business continuity planning.

With respect to HFMC, the Board noted that, under the Management Agreement, HFMC is responsible for the management of the Funds, including oversight of fund operations and service providers, and the provision of administrative and investment advisory services in connection with selecting, monitoring and supervising Wellington Management. In this regard, the Board evaluated information about the nature and extent of responsibilities retained and risks assumed by HFMC that were not delegated to or assumed by Wellington Management. The Board considered HFMC’s ongoing monitoring of people, process and performance, including its quarterly reviews of each of the Hartford Funds, semi-annual meetings with the leaders of each Fund’s portfolio management team, and oversight of the Hartford Funds’ portfolio managers. The Board recognized that HFMC has demonstrated a record of initiating changes to the portfolio management and/or investment strategies of the Hartford Funds when warranted. The Board considered HFMC’s periodic due diligence reviews of Wellington Management and ongoing oversight of Wellington Management’s investment approach and results, process for monitoring best execution of portfolio trades and other trading operations by Wellington Management, and approach to risk management with respect to the Funds and the service providers to the Funds. The Board considered HFMC’s oversight of the securities lending program and noted the income earned by the Funds that participated in the program from securities lending. The Board also considered that the Hartford Global Impact Fund would participate in the securities lending program after the unwinding of the master feeder structure. The Board also considered HFMC’s day-to-day oversight of each Fund’s compliance with its investment objective and policies as well as with applicable laws and regulations, noting that regulatory and other developments had over time led to an increase in the scope of HFMC’s services in this regard. Moreover, the Board considered HFMC’s oversight of potential conflicts of interest between the Funds’ investments and those of other funds or accounts managed by the Funds’ portfolio management personnel. With respect to the Hartford Global Impact Fund, the Board considered HFMC’s oversight of potential conflicts of interest between the Master Portfolio’s investments and those of other funds or accounts managed by the Master Portfolio’s portfolio management personnel and that HFMC would provide oversight of potential conflicts of interest between the Hartford Global Impact Fund’s investments and those of other funds or accounts managed by the Hartford Global Impact Fund’s portfolio management personnel upon the Hartford Global Impact Fund operating as a stand-alone fund that directly invests in securities.

In addition, the Board considered HFMC’s ongoing commitment to review and rationalize the Hartford Funds product line-up and the expenses that HFMC had incurred, as well as the risks HFMC had assumed, in connection with the launch of new funds and changes to existing Hartford Funds in recent years. The Board considered that HFMC is responsible for providing the Funds’ officers.

With respect to Wellington Management, which provides certain day-to-day portfolio management services for the Funds (or proposed to be provided in the case of the services to be provided for the Hartford Global Impact Fund), subject to oversight by HFMC, the Board considered, among other things, Wellington Management’s investment personnel, its investment philosophy and process, its investment research capabilities and resources, its performance record, its trade execution capabilities and its experience, including with respect to environmental-, social-, and governance-focused investments for the Hartford Environmental Opportunities Fund. The Board considered the quality and experience of each Fund’s portfolio manager(s),

 

 

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Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

the number of accounts managed by the portfolio manager(s), and Wellington Management’s method for compensating the portfolio manager(s). The Board also considered Wellington Management’s succession planning to ensure continuity of portfolio management services provided to the Funds.

The Board considered the benefits to shareholders of being part of the Hartford Funds family of funds, including, with respect to certain share classes, the right to exchange investments between the same class of shares without a sales charge, the ability to reinvest Fund dividends into other Hartford Funds, and the ability to combine holdings in a Fund with holdings in other Hartford Funds to obtain a reduced sales charge. The Board considered HFMC’s efforts to provide investors in the Hartford Funds with a broad range of investment styles and asset classes and the assumption of entrepreneurial and other risks by HFMC in sponsoring new funds to expand these opportunities for shareholders.

Based on these considerations, the Board concluded that it was satisfied with the nature, extent and quality of the services provided to each Fund by HFMC. Based on these considerations, the Board also concluded that it was satisfied with the nature, extent and quality of the services provided to each Fund by Wellington Management (or proposed to be provided in the case of the services to be provided by Wellington Management for the Hartford Global Impact Fund).

Performance of each Fund and the Advisers

The Board considered the investment performance of each Fund. In this regard, the Board reviewed the performance of each Fund over different time periods presented in the materials and evaluated HFMC’s analysis of the Fund’s performance for these time periods. The Board noted that the performance of the Hartford Global Impact Fund is based on the performance of the Master Portfolio. The Board considered information and materials provided to the Board by the Advisers concerning Fund performance, as well as information from Broadridge comparing the investment performance of each Fund to an appropriate universe of peer funds. For details regarding each Fund’s performance, see the Fund-by-Fund synopsis below.

The Board considered the detailed investment analytics reports provided by HFMC’s Investment Advisory Group throughout the year, including in connection with the approval of the Agreements. These reports included, among other things, information on each Fund’s gross returns and net returns, the Fund’s investment performance relative to an appropriate benchmark and peer group (if available), various statistics concerning the Fund’s portfolio, a narrative summary of various factors affecting Fund performance and commentary of the effect of current and recent market conditions. The Board also noted that, for each of the Hartford International Equity Fund and The Hartford International Growth Fund, the Fund utilizes a multiple portfolio manager structure and considered the performance attributions of the underlying managers. The Board considered the Advisers’ cooperation with the Investment Committee, which assists the Board in evaluating the performance of each Fund at periodic meetings throughout the year and specifically with respect to the approval of the Agreements. The Board also considered the analysis provided by the Consultant relating to each Fund’s performance track record.

In light of all the considerations noted above, the Board concluded that it had confidence in HFMC’s and Wellington Management’s overall capabilities to manage the Funds.

Costs of the Services and Profitability of the Advisers

The Board reviewed information regarding HFMC’s cost to provide investment management and related services to each Fund and HFMC’s profitability, both overall and for each Fund, on a pre-tax basis without regard to distribution expenses. With respect to Hartford Global Impact Fund, the Board also evaluated HFMC’s cost to provide investment management and related services to the Master Portfolio and HFMC’s profitability the Master Portfolio, on a pre-tax basis without regard to distribution expenses. The Board also requested and reviewed information about the profitability to HFMC and its affiliates from all services provided to each Fund and all aspects of their relationship with the Fund, including information regarding profitability trends over time. In connection with these considerations, the Board took account of the fact that the Hartford Global Impact Fund does not directly pay a management fee with respect to any period in which the only investment security held by the Hartford Global Impact Fund is that of the Master Portfolio (such management fee structure is hereinafter referred to as the “Single Management Fee Structure”). The Board noted that once the Hartford Global Impact Fund no longer invests all of its assets in the Master Portfolio, the Hartford Global Impact Fund will pay HFMC a management fee in accordance with the advisory fee schedule presented at the meeting.

The Board also requested and received information relating to the operations and profitability of Wellington Management. The Board considered representations from HFMC and Wellington Management that Wellington Management’s fees were negotiated at arm’s length on a Fund-by-Fund basis and that the sub-advisory fees are paid by HFMC and not the Funds. Accordingly, the Board concluded that the profitability of Wellington Management is a less relevant factor with respect to the Board’s consideration of the Sub-Advisory Agreement and the Amendment.

The Board considered the Consultant’s review of the methodologies and estimates used by HFMC in calculating profitability in connection with the continuation of the Management Agreement for each Fund and the investment management agreement for the Master Portfolio, including a description of the methodology used to allocate certain expenses. The Board noted the Consultant’s view that HFMC’s process for calculating and reporting Fund profitability is reasonable and consistent with the process previously reviewed by the Consultant. In this regard, the Board noted that the Consultant had previously performed a full review of this process and reported that such process is sound and consistent with common industry practice.

 

 

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Hartford International/Global Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Based on these considerations, the Board concluded that the profits realized by the Advisers and their affiliates from their relationships with the Funds were not excessive.

Comparison of Fees and Services Provided by the Advisers

The Board considered the comparative information that had been provided at meetings on June 18, 2019 and August 6-7, 2019 with respect to the services rendered to and the management fees to be paid by each Fund to HFMC and the total expense ratios of the Fund. The Board also noted that the Hartford Global Impact Fund would bear its share of the fees and expenses of the Master Portfolio, including the Master Portfolio’s management fees, for any period in which the Hartford Global Impact Fund holds securities issued by the Master Portfolio. The Board also noted that the advisory fee schedule for the Master Portfolio is identical to that of the Hartford Global Impact Fund, except that the Hartford Global Impact Fund would not directly pay a management fee to HFMC for any period in which the Hartford Global Impact Fund only holds securities issued by the Master Portfolio.

The Board also considered comparative information with respect to the sub-advisory fees to be paid by HFMC to Wellington Management with respect to each Fund. In this regard, the Board requested and reviewed information from HFMC and Wellington Management relating to the management and sub-advisory fees, including the sub-advisory fee schedule for each Fund and the amount of the management fee retained by HFMC, and total operating expenses for each Fund. The Board also reviewed information from Broadridge comparing each Fund’s contractual management fees, actual management fees and total expense ratios relative to an appropriate group of funds selected by Broadridge, in consultation with the Consultant. For details regarding each Fund’s expenses, see the Fund-by-Fund synopsis below.

While the Board recognized that comparisons between a Fund and its peer funds may be imprecise given, among other differences, the different service levels and characteristics of mutual funds and the different business models and cost structures of the Advisers, the comparative information provided by Broadridge assisted the Board in evaluating the reasonableness of each Fund’s fees and total operating expenses. In addition, the Board considered the analysis and recommendations of the Consultant relating to each Fund’s fees and total operating expenses.

The Board also received information regarding fees charged by Wellington Management to any other clients with investment strategies similar to those of the Funds, including institutional separate account clients and registered fund clients for which Wellington Management serves as either primary investment adviser or sub-adviser. The Board considered the explanations provided by Wellington Management about any differences between Wellington Management’s services to the Funds and the services it provides to other types of clients. In this regard, the Board reviewed information about the generally broader scope of services and compliance, reporting and other legal burdens and risks of managing registered funds compared with those associated with managing assets of non-registered fund clients such as institutional separate accounts.

Based on these considerations, the Board concluded that each Fund’s fees and total operating expenses, in conjunction with the information about quality of services, profitability, economies of scale, and other matters considered, were reasonable in light of the services provided.

Economies of Scale

The Board considered information regarding the extent to which economies of scale may be realized as a Fund grows and whether fee levels reflect these economies of scale for the benefit of shareholders of the Fund. The Board reviewed the breakpoints in the management fee schedule for each Fund, if any, which reduce fee rates as the Fund’s assets grow over time. With respect to the Hartford Global Impact Fund, the Board also considered the Single Management Fee Structure and reviewed the breakpoints in the management fee schedule for the Master Portfolio, which would reduce certain expenses of the Hartford Global Impact Fund as the Master Portfolio’s assets grow over time. The Board recognized that a Fund or Master Portfolio with assets beyond the highest breakpoint level will continue to benefit from economies of scale because additional assets are charged the lowest breakpoint fee resulting in lower overall effective management fee rates. The Board also recognized that a fee schedule that reaches a breakpoint at a lower asset level provides shareholders with the benefit of anticipated or potential economies of scale. The Board considered that expense limitations and fee waivers that reduce a Fund’s expenses at all asset levels can have the same effect as breakpoints in sharing economies of scale with shareholders and provide protection from an increase in expenses if the Fund’s assets decline. In addition, the Board considered that initially setting competitive fee rates, pricing the Funds to scale at inception and making additional investments intended to enhance services available to shareholders are other means of sharing anticipated or potential economies of scale with shareholders. The Board also considered that HFMC has been active in managing expenses, which has resulted in benefits being realized by shareholders as assets within the Hartford Funds have grown over time, including through lower operating expenses. The Board also noted that, for each of the Hartford Emerging Markets Equity Fund and the Hartford Environmental Opportunities Fund, the Fund’s current low asset levels have kept the Fund from fully realizing the benefits of anticipated or potential economies of scale.

The Board reviewed and evaluated materials from Broadridge and the Consultant showing how management fee schedules of peer funds reflect economies of scale for the benefit of shareholders as a peer fund’s assets hypothetically increase over time. Based on information provided by HFMC, Broadridge, and the Consultant, the Board recognized that there is no uniform methodology for establishing breakpoints or uniform pattern in asset levels that trigger breakpoints or the amounts of breakpoints triggered.

After considering all of the information available to it, the Board concluded that it was satisfied with the extent to which economies of scale would be shared for the benefit of each Fund’s shareholders based on currently available information and the effective management fees and total expense

 

 

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Hartford International/Global Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

ratios for the Fund at its current and reasonably anticipated asset levels. The Board noted, however, that it would continue to monitor future growth in each Fund’s assets and the appropriateness of additional management fee breakpoints or other methods to share benefits from economies of scale.

Other Benefits

The Board considered other benefits to the Advisers and their affiliates from their relationships with the Funds.

The Board noted that HFMC receives fees for fund accounting and related services from the Funds, and the Board considered information on profits to HFMC for such services. The Board also considered that each Fund pays a transfer agency fee to Hartford Administrative Services Company (“HASCO”), an affiliate of HFMC, equal to the lesser of: (i) the actual costs incurred by HASCO in connection with the provisions of transfer agency services, including payments made to sub-transfer agents, plus a reasonable target profit margin; or (ii) a specified amount as set forth in the Transfer Agency and Service Agreement by and between HMF, on behalf of its Funds, HMF II, on behalf of its series, and HASCO. The Board reviewed information about the profitability to HASCO of the Funds’ transfer agency function. The Board considered information provided by HASCO indicating that the transfer agency fees charged by HASCO to the Funds were fair and reasonable based on publicly available information. The Board also noted that HFMC and HASCO had delegated certain fund accounting services and transfer agency services, respectively, to external service providers.

The Board also considered that Hartford Funds Distributors, LLC (“HFD”), an affiliate of HFMC, serves as principal underwriter of the Funds. the Board noted that, as principal underwriter, HFD receives distribution and service fees from the Funds and receives all or a portion of the sales charges on sales or redemptions of certain classes of shares.

The Board considered the benefits, if any, to Wellington Management from any use of a Fund’s or Master Portfolio’s brokerage commissions to obtain soft dollar research.

Fund-by-Fund Factors

For purposes of the Fund-by-Fund discussion below, Fund performance is referred to as “in line with” a Fund’s benchmark where it was 0.5% above or below the benchmark return, and each Fund’s performance relative to its benchmark reflects the net performance of the Fund’s Class I shares as of March 31, 2019.

Hartford Emerging Markets Equity Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-year period and the 2nd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was below its benchmark for the 1-year period, above its benchmark for the 3-year period and in line with its benchmark for the 5-year period.

 

 

The Board noted that the Fund’s contractual management fee was in the 2nd quintile of its expense group, while its actual management fee was in the 4th quintile and its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.45% through February 29, 2020, and that HFMC had reimbursed the Fund for certain expenses.

Hartford Environmental Opportunities Fund

 

 

The Board noted that the Fund’s performance was in the 4th quintile of its performance universe for the 1-year period and the 5th quintile for the 3-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1- and 3-year periods. The Board noted upcoming changes to the Fund’s investment strategy and portfolio management team and the appointment of additional sub-advisers to the Fund. A discussion regarding the basis for the Board’s approval of such new sub-advisory agreements is discussed below under the heading “Approval of New Investment Sub-Advisory Agreements for Hartford Environmental Opportunities Fund.”

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.19% through February 29, 2020.

Hartford Global Impact Fund

 

 

The Board noted that the Fund’s performance was in the 2nd quintile of its performance universe for the 1-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1-year period. The Board noted changes to the Master Portfolio’s portfolio management team that occurred in January 2019.

 

 

The Board noted that the Fund’s contractual management fee, its actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile of its expense group. The Board took account of the Single Management Fee Structure and noted that the advisory fee schedule for the Master Portfolio is identical to that of the Fund, except that the Fund would not directly pay a management fee to HFMC for any period in which the Fund only holds securities issued by the Master Portfolio. The Board noted, however, that the Fund’s master-feeder structure would be unwound on or about October 4, 2019, resulting in the Fund paying HFMC a management fee in accordance with the

 

 

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Hartford International/Global Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

  advisory fee schedule presented to the Board. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.19%, which resulted in HFMC reimbursing the Fund for certain expenses. At its August 6-7, 2019 meeting, the Board approved extending this cap until February 28, 2021.

Hartford International Equity Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1-year period and the 3rd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was below its benchmark for the 1-and 3-year periods and in line with its benchmark for the 5-year period.

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile of its expense group. The Board noted recent changes to the Fund’s portfolio management team. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.04% through February 29, 2020.

The Hartford International Growth Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-year period and the 2nd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was below its benchmark for the 1-year period and in line with its benchmark for the 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. In considering the Fund’s expenses, the Board noted the shareholder savings expected to result from a permanent fee reduction implemented in 2018. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.30% through February 29, 2020.

The Hartford International Opportunities Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1-year period, the 4th quintile for the 3-year period and the 3rd quintile for the 5-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1- and 3-year periods and in line with its benchmark for the 5-year period.

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile of its expense group. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.05% through February 29, 2020.

The Hartford International Small Company Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1-, 3- and 5-year periods. The Board also noted that the Fund’s performance was below its benchmark for the 1, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee was in the 1st quintile of its expense group, while its actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.60% through February 29, 2020, and that HFMC had reimbursed the Fund for certain expenses.

 

 

At its August 6-7, 2019 meeting, the Board approved the reorganization of the Fund with and into the Hartford Global Impact Fund on or about November 22, 2019.

The Hartford International Value Fund

 

 

The Board noted that the Fund’s performance was in the 4th quintile of its performance universe for the 1-year period and the 1st quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was below its benchmark for the 1-year period and above its benchmark for the 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee was in the 4th quintile of its expense group, while its actual management fee was in the 5th quintile and its total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.06% through February 29, 2020.

* * * *

Based upon its review of these various factors, among others, the Board concluded that it is in the best interests of each Fund and its shareholders for the Board to approve the Agreements. In reaching this decision, the Board did not assign relative weights to the factors discussed above or deem any

 

 

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Hartford International/Global Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

one or group of them to be controlling in and of themselves. In connection with their deliberations, the Independent Directors met separately in executive session on several occasions, with independent legal counsel and the Consultant, to review the relevant materials and consider their responsibilities under relevant laws and regulations.

Approval of New Investment Sub-Advisory Agreements for Hartford Environmental Opportunities Fund

At its meeting held on August 6-7, 2019, the Board of HMF, including each of the Independent Directors, also unanimously voted to approve: (i) an investment sub-advisory agreement by and between HFMC and Schroder Investment Management North America Inc. (“SIMNA Inc.”) with respect to the Hartford Environmental Opportunities Fund (the “Schroders Sub-Advisory Agreement”); and (ii) an amendment to the sub-sub-advisory agreement by and between SIMNA Inc. and Schroder Investment Management North America Limited (“SIMNA Ltd.,” together with SIMNA Inc., “Schroders”) with respect to the Hartford Environmental Opportunities Fund (the “Sub-Sub-Advisory Agreement” and collectively with the Schroders Sub-Advisory Agreement, the “New Agreements”).

In the months preceding the August 6-7, 2019 meeting, the Board requested and reviewed written responses from HFMC and Schroders to questions posed to HFMC and Schroders on behalf of the Independent Directors and supporting materials relating to those questions and responses. In addition, the Board considered such additional information as it deemed reasonably necessary to evaluate the New Agreements. The Board also considered the materials and in-person presentations by Fund officers and representatives of HFMC received at the Board’s meeting on August 6-7, 2019 concerning the proposal to add SIMNA Inc. as an additional sub-adviser to the Hartford Environmental Opportunities Fund and SIMNA Ltd. as an additional sub-sub-adviser to the Hartford Environmental Opportunities Fund.

In determining whether to approve the New Agreements, the members of the Board reviewed and evaluated information and factors they believed to be relevant and appropriate through the exercise of their reasonable business judgment. While individual members of the Board may have weighed certain factors differently, the Board’s determination to approve the New Agreements was based on a comprehensive consideration of all information provided to the Board with respect to the approval of the New Agreements. The Board was also furnished with an analysis of its fiduciary obligations in connection with its evaluation of the New Agreements and, throughout the evaluation process, the Board was assisted by counsel for the Hartford Environmental Opportunities Fund. The Independent Directors were also separately assisted by independent legal counsel throughout the evaluation process. A more detailed summary of the important, but not necessarily all, factors the Board considered with respect to its approval of the New Agreements is provided below.

Nature, Extent and Quality of Services to be Provided by Schroders

The Board requested and considered information concerning the nature, extent and quality of the services to be provided to the Hartford Environmental Opportunities Fund by Schroders. The Board considered, among other things, the terms of the New Agreements and the range of services to be provided by Schroders. The Board considered Schroders’ organizational structure, systems and personnel. The Board also considered Schroders’ reputation and overall financial strength and the Board’s past experience with Schroders with respect to the services it provides to other Hartford Funds. In addition, the Board considered the quality of Schroders’ communications with the Board and responsiveness to Board inquiries and requests made from time to time with respect to other Hartford Funds.

The Board also requested and evaluated information concerning Schroders’ regulatory and compliance environment. In this regard, the Board requested and reviewed information about Schroders’ compliance policies and procedures, compliance history, and a report from the Hartford Environmental Opportunities Fund’s Chief Compliance Officer about Schroders’ compliance with applicable laws and regulations, including responses to regulatory developments and any compliance or other issues raised by regulators. The Board also noted that Schroders would support the Hartford Environmental Opportunities Fund’s compliance control structure, and, in particular, the resources Schroders would devote in support of the Hartford Environmental Opportunities Fund’s obligations pursuant to Rule 38a-1 under the 1940 Act and the Hartford Environmental Opportunities Fund’s liquidity risk management program, as well as the future efforts of Schroders to combat cybersecurity risks and invest in business continuity planning.

With respect to Schroders, which would be responsible for the day-to-day portfolio management services for a sleeve of the Hartford Environmental Opportunities Fund (the “Sleeve”), subject to oversight by HFMC, the Board considered, among other things, Schroders’ investment personnel, its investment philosophy and process, its investment research capabilities and resources, its performance record, and its experience, including with respect to environmental-, social-, and governance-focused investments for the Hartford Environmental Opportunities Fund. The Board also considered the experience of the proposed portfolio manager from Schroders, trade execution capabilities, the number of accounts managed by the portfolio manager, and Schroders’ method of compensating portfolio managers. The Board also considered Schroders’ succession planning to ensure continuity of portfolio management services provided to the Hartford Environmental Opportunities Fund.

The Board also considered information previously provided by HFMC and Schroders regarding their compliance policies and procedures and compliance history, and received a representation from the Hartford Funds’ Chief Compliance Officer that the written compliance policies and procedures of Schroders are reasonably designed to prevent violations of the federal securities laws. In addition, the Board considered HFMC’s representation that it did not anticipate making any material changes to HFMC’s and the Hartford Funds’ compliance program as a result of the appointment of Schroders.

 

 

 

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Hartford International/Global Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

In considering this information, the Board evaluated not only the information presented to the Board in connection with its consideration of the New Agreements, but also the Board’s experience through past interactions with Schroders. Based on these considerations, the Board concluded that it was satisfied with the nature, extent and quality of the services to be provided to the Hartford Environmental Opportunities Fund by Schroders.

Performance of Schroders

The Board considered the investment performance of Schroders and the portfolio management team, including, for purposes of considering the investment skill and experience of the Sleeve’s proposed portfolio manager, composite performance data showing the portfolio manager’s capabilities in managing the Schroders Global Climate Change strategy, noting that Schroders currently manages accounts that use an investment strategy substantially similar to the proposed investment strategy of the Sleeve (but that none of the accounts are registered investment companies). The Board also considered information comparing the Schroders Global Climate Change strategy’s composite performance data to the Hartford Environmental Opportunities Fund’s benchmark and an appropriate universe of peer funds. The Board also considered additional information provided by HFMC about the broad range of the portfolio manager’s investment experience and investment philosophy and process.

Based on these considerations, the Board concluded that it was satisfied that Schroders have the capability of providing satisfactory investment performance for the Hartford Environmental Opportunities Fund.

Costs of the Services and Profitability of Schroders

The Board reviewed information regarding HFMC’s cost to provide investment management and related services to the Hartford Environmental Opportunities Fund and HFMC’s profitability, both overall and for the Fund on a pre-tax basis without regard to distribution expenses, from all services provided to the Fund under the current contractual arrangements and also assuming implementation of the New Agreements with Schroders.

In considering the proposed sub-advisory and sub-sub-advisory fee schedules for the Sleeve, the Board considered representations from HFMC and Schroders that such fees were negotiated at arm’s length and that the sub-advisory fees would be paid by HFMC and not the Hartford Environmental Opportunities Fund. The Board also considered that SIMNA Ltd. is an affiliate of SIMNA Inc. and that SIMNA Ltd.’s sub-sub-advisory fees would be paid by SIMNA Inc., not the Hartford Environmental Opportunities Fund. Accordingly, the Board concluded that the profitability of Schroders is a less relevant factor with respect to the Board’s consideration of the New Agreements.

Based on these considerations, the Board concluded that the profits anticipated to be realized by Schroders and their affiliates from their relationships with the Hartford Environmental Opportunities Fund would not be excessive.

Comparison of Fees and Services to be Provided by Schroders

The Board considered the information that had been provided at the meeting on August 6-7, 2019 with respect to the proposed sub-advisory fees to be paid by HFMC to SIMNA Inc. with respect to the Hartford Environmental Opportunities Fund, as well as the sub-sub-advisory fees to be paid by SIMNA Inc. to SIMNA Ltd. In this regard, the Board requested and reviewed information from HFMC and SIMNA Inc. relating to the proposed sub-advisory and sub-sub-advisory fees for the Sleeve. The Board considered that, in connection with the addition of Schroders, there were no proposed changes to the management fees to be paid by the Hartford Environmental Opportunities Fund to HFMC, or the sub-advisory fees to be paid by HFMC to Wellington Management Company LLP with respect to the portion of the Hartford Environmental Opportunities Fund sub-advised by Wellington Management Company LLP.

The Board also considered information provided by Schroders to the Board about the quality of services to be performed for the Hartford Environmental Opportunities Fund and Schroders’ investment philosophy.

The Board received information regarding fees charged by Schroders to any other clients with investment strategies similar to those of the Sleeve, including institutional separate account clients and offshore fund clients for which Schroders serves as either primary investment adviser or sub-adviser. The Board considered the explanations provided by Schroders about any differences between Schroders’ services to be provided to the Hartford Environmental Opportunities Fund and the services it provides to other types of clients. In this regard, the Board reviewed information about the generally broader scope of services and compliance, reporting and other legal burdens and risks of managing registered funds compared with those associated with managing assets of non-registered fund clients such as institutional separate accounts.

Based on these considerations, the Board concluded that the proposed sub-advisory and sub-sub-advisory fees, in conjunction with the information about quality of services, profitability, economies of scale, and other matters considered, were reasonable in light of the services to be provided.

Economies of Scale

The Board considered information regarding the extent to which economies of scale may be realized as the Hartford Environmental Opportunities Fund grows. The Board also considered how any benefits from economies of scale would be realized by the various parties. The Board also considered that, with respect to the New Agreements, any economies of scale achieved by the Hartford Environmental Opportunities Fund would benefit HFMC because the sub-advisory fees would be paid by HFMC and not the Hartford Environmental Opportunities Fund. The Board considered that the

 

 

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Hartford International/Global Equity Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Hartford Environmental Opportunities Fund and Schroders could share in the benefits from economies of scale as assets in the Hartford Environmental Opportunities Fund grow. Based on these considerations, the Board concluded that it was satisfied with the extent to which economies of scale would be shared for the benefit of the Hartford Environmental Opportunities Fund’s shareholders.

The Board noted, however, that it would review future growth in the Hartford Environmental Opportunities Fund’s assets and the appropriateness of additional breakpoints or other methods to share benefits from economies of scale as part of its future annual review of the New Agreements.

Other Benefits

The Board considered other benefits to HFMC and Schroders and their affiliates from their relationships with the Hartford Environmental Opportunities Fund. The Board also considered the benefits, if any, to Schroders from any use of the Hartford Environmental Opportunities Fund’s brokerage commissions to obtain soft dollar research. The Board considered that SIMNA Inc. has entered into a solicitation agreement with HFMC pursuant to which HFMC provides certain marketing support services with respect to an investment strategy model offered by SIMNA Inc. through its managed account platforms.

* * * *

Based upon its review of these various factors, among others, the Board concluded that it is in the best interests of the Hartford Environmental Opportunities Fund for the Board to approve the New Agreements. In reaching this decision, the Board did not assign relative weights to the factors discussed above or deem any one or group of them to be controlling in and of themselves. In connection with their deliberations, the Independent Directors met separately in executive session, with independent legal counsel, to review the relevant materials and consider their responsibilities under relevant laws and regulations.

 

 

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When allowed by law, we may share certain Personal Financial Information with other unaffiliated third parties who assist us by performing services or functions such as:

a) taking surveys;

b) marketing our products or services; or

c) offering financial products or services under a joint agreement between us and one or more financial institutions.

We, and third parties we partner with, may track some of the pages You visit through the use of:

a) cookies;

b) pixel tagging; or

c) other technologies;

and currently do not process or comply with any web browser’s “do not track” signal or other similar mechanism that indicates a request to disable online tracking of individual users who visit our websites or use our services.

For more information, our Online Privacy Policy, which governs information we collect on our website and our affiliate websites, is available at https://www.thehartford.com/online-privacy-policy.

We will not sell or share your Personal Financial Information with anyone for purposes unrelated to our business functions without offering You the opportunity to:

a) “opt-out;” or

b) “opt-in;”

as required by law.

We only disclose Personal Health Information with:

a) your authorization; or

b) as otherwise allowed or required by law.

Our employees have access to Personal Information in the course of doing their jobs, such as:

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b) paying claims;

c) developing new products; or

d) advising customers of our products and services.

We use manual and electronic security procedures to maintain:

a) the confidentiality; and

b) the integrity of;

Personal Information that we have. We use these procedures to guard against unauthorized access.

Some techniques we use to protect Personal Information include:

a) secured files;

b) user authentication;

c) encryption;

d) firewall technology; and

e) the use of detection software.

 


 

 

We are responsible for and must:

a) identify information to be protected;

b) provide an adequate level of protection for that data; and

c) grant access to protected data only to those people who must use it in the performance of their job-related duties.

Employees who violate our privacy policies and procedures may be subject to discipline, which may include termination of their employment with us.

We will continue to follow our Privacy Policy regarding Personal Information even when a business relationship no longer exists between us.

As used in this Privacy Notice:

Application means your request for our product or service.

Personal Financial Information means financial information such as:

a) credit history;

b) income;

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d) policy or claim information.

Personal Financial Information may include Social Security Numbers, Driver’s license numbers, or other government-issued identification numbers, or credit, debit card, or bank account numbers.

Personal Health Information means health information such as:

a) your medical records; or

b) information about your illness, disability or injury.

Personal Information means information that identifies You personally and is not otherwise available to the public. It includes:

a) Personal Financial Information; and

b) Personal Health Information.

Transaction means your business dealings with us, such as:

a) your Application;

b) your request for us to pay a claim; and

c) your request for us to take an action on your account.

You means an individual who has given us Personal Information in conjunction with:

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c) obtaining;

a financial product or service from us if the product or service is used mainly for personal, family, or household purposes.

 

If you have any questions or comments about this privacy notice, please feel free to contact us at The Hartford – Law Department, Privacy Law, One Hartford Plaza, Hartford, CT 06155, or at CorporatePrivacyOffice@thehartford.com.

This Customer Privacy Notice is being provided on behalf of The Hartford Financial Services Group, Inc. and its affiliates (including the following as of March 2019), to the extent required by the Gramm-Leach-Bliley Act and implementing regulations.

1stAGChoice, Inc.; Access CoverageCorp, Inc.; Access CoverageCorp Technologies, Inc.; Business Management Group, Inc.; Cervus Claim Solutions, LLC; First State Insurance Company; FTC Resolution Company LLC; Hart Re Group L.L.C.; Hartford Accident and Indemnity Company; Hartford Administrative Services Company; Hartford Casualty General Agency, Inc.; Hartford Casualty Insurance Company; Hartford Fire General Agency, Inc.; Hartford Fire Insurance Company; Hartford Funds Distributors, LLC; Hartford Funds Management Company, LLC; Hartford Funds Management Group, Inc.; Hartford Group Benefits Holding Company; Hartford Holdings, Inc.; Hartford Insurance Company of Illinois; Hartford Insurance Company of the Midwest; Hartford Insurance Company of the Southeast; Hartford Insurance, Ltd.; Hartford Integrated Technologies, Inc.; Hartford Investment Management Company; Hartford Life and Accident Insurance Company; Hartford Life, Ltd.; Hartford Lloyd’s Corporation; Hartford Lloyd’s Insurance Company; Hartford Management, Ltd.; Hartford of Texas General Agency, Inc.; Hartford Residual Market, L.C.C.; Hartford Specialty Insurance Services of Texas, LLC; Hartford STAG Ventures LLC; Hartford Strategic Investments, LLC; Hartford Underwriters General Agency, Inc.; Hartford Underwriters Insurance Company; Heritage Holdings, Inc.; Heritage Reinsurance Company, Ltd.; HIMCO Distribution Services Company; HLA LLC; HL Investment Advisors, LLC; Horizon Management Group, LLC; HRA Brokerage Services, Inc.; Lattice Strategies LLC; Maxum Casualty Insurance Company; Maxum Indemnity Company; Maxum Specialty Services Corporation; MPC Resolution Company LLC; New England Insurance Company; New England Reinsurance Corporation; New Ocean Insurance Co., Ltd.; Nutmeg Insurance Agency, Inc.; Nutmeg Insurance Company; Pacific Insurance Company, Limited; Property and Casualty Insurance Company of Hartford; Renato Acquisition Co.; Sentinel Insurance Company, Ltd; Trumbull Flood Management, L.L.C.; Trumbull Insurance Company; Twin City Fire Insurance Company; Y-Risk, LLC.

Revised March 2019


This report is submitted for the general information of the shareholders of the Funds referenced in this report. It is not authorized for distribution to persons who are not shareholders of one or more Funds referenced in this report unless preceded or accompanied by a current prospectus for the relevant Funds. Nothing herein contained is to be considered an offer of sale or a solicitation of an offer to buy shares of any Fund listed in this report. Such offering is only made by prospectus, which includes details as to the offering price and other material information.

The information cannot be used or relied upon for the purpose of avoiding IRS penalties. These materials are not intended to provide tax, accounting or legal advice. As with all matters of a tax or legal nature, you should consult your own tax or legal counsel for advice.

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

Mutual funds are distributed by Hartford Funds Distributors, LLC (HFD), Member FINRA. Advisory services are provided by Hartford Funds Management Company, LLC (HFMC). Certain funds are sub-advised by Wellington Management Company LLP and/or Schroder Investment Management North America Inc. Schroder Investment Management North America Ltd. serves as a sub-sub-adviser to certain funds. Hartford Funds refers to HFD and HFMC, which are not affiliated with any sub-adviser.

MFAR-GE19    12/19    214074    Printed in U.S.A.

 

LOGO


LOGO


LOGO

Dear Fellow Shareholders:

Thank you for investing in Hartford Funds. The following is the Funds’ Annual Report covering the fiscal period from November 1, 2018 to October 31, 2019.

Market Review

During the 12 months ended October 31, 2019, U.S. stocks, as measured by the S&P 500 Index,1 gained 14.33% despite volatility throughout the period.

Political uncertainty has been a core driver of this increased market volatility. Escalating trade tensions between the U.S. and China, continued debate over how

 

the UK will handle its departure from the European Union, and the September announcement of an impeachment inquiry against President Trump all contributed to choppy market conditions.

However, July 1, 2019 marked a significant milestone: the U.S. entered the longest period of economic expansion on record, according to The National Bureau of Economic Research. Strong consumer spending in the U.S. has continued to buoy the domestic economy, helped by an unemployment rate that stayed at or below 4% throughout the 12 month period ended October 31, 2019.

Nevertheless, signs of a slowing global economy prompted central banks around the world to shift to more accommodating monetary policy. The U.S. Federal Reserve cut interest rates three times in 2019 to bring down the federal funds rate target down to a range of 1.50 – 1.75% as of October 31, 2019, while the European Central Bank, which already had established negative interest rates, further cut its rate to -0.50% as of September 18, 2019.

Politics, both at home and abroad, are likely to continue to play a key role in market movements this year. For this reason, we encourage you to maintain a strong relationship with your financial advisor, who can help guide you through shifting markets confidently. He or she can help you proactively build a portfolio that takes market uncertainty into account, along with your unique investment goals and risk tolerances. Your financial advisor can help you find a fit within our family of funds as you work toward those goals.

Thank you again for investing in Hartford Funds. For the most up-to-date information on our funds, please take advantage of all the resources available at hartfordfunds.com.

 

LOGO

James Davey

President

Hartford Funds

 

1

S&P 500 Index is a market capitalization-weighted price index composed of 500 widely held common stocks.

 

The index is unmanaged and not available for direct investment. Past performance is not indicative of future results.


Hartford Fixed Income Funds

Table of Contents

 

Fund Overview

     2  

Benchmark Glossary (Unaudited)

     43  

Expense Examples (Unaudited)

     44  

Financial Statements:

  

Schedules of Investments:

  

The Hartford Emerging Markets Local Debt Fund

     47  

The Hartford Floating Rate Fund

     59  

The Hartford Floating Rate High Income Fund

     67  

The Hartford High Yield Fund

     74  

The Hartford Inflation Plus Fund

     80  

Hartford Municipal Income Fund

     87  

The Hartford Municipal Opportunities Fund

     91  

Hartford Municipal Short Duration Fund

     99  

The Hartford Quality Bond Fund

     103  

The Hartford Short Duration Fund

     109  

The Hartford Strategic Income Fund

     123  

The Hartford Total Return Bond Fund

     145  

The Hartford World Bond Fund

     169  

Glossary

     186  

Statements of Assets and Liabilities

     187  

Statements of Operations

     191  

Statements of Changes in Net Assets

     193  

Financial Highlights

     198  

Notes to Financial Statements

     211  

Report of Independent Registered Public Accounting Firm

     256  

Directors and Officers (Unaudited)

     257  

How to Obtain a Copy of each Fund’s Proxy Voting Policies and Voting Records (Unaudited)

     261  

Quarterly Portfolio Holdings Information (Unaudited)

     261  

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited)

     262  

The views expressed in each Fund’s Manager Discussion contained in the Fund Overview section are views of that Fund’s sub-adviser and portfolio management team through the end of the period and are subject to change based on market and other conditions. Each Fund’s Manager Discussion is for informational purposes only and does not represent an offer, recommendation or solicitation to buy, hold or sell any security. The specific securities identified and described, if any, do not represent all of the securities purchased or sold and you should not assume that investments in the securities identified and discussed will be profitable. Holdings and characteristics are subject to change. Fund performance reflected in each Fund’s Manager Discussion reflects the returns of such Fund’s Class A shares, before sales charges. Returns for such Fund’s other classes differ only to the extent that the classes do not have the same expenses.


The Hartford Emerging Markets Local Debt Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/31/2011

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks capital appreciation and income.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Year      Since
Inception1
 

Class A2

     14.52%        0.57%        0.68%  

Class A3

     9.36%        -0.35%        0.13%  

Class C2

     13.57%        -0.20%        -0.08%  

Class C3

     12.57%        -0.20%        -0.08%  

Class I2

     14.92%        0.85%        0.94%  

Class R32

     14.82%        0.33%        0.40%  

Class R42

     14.58%        0.53%        0.65%  

Class R52

     14.96%        0.77%        0.91%  

Class Y2

     15.12%        0.91%        0.97%  

Class F2

     15.00%        0.89%        0.96%  

JP Morgan GBI Emerging Markets Global Diversified Index

     15.59%        0.82%        0.44%  

 

1 

Inception: 05/31/2011

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

 

 

  2  

 


The Hartford Emerging Markets Local Debt Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Operating Expenses*    Gross      Net  

Class A

     1.42%        1.26%  

Class C

     2.20%        2.01%  

Class I

     1.08%        1.01%  

Class R3

     1.74%        1.56%  

Class R4

     1.44%        1.26%  

Class R5

     1.14%        0.96%  

Class Y

     1.12%        0.91%  

Class F

     1.02%        0.91%  

 

*

Expenses as shown in the Fund’s prospectus dated 3/1/19. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. The Fund filed a prospectus supplement with the U.S. Securities and Exchange Commission on 8/8/19 that reflected changes to the Fund’s contractual investment management fee rate and expense reimbursement arrangements effective 11/1/19. The gross expense ratios shown in this supplement are as follows: 1.35% (Class A), 2.10% (Class C), 1.00% (Class I), 1.64% (Class R3), 1.34% (Class R4), 1.04% (Class R5), 1.02% (Class Y), and 0.92% (Class F). The net expense ratios shown in this supplement are as follows 1.19% (Class A), 1.94% (Class C), 0.94% (Class I), 1.49% (Class R3), 1.19% (Class R4), 0.89% (Class R5), 0.89% (Class Y), and 0.84% (Class F). Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/28/21 unless the Fund’s Board of Directors approves an earlier termination. However, the information in this annual report is as of 10/31/19 and does not reflect these changes. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

Portfolio Managers

James W. Valone, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Michael T. Henry

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Kevin Murphy

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Emerging Markets Local Debt Fund returned 14.52%, before sales charges, for the twelve-month period ended October 31, 2019, underperforming the Fund’s benchmark, the JP Morgan GBI Emerging Markets Global Diversified Index (GBI-EMGD Index), which returned 15.59% for the same period. For the same period, the Class A shares of the Fund outperformed the 13.54% average return of the Lipper Emerging Markets Local Currency Debt Funds peer group, a group of funds that seek either current income or total return by investing at least 65% of total assets in debt issues denominated in the currency of their market of issuance.

Why did the Fund perform this way?

Performance across the emerging markets fixed income sectors was positive during the period. Local markets debt, as measured by the GBI-EMGD Index, generated a total return of 15.59%. A decrease in

Emerging-markets (EM) rates drove positive performance relative to the GBI-EMGD Index, while appreciation of EM currencies versus the U.S. dollar had a small positive impact on relative performance for the period.

Emerging-markets corporate debt finished the period with a return of 12.20%, as measured by the JP Morgan CEMBI Broad Diversified Index (CEMBIBD Index). Credit spreads widened by 0.17% to a level of 3.40% by the end of the period.

Over the period, global fixed-income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and European Central Bank (ECB). In October 2019, the Fed lowered interest rates for the third time in 2019 by 0.25%, targeting a new range between 1.50%

 

 

 

  3  

 


The Hartford Emerging Markets Local Debt Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

and 1.75%. The ECB resumed quantitative easing in November of 2018, buying approximately 20 billion euros (EUR) worth of bonds per month. Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement and the ongoing uncertainty surrounding the United Kingdom’s exit from the European Union (EU), also known as “Brexit.”

In Europe, the Middle East, and Africa (EMEA), Volodymyr Zelensky was elected as President of Ukraine in April’s runoff election. In Kazakhstan, Kassym Jomart-Tokayev was inaugurated as the new president, following the resignation of long-term president Nursultan Nazarbayev. In Tunisia, Kais Saied, a pro-democracy political independent, became Tunisia’s second freely elected president. In Turkey, President Tayyip Erdogan claimed a victory for his ruling AK Party in local elections but appeared to have lost control of the capital Ankara and the country’s largest city, Istanbul, to its main opposition, the Republican People’s Party (CHP). In Egypt, voters approved constitutional changes in a referendum that would enable President Abdel Fattah Al Sisi to continue in power until 2030. Geopolitical tensions between Iran and Saudi Arabia escalated following a missile and drone attacks on two Saudi Arabian oil facilities.

In Latin America, presidential elections dominated the news. President-elect Alberto Fernandez won the presidential election in Argentina, defeating incumbent Mauricio Macri, and is scheduled to take office on December 10, 2019. In Brazil, Jair Bolsonaro was sworn in as the new president and proposed a new pension reform, aiming to save 1 trillion reais ($269.5 billion) over 10 years. In Bolivia, President Evo Morales claimed victory in their presidential election, while opposition candidate Carlos Mesa demanded a runoff election. Ecuador announced plans to leave the Organization of Petroleum Exporting Countries (OPEC), and President Lenin Moreno declared a nationwide state of emergency over protests surrounding the decision to end fuel subsidies, which substantially increased Ecuadorians’ fuel costs. In Chile, protests began over criticisms about a lack of quality education, weak pensions, increasing prices, and a low minimum wage. At the G20 summit in Osaka, the European Union and the Mercosur customs union, including Argentina, Brazil, Paraguay and Uruguay, agreed to a free trade treaty, concluding two decades of negotiations. The U.S. Office of Foreign Assets Control (OFAC) imposed new sanctions against the Government of Venezuela. Venezuelan President Nicolas Maduro was also under pressure as the U.S., European Parliament, and other nations recognized the National Assembly’s leader, Juan Guaido, as the new President. The U.S. withdrew the threat to impose tariffs on Mexican goods in exchange for increased enforcement to stop Central American migrants traveling to the U.S. through Mexico.

In Asia, the U.S.-China trade war led the news. Most recently, President Xi Jinping of China and U.S. President Donald Trump reached a ceasefire in their trade negotiation. In Hong Kong, although the government proposed to withdraw its controversial extradition bill, which would have allowed suspects to be tried in mainland China, protests continued to escalate throughout the period. India imposed retaliatory tariffs on 28 U.S. goods after President Donald Trump’s decision to cancel a preferential trade access on about $6 billion worth of Indian goods to the U.S. market. Additionally in India, Narendra Modi was sworn in for a second term as prime minister after his party won a majority in the election. After months of political uncertainty, Indonesia’s

Constitutional Court upheld the victory of President Joko Widodo, rejecting accusations of voting fraud by losing presidential candidate Prabowo Subianto.

Within the Fund, relative to the GBI-EMGD Index, security selection was the main driver of relative underperformance, while currency positioning and duration positioning had a positive impact. The Fund’s structural allocation to corporate bonds had a negative impact on relative performance as, generally speaking, corporate bonds underperformed the local rates and coupon component of the GBI-EMGD Index. Within the Fund’s corporate bond holdings, country allocation drove positive relative performance versus the CEMBIBD Index, while security selection had a negative impact.

The Fund’s duration positioning contributed positively to relative performance, including duration positioning for corporate bonds. The duration effect for external corporate debt is measured by U.S. Treasury yield movement, and over the period, U.S. Treasury rates decreased. In contrast, the Fund’s underweight exposure to EM local market duration, as EM rates decreased over the period, detracted from relative performance to the GBI-EMGD Index. When examining EM local market duration exposure, underweight exposure to lower-yielding markets with limited upside in yields, including Thailand, Poland, Colombia, Chile, and Peru, weighed on performance. In addition, an underweight exposure in Turkey due to accelerating public bank credit growth, which may pose concerns on poor lending practices, detracted from performance. In contrast, an overweight duration exposure to Mexico proved beneficial, as inflation pressures have lessened and provided room for more accommodative monetary policies.

Security selection detracted from relative performance to the GBI-EMGD Index during the period. In Argentina, an allocation to external sovereign debt and an allocation to external corporate debt both weighed on performance. In Thailand and Malaysia, underweight exposures to the mid and long ends of their respective local curves also detracted from performance. An underweight exposure to the middle of the yield curve in Poland weighed on relative performance. In contrast, allocations to Indonesian, Mexican, and Turkish denominated supranational debt proved favorable. Additionally, an allocation to Indonesian rupiah (IDR) denominated quasi-sovereign debt in the Export-Import bank of Korea, and an allocation to external corporate debt in South Korea and China proved favorable.

Currency positioning aided relative performance to the GBI-EMGD Index. An allocation to the Egyptian pound, given stable-to-improving fundamentals and attractive valuations in our view, contributed positively to relative performance. Short exposure to the euro, which was taken to diversify the short U.S. dollar position associated with the Fund’s long positions in EM currency, also performed well. Tactical positioning to the Brazilian real, including an underweight position in the third quarter of 2019, was additive to relative performance. In contrast, an underweight exposure to the Thai baht, due to what we believe are unattractive valuations and vulnerabilities to a downside surprise in China, detracted from relative performance. Also, an overweight exposure to the Argentine peso earlier in the period, weighed on relative performance.

During the period, the Fund’s interest rate and credit positioning was primarily implemented through cash bond positions and derivatives. We used local currency denominated cash bonds, currency forwards

 

 

 

  4  

 


The Hartford Emerging Markets Local Debt Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

(deliverable and non-deliverable), and currency options to express our views on currency. Overall, the use of these instruments contributed positively to the Fund’s relative performance during the period.

What is the outlook as of the end of the period?

EM debt markets have seen strong performance year to date through October 31, 2019. We believe that this was principally shaped by constructive themes, such as a more accommodative Fed, resilience and stability in EM fundamentals broadly, and a weaker but still supportive global growth backdrop. While developed market central banks’ policies are accommodative, U.S. trade policy uncertainty has persisted. We continue to expect that longer-term U.S.-China trade tensions risk will drive a gradual but steady decline in relations. Weaker global sentiment and implementation of further tariffs could negatively impact global growth, particularly global trade and manufacturing, which could create a less supportive backdrop for emerging markets. Although global growth is slowing, it may remain supportive for EM fundamentals. This backdrop may keep inflation muted and importantly allow the Fed to further ease interest rates.

We believe risks for deterioration in EM corporate fundamentals remain centered on trade tensions, slower growth and country specific challenges. Default rates have remained low, but we believe default rates have the potential to rise modestly as the global backdrop evolves. We believe leverage ratios will likely continue to be manageable, as capital expenditure has only just begun to recover after many years of decline.

As of the end of the period, we believe there is global liquidity and stability in aggregate EM fundamentals, which may help guard against risks around a more severe slowdown in growth given trade uncertainty and geopolitics. As of the end of the period, the Fund was underweight EM duration across regions. As of the end of the period, the Fund was underweight EM currencies in aggregate, including an underweight in Latin America and Asia, notwithstanding an overweight in Eastern Europe, the Middle East, and Africa (EEMEA).

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. The value of inflation-protected securities (IPS) generally fluctuates with changes in real interest rates, and the market for IPS may be less developed or liquid, and more volatile, than other securities markets. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. The Fund may invest in a smaller number of issuers, so it may be more exposed to risks and volatility than a more broadly diversified fund. Restricted securities may be more difficult to sell and price than other securities.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Fixed Income Securities

  

Corporate Bonds

     22.2

Foreign Government Obligations

     68.6  
  

 

 

 

Total

     90.8
  

 

 

 

Short-Term Investments

     5.5  

Purchased Options

     0.3  

Other Assets & Liabilities

     3.4  
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  5  

 


The Hartford Floating Rate Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 4/29/2005

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide high current income, and long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     1.98%        3.21%        4.65%  

Class A2

     -1.08%        2.59%        4.33%  

Class C1

     1.22%        2.45%        3.88%  

Class C2

     0.25%        2.45%        3.88%  

Class I1

     2.29%        3.50%        4.92%  

Class R31

     1.72%        2.94%        4.37%  

Class R41

     2.04%        3.21%        4.62%  

Class R51

     2.18%        3.50%        4.91%  

Class Y1

     2.25%        3.56%        4.98%  

Class F1

     2.32%        3.55%        4.95%  

S&P/LSTA Leveraged Loan Index

     2.67%        3.83%        5.11%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 3.00%. Returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company. As of 4/23/12, Wellington Management Company LLP became the sub-adviser for the Fund. At the end of a transition period of approximately four weeks ending on 5/18/12, Hartford Investment Management Company no longer served as a sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.00%        1.00%  

Class C

     1.74%        1.74%  

Class I

     0.72%        0.72%  

Class R3

     1.38%        1.26%  

Class R4

     1.08%        1.01%  

Class R5

     0.77%        0.77%  

Class Y

     0.75%        0.74%  

Class F

     0.66%        0.66%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until at least 2/29/20. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  6  

 


The Hartford Floating Rate Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

David B. Marshak

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Jeffrey W. Heuer, CFA

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Floating Rate Fund returned 1.98%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming the Fund’s benchmark, the S&P/LSTA Leveraged Loan Index, which returned 2.67% for the same period. For the same period, the Class A shares of the Fund underperformed the 2.14% average return of the Lipper Loan Participation Funds peer group, a group of funds that invest primarily in interests in collateralized senior corporate loans that have floating or variable rates.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

U.S. monetary policy continued along a more accommodative path. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening. Securitized sectors generally generated moderate positive excess returns, with mortgage-backed pass-through securities being an exception during the period.

Over the period, security selection contributed positively to performance relative to the S&P/LSTA Leveraged Loan Index, and sector allocation detracted from relative performance. Security selection contributed positively to relative returns during the period, largely due to strong selection within the Financial Institutions, Consumer Cyclical Services, and Consumer Products sectors, which was partially offset by weaker selection within the Metals and Mining, Energy, and Cable and Satellite sectors. Within sector allocation, an overweight allocation to the Energy sector detracted from to the Fund’s performance relative to the S&P/LSTA Leveraged Loan Index, while an underweight allocation to the Metals and Mining sector and overweight allocations to the Gaming and Cable and Satellite sectors contributed positively to relative performance. In aggregate, quality positioning had a negative impact on relative performance, as the Fund’s underweight to investment-grade securities detracted during a time when higher quality outperformed.

During the period, the Fund had a small position in the High Yield Credit Default Swap Index (CDX), a type of derivative. The Fund’s CDX position was used for liquidity purposes and for tactically adjusting the risk posture of the Fund. This position had a slightly positive impact on performance.

We also used derivatives in the Fund on a limited basis during the period for risk management purposes. Over the trailing twelve months, we employed currency forwards in the Fund to seek to minimize active currency risk from investments in non-dollar denominated securities. Although we typically view currency forwards in conjunction with the securities intended to be hedged, on a standalone basis the currency forwards contributed positively to performance relative to the S&P/LSTA Leveraged Loan Index over the period.

What is the outlook as of the end of the period?

As of the end of the period, we remain positive on the outlook for bank loans. While we are monitoring the potential for slower growth in 2020, stable fundamentals, attractive valuation, and our belief of a continued benign default rate lead us to our supportive view. That said, we continue to monitor global political risks. In our view, default rates are expected to be benign and remain below historical averages. We believe the asset class has many long-term potential benefits, including portfolio diversification and floating-rate coupons (we believe these should eventually reassert themselves to enhance the relative appeal of bank loans for investors).

We remain constructive on high yield given the backdrop of stable corporate fundamentals, supportive central bank policy, and continued demand for yield-producing assets. While geopolitical tensions and trade policy uncertainty remain as risks, we believe spreads are fair given our expectation for defaults to remain below their historical average over the

 

 

 

  7  

 


The Hartford Floating Rate Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

next year. We are particularly positive on conditions in the U.S., and favor issuers expected to benefit from a stable or growing U.S. domestic economy. However, we are also finding some attractive idiosyncratic investment opportunities in Europe and emerging markets, in our view. We expect supply to remain limited as many issuers continue to shift to the bank loan market to take advantage of less restrictive covenants. We favor the Gaming sector due to favorable consumer trends and low expected supply growth; we remain cautious on the Retail sector, which suffers from secular decline, as brick-and-mortar stores continue to lose market share to e-commerce.

At the end of the period, the Fund maintained an allocation to high yield credit outside of the S&P/LSTA Leveraged Loan Index. Within quality positioning, the Fund was overweight BB rated securities and underweight securities rated B, CCC, and below. In terms of sector positioning, the Fund ended the period with the largest overweights to the Energy, Wireless, and Gaming sectors, and the largest underweights to the Healthcare, Technology, and Chemicals sectors relative to the S&P/LSTA Leveraged Loan Index.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Investments in high-yield (junk) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Loans can be difficult to value and less liquid than other types of debt instruments; they are also subject to nonpayment, collateral, bankruptcy, default, extension, prepayment and insolvency risks. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments.

The Fund should not be considered an alternative to CDs or money market funds. This Fund is intended for investors who are looking to complement their traditional fixed-income investments.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

  

Common Stocks

     0.7

Warrants

     0.0
  

 

 

 

Total

     0.7
  

 

 

 

Fixed Income Securities

  

Convertible Bonds

     0.2

Corporate Bonds

     5.5  

Senior Floating Rate Interests

     83.8  
  

 

 

 

Total

     89.5
  

 

 

 

Short-Term Investments

     12.3  

Other Assets & Liabilities

     (2.5
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  8  

 


The Hartford Floating Rate High Income Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 9/30/2011

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide high current income, and long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Year      Since
Inception1
 

Class A2

     2.34%        3.36%        4.88%  

Class A3

     -0.73%        2.73%        4.48%  

Class C2

     1.60%        2.60%        4.10%  

Class C3

     0.63%        2.60%        4.10%  

Class I2

     2.63%        3.63%        5.15%  

Class R32

     2.13%        3.09%        4.57%  

Class R42

     2.33%        3.37%        4.86%  

Class R52

     2.72%        3.90%        5.30%  

Class Y2

     2.71%        3.68%        5.18%  

Class F2

     2.73%        3.64%        5.17%  

S&P/LSTA Leveraged Loan Index

     2.67%        3.83%        4.86%  

 

1 

Inception: 09/30/2011

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 3.00% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company. As of 4/23/12, Wellington Management Company LLP became the sub-adviser for the Fund. At the end of a transition period of approximately four weeks ending on 5/18/12, Hartford Investment Management Company no longer served as a sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.15%        1.06%  

Class C

     1.89%        1.81%  

Class I

     0.87%        0.81%  

Class R3

     1.51%        1.36%  

Class R4

     1.21%        1.06%  

Class R5

     0.90%        0.76%  

Class Y

     0.90%        0.79%  

Class F

     0.79%        0.76%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  9  

 


The Hartford Floating Rate High Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

David B. Marshak

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Jeffrey W. Heuer, CFA

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Floating Rate High Income Fund returned 2.34%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming the Fund’s benchmark, the S&P/LSTA Leveraged Loan Index, which returned 2.67% for the same period. For the same period, the Class A shares of the Fund outperformed the 2.14% average return of the Lipper Loan Participation Funds peer group, a group of funds that invest primarily in interests in collateralized senior corporate loans that have floating or variable rates.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

U.S. monetary policy continued along a more accommodative path. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening. Securitized sectors generally generated moderate positive excess returns, with mortgage-backed pass-through securities being an exception during the period.

 

Over the period, security selection contributed positively to performance relative to the S&P/LSTA Leveraged Loan Index, and sector allocation detracted from relative performance. Security selection contributed positively to relative returns during the period largely due to strong selection within the Financial Institutions, Consumer Cyclical Services, and Consumer Products sectors, which was partially offset by weaker selection within the Metals and Mining, Diversified Manufacturing, and Healthcare sectors. Within sector allocation, an overweight allocation to the Energy sector detracted from to the Fund’s performance relative to the S&P/LSTA Leveraged Loan Index, while an overweight allocation to the Wireless, Gaming, and Metals and Mining sectors contributed positively to relative performance during the period. In aggregate, quality positioning had a negative impact on performance relative to the S&P/LSTA Leveraged Loan Index during the period, as the Fund’s overweight to securities rated CCC and below detracted from relative performance during a time when higher quality outperformed.

During the period, the Fund had a small position in the High Yield Credit Default Swap Index (CDX), a type of derivative. The Fund’s CDX position was used for liquidity purposes and for tactically adjusting the risk posture of the Fund. This position had a slightly positive impact on performance.

We also used derivatives in the Fund on a limited basis during the period for risk management purposes. Over the trailing twelve months, we employed currency forwards in the Fund to seek to minimize active currency risk from investments in non-dollar denominated securities. Although we typically view currency forwards in conjunction with the securities intended to be hedged, on a standalone basis the currency forwards contributed positively to performance relative to the S&P/LSTA Leveraged Loan Index over the period.

What is the outlook as of the end of the period?

As of the end of the period, we remain positive on the outlook for bank loans. While we are monitoring the potential for slower growth in 2020, stable fundamentals, attractive valuation, and our belief of a continued benign default rate lead us to our supportive view. That said, we continue to monitor global political risks. In our view, default rates are expected to be benign and remain below historical averages. We believe the asset class has many long-term potential benefits, including portfolio diversification and floating-rate coupons (we believe these should eventually reassert themselves to enhance the relative appeal of bank loans for investors).

We remain constructive on high yield given the backdrop of stable corporate fundamentals, supportive central bank policy, and continued demand for yield-producing assets. While geopolitical tensions and trade policy uncertainty remain as risks, we believe spreads are fair given our

 

 

 

  10  

 


The Hartford Floating Rate High Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

expectation for defaults to remain below their historical average over the next year. We are particularly positive on conditions in the U.S., and favor issuers expected to benefit from a stable or growing U.S. domestic economy. However, we are also finding some attractive idiosyncratic investment opportunities in Europe and emerging markets, in our view. We expect supply to remain limited as many issuers continue to shift to the bank loan market to take advantage of less restrictive covenants. We favor the Gaming sector due to favorable consumer trends and low expected supply growth; we remain cautious on the Retail sector, which suffers from secular decline, as brick-and-mortar stores continue to lose market share to e-commerce.

At the end of the period, the Fund maintained an allocation to high-yield credit outside of the S&P/LSTA Leveraged Loan Index. Within quality positioning, the Fund was underweight BB rated securities and overweight to securities rated B, CCC, and below. In terms of sector positioning, the Fund ended the period with the largest overweights to the Energy, Wireless, and Cable and Satellite sectors, and the largest underweights to the Technology, Healthcare, and Chemicals sectors relative to the S&P/LSTA Leveraged Loan Index.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Loans can be difficult to value and less liquid than other types of debt instrument; they are also subject to nonpayment, collateral, bankruptcy, default, extension, prepayment and insolvency risks. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk.  Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. Restricted securities may be more difficult to sell and price than other securities.

The Fund should not be considered an alternative to CDs or money market funds. This Fund is intended for investors who are looking to complement their traditional fixed-income investments.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

  

Common Stocks

     0.7

Warrants

     0.0
  

 

 

 

Total

     0.7
  

 

 

 

Fixed Income Securities

  

Convertible Bonds

     0.3

Corporate Bonds

     10.1  

Senior Floating Rate Interests

     81.4  
  

 

 

 

Total

     91.8
  

 

 

 

Short-Term Investments

     7.0  

Other Assets & Liabilities

     0.5  
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  11  

 


The Hartford High Yield Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 9/30/1998

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide high current income, and long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     8.27%        4.16%        6.77%  

Class A2

     3.40%        3.20%        6.28%  

Class C1

     7.42%        3.37%        5.97%  

Class C2

     6.42%        3.37%        5.97%  

Class I1

     8.55%        4.43%        7.07%  

Class R31

     8.03%        3.84%        6.45%  

Class R41

     8.26%        4.18%        6.78%  

Class R51

     8.50%        4.45%        7.08%  

Class Y1

     8.42%        4.45%        7.10%  

Class F1

     8.74%        4.47%        7.09%  

Bloomberg Barclays U.S. Corporate High Yield Bond Index

     8.38%        5.18%        7.78%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50%. Returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company. As of 3/5/12, Hartford Investment Management Company no longer served as the sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.18%        1.06%  

Class C

     1.88%        1.81%  

Class I

     0.84%        0.81%  

Class R3

     1.48%        1.36%  

Class R4

     1.18%        1.06%  

Class R5

     0.88%        0.76%  

Class Y

     0.87%        0.80%  

Class F

     0.76%        0.71%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  12  

 


The Hartford High Yield Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Manager

Christopher A. Jones, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford High Yield Fund returned 8.27% before sales charge, for the twelve-month period ended October 31, 2019, underperforming its benchmark, the Bloomberg Barclays U.S. Corporate High Yield Bond Index, which returned 8.38% for the same period. For the same period, the Class A shares of the Fund outperformed the 7.72% average return of the Lipper High Yield Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

Global monetary policies continued along a more accommodative path, in the aggregate. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. The ECB launched a package of stimulus measures, including a rate cut, resumption of asset purchases to continue “as long as necessary,” and the introduction of tiered deposit rates to exempt banks from negative interest rates. The Bank of Japan indicated that it may provide additional easing at its October 2019 meeting (but later kept monetary policy steady when the meeting occurred), while a noted Bank of England policymaker who is typically concerned about the threat of inflation acknowledged that monetary easing may be necessary to counter Brexit uncertainty.

At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates. Eurozone manufacturing Purchasing Managers’ Index (PMI) fell further into contractionary territory, owing to softer output, new orders, and sentiment; services PMI also declined but remained at an expansionary level. Japanese GDP growth eased to a 1.3% annualized rate in the second quarter of 2019, and inflation readings remained stubbornly below 1% year-over-year. Chinese industrial production and exports

continued to experience adverse impacts from the ongoing trade war with the U.S.; official manufacturing PMI ticked higher but remained in contractionary territory.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period. Securitized sectors generally generated moderate positive excess returns with mortgage-backed pass-through securities being an exception during the period.

The Bloomberg Barclays U.S. Corporate High Yield Bond Index returned 8.38% for the twelve months ended October 31, 2019 and outperformed duration-equivalent U.S. Treasuries by 0.89%. The Option-Adjusted Spread (OAS) of the Bloomberg Barclays U.S. Corporate High Yield Bond Index was 3.92% on October 31, 2019, wider than twelve months ago (3.71%). The high yield market began the period posting negative returns due to concerns over higher interest rates and weaker corporate earnings growth. During October 2019, high yield posted positive returns as the market tone generally remained upbeat following the Fed’s rate cut.

Quality positioning detracted from performance relative to the Bloomberg Barclays U.S. Corporate High Yield Bond Index during the period, primarily due to an underweight to BB rated securities during a time when higher quality outperformed.

During the period, security selection contributed positively to returns relative to the Bloomberg Barclays U.S. Corporate High Yield Bond Index, driven primarily by selection within the Energy and Technology sectors. This was partially offset by weaker selection in the Metals and Mining and Consumer Products sectors.

Overall, sector allocation decisions contributed positively to returns relative to the Bloomberg Barclays U.S. Corporate High Yield Bond Index during the period, primarily driven by the Fund’s underweight allocation to the Energy sector and overweight to the Gaming sector. This was partially offset by an underweight to the Utilities and Retail sectors, which detracted from relative returns.

Over the period, the Fund had a small position in the High Yield Credit Default Swap Index (CDX), a type of derivative. The Fund’s CDX position was used for liquidity purposes and for tactically adjusting the risk posture of the Fund. This position had a negligible impact on performance.

We also used derivatives in the Fund on a limited basis during the period for risk management purposes. Over the trailing twelve months, we employed currency forwards in the Fund to seek to minimize active

 

 

 

  13  

 


The Hartford High Yield Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

currency risk from investments in non-dollar denominated securities. Although we typically view currency forwards in conjunction with the securities intended to be hedged, on a standalone basis the currency forwards contributed positively to performance relative to the Bloomberg Barclays U.S. Corporate High Yield Bond Index over the period.

What is the outlook as of the end of the period?

We remain constructive on high yield given the backdrop of stable corporate fundamentals, supportive central bank policy, and continued demand for yield-producing assets. While geopolitical tensions and trade policy uncertainty remain risks, we believe spreads are fair given our expectation for defaults to remain below their historical average over the next year.

We are particularly positive on conditions in the U.S., and favor issuers expected to benefit from a stable or growing U.S. domestic economy. However, we are also finding some attractive idiosyncratic investment opportunities in Europe and emerging markets in our view. We expect supply to remain limited as many issuers continue to shift to the bank loan market to take advantage of less restrictive covenants. We favor the Gaming sector due to favorable consumer trends and low expected supply growth; we remain cautious on the Retail sector, which suffers from secular decline, as brick-and-mortar stores continue to lose market share to e-commerce.

The Fund ended the period with the largest overweights in the Technology and Gaming sectors, and with the largest underweights to the Retail and Chemicals sectors. With quality positioning, the Fund was overweight B-rated securities and underweight BB-rated as well as CCC- and below-rated securities.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Restricted securities may be more difficult to sell and price than other securities.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

  

Common Stocks

     0.6

Escrows

     0.4  
  

 

 

 

Total

     1.0
  

 

 

 

Fixed Income Securities

  

Convertible Bonds

     1.0

Corporate Bonds

     88.2  

Senior Floating Rate Interests

     5.0  
  

 

 

 

Total

     94.2
  

 

 

 

Short-Term Investments

     3.9  

Other Assets & Liabilities

     0.9  
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  14  

 


The Hartford Inflation Plus Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 10/31/2002

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks a total return that exceeds the rate of inflation over an economic cycle.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     5.81%        1.44%        2.42%  

Class A2

     1.05%        0.51%        1.95%  

Class C1

     5.00%        0.67%        1.66%  

Class C2

     4.00%        0.67%        1.66%  

Class I1

     6.17%        1.69%        2.68%  

Class R31

     5.50%        1.09%        2.07%  

Class R41

     5.79%        1.39%        2.37%  

Class R51

     6.18%        1.70%        2.68%  

Class Y1

     6.11%        1.74%        2.75%  

Class F1

     6.22%        1.71%        2.69%  

Bloomberg Barclays U.S. TIPS 1-10 Year Index

     6.87%        1.92%        2.56%  

Bloomberg Barclays U.S. TIPS Index

     8.96%        2.33%        3.36%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50%. Returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company. As of 3/5/12, Hartford Investment Management Company no longer served as the sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     0.98%        0.85%  

Class C

     1.70%        1.60%  

Class I

     0.68%        0.60%  

Class R3

     1.28%        1.20%  

Class R4

     0.99%        0.90%  

Class R5

     0.69%        0.60%  

Class Y

     0.68%        0.59%  

Class F

     0.57%        0.55%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  15  

 


The Hartford Inflation Plus Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Joseph F. Marvan, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Allan M. Levin, CFA, FRM, FSA

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Inflation Plus Fund returned 5.81%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming both of its benchmarks, the Bloomberg Barclays U.S. TIPS 1-10 Year Index and Bloomberg Barclays U.S. TIPS Index, which returned 6.87% and 8.96%, respectively, for the same period. For the same period the Class A shares of the Fund underperformed the 7.46% average return of the Lipper Inflation Protected Bond Funds peer group, a group of funds that invests primarily in inflation-indexed fixed income securities. Inflation-linked bonds are fixed-income securities structured to provide protection against inflation.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

Global monetary policies continued along a more accommodative path, in the aggregate. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. The ECB launched a package of stimulus measures, including a rate cut, resumption of asset purchases to continue “as long as necessary,” and the introduction of tiered deposit rates to exempt banks from negative interest rates. The Bank of Japan indicated that it may provide additional easing at its October 2019 meeting (but later kept monetary policy steady when the meeting occurred), while a noted Bank of England policymaker who is typically concerned about the threat of inflation acknowledged that monetary easing may be necessary to counter Brexit uncertainty.

At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity

rebounded in response to lower mortgage rates. Eurozone manufacturing Purchasing Managers’ Index (PMI) fell further into contractionary territory, owing to softer output, new orders, and sentiment; services PMI also declined but remained at an expansionary level. Japanese GDP growth eased to a 1.3% annualized rate in the second quarter of 2019, and inflation readings remained stubbornly below 1% year-over-year. Chinese industrial production and exports continued to experience adverse impacts from the ongoing trade war with the U.S.; official manufacturing PMI ticked higher but remained in contractionary territory.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period. Securitized sectors generally generated moderate positive excess returns with mortgage-backed pass-through securities being an exception during the period.

Real and nominal U.S. Treasury yields fell over the past 12 months across the yield curve. Fears around the deterioration of trade negotiations between the U.S. and China precipitated a rally in nominal Treasuries, while mixed data on U.S. inflation further contributed to the underperformance of Treasury inflation protected securities (TIPS) relative to nominal Treasuries. Over the twelve months ending October 31, 2019, 5- and 10-year TIPS “real” yields fell 1.00% and 0.94%, respectively, and 5- and 10-year inflation breakevens (a market-based measure of expected inflation) fell by 0.46% and 0.51%, respectively.

The Fund’s allocation across various credit sectors, such as bank loans, non-agency residential mortgage-backed securities (MBS), and commercial MBS (CMBS), had a positive impact on performance relative to the Bloomberg Barclays U.S. TIPS 1-10 Year Index during the period. We invested the Fund’s assets in these “plus” sectors because of our expectation that these particular sectors will be correlated to inflation over time. We used consumer price index (CPI) swaps in the Fund to overlay these sectors so that the overall Fund “beta” to inflation is not diminished. The Fund’s tactical duration positions and positioning within U.S. TIPS detracted from relative performance during the period.

Over the period, we made use of derivatives in the Fund in pursuit of both risk management and total returns. Derivatives usage included U.S. Treasury futures to manage duration, credit default swaps to manage sector exposure, currency forwards both to hedge emerging-markets

 

 

 

  16  

 


The Hartford Inflation Plus Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

currency risk and as part of the developed currency strategy, and CPI swaps and bond forwards to add inflation sensitivity. Over the period, the impact of derivatives on relative performance was negative overall. The Fund’s exposures to interest rate swaps (IRS), CPI swaps, and currency forwards detracted from performance relative to the Bloomberg Barclays U.S. TIPS 1-10 Year Index during the period, but were partially offset by the positive impact from the use of bond futures to manage duration and credit derivatives (e.g., CMBX).

What is the outlook as of the end of the period?

While realized inflation this year has remained low, we continue to believe that risks to inflation are skewed to the upside due to factors such as the uncertain impact of trade tensions, continued low productivity, lack of core goods deflation, and demand for housing. However, we believe that most credit sectors should deliver returns that exceed the returns of similar duration government bonds and remain an important diversifier. Therefore, we continue to see value in being short overall inflation exposure versus the benchmark in favor of credit.

We continue to be underweight shorter TIPS, which are most sensitive to short-term changes in inflation, and are focused on security selection around the 10-year segment of the TIPS curve. As of the end of the period, the Fund maintained allocations to select non-agency residential mortgage-backed securities (RMBS), agency MBS, and senior CMBS with what we consider to be attractive collateral. The Fund also held an allocation to bank loans as of the end of the period, which are supported by positive consumer fundamentals, in our view.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall.Obligations of U.S. Government agencies are supported by varying degrees of credit but are generally not backed by the full faith and credit of the U.S. Government. The value of inflation-protected securities (IPS) generally fluctuates with changes in real interest rates, and the market for IPS may be less developed or liquid, and more volatile, than other securities markets. Mortgage-related and asset-backed securities’ risks include credit, interest-rate, prepayment, and extension risk. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Fixed Income Securities

  

Asset & Commercial Mortgage Backed Securities

     3.4

Foreign Government Obligations

     2.0  

Senior Floating Rate Interests

     4.8  

U.S. Government Agencies(2)

     13.0  

U.S. Government Securities

     87.1  
  

 

 

 

Total

     110.3
  

 

 

 

Short-Term Investments

     2.6  

Other Assets & Liabilities

     (12.9
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2) 

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  17  

 


Hartford Municipal Income Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/29/2015

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide a high level of current income that is generally exempt from federal income taxes, and long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      Since
Inception1
 

Class A2

     10.05%        4.01%  

Class A3

     5.10%        2.93%  

Class C2

     9.85%        3.68%  

Class C3

     8.85%        3.68%  

Class I2

     10.30%        4.26%  

Class F2

     10.38%        4.27%  

Bloomberg Barclays Municipal Bond Index

     9.42%        3.82%  

 

1 

Inception: 05/29/2015

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.10%        0.70%  

Class C

     1.83%        1.45%  

Class I

     0.81%        0.47%  

Class F

     0.79%        0.40%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  18  

 


Hartford Municipal Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Brad W. Libby

Managing Director and Fixed Income Portfolio Manager / Credit Analyst

Wellington Management Company LLP

Timothy D. Haney, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Municipal Income Fund returned 10.05%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Bloomberg Barclays Municipal Bond Index, which returned 9.42% for the same period. For the same period, the Class A shares of the Fund outperformed the 9.26% average return of the Lipper General & Insured Municipal Debt Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings.

U.S. monetary policy continued along a more accommodative path. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates.

On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporates benefited from credit spread tightening during the period. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period.

Tax-exempt municipal bonds, as represented by the Bank of America Merrill Lynch U.S. Municipal Securities Index, posted a positive total return of 9.65% during the period. The index posted positive excess returns of 0.06%. The yield on 10-year AAA rated general obligation municipal bonds (GOs) decreased during the twelve-month period, as did the yield on 10-year Treasuries. The ratio of yields on 10-year AAA GOs to yields on 10-year Treasuries increased over the period, rising from 86.7% to 88.2%. Over the period, demand from municipal funds and individual bonds was relatively strong while supply was measured.

The primary driver of outperformance relative to the Bloomberg Barclays Municipal Bond Index during the period was security selection within investment-grade revenue bonds, particularly within the Healthcare and Tobacco sectors, and investment-grade general obligation bonds (local). An underweight to and security selection within high-yield revenue bonds also contributed positively to relative performance during the period, while an underweight to and security selection within high-yield general obligation bonds detracted modestly from relative performance. The Fund’s duration and yield curve positioning had a muted impact on relative performance during the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe that U.S. economic growth is slowing, but the near-term risk of recession is low. We have started to reduce the high yield and BBB rated allocation of the Fund’s portfolio as we get later in the credit cycle. We expect revenue bond fundamentals to remain strong in the following sectors: Transportation, Special Tax, and Utilities. Within the Transportation sector, we have started to favor airports over toll roads based more on relative valuation than fundamentals. In our view, both toll roads and airports remain supported by healthy fundamentals. Within GO credits, we believe special tax sectors are attractive, where debt service coverage levels appear to have been supported by solid revenue growth. The Fund ended the period with an average duration of 5.32 years.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Municipal securities may be adversely impacted by state/local, political, economic, or market conditions. Investors may be subject to the federal Alternative Minimum Tax as well as state and local income taxes. Capital gains, if any, are taxable.

 

 

 

  19  

 


Hartford Municipal Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Composition of Municipal Bonds(1)

as of October 31, 2019

 

Municipal Bonds    Percentage of
Net Assets
 

Airport

     7.9

Development

     2.9  

Education

     3.1  

Facilities

     0.7  

General Obligation

     9.6  

Higher Education

     1.5  

Housing

     0.5  

Medical

     8.9  

Mello-Roos District

     1.3  

Multifamily Housing

     0.5  

Nursing Homes

     8.6  

Other(2)

     15.1  

Pollution

     0.6  

Power

     3.3  

School District

     12.4  

Single Family Housing

     3.7  

Tobacco

     3.4  

Transportation

     7.2  

Utilities

     0.6  

Water

     1.5  

Short-Term Investments

     6.0  

Other Assets & Liabilities

     0.7  
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2) 

Other refers to Special Tax District Bonds, Tax Increment Bonds and certain Community Development District bonds.

 

 

 

  20  

 


The Hartford Municipal Opportunities Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/31/2007

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide current income that is generally exempt from federal income taxes, and long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     8.79%        3.44%        4.57%  

Class A2

     3.89%        2.49%        4.08%  

Class C1

     8.08%        2.66%        3.79%  

Class C2

     7.08%        2.66%        3.79%  

Class I1

     9.15%        3.69%        4.83%  

Class Y1

     9.17%        3.69%        4.83%  

Class F1

     9.15%        3.71%        4.84%  

Bloomberg Barclays Municipal Bond 1-15 Year Blend (1-17) Index

     8.12%        2.98%        3.73%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50%. Returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class Y shares commenced operations on 5/31/18. Performance prior to that date is that of the Fund’s Class I shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company, using a modified investment strategy. As of 3/5/12, Hartford Investment Management Company no longer served as the sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     0.71%        0.69%  

Class C

     1.46%        1.44%  

Class I

     0.46%        0.46%  

Class Y

     0.50%        0.49%  

Class F

     0.39%        0.39%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  21  

 


The Hartford Municipal Opportunities Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Brad W. Libby

Managing Director and Fixed Income Portfolio Manager / Credit Analyst

Wellington Management Company LLP

Timothy D. Haney, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Municipal Opportunities Fund returned 8.79%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Bloomberg Barclays Municipal Bond 1-15 Year Blend (1-17) Index, which returned 8.12% for the same period. For the same period, the Class A shares of the Fund outperformed the 8.18% average return of the Lipper Intermediate Municipal Debt Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings.

U.S. monetary policy continued along a more accommodative path. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates.

On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporates benefited from credit spread tightening during the period. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period.

Tax-exempt municipal bonds, as represented by the Bank of America Merrill Lynch U.S. Municipal Securities Index, posted a positive total return of 9.65% during the period. The index posted positive excess returns of 0.06%. The yield on 10-year AAA rated general obligation municipal bonds (GOs) decreased during the twelve-month period as did the yield on 10-year Treasuries. The ratio of yields on 10-year AAA GOs

to yields on 10-year Treasuries increased over the period, rising from 86.7% to 88.2%. Over the period, demand from municipal funds and individual bonds was relatively strong while supply was measured.

Security selection within investment-grade revenue bonds (particularly multiple Utilities and Industrial Development sectors) was the primary positive contributor to performance relative to the Bloomberg Barclays Municipal Bond 1-15 Year Blend (1-17) Index during the period. An underweight to and security selection within high-yield revenue bonds also contributed positively to relative performance. Security selection within investment-grade credit general obligation bonds was a positive contributor to relative results during the period. The Fund’s duration and yield curve positioning also had a positive impact on relative performance. An underweight to and security selection within high-yielding general obligation bonds detracted modestly from performance relative to the Bloomberg Barclays Municipal Bond 1-15 Year Blend (1-17) Index during the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe that U.S. economic growth is slowing, but the near-term risk of recession is low. We have started to reduce the high yield and BBB rated allocation of the Fund’s portfolio as we get later in the credit cycle. We expect revenue bond fundamentals to remain strong in the following sectors: Transportation, Special Tax, and Utilities. Within the Transportation sector, we have started to favor airports over toll roads based more on relative valuation than fundamentals. Both toll roads and airports remain supported by healthy fundamentals, in our view. Within GO credits, we believe Special Tax sectors are attractive, where debt service coverage levels appear to have been supported by solid revenue growth. The Fund ended the period with an average duration of 4.88 years.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. High-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Municipal securities may be adversely impacted by state/local, political, economic, or market conditions. Investors may be subject to the federal Alternative Minimum Tax as well as state and local income taxes. Capital gains, if any, are taxable.

 

 

 

  22  

 


The Hartford Municipal Opportunities Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Composition of Municipal Bonds(1)

as of October 31, 2019

 

Municipal Bonds    Percentage of
Net Assets
 

Airport

     4.9

Bond Bank

     0.1  

Development

     2.5  

Education

     1.6  

Facilities

     0.5  

General Obligation

     14.5  

Higher Education

     0.7  

Housing

     0.6  

Medical

     8.7  

Mello-Roos District

     1.2  

Multifamily Housing

     1.1  

Nursing Homes

     7.5  

Other(2)

     18.5  

Pollution

     0.6  

Power

     3.6  

School District

     10.1  

Single Family Housing

     5.4  

Student Loan

     0.3  

Tobacco

     3.0  

Transportation

     7.0  

Utilities

     0.8  

Water

     3.4  

Short-Term Investments

     2.7  

Other Assets & Liabilities

     0.7  
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2) 

Other refers to Special Tax District Bonds, Tax Increment Bonds and certain Community Development District bonds.

 

 

 

  23  

 


Hartford Municipal Short Duration Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/29/2015

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide current income that is generally exempt from federal income taxes, and long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      Since
Inception1
 

Class A2

     4.66%        1.68%  

Class A3

     -0.05%        0.63%  

Class C2

     4.54%        1.31%  

Class C3

     3.54%        1.31%  

Class I2

     4.92%        1.92%  

Class F2

     4.94%        1.94%  

Bloomberg Barclays Municipal Bond Short 1-5 Year Index

     4.41%        1.73%  

 

1 

Inception: 05/29/2015

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.21%        0.70%  

Class C

     1.95%        1.45%  

Class I

     0.93%        0.47%  

Class F

     0.91%        0.40%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  24  

 


Hartford Municipal Short Duration Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Brad W. Libby

Managing Director and Fixed Income Portfolio Manager / Credit Analyst

Wellington Management Company LLP

Timothy D. Haney, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Municipal Short Duration Fund returned 4.66%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Bloomberg Barclays Municipal Bond Short 1-5 Year Index, which returned 4.41% for the same period. For the same period, the Class A shares of the Fund also outperformed the 3.10% average return of the Lipper Short Municipal Debt Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings.

U.S. monetary policy continued along a more accommodative path. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates.

On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporates benefited from credit spread tightening during the period. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period.

Tax-exempt municipal bonds, as represented by the Bank of America Merrill Lynch U.S. Municipal Securities Index, posted a positive total return of 9.65% during the period. The index posted positive excess returns of 0.06%. The yield on 10-year AAA rated general obligation municipal bonds (GOs) decreased during the twelve-month period, as did the yield on 10-year Treasuries. The ratio of yields on 10-year AAA

GOs to yields on 10-year Treasuries increased over the period, rising from 86.7% to 88.2%. Over the period, demand from municipal funds and individual bonds was relatively strong while supply was measured.

Security selection within investment-grade and high-yield revenue bonds as well as general obligation bonds, benefited returns relative to the Bloomberg Barclays Municipal Bond Short 1-5 Year Index during the period. Duration and yield curve positioning also had a positive effect on relative performance. The Fund’s allocation to high-yield revenue bonds detracted from returns relative to the Bloomberg Barclays Municipal Bond Short 1-5 Year Index over the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe that U.S. economic growth is slowing, but the near-term risk of recession is low. We have started to reduce the high yield and BBB rated allocation of the Fund’s portfolio as we get later in the credit cycle. We expect revenue bond fundamentals to remain strong in the following sectors: Transportation, Special Tax, and Utilities. Within the Transportation sector, we have started to favor airports over toll roads based more on relative valuation than fundamentals. In our view, both toll roads and airports remain supported by healthy fundamentals. Within GO credits, we are positive on Special Tax sectors, where debt service coverage levels appear to have been supported by solid revenue growth. The Fund ended the period with an average duration of 2.46 years.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall.Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities.Municipal securities may be adversely impacted by state/local, political, economic, or market conditions. Investors may be subject to the federal Alternative Minimum Tax as well as state and local income taxes. Capital gains, if any, are taxable.

 

 

 

  25  

 


Hartford Municipal Short Duration Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Composition of Municipal Bonds(1)

as of October 31, 2019

 

Municipal Bonds    Percentage of
Net Assets
 

Airport

     7.3

Development

     3.4  

Education

     1.8  

General Obligation

     10.7  

Higher Education

     1.9  

Housing

     1.5  

Medical

     9.4  

Mello-Roos District

     1.2  

Nursing Homes

     9.2  

Other(2)

     15.4  

Pollution

     1.0  

Power

     2.3  

School District

     7.4  

Single Family Housing

     7.5  

Student Loan

     1.6  

Tobacco

     6.7  

Transportation

     4.9  

Utilities

     1.0  

Water

     2.2  

Short-Term Investments

     3.7  

Other Assets & Liabilities

     (0.1
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2) 

Other refers to Special Tax District Bonds, Tax Increment Bonds and certain Community Development District bonds.

 

 

 

  26  

 


The Hartford Quality Bond Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 11/30/2012

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to maximize total return while providing a high level of current income consistent with prudent investment risk.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Year      Since
Inception1
 

Class A2

     9.72%        2.54%        2.28%  

Class A3

     4.78%        1.60%        1.60%  

Class C2

     8.96%        1.76%        1.51%  

Class C3

     7.96%        1.76%        1.51%  

Class I2

     10.04%        2.82%        2.56%  

Class R32

     9.26%        2.28%        1.99%  

Class R42

     9.85%        2.73%        2.41%  

Class R52

     9.99%        2.95%        2.64%  

Class Y2

     10.23%        2.93%        2.64%  

Class F2

     10.17%        2.88%        2.60%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        2.75%  

 

1 

Inception: 11/30/2012

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     0.94%        0.86%  

Class C

     1.76%        1.61%  

Class I

     0.66%        0.61%  

Class R3

     1.28%        1.20%  

Class R4

     0.98%        0.95%  

Class R5

     0.68%        0.65%  

Class Y

     0.67%        0.55%  

Class F

     0.56%        0.45%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  27  

 


The Hartford Quality Bond Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Michael F. Garrett*

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Val Petrov, PhD, CFA

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Brian Conroy, CFA

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Cory D. Perry, CFA

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

* Michael F. Garrett announced his plan to retire, and effective June 30, 2020, he will no longer serve as a portfolio manager for the Fund.

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Quality Bond Fund returned 9.72%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming its benchmark, the Bloomberg Barclays U.S. Aggregate Bond Index, which returned 11.51% for the same period. For the same period, the Class A shares of the Fund also underperformed the 10.66% average return of the Lipper Core Bond Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

Global monetary policies continued along a more accommodative path, in the aggregate. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. The ECB launched a package of stimulus measures, including a rate cut, resumption of asset purchases to continue “as long as necessary,” and the introduction of tiered deposit rates to exempt banks from negative interest rates. The Bank of Japan indicated that it may provide additional easing at its October 2019 meeting (but later kept monetary policy steady when the meeting occurred), while a noted Bank of England

policymaker who is typically concerned about the threat of inflation acknowledged that monetary easing may be necessary to counter Brexit uncertainty.

At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates. Eurozone manufacturing Purchasing Managers’ Index (PMI) fell further into contractionary territory, owing to softer output, new orders, and sentiment; services PMI also declined but remained at an expansionary level. Japanese GDP growth eased to a 1.3% annualized rate in the second quarter of 2019, and inflation readings remained stubbornly below 1% year-over-year. Chinese industrial production and exports continued to experience adverse impacts from the ongoing trade war with the U.S.; official manufacturing PMI ticked higher but remained in contractionary territory.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period. Securitized sectors also generated positive excess returns during the period.

The agency residential mortgage-backed securities (RMBS) market, as measured by the Bloomberg Barclays MBS Fixed Rate Index, returned 8.87% for the full period, while outperforming duration-equivalent Treasuries by 1.30% as measured by Wellington Management. Following the market volatility in the fourth quarter of 2018, agency RMBS performance rebounded sharply in the first quarter of 2019 after the Fed pledged not to raise rates this year and implied volatility plunged. Subsequently, the environment for mortgages grew challenging

 

 

 

  28  

 


The Hartford Quality Bond Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

due to the persistent rally in interest rates along with a faster-than-expected prepayment report. This caused agency RMBS investors to ratchet up their prepayment assumptions on 30-year conventionals – Federal National Mortgage Association (FNMA), Federal Home Loan Mortgage Corporation (FHLMC). Despite this, we saw mortgages outperforming Treasuries over the twelve-month period because our duration estimates were shorter than those of many other market participants. When interest rates rallied sharply during the period, the Bloomberg Barclays Fixed Rate MBS Index generated negative excess returns of 0.11%. Within the agency RMBS sector, Government National Mortgage Association (GNMA) pass-through securities lagged conventionals, and 30-year agency RMBS outperformed 15-year agency RMBS.

Over the trailing twelve-month period, the Fund’s duration positioning detracted from performance relative to the Bloomberg Barclays U.S. Aggregate Bond Index. The Fund strategically maintained a shorter duration than the Bloomberg Barclays U.S. Aggregate Bond Index, which negatively affected results as interest rates declined. Allocations to FNMA Delegated Underwriting and Servicing bonds (DUS), commercial mortgage-backed securities (CMBS), agency collateralized mortgage obligations (CMOs), and collateralized loan obligations (CLOs) contributed positively to relative performance during the period. In aggregate, the Fund’s pass-through positioning also benefited relative performance.

During the period, the Fund used U.S. Treasury futures to manage the duration and yield curve posture. The Fund also used swaptions and interest-rate swaps to adjust the risk posture of the Fund. Additionally, currency forwards were used to hedge the currency risk of high-quality sovereign cash securities back to U.S. dollars. In aggregate, the use of U.S. Treasury futures, interest rate swaps, currency forwards and swaptions detracted from performance relative to the Bloomberg Barclays U.S. Aggregate Bond Index for the period.

What is the outlook as of the end of the period?

We believe the drop in interest rates and the increase in prepayments and macro uncertainty have pushed agency RMBS spreads to multi-year wides last seen in 2013. The global macro backdrop remains fragile, and the Fed has responded by cutting interest rates. A protracted lower rate structure via an accommodative Fed may help suppress interest rate volatility, which we believe is a positive backdrop for mortgage performance. Concerns over trade tensions and implications for the global cycle could weigh on agency RMBS spreads, in our view. However, we would expect them to outperform competing credit risk sectors in such a scenario, since they may attract interest as a liquid alternative to high quality credit, and through their yield advantage relative to the increasing amount of negative yields on global sovereign debt.

We believe current valuations of agency RMBS reflect some of the deterioration we have seen in agency RMBS fundamentals this year. Longer term, we remain constructive on agency RMBS fundamentals. We believe agency RMBS spreads are likely to be supported by growth in the federal budget deficit as the supply of Treasuries is set to rise relative to agency RMBS. Additionally, we believe agency RMBS may continue to benefit from lower leverage in the mortgage system and a more stable buyer-base of long-term investors.

We have a constructive outlook on most non-agency RMBS, given solid U.S. housing fundamentals and positive technical tailwinds in our view. We believe valuations remain attractive on a relative basis and spreads held up relatively well in spite of decelerating U.S. and global growth.

We are constructive on the asset-backed security (ABS) sector based on the strength of the U.S. consumer, in our view, but we are being selective as the credit cycle matures. Within CLOs, we are constructive on select mezzanine credit bonds, especially seasoned deals. Positive, albeit slowing, U.S. economic growth is still supportive of bank loan credit fundamentals in our view.

Our longer-term CMBS outlook is constructive due to favorable commercial real estate and economic fundamentals. We believe areas of structural weakness exist, such as retail and oil-patch regions, requiring judicious credit analysis and security selection. We favor credit bonds from Freddie Mac multifamily and single-asset single-borrower deals, as well as front-pay classes, interest-only tranches, and seasoned credit bonds from conduit deals.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall.Obligations of U.S. Government agencies are supported by varying degrees of credit but are generally not backed by the full faith and credit of the U.S. Government.  The risks associated with mortgage-related and asset-backed securities as well as collateralized loan obligations (CLOs) include credit, interest-rate, prepayment, liquidity, default and extension risk. The purchase of securities in the To-Be-Announced (TBA) market can result in additional price and counterparty risk. The Fund may use dollar rolls, repurchase agreements, or reverse repurchase agreements, which can increase risk and volatility. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. Restricted securities may be more difficult to sell and price than other securities.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Fixed Income Securities

 

Asset & Commercial Mortgage Backed Securities

     26.1

Corporate Bonds

     0.2  

U.S. Government Agencies(2)

     83.9  

U.S. Government Securities

     0.7  
  

 

 

 

Total

     110.9
  

 

 

 

Short-Term Investments

     10.2  

Purchased Options

     0.7  

Other Assets & Liabilities

     (21.8
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2) 

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  29  

 


The Hartford Short Duration Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 10/31/2002

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide current income and long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     5.05%        2.19%        2.48%  

Class A2

     2.95%        1.78%        2.27%  

Class C1

     4.34%        1.43%        1.72%  

Class C2

     3.34%        1.43%        1.72%  

Class I1

     5.52%        2.49%        2.79%  

Class R31

     4.78%        1.94%        2.32%  

Class R41

     5.16%        2.21%        2.56%  

Class R51

     5.37%        2.51%        2.81%  

Class R61

     5.54%        2.56%        2.83%  

Class Y1

     5.43%        2.54%        2.82%  

Class F1

     5.44%        2.53%        2.80%  

Bloomberg Barclays 1-3 Year U.S. Government/Credit Index

     4.89%        1.60%        1.52%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 2.00%. Returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 2/28/19. Performance prior to that date is that of the Fund’s Class Y shares. Class I shares commenced operations on 2/26/10. Performance prior to

that date is that of the Fund’s Class A shares (excluding sales charges). Class R3, R4 and R5 shares commenced operations on 9/30/11. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares from 2/26/10 through 2/27/17 and Class A shares (excluding sales charges) prior to 2/26/10.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company, using a modified investment strategy. As of 3/5/12, Hartford Investment Management Company no longer served as the sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     0.87%        0.81%  

Class C

     1.57%        1.56%  

Class I

     0.52%        0.52%  

Class R3

     1.17%        1.15%  

Class R4

     0.87%        0.85%  

Class R5

     0.57%        0.55%  

Class R6

     0.46%        0.46%  

Class Y

     0.54%        0.54%  

Class F

     0.46%        0.46%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  30  

 


The Hartford Short Duration Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Manager

Timothy E. Smith

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Short Duration Fund returned 5.05%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming its benchmark, the Bloomberg Barclays 1-3 Year U.S. Government/Credit Index, which returned 4.89% for the same period. For the same period, Class A shares of the Fund outperformed the 4.53% average return of the Lipper Short Investment Grade Debt Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU) (also known as “Brexit”), and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

Global monetary policies continued along a more accommodative path, in the aggregate. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. The ECB launched a package of stimulus measures, including a rate cut, resumption of asset purchases to continue “as long as necessary,” and the introduction of tiered deposit rates to exempt banks from negative interest rates. The Bank of Japan indicated that it may provide additional easing at its October 2019 meeting (but later kept monetary policy steady when the meeting occurred), while a noted Bank of England policymaker who is typically concerned about the threat of inflation acknowledged that monetary easing may be necessary to counter Brexit uncertainty.

At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates. Eurozone manufacturing Purchasing Managers’ Index (PMI) fell further into contractionary territory, owing to softer output, new orders, and sentiment; services PMI also declined but remained at an expansionary level. Japanese GDP growth eased to a 1.3% annualized rate in the second quarter of 2019, and inflation readings remained stubbornly

below 1% year-over-year. Chinese industrial production and exports continued to experience adverse impacts from the ongoing trade war with the U.S.; official manufacturing PMI ticked higher but remained in contractionary territory.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period. Securitized sectors also generated positive excess returns during the period.

Real and nominal U.S. Treasury yields fell over the past twelve months along the yield curve, as the Fed cut interest rates, and mixed economic data led to elevated economic uncertainty.

The Fund’s short duration posture was the primary driver of underperformance relative to the Bloomberg Barclays 1-3 Year U.S. Government/Credit Index as interest rates fell over the period. The Fund’s overweight to investment-grade bonds in the Financials and Industrials sectors, as well as exposure to high yield and bank loans outside of the Bloomberg Barclays 1-3 Year U.S. Government/Credit Index, were additive to relative performance. In addition, the Fund’s allocation to securitized sectors such as asset-backed securities (ABS), agency and non-agency mortgage-backed securities (MBS), and commercial mortgage-backed securities (CMBS) had a positive impact on performance relative to the Bloomberg Barclays 1-3 Year U.S. Government/Credit Index over the period.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

We believe U.S. economic growth is slowing, but we view the risk of a recession over the next year as low. We believe that the consumer and housing activity are still showing signs of resilience, while manufacturing activity has diminished, in our view. We believe U.S. inflation is firming as wage pressure accelerates.

The Fed has shifted to a wait-and-see approach, suggesting to us that policy is on hold unless data or events cause a material reassessment of the outlook. The market continues to price in a more aggressive path of rate cuts than the Fed’s projections. As a result, we positioned the Fund with a modest short duration bias.

As of the end of the period, we maintained a modest pro-cyclical positioning in the corporate bond sector based on what we consider to be supportive supply and demand characteristics as well as stable fundamentals, though slowing U.S. economic growth has led us to pare

 

 

 

  31  

 


The Hartford Short Duration Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

back corporate credit risk. Revenue and earnings growth for the corporate sector have slowed but remain in positive territory as of the end of the period. We are constructive on the ABS sector based on what we consider to be strong U.S. consumer fundamentals, although we are being selective given the later stage of the credit cycle. Within the sector, we favor auto, credit card, and equipment ABS. Our longer-term CMBS outlook is constructive based on what we consider to be favorable commercial real estate and economic fundamentals. We believe areas of structural weakness exist, such as retail and oil-patch regions, requiring judicious credit analysis and security selection. We prefer to own senior tranches of short-term CMBS. As of the end of the period, we retained the Fund’s allocation to bank loans due to diversification benefits, in our view, as well as their senior-secured status.

At the end of the period, the Fund was positioned with a moderately pro-cyclical risk posture, favoring the credit and securitized sectors. Specifically, we maintained exposure in the Fund to bank loans and high-yield credit, and continued to overweight investment-grade corporate credit in the Fund, favoring bonds in the Financials and Industrials sectors. We maintained the Fund’s allocations to agency MBS and non-agency MBS based on attractive valuations, in our view.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Loans can be difficult to value and less liquid than other types of debt instruments; they are also subject to nonpayment, collateral, bankruptcy, default, extension, prepayment and insolvency risks. Obligations of U.S. Government agencies are supported by varying degrees of credit but are generally not backed by the full faith and credit of the U.S. Government.Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. The risks associated with mortgage-related and asset-backed securities as well as collateralized loan obligations (CLOs) include credit, interest-rate, prepayment, liquidity, default and extension risk. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments.  Restricted securities may be more difficult to sell and price than other securities.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Fixed Income Securities

 

Asset & Commercial Mortgage Backed Securities

     15.7

Corporate Bonds

     56.9  

Foreign Government Obligations

     0.5  

Municipal Bonds

     0.5  

Senior Floating Rate Interests

     15.7  

U.S. Government Agencies(2)

     10.4  

U.S. Government Securities

     1.4  
  

 

 

 

Total

     101.1
  

 

 

 

Short-Term Investments

     0.5  

Other Assets & Liabilities

     (1.6
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2)

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  32  

 


The Hartford Strategic Income Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/31/2007

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide current income and long-term total return.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     9.42%        4.03%        5.42%  

Class A2

     4.49%        3.08%        4.93%  

Class C1

     8.59%        3.25%        4.64%  

Class C2

     7.59%        3.25%        4.64%  

Class I1

     9.82%        4.29%        5.69%  

Class R31

     9.22%        3.72%        5.22%  

Class R41

     9.54%        4.03%        5.49%  

Class R51

     9.78%        4.34%        5.74%  

Class R61

     9.84%        4.40%        5.79%  

Class Y1

     9.91%        4.39%        5.79%  

Class F1

     9.93%        4.35%        5.72%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        3.73%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50%. Returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R3, R4 and R5 shares commenced operations on 9/30/11. Performance prior to that date is that of the Fund’s Class Y shares. Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company, using a modified investment strategy. As of 4/2/12, Hartford Investment Management Company no longer served as the sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.05%        0.95%  

Class C

     1.78%        1.70%  

Class I

     0.77%        0.70%  

Class R3

     1.37%        1.25%  

Class R4

     1.08%        0.95%  

Class R5

     0.78%        0.65%  

Class R6

     0.66%        0.60%  

Class Y

     0.77%        0.69%  

Class F

     0.66%        0.60%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  33  

 


The Hartford Strategic Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Campe Goodman, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Joseph F. Marvan, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Robert D. Burn, CFA

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Strategic Income Fund returned 9.42%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming its benchmark, the Bloomberg Barclays U.S. Aggregate Bond Index, which returned 11.51% for the same period. For the same period, Class A shares of the Fund outperformed the 7.94% average return of the Lipper Multi-Sector Income Funds peer group, a group of funds that seeks current income by allocating assets among several different fixed income sectors (with no more than 65% in any one sector except for defensive purposes), including U.S. government and foreign governments, with a significant portion of assets in securities rated below investment-grade.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

Global monetary policies continued along a more accommodative path, in the aggregate. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. The ECB launched a package of stimulus measures, including a rate cut, resumption of asset purchases to continue “as long as necessary,” and the introduction of tiered deposit rates to exempt banks from negative interest rates. The Bank of Japan indicated that it may provide additional easing at its October 2019 meeting (but later kept monetary policy steady when the meeting occurred), while a noted Bank of England policymaker who is typically concerned about the threat of inflation acknowledged that monetary easing may be necessary to counter Brexit uncertainty.

At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates. Eurozone manufacturing Purchasing Managers’ Index (PMI) fell further into contractionary territory, owing to softer output, new orders, and sentiment; services PMI also declined but remained at an expansionary level. Japanese GDP growth eased to a 1.3% annualized rate in the second quarter of 2019, and inflation readings remained stubbornly below 1% year-over-year. Chinese industrial production and exports continued to experience adverse impacts from the ongoing trade war with the U.S.; official manufacturing PMI ticked higher but remained in contractionary territory. The U.K. economy moved closer to recession as GDP contracted in the second quarter of 2019; industrial production, housing prices, and employment growth also trended lower.

Over the period, U.S. dollar performance was mixed. Perceived safe-haven currencies, such as the Japanese yen and Swiss franc, were notable outperformers amid trade frictions and slowing global growth prospects. Despite continued Brexit uncertainty for much of the period, the Great British pound appreciated driven by the draft of a Brexit deal agreement late in the period. Higher-beta and commodity-linked currencies such as the Australian dollar, New Zealand dollar, Norwegian krone, and Swedish krona were the most notable decliners. The euro also declined as weakening data and an accommodative ECB pressured the currency. Emerging market (EM) currencies were mixed versus the U.S. dollar. The Argentine peso was a notable decliner, as idiosyncratic issues and broader external debt sustainability concerns led to a loss of market confidence. The Mexican peso was a notable outperformer.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period. Securitized sectors generally generated moderate positive excess returns with mortgage-backed pass-through securities being an exception during the period.

Consistent with the Fund’s objective of seeking to provide current income and long-term total return, we continued to position the Fund

 

 

 

  34  

 


The Hartford Strategic Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

with an overweight to credit risk sectors, including high-yield credit, emerging-markets debt, and bank loans. The primary detractor from the Fund’s performance versus the Bloomberg Barclays U.S. Aggregate Bond Index over the period was directional duration and yield curve positioning. We remained positioned with an underweight to investment-grade credit in favor of bank loans and high yield (including contingent convertibles, also known as CoCos). Those higher-yielding sectors outperformed investment-grade credit over the period against the backdrop of stable corporate fundamentals, supportive central bank policy, and continued demand for yield-producing assets. An underweight to investment-grade corporates detracted from performance relative to the Bloomberg Barclays U.S. Aggregate Bond Index. The Fund’s allocation to emerging-markets debt detracted over the period, particularly external debt exposure, while emerging-market corporate exposure contributed favorably. Global trade tensions and external debt sustainability concerns weighed on the sector. Within securitized sectors, allocations to non-agency residential mortgage-backed securities (NA RMBS) and particularly commercial mortgage-backed securities (CMBS), also benefited performance, while agency mortgage-backed securities (MBS) detracted relative performance. During the period, the Fund maintained a structural allocation to developed-market currencies using a combination of bonds and derivatives (primarily forward contracts). Overall currency exposure had a positive contribution to relative performance. The Fund’s allocation to Treasury Inflation-Protected Securities (TIPS) had a negative impact on results as TIPS underperformed duration-equivalent nominal U.S. Treasuries. Derivative exposure to high-yield credit default swap indices (CDX) contributed positively to relative performance, while exposure to investment-grade and emerging-markets CDX detracted from relative performance.

What is the outlook as of the end of the period?

As of the end of the period, we believe global growth is likely to moderate but global monetary policies may support growth. We are therefore positioning the Fund with a moderately pro-cyclical risk posture. We believe breakeven inflation rates (a market-based measure of expected inflation) are attractive and are positioned for an increase in inflation expectations. As of the end of the period, we have positioned the Fund with an underweight to investment-grade corporates and agency MBS in favor of high yield, CoCos, U.S. banks loans (largest allocation), and parts of the structured finance universe (non-agency RMBS and CMBS). We believe emerging markets’ real GDP growth is picking up and inflation has peaked across a number of emerging-market economies; thus, we have maintained emerging-markets hard-currency debt and corporate exposure in the Fund. As of the end of the period, we also maintained a small partially hedged position in local-currency government bonds in the Fund.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Loans can be difficult to value and less liquid than other types of debt instruments; they are also subject to nonpayment, collateral, bankruptcy, default, extension, prepayment and insolvency risks. Obligations of U.S. Government agencies are supported by varying degrees of credit but are generally not backed by the full faith

and credit of the U.S. Government. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. The risk associated with mortgage-related and asset-backed securities include credit, interest-rate, prepayment, liquidity, default and extension risk. The purchase of securities in the To-Be-Announced (TBA) market can result in additional price and counterparty risk. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Restricted securities may be more difficult to sell and price than other securities.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

 

Common Stocks

     0.0 %* 

Convertible Preferred Stocks

     0.3  

Preferred Stocks

     0.1  

Warrants

     0.0
  

 

 

 

Total

     0.4
  

 

 

 

Fixed Income Securities

 

Asset & Commercial Mortgage Backed Securities

     10.7

Convertible Bonds

     0.6  

Corporate Bonds

     20.3  

Foreign Government Obligations

     20.5  

Municipal Bonds

     0.7  

Senior Floating Rate Interests

     24.5  

U.S. Government Agencies(2)

     12.1  

U.S. Government Securities

     14.4  
  

 

 

 

Total

     103.8
  

 

 

 

Short-Term Investments

     4.5  

Other Assets & Liabilities

     (8.7
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2)

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  35  

 


The Hartford Total Return Bond Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 7/22/1996

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks a competitive total return, with income as a secondary objective.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     11.24%        3.22%        3.93%  

Class A2

     6.23%        2.27%        3.45%  

Class C1

     10.37%        2.45%        3.15%  

Class C2

     9.37%        2.45%        3.15%  

Class I1

     11.49%        3.50%        4.21%  

Class R31

     10.93%        2.90%        3.62%  

Class R41

     11.20%        3.22%        3.92%  

Class R51

     11.80%        3.58%        4.26%  

Class R61

     11.67%        3.60%        4.32%  

Class Y1

     11.68%        3.62%        4.34%  

Class F1

     11.58%        3.58%        4.25%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        3.73%  

 

1 

Without sales charge

2 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50%. Returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-adviser, Hartford Investment Management Company. As of 3/5/12, Hartford Investment Management Company no longer served as the sub-adviser to the Fund.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

Effective as of the close of business on March 29, 2019, Classes C and I of the Fund were closed to new investors, subject to certain exceptions. For more information, please see the Fund’s prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     0.73%        0.73%  

Class C

     1.52%        1.52%  

Class I

     0.46%        0.46%  

Class R3

     1.07%        1.07%  

Class R4

     0.76%        0.76%  

Class R5

     0.47%        0.47%  

Class R6

     0.35%        0.35%  

Class Y

     0.46%        0.46%  

Class F

     0.35%        0.34%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class F. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  36  

 


The Hartford Total Return Bond Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Joseph F. Marvan, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Campe Goodman, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Robert D. Burn, CFA

Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Total Return Bond Fund returned 11.24%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming its benchmark, the Bloomberg Barclays U.S. Aggregate Bond Index, which returned 11.51% for the same period. For the same period, the Class A shares of the Fund outperformed the 10.66% average return of the Lipper Core Bond Funds peer group, a group of funds with investment strategies similar to those of the Fund.

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the United States (U.S.) potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

Global monetary policies continued along a more accommodative path, in the aggregate. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. The ECB launched a package of stimulus measures, including a rate cut, resumption of asset purchases to continue “as long as necessary,” and the introduction of tiered deposit rates to exempt banks from negative interest rates. The Bank of Japan indicated that it may provide additional easing at its October 2019 meeting (but later kept monetary policy steady when the meeting occurred), while a noted Bank of England policymaker who is typically concerned about the threat of inflation acknowledged that monetary easing may be necessary to counter Brexit uncertainty.

At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates. Eurozone manufacturing Purchasing Managers’ Index (PMI) fell further into contractionary territory, owing to softer output, new orders, and sentiment; services PMI also declined but remained at an expansionary level. Japanese GDP growth eased to a 1.3% annualized rate in the second quarter of 2019, and inflation readings remained stubbornly below 1% year-over-year. Chinese industrial production and exports continued to experience adverse impacts from the ongoing trade war with the U.S.; official manufacturing PMI ticked higher but remained in contractionary territory.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period. Securitized sectors generally generated moderate positive excess returns with mortgage-backed pass-through securities (MBS pass-throughs) being an exception during the period.

Positive contributors to the Fund’s performance were positioning within credit sectors and an allocation to structured finance sectors, including: collateralized loan obligations (CLOs), non-agency residential mortgage backed securities (RMBS) – particularly those issued after the global financial crisis – and commercial mortgage-backed securities (CMBS). Agency MBS pass-throughs also contributed positively to performance relative to the Bloomberg Barclays U.S. Aggregate Bond Index as interest rate volatility subsided by the end of the period. Credit sectors rallied in the first half of the period. Security selection within investment-grade credit, particularly within the Industrials sector, contributed the most to relative performance within corporate credit. An allocation to high yield, including those in the European Financials sector (such as contingent convertibles, also known as CoCos), also contributed positively to results relative to the Bloomberg Barclays U.S. Aggregate Bond Index as higher-yielding sectors outperformed against the backdrop of stable corporate fundamentals, supportive central bank policy, and continued demand for yield-producing assets. An allocation

 

 

 

  37  

 


The Hartford Total Return Bond Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

to bank loans had a negligible impact on relative performance. The Fund’s allocation to select emerging-markets debt contributed modestly to relative performance during the period.

The Fund’s derivative hedges, implemented through credit default swap indices (CDX), added to performance relative to the Bloomberg Barclays U.S. Aggregate Bond Index during the period. An allocation to Treasury Inflation-Protected Securities (TIPS) detracted from relative performance for the period, as TIPS underperformed duration-equivalent nominal U.S. Treasuries. The Fund’s tactical duration positioning during part of the period, implemented partially through interest rate swaps and bond futures, detracted from relative performance over the period.

What is the outlook as of the end of the period?

As of the end of the period, we are positioning the Fund consistent with our expectation for continued positive, albeit weakening U.S. economic fundamentals, which suggest that we are not yet at the end of the current economic/credit cycle. In our view, accommodative monetary policy may continue to support credit risk sectors, and we expect low corporate default rates in the near term. As of the end of the period, we have positioned the Fund for rising inflation expectations, as we believe the TIPS market is underpricing inflation expectations. We ended the period with a modest underweight positioning in investment-grade corporate bonds, favoring select communication issuers focused on debt reduction. The Fund is positioned with an overweight to agency MBS pass-throughs. Within structured finance, we maintained an out-of-benchmark allocation in the Fund to select non-agency RMBS, high quality collateralized loan obligations, and collateral mortgage obligations (CMOs) and Federal National Mortgage Association (FNMA) Delegated Underwriting and Servicing (DUS) bonds as we believe that they have superior income and convexity profiles. The Fund also owned senior CMBS tranches with attractive collateral, in our view. The Fund maintained an allocation to high yield and favored bank loans for their attractive risk/reward profile, as we believe these sectors are supported by positive consumer fundamentals. We also continued to hold CoCos as European banks are deleveraging and reducing risk, in our view. We also continue to hold select exposure to emerging-markets debt in countries where we believe valuations are attractive.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Obligations of U.S. Government agencies are supported by varying degrees of credit but are generally not backed by the full faith and credit of the U.S. Government. The risks associated with mortgage-related and asset-backed securities as well as collateralized loan obligations (CLOs) include credit, interest-rate, prepayment, liquidity, default and extension risk. The purchase of securities in the To-Be-Announced (TBA) market can result in additional price and counterparty risk.Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. Foreign investments may be more volatile and

less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Restricted securities may be more difficult to sell and price than other securities.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

 

Common Stocks

     0.0 %* 

Preferred Stocks

     0.0

Warrants

     0.0
  

 

 

 

Total

     0.0 %* 
  

 

 

 

Fixed Income Securities

 

Asset & Commercial Mortgage Backed Securities

     24.6

Corporate Bonds

     25.3  

Foreign Government Obligations

     3.8  

Municipal Bonds

     1.0  

Senior Floating Rate Interests

     2.3  

U.S. Government Agencies(2)

     46.3  

U.S. Government Securities

     25.2  
  

 

 

 

Total

     128.5
  

 

 

 

Short-Term Investments

     3.6  

Purchased Options

     0.1  

Other Assets & Liabilities

     (32.2
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2) 

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  38  

 


The Hartford World Bond Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/31/2011

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks capital appreciation with income as a secondary goal.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Year      Since
Inception1
 

Class A2

     5.68%        2.25%        3.08%  

Class A3

     0.92%        1.31%        2.52%  

Class C2

     4.92%        1.52%        2.33%  

Class C3

     3.92%        1.52%        2.33%  

Class I2

     6.02%        2.52%        3.35%  

Class R32

     5.39%        1.93%        2.75%  

Class R42

     5.71%        2.22%        3.06%  

Class R52

     6.00%        2.55%        3.36%  

Class R62

     6.09%        2.65%        3.46%  

Class Y2

     6.04%        2.62%        3.44%  

Class F2

     6.11%        2.59%        3.39%  

FTSE World Government Bond Index

     9.92%        1.96%        1.25%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        3.33%  

 

1 

Inception: 05/31/2011

2 

Without sales charge

3 

With sales charge

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Effective July 31, 2018, the Fund added the Bloomberg Barclays U.S. Aggregate Bond Index as a secondary benchmark.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For information on current expense waivers/reimbursements, please see the prospectus.

 

Operating Expenses*    Gross      Net  

Class A

     1.05%        1.05%  

Class C

     1.78%        1.78%  

Class I

     0.76%        0.76%  

Class R3

     1.39%        1.39%  

Class R4

     1.09%        1.09%  

Class R5

     0.79%        0.79%  

Class R6

     0.67%        0.67%  

Class Y

     0.78%        0.74%  

Class F

     0.67%        0.67%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  39  

 


The Hartford World Bond Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Mark H. Sullivan, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

Martin Harvey, CFA

Vice President and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford World Bond Fund returned 5.68%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming its benchmark, the FTSE World Government Bond Index, which returned 9.92% for the same period. For the same period, Class A shares of the Fund underperformed the 8.92% average return of the Lipper Global Income Funds peer group, a group of funds that invests primarily in U.S. dollar and non-U.S. dollar debt securities of issuers located in at least three countries, one of which may be the United States (U.S.).

Why did the Fund perform this way?

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed tariffs by the U.S. that would potentially impact most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga of the United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

Global monetary policies continued along a more accommodative path, in the aggregate. The Fed cut rates three times in the period, though its policy rhetoric and rate projections later in the period tilted towards tighter monetary conditions relative to market expectations. The Fed also conducted short-term operations to alleviate funding pressures. The ECB launched a package of stimulus measures, including a rate cut, resumption of asset purchases to continue “as long as necessary,” and the introduction of tiered deposit rates to exempt banks from negative interest rates. The Bank of Japan indicated that it may provide additional easing at its October 2019 meeting (but later kept monetary policy steady when the meeting occurred), while a noted Bank of England policymaker who is typically concerned about the threat of inflation acknowledged that monetary easing may be necessary to counter Brexit uncertainty. The Central Bank of Norway, an outlier among major central banks in 2019, increased rates three times but trimmed the projected path for interest rate increases, citing global uncertainties.

At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty

from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates. Eurozone manufacturing Purchasing Managers’ Index (PMI) fell further into contractionary territory, owing to softer output, new orders, and sentiment; services PMI also declined but remained at an expansionary level. Japanese GDP growth eased to a 1.3% annualized rate in the second quarter of 2019 and inflation readings remained stubbornly below 1% year-over-year. Chinese industrial production and exports continued to experience adverse impacts from the ongoing trade war with the U.S.; official manufacturing PMI ticked higher but remained in contractionary territory. The U.K. economy moved closer to recession as GDP contracted in the second quarter of 2019; industrial production, housing prices, and employment growth also trended lower.

Over the period, U.S. dollar performance was mixed. Perceived safe-haven currencies such as the Japanese yen and Swiss franc were notable outperformers amid trade frictions and slowing global growth prospects. Despite continued Brexit uncertainty for much of the period, the British pound appreciated driven by the draft of a Brexit deal agreement late in the period. Higher-beta and commodity linked currencies such as the Australian dollar, New Zealand dollar, Norwegian krone, and Swedish krona were the most notable decliners. The euro also declined as weakening data and an accommodative ECB pressured the currency. Emerging Markets (EM) currencies were mixed versus the U.S. dollar. The Argentine peso was a notable decliner as idiosyncratic issues and broader external debt sustainability concerns led to a loss of market confidence.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period. Securitized sectors generally generated moderate positive excess returns, with mortgage-backed pass-through securities being an exception during the period.

Note that the Fund is managed to seek capital appreciation and, secondly, income. For the twelve-month period, country, currency and credit strategies each contributed positively to total returns. Relative to the FTSE World Government Bond Index, the Fund’s lower duration positioning in country strategies detracted from performance, as sovereign debt yields across most markets moved lower. The Fund’s currency positioning contributed positively to relative returns.

 

 

 

  40  

 


The Hartford World Bond Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Within country positioning, the Fund’s core allocation to developed sovereign governments was a positive contributor to total returns over the period as accommodative central banks and slowing global growth supported lower bond yields. Over the period, we held exposure to some of the higher-yielding developed markets such as the U.S., Canada, Australia, and New Zealand which benefited total returns. Also in macro-based duration positioning, we held long positions in Australia and New Zealand throughout the period, which contributed positively. Weak economic data and U.S.-China trade tensions early in the period and an accommodative pivot by the Reserve Bank of Australia and the Reserve Bank of New Zealand later in the period contributed positively to returns during the period. In quantitative strategies a long Canada and Australia 10-year vs short U.K. 10-year position benefited early in the period as spreads tightened in the pair. Against the FTSE World Government Bond Index, we maintained a lower duration stance in the Fund for the period, which led to relative underperformance.

Currency strategies had positive total returns. The Fund’s opportunistic currency positioning, specifically the Fund’s underweight to the euro and overweight to the Japanese yen, drove positive performance relative to the FTSE World Government Bond Index. A resumption of quantitative easing by the ECB and weakening Eurozone manufacturing data pressured the euro over the period. The Japanese yen benefited from safe-haven flows as U.S.-China trade concerns persisted throughout the period and global growth data deteriorated. Strategic currency strategies generated marginally negative total returns due to the Fund’s non-U.S. dollar exposure held for portions of the period such as the Fund’s exposure to the Swedish krona and Norwegian krone. Relative to the benchmark, the Fund’s opportunistic positions in the euro and Japanese yen drove outperformance relative to the FTSE World Government Bond Index as currency returns for the benchmark were neutral as global currencies delivered mixed returns versus the U.S. dollar.

Within our credit positioning in the Fund, the Fund’s opportunistic allocations outside the FTSE World Government Bond Index to high yield and securitized debt contributed positively to absolute and relative returns as the sectors generated strong positive total returns over the period.

During the period, the investment team made use of derivatives in the Fund, primarily liquid currency forwards and exchange-traded government bond futures, but also in small part credit default swaps, index credit default swaps, as well as interest rate, bond, index and currency futures and/or options in pursuit of the investment objective as well as to hedge against risk.

Our macro-driven duration strategies, which are primarily implemented in the Fund using exchange-traded government bond futures and cash bonds, contributed positively to total returns over the period; our country rotation approach, which was also implemented in the Fund through exchange-traded government bond futures, contributed positively to performance relative to the FTSE World Government Bond Index. Our macro-driven and strategic market currency strategies are implemented through currency forwards in the Fund. Macro-driven currency strategies contributed positively to relative returns while strategic currency strategies detracted over the period. The Fund’s credit positioning, which is implemented using cash bonds, credit default swaps (index and single name), and interest rate swaps, contributed positively to relative returns over the period.

What is the outlook as of the end of the period?

We believe that the global cycle is stabilizing at low levels but there are signs of manufacturing weakness feeding into the services sector and a turn higher in our unemployment figures. Consumer and labor market weakness, along with decreasing efficacy of monetary policy, suggest downside growth risks for 2020. Geopolitical risks related to Brexit and U.S.-China trade talks have moderated but remain far from resolved. Positive developments on the geopolitical front combined with continued central bank policy accommodation may support a gradual steepening in global yield curves.

We remain constructive on high yield given the backdrop of stable corporate fundamentals, supportive central bank policy, and continued demand for yield-producing assets. In securitized sectors, we have a constructive outlook on most non-agency residential mortgage-backed securities (RMBS), given solid U.S. housing market fundamentals and positive trends in supply and demand. Our longer-term commercial mortgage backed securities (CMBS) outlook is constructive based on what we consider to be favorable commercial real estate (CRE) and economic fundamentals. We are constructive on the asset backed securities (ABS) sector based on the strength of the U.S. consumer, in our view, but we are being selective as the credit cycle matures. In corporate credit we have a cautious view given continued uncertainty related to U.S. trade policy, potential repercussions of the U.K.’s eventual exit from the EU, and European governments’ reluctance to provide much-needed fiscal stimulus at a time when monetary policy may be approaching the limits of its effectiveness.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Obligations of U.S. Government agencies are supported by varying degrees of credit but are generally not backed by the full faith and credit of the U.S. Government. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Mortgage-related and asset-backed securities’ risks include credit, interest-rate, prepayment, and extension risk. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets or if the Fund focuses in a particular geographic region or country. The Fund may invest in a smaller number of issuers, so it may be more exposed to risks and volatility than a more broadly diversified fund. Restricted securities may be more difficult to sell and price than other securities.

 

 

 

  41  

 


The Hartford World Bond Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

 

Common Stocks

     0.0 %* 

Convertible Preferred Stocks

     0.0

Escrows

     0.0

Preferred Stocks

     0.0
  

 

 

 

Total

     0.0 %* 
  

 

 

 

Fixed Income Securities

 

Asset & Commercial Mortgage Backed Securities

     7.8

Convertible Bonds

     0.1  

Corporate Bonds

     6.4  

Foreign Government Obligations

     65.2  

Senior Floating Rate Interests

     3.1  

U.S. Government Agencies(2)

     3.2  

U.S. Government Securities

     11.7  
  

 

 

 

Total

     97.5
  

 

 

 

Short-Term Investments

     2.3  

Purchased Options

     0.1  

Other Assets & Liabilities

     0.1  
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2) 

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  42  

 


Hartford Fixed Income Funds

Benchmark Glossary (Unaudited)

 

 

 

Bloomberg Barclays 1-3 Year U.S. Government/Credit Index (reflects no deduction for fees, expenses or taxes) is comprised of the U.S. Government/Credit component of the U.S. Aggregate Index. The 1-3 Year Government/Credit Index includes securities in the 1-3 year maturity range in the Government/Credit Index.

Bloomberg Barclays Municipal Bond 1-15 Year Blend (1-17) Index (reflects no deduction for fees, expenses or taxes) is a sub-index of the Bloomberg Barclays Municipal Bond Index. It is a rules-based market value-weighted index of bonds with maturities of 1 year to 17 years engineered for the tax-exempt bond market.

Bloomberg Barclays Municipal Bond Short 1-5 Year Index (reflects no deduction for fees, expenses or taxes) measures the performance of municipal bonds with time to maturity of more than one year and less than five years.

Bloomberg Barclays Municipal Bond Index (reflects no deduction for fees, expenses or taxes) is designed to cover the USD-denominated long-term tax exempt bond market.

Bloomberg Barclays U.S. Aggregate Bond Index (reflects no deduction for fees, expenses or taxes) is composed of securities that are Securities and Exchange Commission registered, taxable, and dollar denominated. The index covers the U.S. investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities, and asset-backed securities. These major sectors are subdivided into more specific indices that are calculated and reported on a regular basis.

Bloomberg Barclays U.S. Corporate High Yield Bond Index (reflects no deduction for fees, expenses or taxes) is a market-value-weighted index that tracks the total return performance of non-investment grade, fixed-rate, publicly placed, dollar denominated and nonconvertible debt registered with the Securities and Exchange Commission.

Bloomberg Barclays U.S. TIPS 1-10 Year Index (reflects no deduction for fees, expenses or taxes) represents U.S. Treasury inflation-protected securities having a maturity of at least 1 year and less than 10 years.

Bloomberg Barclays U.S. TIPS Index (reflects no deduction for fees, expenses or taxes) represents securities that protect against adverse inflation and provide a minimum level of real return. To be included in this index, bonds must have cash flows linked to an inflation index, be sovereign issues denominated in U.S. currency, and have more than one year to maturity.

FTSE World Government Bond Index (formerly known as the Citigroup World Government Bond Index) (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of fixed-rate, local currency, investment grade sovereign bonds.

JP Morgan GBI Emerging Markets Global Diversified Index (reflects no deduction for fees, expenses or taxes) is a comprehensive global local emerging markets index that consists of regularly traded, liquid fixed-rate, domestic-currency government bonds to which international investors can gain exposure.

S&P/LSTA Leveraged Loan Index (reflects no deduction for fees, expenses or taxes) is a market-value-weighted index that is designed to measure the performance of the U.S. leveraged loan market based upon market weightings, spreads and interest payments.

BLOOMBERG® is a trademark and service mark of Bloomberg Finance L.P. and its affiliates (collectively “Bloomberg”). BARCLAYS® is a trademark and service mark of Barclays Bank Plc (collectively with its affiliates, “Barclays”), used under license. Bloomberg or Bloomberg’s licensors, including Barclays, own all proprietary rights in the Bloomberg Barclays Indices. Neither Bloomberg nor Barclays approves or endorses this material, or guarantees the accuracy or completeness of any information herein, or makes any warranty, express or implied, as to the results to be obtained therefrom and, to the maximum extent allowed by law, neither shall have any liability or responsibility for injury or damages arising in connection therewith.

 

 

 

  43  

 


Hartford Fixed Income Funds

Expense Examples (Unaudited)

 

 

 

Your Fund’s Expenses

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, if any, and contingent deferred sales charges (CDSC), if any, and (2) ongoing costs, including investment management fees, distribution and/or service (12b-1) fees, if any, and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period of May 1, 2019 through October 31, 2019. To the extent a Fund was subject to acquired fund fees and expenses during the period, acquired fund fees and expenses are not included in the annualized expense ratios below.

Actual Expenses

The first set of columns of the table below provides information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the line under the heading entitled “Expenses Paid During The Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second set of columns of the table below provides information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (front-end sales loads and CDSC). Therefore, the second set of columns of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would be higher. Expenses for a class of a Fund are equal to the class’ annualized expense ratio multiplied by average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford Emerging Markets Local Debt Fund

 

        

Class A

   $     1,000.00      $     1,066.60      $     6.51      $     1,000.00      $     1,018.90      $     6.36        1.25

Class C

   $ 1,000.00      $ 1,062.10      $ 10.40      $ 1,000.00      $ 1,015.12      $ 10.16        2.00

Class I

   $ 1,000.00      $ 1,068.50      $ 5.16      $ 1,000.00      $ 1,020.22      $ 5.04        0.99

Class R3

   $ 1,000.00      $ 1,066.90      $ 6.20      $ 1,000.00      $ 1,019.21      $ 6.06        1.19

Class R4

   $ 1,000.00      $ 1,065.10      $ 6.45      $ 1,000.00      $ 1,018.96      $ 6.31        1.24

Class R5

   $ 1,000.00      $ 1,067.70      $ 4.90      $ 1,000.00      $ 1,020.47      $ 4.79        0.94

Class Y

   $ 1,000.00      $ 1,069.50      $ 4.69      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

Class F

   $ 1,000.00      $ 1,069.00      $ 4.69      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

The Hartford Floating Rate Fund

 

           

Class A

   $ 1,000.00      $ 1,002.80      $ 5.10      $ 1,000.00      $ 1,020.11      $ 5.14        1.01

Class C

   $ 1,000.00      $ 999.40      $ 8.62      $ 1,000.00      $ 1,016.59      $ 8.69        1.71

Class I

   $ 1,000.00      $ 1,004.30      $ 3.59      $ 1,000.00      $ 1,021.63      $ 3.62        0.71

Class R3

   $ 1,000.00      $ 1,001.70      $ 6.31      $ 1,000.00      $ 1,018.90      $ 6.36        1.25

Class R4

   $ 1,000.00      $ 1,002.80      $ 5.05      $ 1,000.00      $ 1,020.16      $ 5.09        1.00

Class R5

   $ 1,000.00      $ 1,003.90      $ 3.89      $ 1,000.00      $ 1,021.32      $ 3.92        0.77

Class Y

   $ 1,000.00      $ 1,004.90      $ 3.64      $ 1,000.00      $ 1,021.58      $ 3.67        0.72

Class F

   $ 1,000.00      $ 1,004.60      $ 3.23      $ 1,000.00      $ 1,021.98      $ 3.26        0.64

The Hartford Floating Rate High Income Fund

 

        

Class A

   $ 1,000.00      $ 1,003.20      $ 5.30      $ 1,000.00      $ 1,019.91      $ 5.35        1.05

Class C

   $ 1,000.00      $ 999.60      $ 9.07      $ 1,000.00      $ 1,016.13      $ 9.15        1.80

Class I

   $ 1,000.00      $ 1,005.50      $ 4.04      $ 1,000.00      $ 1,021.17      $ 4.08        0.80

Class R3

   $ 1,000.00      $ 1,002.80      $ 6.82      $ 1,000.00      $ 1,018.40      $ 6.87        1.35

Class R4

   $ 1,000.00      $ 1,003.20      $ 5.30      $ 1,000.00      $ 1,019.91      $ 5.35        1.05

Class R5

   $ 1,000.00      $ 1,004.60      $ 3.79      $ 1,000.00      $ 1,021.43      $ 3.82        0.75

Class Y

   $ 1,000.00      $ 1,005.50      $ 3.94      $ 1,000.00      $ 1,021.27      $ 3.97        0.78

Class F

   $ 1,000.00      $ 1,004.70      $ 3.79      $ 1,000.00      $ 1,021.43      $ 3.82        0.75

 

 

  44  

 


Hartford Fixed Income Funds

Expense Examples (Unaudited) – (continued)

 

 

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford High Yield Fund

 

Class A

   $ 1,000.00      $ 1,029.80      $ 5.37      $ 1,000.00      $ 1,019.91      $ 5.35        1.05

Class C

   $ 1,000.00      $ 1,026.00      $ 9.19      $ 1,000.00      $ 1,016.13      $ 9.15        1.80

Class I

   $ 1,000.00      $ 1,031.20      $ 4.04      $ 1,000.00      $ 1,021.22      $ 4.02        0.79

Class R3

   $ 1,000.00      $ 1,028.30      $ 6.90      $ 1,000.00      $ 1,018.40      $ 6.87        1.35

Class R4

   $ 1,000.00      $ 1,029.80      $ 5.37      $ 1,000.00      $ 1,019.91      $ 5.35        1.05

Class R5

   $ 1,000.00      $ 1,031.40      $ 3.84      $ 1,000.00      $ 1,021.43      $ 3.82        0.75

Class Y

   $ 1,000.00      $ 1,031.30      $ 4.10      $ 1,000.00      $ 1,021.17      $ 4.08        0.80

Class F

   $ 1,000.00      $ 1,031.60      $ 3.58      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

The Hartford Inflation Plus Fund

 

Class A

   $     1,000.00      $     1,025.30      $     4.34      $     1,000.00      $     1,020.92      $     4.33        0.85

Class C

   $ 1,000.00      $ 1,022.20      $ 8.16      $ 1,000.00      $ 1,017.14      $ 8.13        1.60

Class I

   $ 1,000.00      $ 1,027.70      $ 3.07      $ 1,000.00      $ 1,022.18      $ 3.06        0.60

Class R3

   $ 1,000.00      $ 1,024.80      $ 6.12      $ 1,000.00      $ 1,019.16      $ 6.11        1.20

Class R4

   $ 1,000.00      $ 1,025.30      $ 4.59      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

Class R5

   $ 1,000.00      $ 1,027.80      $ 3.07      $ 1,000.00      $ 1,022.18      $ 3.06        0.60

Class Y

   $ 1,000.00      $ 1,026.70      $ 3.01      $ 1,000.00      $ 1,022.23      $ 3.01        0.59

Class F

   $ 1,000.00      $ 1,027.70      $ 2.81      $ 1,000.00      $ 1,022.43      $ 2.80        0.55

Hartford Municipal Income Fund

 

Class A

   $ 1,000.00      $ 1,039.80      $ 3.55      $ 1,000.00      $ 1,021.73      $ 3.52        0.69

Class C

   $ 1,000.00      $ 1,038.50      $ 5.81      $ 1,000.00      $ 1,019.51      $ 5.75        1.13

Class I

   $ 1,000.00      $ 1,041.20      $ 2.42      $ 1,000.00      $ 1,022.84      $ 2.40        0.47

Class F

   $ 1,000.00      $ 1,041.50      $ 2.01      $ 1,000.00      $ 1,023.24      $ 1.99        0.39

The Hartford Municipal Opportunities Fund

 

Class A

   $ 1,000.00      $ 1,035.20      $ 3.54      $ 1,000.00      $ 1,021.73      $ 3.52        0.69

Class C

   $ 1,000.00      $ 1,031.30      $ 7.37      $ 1,000.00      $ 1,017.95      $ 7.32        1.44

Class I

   $ 1,000.00      $ 1,036.40      $ 2.31      $ 1,000.00      $ 1,022.94      $ 2.29        0.45

Class Y

   $ 1,000.00      $ 1,037.50      $ 2.36      $ 1,000.00      $ 1,022.89      $ 2.35        0.46

Class F

   $ 1,000.00      $ 1,036.90      $ 1.90      $ 1,000.00      $ 1,023.34      $ 1.89        0.37

Hartford Municipal Short Duration Fund

 

Class A

   $ 1,000.00      $ 1,019.80      $ 3.51      $ 1,000.00      $ 1,021.73      $ 3.52        0.69

Class C

   $ 1,000.00      $ 1,017.80      $ 4.68      $ 1,000.00      $ 1,020.57      $ 4.69        0.92

Class I

   $ 1,000.00      $ 1,020.30      $ 2.14      $ 1,000.00      $ 1,023.09      $ 2.14        0.42

Class F

   $ 1,000.00      $ 1,021.30      $ 1.99      $ 1,000.00      $ 1,023.24      $ 1.99        0.39

The Hartford Quality Bond Fund

 

Class A

   $     1,000.00      $     1,050.50      $     4.29      $     1,000.00      $     1,021.02      $     4.23        0.83

Class C

   $ 1,000.00      $ 1,046.90      $ 8.05      $ 1,000.00      $ 1,017.34      $ 7.93        1.56

Class I

   $ 1,000.00      $ 1,052.10      $ 2.74      $ 1,000.00      $ 1,022.53      $ 2.70        0.53

Class R3

   $ 1,000.00      $ 1,047.80      $ 5.99      $ 1,000.00      $ 1,019.36      $ 5.90        1.16

Class R4

   $ 1,000.00      $ 1,051.70      $ 3.26      $ 1,000.00      $ 1,022.03      $ 3.21        0.63

Class R5

   $ 1,000.00      $ 1,052.00      $ 2.95      $ 1,000.00      $ 1,022.33      $ 2.91        0.57

Class Y

   $ 1,000.00      $ 1,055.00      $ 2.23      $ 1,000.00      $ 1,023.04      $ 2.19        0.43

Class F

   $ 1,000.00      $ 1,052.70      $ 2.28      $ 1,000.00      $ 1,022.99      $ 2.24        0.44

The Hartford Short Duration Fund

 

Class A

   $ 1,000.00      $ 1,022.40      $ 4.13      $ 1,000.00      $ 1,021.12      $ 4.13        0.81

Class C

   $ 1,000.00      $ 1,018.60      $ 7.89      $ 1,000.00      $ 1,017.39      $ 7.88        1.55

Class I

   $ 1,000.00      $ 1,024.90      $ 2.71      $ 1,000.00      $ 1,022.53      $ 2.70        0.53

Class R3

   $ 1,000.00      $ 1,021.60      $ 5.96      $ 1,000.00      $ 1,019.31      $ 5.96        1.17

Class R4

   $ 1,000.00      $ 1,023.60      $ 3.72      $ 1,000.00      $ 1,021.53      $ 3.72        0.73

Class R5

   $ 1,000.00      $ 1,024.80      $ 2.81      $ 1,000.00      $ 1,022.43      $ 2.80        0.55

Class R6

   $ 1,000.00      $ 1,025.30      $ 2.25      $ 1,000.00      $ 1,022.99      $ 2.24        0.44

Class Y

   $ 1,000.00      $ 1,024.80      $ 2.81      $ 1,000.00      $ 1,022.43      $ 2.80        0.55

Class F

   $ 1,000.00      $ 1,024.30      $ 2.30      $ 1,000.00      $ 1,022.94      $ 2.29        0.45

 

 

  45  

 


Hartford Fixed Income Funds

Expense Examples (Unaudited) – (continued)

 

 

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford Strategic Income Fund

 

Class A

   $     1,000.00      $     1,043.60      $     4.89      $     1,000.00      $     1,020.42      $     4.84        0.95

Class C

   $ 1,000.00      $ 1,039.10      $ 8.74      $ 1,000.00      $ 1,016.64      $ 8.64        1.70

Class I

   $ 1,000.00      $ 1,045.00      $ 3.61      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

Class R3

   $ 1,000.00      $ 1,043.20      $ 6.44      $ 1,000.00      $ 1,018.90      $ 6.36        1.25

Class R4

   $ 1,000.00      $ 1,043.60      $ 4.89      $ 1,000.00      $ 1,020.42      $ 4.84        0.95

Class R5

   $ 1,000.00      $ 1,045.40      $ 3.35      $ 1,000.00      $ 1,021.93      $ 3.31        0.65

Class R6

   $ 1,000.00      $ 1,044.50      $ 3.09      $ 1,000.00      $ 1,022.18      $ 3.06        0.60

Class Y

   $ 1,000.00      $ 1,045.20      $ 3.61      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

Class F

   $ 1,000.00      $ 1,046.80      $ 3.10      $ 1,000.00      $ 1,022.18      $ 3.06        0.60

The Hartford Total Return Bond Fund

 

Class A

   $ 1,000.00      $ 1,055.90      $ 3.73      $ 1,000.00      $ 1,021.58      $ 3.67        0.72

Class C

   $ 1,000.00      $ 1,051.60      $ 7.55      $ 1,000.00      $ 1,017.85      $ 7.43        1.46

Class I

   $ 1,000.00      $ 1,057.70      $ 2.02      $ 1,000.00      $ 1,023.24      $ 1.99        0.39

Class R3

   $ 1,000.00      $ 1,054.00      $ 5.44      $ 1,000.00      $ 1,019.91      $ 5.35        1.05

Class R4

   $ 1,000.00      $ 1,056.10      $ 3.84      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class R5

   $ 1,000.00      $ 1,059.80      $ 2.39      $ 1,000.00      $ 1,022.89      $ 2.35        0.46

Class R6

   $ 1,000.00      $ 1,057.60      $ 1.76      $ 1,000.00      $ 1,023.49      $ 1.73        0.34

Class Y

   $ 1,000.00      $ 1,058.30      $ 2.08      $ 1,000.00      $ 1,023.19      $ 2.04        0.40

Class F

   $ 1,000.00      $ 1,057.20      $ 1.76      $ 1,000.00      $ 1,023.49      $ 1.73        0.34

The Hartford World Bond Fund

 

Class A

   $ 1,000.00      $ 1,023.70      $ 5.20      $ 1,000.00      $ 1,020.06      $ 5.19        1.02

Class C

   $ 1,000.00      $ 1,020.30      $ 8.91      $ 1,000.00      $ 1,016.38      $ 8.89        1.75

Class I

   $ 1,000.00      $ 1,025.80      $ 3.78      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class R3

   $ 1,000.00      $ 1,022.20      $ 7.03      $ 1,000.00      $ 1,018.25      $ 7.02        1.38

Class R4

   $ 1,000.00      $ 1,024.30      $ 4.75      $ 1,000.00      $ 1,020.52      $ 4.74        0.93

Class R5

   $ 1,000.00      $ 1,024.70      $ 3.98      $ 1,000.00      $ 1,021.27      $ 3.97        0.78

Class R6

   $ 1,000.00      $ 1,026.20      $ 3.27      $ 1,000.00      $ 1,021.98      $ 3.26        0.64

Class Y

   $ 1,000.00      $ 1,025.80      $ 3.63      $ 1,000.00      $ 1,021.63      $ 3.62        0.71

Class F

   $ 1,000.00      $ 1,026.30      $ 3.27      $ 1,000.00      $ 1,021.98      $ 3.26        0.64

 

 

  46  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 22.2%  
          Argentina - 0.2%  
$     125,000    

Cia Latinoamericana de Infraestructura & Servicios S.A. 9.50%, 07/20/2023(1)

  $ 57,500  
    275,000    

Genneia S.A. 8.75%, 01/20/2022(2)

    185,625  
    50,000    

IRSA Propiedades Comerciales S.A. 8.75%, 03/23/2023(1)

    40,251  
     

 

 

 
        283,376  
     

 

 

 
          Austria - 0.1%  
    200,000    

Suzano Austria GmbH 5.00%, 01/15/2030

    205,900  
     

 

 

 
          Azerbaijan - 0.2%  
    260,000    

State Oil Co. of the Azerbaijan Republic 6.95%, 03/18/2030(2)

    312,000  
     

 

 

 
          Bermuda - 0.2%  
    275,000    

Ooredoo International Finance Ltd. 3.25%, 02/21/2023(2)

    279,538  
     

 

 

 
          Brazil - 0.8%  
    270,000    

Banco do Brasil S.A. 4.75%, 03/20/2024, 5 year EUR Swap + 7.591%(1)

    282,825  
    305,000    

BRF S.A. 4.88%, 01/24/2030(1)

    304,207  
    200,000    

Globo Comunicacao e Participacoes S.A. 5.13%, 03/31/2027(2)

    208,000  
    255,000    

Itau Unibanco Holding S.A. 6.13%, 12/12/2022, (6.13% fixed rate until 12/12/2022; 5 year USD CMT + 3.981% thereafter)(1)(3)(4)

    262,829  
     

 

 

 
        1,057,861  
     

 

 

 
          British Virgin Islands - 1.9%  
    270,000    

CNOOC Finance Ltd. 2.88%, 09/30/2029

    268,818  
    550,000    

Huarong Finance Co., Ltd. 4.50%, 01/24/2022, (4.50% fixed rate until 01/24/2022; 5 year USD CMT + 7.773% thereafter)(2)(3)(4)

    559,621  
   

Sinopec Group Overseas Development Ltd.

 
    505,000    

2.50%, 08/08/2024(1)

    503,366  
    305,000    

2.95%, 08/08/2029(1)

    305,835  
    325,000    

3.25%, 09/13/2027(1)

    332,498  
    414,000    

Star Energy Geothermal Wayang Windu Ltd. 6.75%, 04/24/2033(1)

    438,969  
    200,000    

Yingde Gases Investment Ltd. 6.25%, 01/19/2023(2)

    206,279  
     

 

 

 
        2,615,386  
     

 

 

 
          Canada - 0.2%  
    200,000    

Frontera Energy Corp. 9.70%, 06/25/2023(1)(5)

    213,000  
     

 

 

 
          Cayman Islands - 1.9%  
    465,000    

ADCB Finance Cayman Ltd. 4.00%, 03/29/2023(1)

    485,925  
    505,000    

Bioceanico Sovereign Certificate Ltd. 0.00%, 06/05/2034(1)(6)

    349,712  
    245,000    

Comcel Trust via Comunicaciones Celulares S.A. 6.88%, 02/06/2024

    252,350  
    225,000    

Grupo Aval Ltd. 4.75%, 09/26/2022(2)

    233,393  
    790,000    

ICD Funding Ltd. 4.63%, 05/21/2024(2)

    823,575  
    235,000    

Lima Metro Line 2 Finance Ltd. 4.35%, 04/05/2036(1)

    249,687  
    305,000    

Termocandelaria Power Ltd. 7.88%, 01/30/2029(1)

    334,741  
     

 

 

 
        2,729,383  
     

 

 

 
      Chile - 0.9%  
    305,000    

Celulosa Arauco y Constitucion S.A. 5.15%, 01/29/2050(1)

    301,401  
   

Corp. Nacional del Cobre de Chile

 
    200,000    

3.70%, 01/30/2050(1)

    198,182  
    175,000    

5.63%, 09/21/2035(1)

    221,934  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 22.2% - (continued)  
      Chile - 0.9% - (continued)  
$     304,325    

Empresa Electrica Angamos S.A. 4.88%, 05/25/2029(2)

  $ 316,400  
    250,000    

Empresa Nacional de Telecomunicaciones S.A. 4.75%, 08/01/2026(2)

    260,727  
     

 

 

 
    1,298,644  
 

 

 

 
      China - 0.2%  
    225,000    

Industrial & Commercial Bank of China Ltd. 4.88%, 09/21/2025(1)

    246,584  
     

 

 

 
      Colombia - 0.4%  
    200,000    

Banco de Bogota S.A. 6.25%, 05/12/2026(1)

    226,002  
COP     280,000,000    

Empresa de Telecomunicaciones de Bogota 7.00%, 01/17/2023(1)

    78,739  
$     225,000    

Transportadora de Gas Internacional S.A. ESP 5.55%, 11/01/2028(1)

    260,156  
     

 

 

 
    564,897  
 

 

 

 
      Dominican Republic - 0.2%  
    200,000    

Aeropuertos Dominicanos Siglo S.A. 6.75%, 03/30/2029(1)

    212,500  
     

 

 

 
      Hong Kong - 0.6%  
    275,000    

CMB Wing Lung Bank Ltd. 3.75%, 11/22/2027, (3.75% fixed rate until 11/22/2022; 5 year USD CMT + 1.750% thereafter)(2)(4)

    275,466  
    200,000    

ICBCIL Finance Co., Ltd. 3.00%, 04/05/2020(2)

    200,213  
    300,000    

Nanyang Commercial Bank, Ltd. 5.00%, 06/02/2022, (5.00% fixed rate until 06/02/2022; 5 year USD CMT + 3.205% thereafter)(2)(3)(4)

    299,451  
     

 

 

 
    775,130  
 

 

 

 
      India - 0.8%  
    495,000    

Bharti Airtel Ltd. 4.38%, 06/10/2025(2)

    496,787  
    425,000    

ICICI Bank Ltd. 3.80%, 12/14/2027(1)

    437,582  
    240,000    

JSW Steel Ltd. 5.25%, 04/13/2022(2)

    243,476  
     

 

 

 
    1,177,845  
 

 

 

 
      Indonesia - 0.2%  
IDR     2,620,000,000    

Jasa Marga Persero Tbk PT 7.50%, 12/11/2020(1)

    184,174  
    2,040,000,000    

Wijaya Karya Persero Tbk PT 7.70%, 01/31/2021(1)

    142,266  
     

 

 

 
    326,440  
 

 

 

 
      Ireland - 0.7%  
$     200,000    

Eurotorg LLC Via Bonitron DAC 8.75%, 10/30/2022(1)(5)

    215,000  
    235,000    

Koks OAO Via Koks Finance DAC 7.50%, 05/04/2022(2)

    237,836  
    200,000    

MMC Norilsk Nickel OJSC Via MMC Finance DAC 3.38%, 10/28/2024(1)

    200,518  
GBP     225,000    

Russian Railways Via RZD Capital plc 7.49%, 03/25/2031(2)

    387,783  
     

 

 

 
    1,041,137  
 

 

 

 
      Israel - 0.2%  
$     200,000    

Israel Electric Corp. Ltd. 4.25%, 08/14/2028(1)(2)

    216,982  
     

 

 

 
      Luxembourg - 1.8%  
    300,000    

Atento Luxco 1 S.A. 6.13%, 08/10/2022(1)

    306,000  
    250,000    

CSN Resources S.A. 7.63%, 04/17/2026(1)

    253,750  
ZAR     5,050,000    

European Investment Bank 0.00%, 10/18/2032(6)

    112,493  
 

Kernel Holding S.A.

 
$     200,000    

6.50%, 10/17/2024(1)

    200,800  
    230,000    

8.75%, 01/31/2022(2)

    243,377  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  47  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 22.2% - (continued)  
      Luxembourg - 1.8% - (continued)  
 

Millicom International Cellular S.A.

 
$     200,000    

5.13%, 01/15/2028(1)

  $ 206,000  
    200,000    

6.25%, 03/25/2029(1)

    218,246  
    450,000    

Minerva Luxembourg S.A. 6.50%, 09/20/2026(2)

    469,687  
    255,000    

Rede D’or Finance S.a.r.l. 4.95%, 01/17/2028(1)

    257,869  
    200,000    

Rumo Luxembourg S.a.r.l. 5.88%, 01/18/2025(1)

    212,000  
     

 

 

 
    2,480,222  
 

 

 

 
      Mauritius - 0.3%  
    200,000    

Azure Power Energy Ltd. 5.50%, 11/03/2022(2)

    202,238  
    200,000    

MTN Mauritius Investments Ltd. 5.37%, 02/13/2022(1)

    206,586  
     

 

 

 
    408,824  
 

 

 

 
      Mexico - 2.1%  
    265,000    

Banco Inbursa S.A. Institucion de Banca Multiple 4.38%, 04/11/2027(1)

    272,621  
    200,000    

Banco Mercantil del Norte S.A. 7.50%, 06/27/2029, (7.50% fixed rate until 06/27/2029; 10 year USD CMT + 5.470% thereafter)(1)(3)(4)

    208,550  
    200,000    

BBVA Bancomer S.A. 5.88%, 09/13/2034, (5.88% fixed rate until 09/13/2029; 5 year USD CMT + 4.308% thereafter)(1)(4)

    203,200  
    230,000    

Mexico City Airport Trust 5.50%, 07/31/2047(2)

    229,816  
 

Petroleos Mexicanos

 
    103,000    

5.63%, 01/23/2046

    92,597  
    250,000    

6.35%, 02/12/2048

    239,063  
    125,000    

6.75%, 09/21/2047

    124,375  
    1,133,000    

7.69%, 01/23/2050(1)

    1,231,163  
 

Trust F

 
    200,000    

5.25%, 01/30/2026(1)

    213,002  
    200,000    

6.39%, 01/15/2050(1)

    213,210  
     

 

 

 
    3,027,597  
 

 

 

 
      Morocco - 0.2%  
    275,000    

OCP S.A. 4.50%, 10/22/2025(2)

    290,733  
     

 

 

 
      Netherlands - 2.4%  
    200,000    

Braskem Netherlands Finance B.V. 4.50%, 01/10/2028(2)

    200,700  
    270,000    

Equate Petrochemical B.V. 3.00%, 03/03/2022(2)

    270,200  
 

Greenko Dutch B.V.

 
    200,000    

5.25%, 07/24/2024(1)

    201,452  
    250,000    

5.25%, 07/24/2024(2)

    251,815  
    240,000    

ICTSI Treasury B.V. 5.88%, 09/17/2025(2)

    263,974  
    200,000    

IHS Netherlands Holdco B.V. 8.00%, 09/18/2027(1)

    209,040  
 

Metinvest B.V.

 
EUR     100,000    

5.63%, 06/17/2025(1)

    110,704  
$     200,000    

7.75%, 04/23/2023(1)

    209,100  
 

Minejesa Capital B.V.

 
    260,000    

4.63%, 08/10/2030(2)

    268,780  
    270,000    

5.63%, 08/10/2037

    296,550  
    250,000    

Mong Duong Finance Holdings B.V. 5.13%, 05/07/2029(1)

    254,249  
    330,000    

Myriad International Holdings B.V. 5.50%, 07/21/2025(2)

    367,902  
    81,000    

Petrobras Global Finance B.V. 5.09%, 01/15/2030(1)

    85,840  
    500,000    

Teva Pharmaceutical Finance Netherlands B.V. 6.75%, 03/01/2028(5)

    448,559  
     

 

 

 
    3,438,865  
 

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 22.2% - (continued)  
      Panama - 0.2%  
$     200,000    

Aeropuerto Internacional de Tocumen S.A. 6.00%, 11/18/2048(1)

  $ 249,000  
     

 

 

 
      Peru - 1.5%  
    425,000    

Banco de Credito del Peru 2.70%, 01/11/2025(1)

    422,875  
    210,000    

Hunt Oil Co. of Peru LLC Sucursal Del Peru 6.38%, 06/01/2028(1)

    231,263  
    295,000    

Kallpa Generacion S.A. 4.13%, 08/16/2027(1)

    301,342  
    445,000    

Peru LNG Srl 5.38%, 03/22/2030(1)

    455,680  
    270,000    

SAN Miguel Industrias Pet S.A. 4.50%, 09/18/2022(1)

    275,765  
PEN     1,500,000    

Telefonica del Peru SAA 7.38%, 04/10/2027(1)

    479,303  
     

 

 

 
    2,166,228  
 

 

 

 
      Philippines - 0.2%  
$     240,000    

SM Investments Corp. 4.88%, 06/10/2024(2)

    251,463  
     

 

 

 
      Saudi Arabia - 0.2%  
    210,000    

Saudi Arabian Oil Co. 2.75%, 04/16/2022(1)

    212,375  
     

 

 

 
      Singapore - 0.7%  
    470,000    

BOC Aviation Ltd. 3.88%, 04/27/2026(1)

    490,023  
    200,000    

Medco Oak Tree Pte Ltd. 7.38%, 05/14/2026(1)

    203,609  
    275,000    

United Overseas Bank Ltd. 2.88%, 03/08/2027, (2.88% fixed rate until 03/08/2022; 5 year USD Swap + 1.654% thereafter)(2)(4)

    274,953  
     

 

 

 
    968,585  
 

 

 

 
      South Africa - 0.3%  
 

Eskom Holdings SOC Ltd.

 

    250,000    

5.75%, 01/26/2021(2)

    251,615  
    225,000    

6.75%, 08/06/2023(2)

    230,809  
     

 

 

 
    482,424  
 

 

 

 
      South Korea - 0.7%  
    325,000    

Shinhan Bank Co., Ltd. 3.75%, 09/20/2027(1)

    336,926  
    520,000    

Woori Bank Subordinated 5.13%, 08/06/2028(1)

    592,128  
     

 

 

 
    929,054  
 

 

 

 
      Thailand - 0.3%  
    225,000    

Bangkok Bank PCL 3.73%, 09/25/2034, (3.73% fixed rate until 09/25/2029; 5 year USD CMT + 1.900% thereafter)(1)(4)

    228,010  
    225,000    

Krung Thai Bank PCL 5.20%, 12/26/2024, (5.20% fixed rate until 12/26/2019; 5 year USD CMT + 3.535% thereafter)(2)(4)

    225,554  
     

 

 

 
    453,564  
 

 

 

 
      Turkey - 0.4%  
    300,000    

Turkcell Iletisim Hizmetleri A.S. 5.80%, 04/11/2028(2)

    291,012  
    300,000    

Yapi ve Kredi Bankasi A.S. 6.10%, 03/16/2023(2)

    298,050  
     

 

 

 
    589,062  
 

 

 

 
      United Arab Emirates - 0.8%  
 

Abu Dhabi National Energy Co. PJSC

 
    200,000    

4.00%, 10/03/2049(1)

    203,320  
    200,000    

6.50%, 10/27/2036(1)

    269,800  
    420,000    

Emirates SembCorp Water and Power Co. PJSC 4.45%, 08/01/2035(1)

    459,900  
    225,000    

Tabreed Sukuk Spc Ltd. 5.50%, 10/31/2025(2)

    252,000  
     

 

 

 
    1,185,020  
 

 

 

 
      United Kingdom - 0.4%  
ZAR     550,000    

European Bank for Reconstruction & Development 0.00%, 12/31/2020(6)

    34,579  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  48  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 22.2% - (continued)  
      United Kingdom - 0.4% - (continued)  
$     270,000    

Liquid Telecommunications Financing plc 8.50%, 07/13/2022(1)

  $ 268,812  
    255,000    

Tullow Oil plc 7.00%, 03/01/2025(1)

    262,969  
     

 

 

 
    566,360  
 

 

 

 
 

Total Corporate Bonds
(cost $30,142,052)

  $ 31,255,979  
   

 

 

 
FOREIGN GOVERNMENT OBLIGATIONS - 68.6%  
      Argentina - 0.4%  
ARS     2,637,934    

Argentina Bonos Adjusted Certificate 4.00%, 03/06/2020(7)

  $ 16,363  
    2,550,000    

Argentina Treasury Bill 0.00%, 07/29/2020(6)

    26,495  
 

Argentine Bonos del Tesoro

 
    5,840,763    

15.50%, 10/17/2026

    35,990  
    8,645,000    

16.00%, 10/17/2023

    53,235  
    127,125    

18.20%, 10/03/2021

    723  
$     450,000    

Argentine Republic Government International Bond 7.63%, 04/22/2046

    180,675  
 

Autonomous City of Buenos Aires Argentina

 
    180,900    

8.95%, 02/19/2021(2)

    162,812  
ARS     3,970,000    

58.42%, 03/29/2024, BADLAR + 3.250%(8)

    43,473  
$     185,000    

Provincia de Cordoba 7.13%, 08/01/2027

    116,552  
     

 

 

 
    636,318  
 

 

 

 
      Azerbaijan - 0.5%  
    600,000    

Southern Gas Corridor CJSC 6.88%, 03/24/2026(1)

    699,000  
     

 

 

 
      Brazil - 5.8%  
 

Brazil Letras do Tesouro Nacional

 
BRL     4,168,000    

0.00%, 07/01/2021(6)(9)

    963,488  
    8,539,000    

0.00%, 01/01/2022(6)(9)

    1,919,046  
 

Brazil Notas do Tesouro Nacional

 
    4,466,809    

6.00%, 08/15/2024(7)

    1,310,965  
    2,267,416    

6.00%, 08/15/2050(7)

    851,503  
    5,225,000    

10.00%, 01/01/2023

    1,474,792  
    16,000    

10.00%, 01/01/2025

    4,684  
    4,209,000    

10.00%, 01/01/2027

    1,267,318  
    585,000    

10.00%, 01/01/2029

    179,936  
$     200,000    

Brazilian Government International Bond 4.50%, 05/30/2029

    210,602  
     

 

 

 
    8,182,334  
 

 

 

 
      Cayman Islands - 0.4%  
    470,000    

Dubai DOF Sukuk Ltd. 5.00%, 04/30/2029(2)

    535,847  
     

 

 

 
      Chile - 2.3%  
 

Bonos de la Tesoreria de la Republica en pesos

 
CLP     385,000,000    

4.50%, 03/01/2026

    562,803  
    1,155,000,000    

4.70%, 09/01/2030(1)(2)

    1,737,432  
    430,000,000    

5.00%, 03/01/2035

    681,432  
    110,000,000    

6.00%, 01/01/2043

    200,813  
     

 

 

 
    3,182,480  
 

 

 

 
      Colombia - 3.6%  
 

Colombian TES

 
COP     5,464,500,000    

6.00%, 04/28/2028

    1,636,941  
    884,300,000    

6.25%, 11/26/2025

    271,896  
    2,757,800,000    

7.00%, 06/30/2032

    875,177  
    4,658,500,000    

7.50%, 08/26/2026

    1,525,925  
    1,826,800,000    

7.75%, 09/18/2030

    613,333  
    528,000,000    

10.00%, 07/24/2024

    187,331  
     

 

 

 
    5,110,603  
 

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 68.6% - (continued)  
      Czech Republic - 2.5%  
 

Czech Republic Government Bond

 
CZK     10,250,000    

0.25%, 02/10/2027

  $ 412,473  
    16,080,000    

0.95%, 05/15/2030(2)

    670,239  
    16,050,000    

1.00%, 06/26/2026(2)

    687,160  
    12,650,000    

2.50%, 08/25/2028(2)

    600,961  
    22,570,000    

2.75%, 07/23/2029

    1,106,063  
     

 

 

 
    3,476,896  
 

 

 

 
      Dominican Republic - 0.1%  
DOP     8,450,000    

Dominican Republic International Bond 8.90%, 02/15/2023(1)

    159,529  
     

 

 

 
      Ecuador - 0.1%  
$     200,000    

Ecuador Government International Bond 9.50%, 03/27/2030(1)

    192,500  
     

 

 

 
      Egypt - 0.2%  
    200,000    

Egypt Government International Bond 8.70%, 03/01/2049(1)

    214,074  
     

 

 

 
      El Salvador - 0.2%  
    215,000    

El Salvador Republic Government Bond 7.13%, 01/20/2050(1)

    218,117  
     

 

 

 
      Hungary - 1.8%  
 

Hungary Government Bond

 
HUF     227,650,000    

0.50%, 04/21/2021

    777,568  
    3,490,000    

2.75%, 12/22/2026

    12,890  
    130,090,000    

3.00%, 10/27/2027

    489,141  
    34,880,000    

3.00%, 08/21/2030

    129,922  
    158,200,000    

5.50%, 06/24/2025

    666,723  
    64,630,000    

6.00%, 11/24/2023

    266,170  
    45,030,000    

6.75%, 10/22/2028

    216,310  
     

 

 

 
    2,558,724  
 

 

 

 
      India - 0.8%  
 

India Government Bond

 
INR     54,980,000    

7.26%, 01/14/2029

    808,459  
    19,350,000    

7.32%, 01/28/2024

    283,829  
     

 

 

 
    1,092,288  
 

 

 

 
      Indonesia - 6.2%  
 

Indonesia Treasury Bond

 
IDR     1,347,000,000    

5.63%, 05/15/2023

    93,958  
    4,889,000,000    

7.00%, 05/15/2027

    352,996  
    6,597,000,000    

7.00%, 09/15/2030

    465,954  
    22,314,000,000    

7.50%, 08/15/2032

    1,606,747  
    7,749,000,000    

7.50%, 06/15/2035

    554,029  
    9,521,000,000    

7.50%, 05/15/2038

    675,142  
    5,281,000,000    

8.25%, 05/15/2029

    409,049  
    6,249,000,000    

8.25%, 06/15/2032

    475,917  
    4,492,000,000    

8.25%, 05/15/2036

    338,830  
    14,128,000,000    

8.38%, 09/15/2026

    1,099,601  
    11,604,000,000    

8.38%, 03/15/2034

    893,682  
    3,328,000,000    

8.38%, 04/15/2039

    254,187  
    11,490,000,000    

8.75%, 05/15/2031

    911,592  
    3,293,000,000    

8.75%, 02/15/2044

    254,093  
    3,775,000,000    

9.00%, 03/15/2029

    303,918  
     

 

 

 
    8,689,695  
 

 

 

 
      Kenya - 0.1%  
$     200,000    

Kenya Government International Bond 8.00%, 05/22/2032(1)

    213,038  
     

 

 

 
      Malaysia - 2.9%  
 

Malaysia Government Bond

 
MYR     3,520,000    

3.48%, 06/14/2024

    847,142  
    1,570,000    

3.76%, 04/20/2023

    381,544  
    2,555,000    

3.89%, 08/15/2029

    633,115  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  49  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 68.6% - (continued)  
      Malaysia - 2.9% - (continued)  
MYR     1,080,000    

3.90%, 11/16/2027

  $ 265,996  
    825,000    

3.91%, 07/15/2026

    203,256  
    1,600,000    

3.96%, 09/15/2025

    394,110  
    830,000    

4.76%, 04/07/2037

    223,620  
 

Malaysia Government Investment Issue

 
    700,000    

3.66%, 10/15/2024

    169,604  
    1,820,000    

3.73%, 03/31/2026

    444,166  
    1,525,000    

4.13%, 08/15/2025

    378,066  
    775,000    

4.72%, 06/15/2033

    202,928  
     

 

 

 
    4,143,547  
 

 

 

 
      Mexico - 5.0%  
 

Mexican Bonos

 
MXN     16,242,000    

6.75%, 03/09/2023

    848,883  
    18,276,700    

7.50%, 06/03/2027

    992,803  
    21,965,800    

7.75%, 05/29/2031

    1,221,162  
    19,765,600    

7.75%, 11/23/2034

    1,102,276  
    4,407,500    

8.00%, 11/07/2047

    252,293  
    15,683,000    

8.50%, 11/18/2038

    935,053  
    22,407,500    

10.00%, 12/05/2024

    1,334,199  
    5,417,200    

10.00%, 11/20/2036

    364,573  
     

 

 

 
    7,051,242  
 

 

 

 
      Mongolia - 0.3%  
$     375,000    

Trade & Development Bank of Mongolia LLC 9.38%, 05/19/2020(2)

    384,375  
     

 

 

 
      Oman - 0.7%  
 

Oman Government International Bond

 
    400,000    

4.13%, 01/17/2023(2)

    401,272  
    615,000    

4.88%, 02/01/2025(1)

    617,876  
     

 

 

 
    1,019,148  
 

 

 

 
      Peru - 1.5%  
 

Peru Government Bond

 
PEN     235,000    

5.40%, 08/12/2034(1)(2)

    75,443  
    675,000    

5.94%, 02/12/2029(1)(2)

    228,695  
    740,000    

6.35%, 08/12/2028

    257,765  
    1,925,000    

6.90%, 08/12/2037

    711,005  
    2,400,000    

6.95%, 08/12/2031

    877,501  
     

 

 

 
    2,150,409  
 

 

 

 
      Poland - 3.0%  
 

Republic of Poland Government Bond

 
PLN     525,000    

1.75%, 07/25/2021

    138,218  
    6,025,000    

2.50%, 07/25/2026

    1,636,786  
    125,000    

2.75%, 04/25/2028

    34,713  
    475,000    

2.75%, 10/25/2029

    132,978  
    5,590,000    

3.25%, 07/25/2025

    1,575,374  
    2,625,000    

5.75%, 10/25/2021

    744,242  
     

 

 

 
    4,262,311  
 

 

 

 
      Qatar - 0.5%  
$     705,000    

Qatari Diar Finance QSC 5.00%, 07/21/2020(2)

    717,352  
     

 

 

 
      Romania - 1.7%  
 

Romania Government Bond

 
RON     300,000    

3.25%, 04/29/2024

    68,774  
    1,450,000    

4.75%, 02/24/2025

    353,551  
    1,825,000    

4.85%, 04/22/2026

    447,260  
    2,480,000    

5.00%, 02/12/2029

    617,103  
    2,660,000    

5.80%, 07/26/2027

    692,796  
 

Romanian Government International Bond

 
EUR     80,000    

3.38%, 02/08/2038(2)

    100,939  
    100,000    

4.63%, 04/03/2049(1)

    145,100  
     

 

 

 
    2,425,523  
 

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 68.6% - (continued)  
      Russia - 9.1%  
 

Russian Federal Bond - OFZ

 
RUB     47,695,000    

6.50%, 11/24/2021(10)

  $ 746,414  
    21,190,000    

6.50%, 02/28/2024

    335,844  
    83,910,000    

6.90%, 05/23/2029

    1,357,151  
    15,205,000    

7.00%, 01/25/2023

    243,783  
    27,060,000    

7.00%, 08/16/2023

    435,509  
    16,580,000    

7.10%, 10/16/2024

    269,200  
    63,700,000    

7.15%, 11/12/2025

    1,039,108  
    33,650,000    

7.25%, 05/10/2034

    556,788  
    53,760,000    

7.40%, 07/17/2024

    882,176  
    21,325,000    

7.65%, 04/10/2030

    363,928  
    57,570,000    

7.70%, 03/23/2033

    988,492  
    102,960,000    

7.75%, 09/16/2026

    1,741,356  
    71,050,000    

7.95%, 10/07/2026

    1,211,648  
    8,525,000    

8.15%, 02/03/2027

    147,056  
    35,145,000    

8.50%, 09/17/2031

    637,995  
    97,859,111    

Russian Federal Inflation Linked Bond - OFZ 2.50%, 02/02/2028(7)

    1,430,989  
$     400,000    

Russian Foreign Bond - Eurobond 4.38%, 03/21/2029(1)

    432,598  
     

 

 

 
    12,820,035  
 

 

 

 
      South Africa - 5.1%  
 

Republic of South Africa Government Bond

 
ZAR     26,225,000    

6.25%, 03/31/2036

    1,240,139  
    8,101,770    

6.50%, 02/28/2041

    371,725  
    18,875,000    

7.75%, 02/28/2023

    1,257,251  
    23,300,000    

8.50%, 01/31/2037

    1,357,707  
    2,805,000    

8.75%, 01/31/2044

    162,769  
    7,109,000    

9.00%, 01/31/2040

    428,108  
    15,025,000    

10.50%, 12/21/2026

    1,090,793  
    2,701,622    

Republic of South Africa Government Bond - CPI Linked 1.88%, 03/31/2029(7)

    156,002  
    18,415,716    

South Africa Government Bond - CPI Linked 2.00%, 01/31/2025(7)

    1,135,131  
     

 

 

 
    7,199,625  
 

 

 

 
      South Korea - 0.7%  
IDR     14,600,000,000    

Export-Import Bank of Korea 7.25%, 12/07/2024(2)

    1,040,253  
     

 

 

 
      Sri Lanka - 0.3%  
$     375,000    

Sri Lanka Government International Bond 6.25%, 07/27/2021(2)

    381,375  
     

 

 

 
      Supranational - 5.0%  
 

Asian Development Bank

 

PHP     42,500,000    

5.25%, 03/09/2023

    876,524  
IDR     2,440,000,000    

7.80%, 03/15/2034

    186,429  
 

European Bank for Reconstruction & Development

 
MXN     25,000,000    

0.00%, 07/16/2029(6)

    583,799  
IDR     5,800,000,000    

5.60%, 01/30/2025

    390,509  
    9,850,000,000    

6.25%, 07/25/2022

    692,735  
    4,958,900,000    

6.45%, 12/13/2022

    353,521  
ARS     7,220,000    

31.00%, 03/01/2021

    59,951  
IDR     5,240,000,000    

Inter-American Development Bank 7.88%, 03/14/2023

    389,388  
MXN     8,800,000    

International Bank for Reconstruction & Development 0.00%, 05/25/2033(6)

    177,789  
 

International Finance Corp.

 

    46,800,000    

0.00%, 02/22/2038(6)

    681,546  
    43,440,000    

7.50%, 01/18/2028

    2,334,986  
    7,100,000    

7.75%, 01/18/2030

    389,907  
     

 

 

 
    7,117,084  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  50  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 68.6% - (continued)  
      Thailand - 3.7%  
 

Thailand Government Bond

 
THB     5,677,256    

1.20%, 07/14/2021(2)(7)

  $ 186,674  
    9,291,148    

1.25%, 03/12/2028(2)(7)

    299,748  
    23,590,000    

1.88%, 06/17/2022

    790,457  
    21,055,000    

2.88%, 12/17/2028

    774,653  
    5,775,000    

3.40%, 06/17/2036

    239,092  
    17,525,000    

3.65%, 06/20/2031

    706,278  
    34,350,000    

3.78%, 06/25/2032

    1,418,045  
    14,195,000    

3.85%, 12/12/2025

    536,105  
    5,784,000    

4.88%, 06/22/2029

    247,856  
     

 

 

 
    5,198,908  
 

 

 

 
      Turkey - 3.3%  
$     265,000    

Export Credit Bank of Turkey 8.25%, 01/24/2024(1)

    282,649  
 

Turkey Government Bond

 
TRY     775,000    

8.50%, 09/14/2022

    123,626  
    2,660,000    

9.50%, 01/12/2022

    440,135  
    4,085,000    

10.40%, 03/20/2024

    662,345  
    13,495,000    

10.70%, 02/17/2021

    2,326,175  
    2,575,000    

10.70%, 08/17/2022

    431,024  
    2,005,000    

12.20%, 01/18/2023

    349,992  
     

 

 

 
    4,615,946  
 

 

 

 
      Ukraine - 0.4%  
 

Ukraine Government International Bond

 
UAH     6,825,000    

15.84%, 02/26/2025(1)

    291,585  
    6,625,000    

16.42%, 11/17/2021(1)

    275,261  
     

 

 

 
    566,846  
 

 

 

 
      Uruguay - 0.4%  
UYU     27,250,000    

Uruguay Government International Bond 8.50%, 03/15/2028(2)

    604,166  
     

 

 

 
 

Total Foreign Government Obligations
(cost $97,114,523)

  $ 96,859,588  
   

 

 

 
 

Total Long-Term Investments
(cost $127,256,575)

  $ 128,115,567  
   

 

 

 
SHORT-TERM INVESTMENTS - 5.5%  
          Other Investment Pools & Funds - 4.2%  
$     5,981,623    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(11)

  $ 5,981,623  
     

 

 

 
          Securities Lending Collateral - 0.6%  
    44,996    

Citibank NA DDCA, 1.80%, 11/1/2019(11)

    44,996  
    631,295    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(11)

    631,295  
    10,127    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(11)

    10,127  
    83,739    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(11)

    83,739  
    121,663    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(11)

    121,663  
    8,090    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(11)

    8,090  
     

 

 

 
        899,910  
     

 

 

 
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 5.5% - (continued)  
          U.S. Treasury - 0.7%  
          U.S. Treasury Bills - 0.7%  
$     915,000    

1.62%, 01/16/2020(9)(12)

  $ 912,035  
     

 

 

 
        912,035  
     

 

 

 
   

Total Short-Term Investments
(cost $7,793,399)

  $ 7,793,568  
     

 

 

 
   

Total Investments Excluding Purchased Options
(cost $135,049,974)

    96.3    $ 135,909,135  
   

Total Purchased Options
(cost $653,678)

    0.3    $ 386,919  
     

 

 

    

 

 

 
   

Total Investments
(cost $135,703,652)

    96.6    $ 136,296,054  
   

Other Assets and Liabilities

    3.4      4,825,775  
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $ 141,121,829  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $24,302,744, representing 17.2% of net assets.

 

(2) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $19,692,573, representing 14.0% of net assets.

 

(3) 

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

(4) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(5) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(6) 

Security is a zero-coupon bond.

 

(7) 

The principal amount for these securities are adjusted for inflation and the interest payments equal a fixed percentage of the inflation-adjusted principal amount.

 

(8) 

Variable rate security; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(9) 

The rate shown represents current yield to maturity.

 

(10) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  51  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

(11) 

Current yield as of period end.

 

(12) 

All, or a portion of the security, was pledged as collateral in connection with OTC swap contracts. As of October 31, 2019, the market value of securities pledged was $62,795.

 

 

OTC Option Contracts Outstanding at October 31, 2019  

Description

  

Counter-
party

  

Exercise Price/
FX Rate/Rate

   Expiration
Date
     Number of
Contracts
   

Notional
Amount

    Market
Value
    Premiums
Paid
(Received)
by Fund
    Unrealized
Appreciation/
(Depreciation)
 
Purchased option contracts:  
Calls  

AUD Call/USD Put

   MSC    0.68 AUD per USD      12/19/19        2,215,000     AUD     2,215,000     $ 23,809     $ 22,533     $ 1,276  

NZD Call/USD Put

   GSC    0.66 NZD per USD      02/03/20        2,510,000     NZD     2,510,000       9,686       36,856       (27,170

USD Call/BRL Put

   MSC    4.35 BRL per USD      01/17/20        2,108,000     USD     2,108,000       9,364       22,598       (13,234

USD Call/CAD Put

   GSC    1.31 CAD per USD      01/24/20        49,000     USD     49,000             748       (748

USD Call/CAD Put

   GSC    1.31 CAD per USD      01/24/20        3,136,000     USD     3,136,000       36,676       47,875       (11,199

USD Call/MXN Put

   MSC    20.14 MXN per USD      03/25/20        1,555,000     USD     1,555,000       24,471       47,350       (22,879

USD Call/PLN Put

   MSC    3.96 PLN per USD      11/12/19        809,000     USD     809,000       78       6,906       (6,828

USD Call/RUB Put

   CBK    70.17 RUB per USD      11/28/19        1,551,000     USD     1,551,000       240       14,873       (14,633

USD Call/RUB Put

   CBK    73.95 RUB per USD      04/29/20        1,551,000     USD     1,551,000       7,207       6,979       228  

USD Call/ZAR Put

   MSC    16.48 ZAR per USD      04/29/20        1,425,000     USD     1,425,000       29,616       26,071       3,545  

USD Call/ZAR Put

   MSC    15.98 ZAR per USD      12/23/19        1,447,000     USD     1,447,000       10,459       19,164       (8,705

USD Call/ZAR Put

   BOA    16.08 ZAR per USD      02/03/20        1,688,000     USD     1,688,000       22,114       31,779       (9,665
                 

 

 

   

 

 

   

 

 

 

Total Calls

                  $ 173,720     $ 283,732     $ (110,012
                 

 

 

   

 

 

   

 

 

 
Puts                                                    

AUD Put/USD Call

   MSC    0.68 AUD per USD      12/19/19        2,215,000     AUD     2,215,000     $ 8,293     $ 22,534     $ (14,241

NZD Put/USD Call

   GSC    0.66 NZD per USD      02/03/20        2,510,000     NZD     2,510,000       45,422       35,829       9,593  

USD Put/CAD Call

   GSC    1.31 CAD per USD      01/24/20        49,000     USD     49,000       346       750       (404

USD Put/CAD Call

   GSC    1.31 CAD per USD      01/24/20        3,136,000     USD     3,136,000       22,159       47,997       (25,838

USD Put/COP Call

   GSC    3,223.00 COP per USD      12/18/19        1,623,000     USD     1,623,000       2,113       47,185       (45,072

USD Put/IDR Call

   MSC    14,065.00 IDR per USD      01/15/20        1,402,000     USD     1,402,000       8,303       6,071       2,232  

USD Put/INR Call

   MSC    70.69 INR per USD      02/17/20        2,388,000     USD     2,388,000       11,388       16,071       (4,683

USD Put/MXN Call

   HSBC    19.51 MXN per USD      12/20/19        1,551,000     USD     1,551,000       26,691       46,348       (19,657

USD Put/MXN Call

   MSC    18.92 MXN per USD      04/14/20        1,397,000     USD     1,397,000       13,346       14,669       (1,323

USD Put/PLN Call

   MSC    3.66 PLN per USD      11/12/19        809,000     USD     809,000       26       6,906       (6,880

USD Put/PLN Call

   BCLY    3.76 PLN per USD      12/10/19        2,306,000     USD     2,306,000       4,990       51,562       (46,572

USD Put/PLN Call

   CBK    3.77 PLN per USD      04/15/20        1,401,000     USD     1,401,000       16,519       10,584       5,935  

USD Put/PLN Call

   MSC    3.73 PLN per USD      04/28/20        1,422,000     USD     1,422,000       12,694       10,501       2,193  

USD Put/RUB Call

   GSC    64.91 RUB per USD      12/17/19        1,309,000     USD     1,309,000       19,007       25,526       (6,519

USD Put/RUB Call

   MSC    62.72 RUB per USD      04/29/20        2,854,000     USD     2,854,000       21,902       27,413       (5,511
                 

 

 

   

 

 

   

 

 

 

Total Puts

                  $ 213,199     $ 369,946     $ (156,747
                 

 

 

   

 

 

   

 

 

 

Total purchased option contracts

            $ 386,919     $ 653,678     $     (266,759
                 

 

 

   

 

 

   

 

 

 
Written option contracts:  
Calls                                                    

USD Call/CNH Put

   MSC    7.11 CNH per USD      12/19/19        (1,519,000   USD     (1,519,000   $ (6,586   $ (17,692   $ 11,106  

USD Call/MXN Put

   MSC    21.36 MXN per USD      03/25/20        (1,555,000   USD     (1,555,000     (8,989     (20,713     11,724  
                 

 

 

   

 

 

   

 

 

 

Total Calls

                  $ (15,575   $ (38,405   $ 22,830  
                 

 

 

   

 

 

   

 

 

 
Puts  

USD Put/BRL Call

   MSC    3.98 BRL per USD      01/17/20        (2,108,000   USD     (2,108,000   $ (33,328   $ (19,077   $ (14,251

USD Put/CNH Call

   MSC    7.11 CNH per USD      12/19/19        (1,519,000   USD     (1,519,000     (16,723     (17,693     970  

USD Put/COP Call

   GSC    3,085.00 COP per USD      12/18/19        (1,623,000   USD     (1,623,000     (193     (16,636     16,443  

USD Put/INR Call

   MSC    72.87 INR per USD      02/17/20        (2,388,000   USD     (2,388,000     (47,402     (44,990     (2,412

USD Put/MXN Call

   HSBC    18.61 MXN per USD      12/20/19        (1,551,000   USD     (1,551,000     (1,956     (15,909     13,953  

USD Put/PEN Call

   HSBC    3.30 PEN per USD      01/13/20        (697,000   USD     (697,000     (881     (2,317     1,436  

USD Put/RUB Call

   GSC    62.97 RUB per USD      12/17/19        (2,617,000   USD     (2,617,000     (6,197     (16,853     10,656  

USD Put/RUB Call

   CBK    60.35 RUB per USD      04/29/20        (1,551,000   USD     (1,551,000     (3,342     (4,278     936  

USD Put/TRY Call

   CBK    5.82 TRY per USD      01/16/20        (1,400,000   USD     (1,400,000     (29,690     (16,107     (13,583

USD Put/ZAR Call

   MSC    14.39 ZAR per USD      12/23/19        (1,447,000   USD     (1,447,000     (5,050     (15,011     9,961  

USD Put/ZAR Call

   BOA    13.88 PUT per USD      02/03/20        (1,688,000   USD     (1,688,000     (4,100     (23,914     19,814  

USD Put/ZAR Call

   MSC    14.28 ZAR per USD      04/29/20        (1,425,000   USD     (1,425,000     (15,330     (19,893     4,563  
                 

 

 

   

 

 

   

 

 

 

Total Puts

                  $ (164,192   $ (212,678   $ 48,486  
                 

 

 

   

 

 

   

 

 

 

Total written option contracts

            $     (179,767   $     (251,083   $ 71,316  
                 

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  52  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:                            

Euro-BOBL Future

     1        12/06/2019      $ 150,142      $ (715

U.S. Treasury 2-Year Note Future

     11        12/31/2019        2,371,617        (5,434

U.S. Treasury 5-Year Note Future

     83        12/31/2019            9,893,859        (33,058

U.S. Treasury Long Bond Future

     2        12/19/2019        322,750        (35
           

 

 

 

Total

 

   $     (39,242
           

 

 

 
Short position contracts:  

Euro BUXL 30-Year Bond Future

     1        12/06/2019      $ 234,168      $ 14,128  

Long Gilt Future

     2        12/27/2019        344,149        1,759  

U.S. Treasury 10-Year Note Future

     43        12/19/2019        5,602,765        51,203  

U.S. Treasury 10-Year Ultra Future

     16        12/19/2019        2,273,750        18,689  

U.S. Treasury Ultra Long Bond Future

     2        12/19/2019        379,500        (6,000
           

 

 

 

Total

 

   $ 79,779  
           

 

 

 

Total futures contracts

 

   $ 40,537  
           

 

 

 

 

Centrally Cleared Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Notional
Amount(a)
    (Pay)/Receive
Fixed Rate
    Expiration
Date
     Periodic
Payment
Frequency
     Cost Basis      Value      Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

CDX.EM.32.V1

   USD      1,000,000       (1.00 %)      12/20/24        Quarterly      $ 50,372      $ 45,275      $ (5,097
               

 

 

    

 

 

    

 

 

 
Credit default swaps on single-name issues:  
Buy protection:  

Argentine Republic Government International Bond

   USD      50,000       (5.00 %)      12/20/20        Quarterly      $ 16,011      $ 28,553      $ 12,542  

Argentine Republic Government International Bond

   USD      156,000       (5.00 %)      06/20/24        Quarterly        85,854        94,767        8,913  
               

 

 

    

 

 

    

 

 

 

Total

 

        $ 101,865      $ 123,320      $ 21,455  
       

 

 

    

 

 

    

 

 

 

Total single-name issues

 

        $ 101,865      $ 123,320      $ 21,455  
       

 

 

    

 

 

    

 

 

 

Total

 

        $ 152,237      $ 168,595      $ 16,358  
       

 

 

    

 

 

    

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

OTC Interest Rate Swap Contracts Outstanding at October 31, 2019  

Counterparty

  

Payments made
by Fund

  

Payments received
by Fund

   Notional
Amount
     Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Value     Unrealized
Appreciation/
(Depreciation)
 

DEUT

  

8.69% Fixed

  

BZDIOVRA

     BRL       9,799,140        01/02/20        Maturity      $     —      $     —      $ (87,238   $ (87,238

GSC

  

3M Banco Central De La Republica

  

4.77% Fixed

     INR       330,150,000        12/18/21        Semi-Annual                      (17,353     (17,353

GSC

  

4.85% Fixed

  

3M Banco Central De La Republica

     INR       167,450,000        12/18/24        Semi-Annual                      31,365       31,365  

GSC

  

5.26% Fixed

  

3M Banco Central De La Republica

     COP       5,212,225,000        12/18/29        Quarterly                      18,946       18,946  

GSC

  

1.38% Fixed

  

6 Mo. THBFIX

     THB       30,150,000        12/18/24        Semi-Annual                      (222     (222

GSC

  

6.50% Fixed

  

ZAR JIBAR

     ZAR       215,655,000        09/25/20        Maturity                      17,542       17,542  

GSC

  

ZAR JIBAR

  

6.67% Fixed

     ZAR       237,060,000        09/27/21        Maturity                      (6,946     (6,946

HSBC

  

1.31% Fixed

  

6 Mo. THBFIX

     THB       34,175,000        12/18/20        Semi-Annual                      (102     (102

MSC

  

8.53% Fixed

  

BZDIOVRA

     BRL       1,162,177        01/02/25        Maturity                      (47,597     (47,597

MSC

  

6.99% Fixed

  

BZDIOVRA

     BRL       492,594        01/04/21        Maturity                      (4,143     (4,143

MSC

  

8.78% Fixed

  

BZDIOVRA

     BRL       2,446,276        01/02/29        Maturity                          (182,820         (182,820

MSC

  

BZDIOVRA

  

6.26% Fixed

     BRL       1,442,351        01/03/22        Maturity                      11,049       11,049  

MSC

  

BZDIOVRA

  

6.70% Fixed

     BRL       3,530,674        07/01/22        Maturity                      39,826       39,826  

MSC

  

BZDIOVRA

  

6.44% Fixed

     BRL       1,160,826        07/01/22        Maturity                      10,682       10,682  

MSC

  

BZDIOVRA

  

8.00% Fixed

     BRL       1,812,431        01/02/23        Maturity                      43,942       43,942  

 

The accompanying notes are an integral part of these financial statements.

 

 

  53  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

OTC Interest Rate Swap Contracts Outstanding at October 31, 2019 – (continued)  

Counterparty

  

Payments made
by Fund

  

Payments received
by Fund

   Notional
Amount
     Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Value     Unrealized
Appreciation/
(Depreciation)
 

MSC

  

BZDIOVRA

  

6.50% Fixed

     BRL       1,663,343        01/02/23        Maturity      $      $      $ 15,721     $ 15,721  

MSC

  

BZDIOVRA

  

5.90% Fixed

     BRL       1,808,169        01/02/23        Maturity                      7,951       7,951  

MSC

  

BZDIOVRA

  

7.04% Fixed

     BRL       2,659,173        07/03/23        Maturity                      40,950       40,950  

MSC

  

BZDIOVRA

  

7.30% Fixed

     BRL       1,090,621        01/04/27        Maturity                      25,526       25,526  

MSC

  

1.58% Fixed

  

CLICP Camara Promedio A

     CLP       4,370,000,000        12/18/20        Maturity                      (9,596     (9,596

MSC

  

2.41% Fixed

  

CLICP Camara Promedio A

     CLP       794,225,000        12/18/29        Semi-Annual                      47,273       47,273  

MSC

  

6.51% Fixed

  

ZAR JIBAR

     ZAR       335,055,000        09/21/20        Maturity                      196,818       196,818  

MSC

  

6.51% Fixed

  

ZAR JIBAR

     ZAR       102,440,000        09/22/20        Maturity                      8,602       8,602  

MSC

  

ZAR JIBAR

  

6.68% Fixed

     ZAR       356,400,000        09/20/21        Maturity                          (190,605         (190,605

MSC

  

ZAR JIBAR

  

6.67% Fixed

     ZAR       108,840,000        09/22/21        Maturity                      (2,293     (2,293
                   

 

 

    

 

 

    

 

 

   

 

 

 

Total

 

      $     —      $     —      $ (32,722   $ (32,722
                   

 

 

    

 

 

    

 

 

   

 

 

 

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Value     Unrealized
Appreciation/
(Depreciation)
 

1 Mo. MXN TIIE

  

7.35% Fixed

   MXN     14,865,000        07/14/22      Lunar    $      $      $ 19,379     $ 19,379  

1 Mo. MXN TIIE

  

7.24% Fixed

   MXN     14,860,000        07/15/22      Lunar                    17,232       17,232  

1 Mo. MXN TIIE

  

6.96% Fixed

   MXN     12,850,000        08/02/24      Lunar                    17,436       17,436  

1 Mo. MXN TIIE

  

6.46% Fixed

   MXN     11,490,000        10/03/24      Lunar                    (2,982     (2,982

1 Mo. MXN TIIE

  

7.82% Fixed

   MXN     225,000        07/29/25      Lunar                    833       833  

1 Mo. MXN TIIE

  

8.12% Fixed

   MXN     13,325,000        07/20/28      Lunar                    73,958       73,958  

1 Mo. MXN TIIE

  

6.78% Fixed

   MXN     13,975,000        09/19/29      Lunar                    7,790       7,790  

1 Mo. MXN TIIE

  

6.78% Fixed

   MXN     6,125,000        09/20/29      Lunar                    3,423       3,423  

3 Mo. PLN WIBOR

  

1.70% Fixed

   PLN     8,200,000        12/18/20      Annual                    332       332  

3 Mo. ZAR JIBAR

  

6.45% Fixed

   ZAR     76,175,000        12/18/21      Quarterly                    (24,630     (24,630

3 Mo. ZAR JIBAR

  

6.85% Fixed

   ZAR     103,250,000        12/18/24      Quarterly                    86,982       86,982  

3 Mo. ZAR JIBAR

  

7.50% Fixed

   ZAR     53,140,000        12/18/29      Quarterly                    (82,316     (82,316

6 Mo. PLN WIBOR

  

1.74% Fixed

   PLN     1,050,000        12/18/21      Annual                    (24     (24

6 Mo. PLN WIBOR

  

1.74% Fixed

   PLN     4,125,000        12/18/26      Annual                    (1,408     (1,408
                

 

 

    

 

 

    

 

 

   

 

 

 

Total

 

         $     —      $     —      $     116,005     $     116,005  
                

 

 

    

 

 

    

 

 

   

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  2,734,000      ARS      43,056      USD    BNP      07/13/20     $     $ (15,888
  8,201,000      ARS      129,971      USD    BOA      07/13/20                 (48,479
  333,000      AUD      230,336      USD    CBK      12/17/19             (485
  2,245,000      AUD      1,521,347      USD    GSC      12/18/19       28,373       (83
  1,595,000      AUD      1,081,098      USD    MSC      12/18/19       19,871        
  905,000      AUD      610,468      USD    SCB      12/18/19       14,219        
  1,190,000      AUD      819,340      USD    CBA      12/18/19       2,072        
  4,458,000      BRL      1,105,189      USD    MSC      11/18/19       5,113        
  35,086,000      BRL      8,364,962      USD    SCB      12/03/19           365,537        
  6,690,000      BRL      1,603,292      USD    DEUT      12/03/19       61,390        
  6,299,000      BRL      1,537,562      USD    MSC      12/03/19       30,789       (962
  780,000      BRL      186,581      USD    GSC      12/03/19       7,508        
  600,000      BRL      147,149      USD    UBS      12/03/19       2,150        
  1,979,000      BRL      480,807      USD    GSC      01/13/20       10,588        
  3,979,000      BRL      958,795      USD    MSC      01/22/20       28,729        
  430,000      CAD      322,873      USD    MSC      12/18/19       3,687        
  1,796,000      CAD      1,362,429      USD    GSC      12/18/19       2,236       (708
  428,000      CAD      326,772      USD    RBC      12/18/19             (1,731
  33,100,000      CLP      45,877      USD    HSBC      12/18/19             (1,189
  108,100,000      CLP      151,379      USD    MSC      12/18/19             (5,435
  349,100,000      CLP      480,226      USD    GSC      12/18/19             (8,912

 

The accompanying notes are an integral part of these financial statements.

 

 

  54  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  381,700,000      CLP      527,429      USD    DEUT      12/18/19     $     $ (12,102
  1,085,233,000      CLP      1,519,355      USD    BCLY      12/18/19             (54,200
  5,111,000      CNH      721,042      USD    MSC      12/18/19       3,132        
  7,447,000      CNH      1,052,115      USD    GSC      12/18/19       3,620       (574
  4,285,903,000      COP      1,267,644      USD    BOA      11/25/19             (717
  8,848,187,000      COP      2,590,029      USD    CBK      12/18/19       22,986        
  2,423,300,000      COP      698,559      USD    DEUT      12/18/19       17,081        
  1,764,700,000      COP      509,573      USD    UBS      12/18/19       11,571        
  2,175,200,000      COP      637,972      USD    BCLY      12/18/19       4,400        
  998,000,000      COP      290,835      USD    MSC      12/18/19       3,891        
  3,046,100,000      COP      903,149      USD    GSC      12/18/19             (3,586
  62,617,000      CZK      2,675,403      USD    GSC      12/18/19       63,632        
  7,620,000      CZK      329,613      USD    BNP      12/18/19       3,706        
  6,240,000      CZK      272,083      USD    JPM      12/18/19       872        
  1,290,000      CZK      56,231      USD    DEUT      12/18/19       197        
  29,315,000      EGP      1,738,318      USD    CBK      12/18/19       54,253        
  3,842,000      EUR      4,242,458      USD    GSC      12/18/19       57,592        
  1,617,000      EUR      1,789,478      USD    JPM      12/18/19       20,304        
  244,000      EUR      270,455      USD    SSG      12/18/19       2,635        
  1,265,000      GBP      1,568,146      USD    BCLY      12/18/19       73,285        
  1,766,000      HKD      225,311      USD    BOA      12/18/19       14        
  621,685,000      HUF      2,070,603      USD    GSC      12/18/19       45,449        
  130,380,000      HUF      433,887      USD    BNP      12/18/19       9,891        
  90,235,000      HUF      301,288      USD    UBS      12/18/19       5,848        
  56,900,000      HUF      190,942      USD    SSG      12/18/19       2,731        
  100,747,000      HUF      340,813      USD    MSC      12/18/19       2,103        
  2,180,400,000      HUF      7,853,618      USD    JPM      01/28/20                 (415,585
  2,180,300,000      HUF      7,656,758      USD    BNP      04/21/20             (189,761
  1,187,000,000      HUF      3,963,934      USD    MSC      07/17/20       116,073        
  1,186,400,000      HUF      3,988,368      USD    BNP      07/17/20       89,577        
  17,251,000,000      IDR      1,210,700      USD    BCLY      12/18/19       12,273        
  14,588,162,000      IDR      1,023,372      USD    CSFB      12/18/19       10,824        
  9,824,000,000      IDR      687,152      USD    BNP      12/18/19       9,300        
  5,709,000,000      IDR      400,491      USD    SCB      12/18/19       4,236        
  5,323,000,000      IDR      374,150      USD    GSC      12/18/19       3,424       (211
  29,160,000      INR      401,487      USD    BCLY      12/18/19       7,680        
  37,057,000      INR      513,468      USD    SCB      12/18/19       6,508        
  27,100,000      INR      376,808      USD    JPM      12/18/19       3,454        
  32,090,000      INR      450,481      USD    DEUT      12/18/19             (201
  50,029,000      INR      685,799      USD    MSC      02/20/20       11,417        
  1,772,538,000      KRW      1,490,530      USD    GSC      12/18/19       34,851        
  229,940,000      KRW      195,710      USD    MSC      12/18/19       2,168        
  285,080,000      KRW      243,887      USD    BCLY      12/18/19       1,442        
  131,700,000      KZT      333,840      USD    GSC      12/18/19       1,750        
  43,754,000      MXN      2,153,780      USD    MSC      12/04/19       108,620        
  13,063,000      MXN      659,964      USD    BNP      12/16/19       14,219        
  124,086,000      MXN      6,285,081      USD    BCLY      12/18/19           117,012        
  15,240,000      MXN      770,171      USD    DEUT      12/18/19       16,122        
  8,544,000      MXN      430,832      USD    RBS      12/18/19       9,987        
  7,700,000      MXN      392,178      USD    UBS      12/18/19       5,096        
  1,681,000      MXN      87,247      USD    MSC      12/18/19             (517
  28,969,000      MXN      1,498,885      USD    GSC      12/18/19       244       (4,502
  766,000      MXN      39,262      USD    MSC      12/19/19       253        
  7,274,000      MXN      361,226      USD    MSC      03/27/20       8,721        
  3,283,000      MYR      781,309      USD    BCLY      12/18/19       3,623        
  19,503,000      MYR      4,660,444      USD    MSC      12/18/19       2,627       (103
  1,590,000      MYR      379,702      USD    UBS      12/18/19       451        
  495,000      MYR      118,498      USD    GSC      12/18/19             (148
  1,035,000      NZD      653,320      USD    MSC      12/18/19       10,873        
  2,067,000      NZD      1,329,699      USD    WEST      12/18/19             (3,239
  185,000      PEN      55,290      USD    BNP      12/18/19             (63
  10,893,000      PEN      3,260,014      USD    CBK      12/18/19       506       (8,676
  566,000      PEN      168,077      USD    HSBC      01/15/20       741        
  57,101,000      PHP      1,103,993      USD    MSC      12/18/19       19,157        

 

The accompanying notes are an integral part of these financial statements.

 

 

  55  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  14,660,000      PHP      287,282      USD    JPM      12/18/19     $ 1,073     $  
  37,930,000      PLN      9,666,625      USD    CBK      12/18/19           264,800        
  3,840,000      PLN      970,012      USD    GSC      12/18/19       35,436        
  1,348,000      PLN      343,692      USD    UBS      12/18/19       9,262        
  2,330,000      PLN      604,652      USD    RBC      12/18/19       5,425        
  490,000      PLN      127,923      USD    RBS      12/18/19       376        
  730,000      PLN      187,079      USD    CBK      12/19/19       4,064        
  14,973,000      RON      3,481,620      USD    GSC      12/18/19       28,990        
  810,000      RON      186,177      USD    JPM      12/18/19       3,738        
  805,000      RON      187,944      USD    UBS      12/18/19       799        
  160,000      RON      37,395      USD    BNP      12/18/19       119        
  47,323,000      RUB      703,829      USD    CBK      11/29/19       31,277        
  55,207,000      RUB      860,727      USD    MSC      12/06/19             (4,051
  62,605,000      RUB      973,185      USD    MSC      12/09/19             (2,154
  211,973,000      RUB      3,258,883      USD    GSC      12/18/19       25,637       (1,217
  91,492,000      RUB      1,405,106      USD    MSC      12/18/19       12,950       (911
  29,607,000      RUB      455,843      USD    DEUT      12/18/19       2,748        
  44,310,000      RUB      686,966      USD    BOA      12/18/19             (637
  13,520,000      RUB      210,083      USD    UBS      12/18/19             (668
  15,145,000      RUB      231,965      USD    CBK      04/30/20             (1,053
  320,000      SGD      235,017      USD    RBC      12/18/19       319        
  186,454,000      THB      6,103,460      USD    JPM      12/18/19       74,851        
  21,230,000      THB      695,603      USD    BCLY      12/18/19       7,871        
  17,290,000      THB      570,219      USD    HSBC      12/18/19       2,700        
  3,029,000      TRY      521,702      USD    MSC      11/04/19       7,555        
  990,000      TRY      170,172      USD    GSC      11/04/19       2,810        
  12,439,000      TRY      2,090,105      USD    GSC      12/18/19       57,495        
  2,794,000      TRY      477,750      USD    CBK      12/18/19       5,058       (424
  315,000      TRY      53,336      USD    BNP      12/18/19       1,049        
  55,000      TRY      9,226      USD    MSC      12/18/19       270        
  2,489,000      TRY      405,375      USD    CBK      01/17/20       21,066        
  1,550,549      USD      2,252,000      AUD    CBA      12/18/19             (3,920
  1,378,674      USD      2,015,000      AUD    GSC      12/18/19       812       (13,016
  1,814,764      USD      2,655,000      AUD    MSC      12/18/19             (17,881
  807,722      USD      3,099,000      BRL    MSC      11/18/19       36,460       (570
  529,727      USD      2,174,000      BRL    GSC      11/18/19             (11,726
  348,224      USD      1,446,000      BRL    BOA      11/18/19             (11,914
  502,281      USD      2,035,000      BRL    DEUT      12/03/19       1,523       (5,614
  410,048      USD      1,685,000      BRL    BCLY      12/03/19             (9,233
  684,905      USD      2,809,000      BRL    CBK      12/03/19             (14,063
  1,006,548      USD      4,120,000      BRL    GSC      12/03/19             (18,639
  1,472,379      USD      6,062,000      BRL    MSC      12/03/19                 (36,037
  693,568      USD      2,778,000      BRL    MSC      01/13/20       11,435       (7,656
  755,014      USD      990,000      CAD    GSC      12/18/19       3,166        
  662,583      USD      875,000      CAD    MSC      12/18/19             (1,929
  217,716      USD      290,000      CAD    DEUT      12/18/19             (2,522
  206,154      USD      270,000      CAD    GSC      01/27/20       1,063        
  1,216,472      USD      858,099,000      CLP    CBK      12/18/19       57,966        
  687,648      USD      497,400,000      CLP    GSC      12/18/19       16,116        
  421,768      USD      306,693,000      CLP    MSC      12/18/19       7,707        
  281,742      USD      204,505,000      CLP    BNP      12/18/19       5,643        
  131,642      USD      928,000      CNH    MSC      12/17/19       151        
  296,528      USD      2,117,000      CNH    GSC      12/18/19             (3,429
  924,321      USD      6,592,000      CNH    MSC      12/18/19             (9,695
  690,249      USD      2,346,847,000      COP    MSC      11/25/19             (3,486
  152,009      USD      514,400,000      COP    DEUT      12/18/19       99        
  435,866      USD      1,480,200,000      COP    GSC      12/18/19             (1,261
  313,695      USD      1,077,700,000      COP    MSC      12/18/19             (4,567
  427,265      USD      1,476,200,000      COP    CBK      12/18/19             (8,681
  477,276      USD      1,538,260,000      COP    GSC      12/20/19       23,043        
  126,883      USD      2,980,000      CZK    CBK      12/18/19             (3,471
  414,549      USD      9,790,000      CZK    GSC      12/18/19             (13,691
  84,646      USD      1,483,000      EGP    GSC      12/18/19             (6,037
  254,709      USD      4,452,000      EGP    CBK      12/18/19             (17,524

 

The accompanying notes are an integral part of these financial statements.

 

 

  56  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  23,356      USD      21,000      EUR    BMO      12/18/19     $     $ (148
  3,331,809      USD      3,010,000      EUR    GSC      12/18/19             (37,048
  4,661,082      USD      4,198,000      EUR    JPM      12/18/19             (37,412
  1,905,328      USD      1,537,000      GBP    BCLY      12/18/19             (89,043
  240,453      USD      1,882,000      HKD    JPM      12/18/19       328        
  175,143      USD      52,400,000      HUF    HSBC      12/18/19             (3,213
  485,839      USD      147,100,000      HUF    GSC      12/18/19             (14,850
  7,947,512      USD      2,180,400,000      HUF    GSC      01/28/20           509,479        
  7,885,923      USD      2,180,300,000      HUF    JPM      04/21/20       418,926        
  8,364,553      USD      2,373,400,000      HUF    BNP      07/17/20       206,600        
  275,593      USD      3,952,000,000      IDR    BOA      12/18/19             (4,576
  1,289,504      USD      18,273,000,000      IDR    GSC      12/18/19       251       (6,171
  376,166      USD      5,390,455,000      IDR    MSC      01/17/20             (4,789
  368,262      USD      1,300,000      ILS    GSC      12/18/19             (1,514
  392,748      USD      28,120,000      INR    MSC      12/18/19             (1,826
  287,147      USD      20,620,000      INR    BNP      12/18/19             (2,189
  2,014,181      USD      146,299,000      INR    BOA      12/18/19             (38,656
  793,754      USD      930,311,000      KRW    UBS      12/18/19             (6,838
  900,152      USD      1,072,171,000      KRW    BCLY      12/18/19             (22,519
  761,094      USD      914,530,000      KRW    MSC      12/18/19             (25,917
  913,018      USD      18,411,000      MXN    BOA      12/04/19             (38,965
  1,329,226      USD      26,534,000      MXN    MSC      12/04/19             (42,776
  534,009      USD      10,752,000      MXN    BNP      12/16/19             (20,904
  187,922      USD      3,630,000      MXN    BNP      12/18/19       636        
  191,257      USD      3,770,000      MXN    BCLY      12/18/19             (3,252
  160,037      USD      3,170,000      MXN    RBS      12/18/19             (3,516
  285,569      USD      5,630,000      MXN    GSC      12/18/19             (4,906
  473,733      USD      9,290,000      MXN    SSG      12/18/19             (5,575
  3,546,151      USD      69,356,000      MXN    CBK      12/18/19       3,841       (36,043
  2,705,554      USD      53,230,000      MXN    DEUT      12/18/19       6,630       (47,424
  43,045      USD      850,000      MXN    MSC      12/19/19             (804
  488,455      USD      9,530,000      MXN    HSBC      12/24/19             (2,775
  357,805      USD      7,106,000      MXN    MSC      04/16/20             (2,555
  139,844      USD      590,000      MYR    MSC      12/18/19             (1,219
  1,284,152      USD      5,400,000      MYR    BCLY      12/18/19             (6,933
  1,321,062      USD      5,556,000      MYR    GSC      12/18/19             (7,320
  543,588      USD      845,000      NZD    WEST      12/18/19       1,324        
  259,717      USD      405,000      NZD    GSC      12/18/19             (184
  1,001,456      USD      1,588,000      NZD    MSC      12/18/19             (17,614
  72,899      USD      111,000      NZD    GSC      02/05/20       1,610        
  294,687      USD      990,000      PEN    GSC      12/18/19             (854
  548,659      USD      1,852,000      PEN    BCLY      12/18/19             (4,211
  649,485      USD      2,205,000      PEN    CBK      12/18/19             (8,766
  648,816      USD      2,205,000      PEN    DEUT      12/18/19             (9,435
  715,327      USD      37,290,000      PHP    DEUT      12/18/19             (18,149
  860,693      USD      45,096,000      PHP    BCLY      12/18/19             (26,324
  30,482      USD      116,000      PLN    MSC      11/14/19       119        
  744,675      USD      2,801,000      PLN    BCLY      12/12/19       11,625       (300
  133,311      USD      524,000      PLN    BOA      12/18/19             (3,891
  142,514      USD      560,000      PLN    UBS      12/18/19             (4,114
  419,306      USD      1,620,000      PLN    CBK      12/18/19             (4,867
  284,903      USD      1,115,000      PLN    DEUT      12/18/19             (7,043
  402,099      USD      1,565,000      PLN    JPM      12/18/19             (7,673
  2,337,762      USD      9,045,000      PLN    GSC      12/18/19             (30,542
  91,013      USD      358,000      PLN    CBK      12/19/19             (2,725
  284,330      USD      1,109,000      PLN    CBK      04/17/20             (6,089
  328,184      USD      1,263,000      PLN    MSC      04/30/20             (2,559
  115,069      USD      500,000      RON    UBS      12/18/19             (2,163
  358,699      USD      1,548,000      RON    JPM      12/18/19             (4,250
  1,889,213      USD      8,129,000      RON    GSC      12/18/19             (16,733
  1,243,770      USD      79,763,000      RUB    CBK      11/29/19       4,748        
  480,939      USD      32,069,000      RUB    MSC      12/06/19             (16,693
  971,396      USD      64,627,000      RUB    CBK      12/09/19             (30,997
  6,618,190      USD      434,715,000      RUB    GSC      12/18/19       1,043           (116,263

 

The accompanying notes are an integral part of these financial statements.

 

 

  57  

 


The Hartford Emerging Markets Local Debt Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  768,914      USD      50,287,000      RUB    MSC      04/30/20     $ 2,202     $  
  761,117      USD      1,055,000      SGD    JPM      12/18/19             (14,756
  214,188      USD      6,510,000      THB    DEUT      12/18/19             (1,527
  189,344      USD      5,770,000      THB    UBS      12/18/19             (1,850
  388,785      USD      11,860,000      THB    HSBC      12/18/19             (4,206
  274,397      USD      1,569,000      TRY    CBK      11/04/19       246        
  409,323      USD      2,450,000      TRY    GSC      11/04/19             (18,765
  248,297      USD      1,450,000      TRY    DEUT      12/18/19             (2,046
  306,478      USD      1,845,000      TRY    BOA      12/18/19             (12,062
  1,322,508      USD      7,919,500      TRY    GSC      12/18/19             (44,798
  405,308      USD      15,118,000      UYU    CBK      12/18/19       5,731        
  634,379      USD      9,778,000      ZAR    MSC      11/12/19             (11,612
  2,983,058      USD      44,626,000      ZAR    GSC      12/18/19       51,332       (1,981
  355,587      USD      5,250,000      ZAR    HSBC      12/18/19       10,453        
  319,232      USD      4,762,000      ZAR    BCLY      12/18/19       6,179        
  154,883      USD      2,300,000      ZAR    SSG      12/18/19       3,681        
  163,521      USD      2,500,000      ZAR    BNP      12/18/19             (829
  137,523      USD      2,120,000      ZAR    CBK      12/18/19             (1,845
  377,015      USD      5,882,000      ZAR    BOA      02/05/20             (7,239
  10,837,000      ZAR      709,460      USD    MSC      11/12/19       6,495        
  2,277,000      ZAR      147,750      USD    HSBC      12/18/19       1,939        
  879,000      ZAR      56,907      USD    MSC      12/18/19       878        
  9,089,000      ZAR      597,676      USD    BCLY      12/18/19       1,239       (1,406
  8,400,000      ZAR      561,310      USD    DEUT      12/18/19             (9,095
  92,265,000      ZAR      6,191,888      USD    GSC      12/18/19       2,268       (128,672
  9,973,000      ZAR      660,901      USD    MSC      12/27/19             (6,139
  16,185,000      ZAR      1,091,958      USD    BOA      02/05/20             (34,639
  9,744,000      ZAR      639,077      USD    MSC      05/04/20             (10,070
                

 

 

   

 

 

 
 

Total

    $     3,657,409     $     (2,193,386
                

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Assets

 

Corporate Bonds

   $ 31,255,979     $     $ 31,255,979     $  

Foreign Government Obligations

     96,859,588             96,859,588        

Short-Term Investments

     7,793,568       6,881,533       912,035        

Purchased Options

     386,919             386,919        

Foreign Currency Contracts(2)

     3,657,409             3,657,409        

Futures Contracts(2)

     85,779       85,779              

Swaps - Credit Default(2)

     21,455             21,455        

Swaps - Interest Rate(2)

     743,558             743,558        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     140,804,255     $     6,967,312     $     133,836,943     $     —  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (2,193,386   $     $ (2,193,386   $  

Futures Contracts(2)

     (45,242     (45,242            

Swaps - Credit Default(2)

     (5,097           (5,097      

Swaps - Interest Rate(2)

     (660,275           (660,275      

Written Options

     (179,767           (179,767      
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (3,083,767   $ (45,242   $ (3,038,525   $  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  58  

 


The Hartford Floating Rate Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 5.5%  
      Advertising - 0.0%  
$     1,500,000    

Acosta, Inc. 7.75%, 10/01/2022(1)

  $ 60,000  
     

 

 

 
      Aerospace/Defense - 0.2%  
    5,575,000    

TransDigm, Inc. 5.50%, 11/15/2027(1)

    5,556,547  
     

 

 

 
      Airlines - 0.1%  
    3,920,000    

Bombardier, Inc. 7.88%, 04/15/2027(1)

    3,694,601  
     

 

 

 
      Auto Parts & Equipment - 0.4%  
    8,000,000    

Adient Global Holdings Ltd. 4.88%, 08/15/2026(1)

    6,300,000  
EUR     5,300,000    

Panther BF Aggregator 2 L.P. / Panther Finance Co., Inc. 4.38%, 05/15/2026(2)

    5,955,421  
     

 

 

 
    12,255,421  
 

 

 

 
      Coal - 0.0%  
$     6,085,000    

Foresight Energy LLC / Foresight Energy Finance Corp. 11.50%, 04/01/2023(1)

    532,438  
     

 

 

 
      Commercial Banks - 0.5%  
    800,000    

Banco Bilbao Vizcaya Argentaria S.A. 6.13%, 11/16/2027, (6.13% fixed rate until 11/16/2027; 5 year USD Swap + 3.870% thereafter)(3)(4)

    787,000  
EUR     3,200,000    

Banco de Sabadell S.A. 6.13%, 11/23/2022, (6.13% fixed rate until 11/23/2022; 5 year EUR Swap + 6.051% thereafter)(2)(3)(4)

    3,591,443  
    5,845,000    

Banco Santander S.A. 1.00%, 12/15/2024(3)(5)

    5,793,696  
$     4,830,000    

Freedom Mortgage Corp. 8.13%, 11/15/2024(1)

    4,528,125  
     

 

 

 
    14,700,264  
 

 

 

 
      Commercial Services - 0.8%  
 

APX Group, Inc.

 
    4,750,000    

7.88%, 12/01/2022

    4,744,062  
    3,161,000    

8.75%, 12/01/2020

    3,113,585  
    1,590,000    

Ashtead Capital, Inc. 4.25%, 11/01/2029(1)

    1,605,900  
    8,445,000    

Brand Industrial Services, Inc. 8.50%, 07/15/2025(1)

    8,191,650  
    3,180,000    

GW B-CR Security Corp. 9.50%, 11/01/2027(1)

    3,267,450  
EUR     4,150,000    

La Financiere Atalian SASU 4.00%, 05/15/2024(2)

    3,077,023  
     

 

 

 
    23,999,670  
 

 

 

 
      Distribution/Wholesale - 0.1%  
$     1,870,000    

Core & Main Holdings L.P. (8.63% Cash, 9.38% PIK) 8.63%, 09/15/2024(1)(6)

    1,860,650  
     

 

 

 
      Environmental Control - 0.1%  
    3,009,000    

CD&R Waterworks Merger Sub LLC 6.13%, 08/15/2025(1)

    3,057,896  
     

 

 

 
      Food - 0.1%  
    3,020,000    

B&G Foods, Inc. 5.25%, 09/15/2027

    3,012,450  
     

 

 

 
      Household Products - 0.2%  
    1,575,000    

Coty, Inc. 6.50%, 04/15/2026(1)

    1,613,713  
    5,625,000    

Revlon Consumer Products Corp. 5.75%, 02/15/2021

    4,865,625  
     

 

 

 
    6,479,338  
 

 

 

 
      Household Products/Wares - 0.1%  
EUR     3,215,000    

Diamond (BC) B.V. 5.63%, 08/15/2025(2)

    3,281,622  
     

 

 

 
      Insurance - 0.1%  
 

Acrisure LLC / Acrisure Finance, Inc.

 
$     3,225,000    

7.00%, 11/15/2025(1)

    2,950,875  
    1,460,000    

10.13%, 08/01/2026(1)

    1,511,100  
     

 

 

 
    4,461,975  
 

 

 

 
      Internet - 0.3%  
    4,625,000    

Photo Holdings Merger Sub, Inc. 8.50%, 10/01/2026(1)

    4,070,601  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 5.5% - (continued)  
      Internet - 0.3% - (continued)  
$     4,475,000    

Symantec Corp. 5.00%, 04/15/2025(1)

  $ 4,589,019  
     

 

 

 
    8,659,620  
 

 

 

 
      Lodging - 0.1%  
    3,180,000    

Boyd Gaming Corp. 6.88%, 05/15/2023

    3,299,250  
     

 

 

 
      Media - 0.7%  
    3,715,000    

LCPR Senior Secured Financing DAC 6.75%, 10/15/2027(1)

    3,812,519  
EUR     2,575,000    

UPCB Finance VII Ltd. 3.63%, 06/15/2029(2)

    3,021,523  
GBP     7,050,000    

Virgin Media Secured Finance plc 4.25%, 01/15/2030(1)

    9,182,720  
EUR     5,115,000    

Ziggo B.V. 2.88%, 01/15/2030(1)

    5,783,198  
     

 

 

 
    21,799,960  
 

 

 

 
      Metal Fabricate/Hardware - 0.0%  
$     1,010,000    

Advanced Drainage Systems, Inc. 5.00%, 09/30/2027(1)

    1,032,725  
     

 

 

 
      Oil & Gas - 0.6%  
    4,825,000    

Blue Racer Midstream LLC / Blue Racer Finance Corp. 6.13%, 11/15/2022(1)

    4,740,563  
    2,750,000    

Centennial Resource Production LLC 5.38%, 01/15/2026(1)

    2,578,125  
    3,580,000    

Jagged Peak Energy LLC 5.88%, 05/01/2026

    3,615,800  
 

QEP Resources, Inc.

 
    1,625,000    

5.38%, 10/01/2022

    1,592,630  
    3,025,000    

6.88%, 03/01/2021

    3,028,781  
    5,230,000    

Vine Oil & Gas L.P. / Vine Oil & Gas Finance Corp. 8.75%, 04/15/2023(1)

    1,987,400  
     

 

 

 
    17,543,299  
 

 

 

 
      Packaging & Containers - 0.3%  
    3,085,000    

Ardagh Packaging Finance plc / Ardagh Holdings USA, Inc. 5.25%, 08/15/2027(1)

    3,162,125  
    4,500,000    

Owens-Brockway Glass Container, Inc. 5.38%, 01/15/2025(1)

    4,539,375  
     

 

 

 
    7,701,500  
 

 

 

 
      Pharmaceuticals - 0.0%  
EUR     1,055,000    

Rossini S.a.r.l. 3.88%, 10/30/2025, 3 mo. EURIBOR + 3.875%(1)(4)

    1,190,390  
     

 

 

 
      Pipelines - 0.1%  
 

Tallgrass Energy Partners L.P. / Tallgrass Energy Finance Corp.

 

$     1,525,000    

5.50%, 09/15/2024(1)

    1,483,062  
    1,600,000    

5.50%, 01/15/2028(1)

    1,504,000  
     

 

 

 
    2,987,062  
 

 

 

 
      Retail - 0.3%  
    3,050,000    

Beacon Roofing Supply, Inc. 4.88%, 11/01/2025(1)

    2,996,777  
    6,700,000    

Ferrellgas L.P. / Ferrellgas Finance Corp. 6.75%, 01/15/2022

    5,611,250  
     

 

 

 
    8,608,027  
 

 

 

 
      Software - 0.1%  
    1,670,000    

SS&C Technologies, Inc. 5.50%, 09/30/2027(1)

    1,786,900  
     

 

 

 
      Telecommunications - 0.1%  
EUR     1,615,000    

Altice France S.A. 3.38%, 01/15/2028(1)

    1,804,541  
$     2,415,000    

Nokia Oyj 4.38%, 06/12/2027

    2,459,678  
     

 

 

 
    4,264,219  
 

 

 

 
      Toys/Games/Hobbies - 0.1%  
    1,450,000    

Mattel, Inc. 6.75%, 12/31/2025(1)

    1,513,438  
     

 

 

 
      Trucking & Leasing - 0.1%  
    3,370,000    

Fly Leasing Ltd. 6.38%, 10/15/2021

    3,426,869  
     

 

 

 
 

Total Corporate Bonds
(cost $178,464,489)

  $ 166,766,131  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  59  

 


The Hartford Floating Rate Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7)  
      Advertising - 0.3%  
$     7,074,781    

Acosta Holdco, Inc. 7.00%, 09/26/2021, 1 mo. USD LIBOR + 3.250%

  $ 2,078,217  
    6,563,947    

Entravision Communications Corp. 4.54%, 11/29/2024, 1 mo. USD LIBOR + 2.750%

    6,317,799  
     

 

 

 
    8,396,016  
 

 

 

 
      Aerospace/Defense - 1.9%  
    7,205,429    

Circor International, Inc. 5.42%, 12/11/2024, 1 mo. USD LIBOR + 3.500%

    7,135,177  
 

TransDigm, Inc.

 
    29,338,590    

4.29%, 06/09/2023, 1 mo. USD LIBOR + 2.500%

    29,188,083  
    22,408,567    

4.29%, 05/30/2025, 1 mo. USD LIBOR + 2.500%

    22,225,040  
     

 

 

 
    58,548,300  
 

 

 

 
      Agriculture - 0.0%  
    8,207    

Pinnacle Operating Corp. 7.29%, 11/15/2021, 1 mo. USD LIBOR + 5.500%

    5,663  
     

 

 

 
      Auto Manufacturers - 0.1%  
    4,600,958    

Navistar International Corp. 5.42%, 11/06/2024, 1 mo. USD LIBOR + 3.500%

    4,546,345  
     

 

 

 
      Auto Parts & Equipment - 0.9%  
    8,633,363    

Adient U.S. LLC 6.78%, 05/06/2024, 1 mo. USD LIBOR + 4.250%

    8,409,413  
    17,635,000    

Panther BF Aggregator L.P. 5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

    17,377,882  
     

 

 

 
    25,787,295  
 

 

 

 
      Beverages - 0.2%  
EUR     6,785,000    

Sunshine Investments B.V. 3.25%, 03/28/2025, 3 mo. EURIBOR + 3.250%

    7,572,530  
     

 

 

 
      Biotechnology - 0.9%  
$     28,029,779    

Sotera Health Holdings LLC 4.93%, 05/15/2022, 1 mo. USD LIBOR + 3.000%

    27,504,220  
     

 

 

 
      Chemicals - 1.3%  
    8,060,471    

Cabot Microelectronics Corp. 4.06%, 11/14/2025, 1 mo. ICE LIBOR + 2.250%

    8,085,700  
EUR     6,446,724    

CTC AcquiCo GmbH 2.50%, 03/07/2025, 3 mo. EURIBOR + 2.500%

    7,127,907  
 

LTI Holdings, Inc.

 
$     15,449,368    

5.29%, 09/06/2025, 1 mo. USD LIBOR + 3.500%

    14,151,621  
    1,140,000    

8.54%, 09/06/2026, 1 mo. USD LIBOR + 6.750%

    964,725  
    1,524,812    

Starfruit Finco B.V. 5.19%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    1,485,121  
    7,861,118    

Tronox Finance LLC 4.66%, 09/23/2024, 3 mo. USD LIBOR + 2.750%

    7,783,529  
     

 

 

 
    39,598,603  
 

 

 

 
      Coal - 0.1%  
    8,713,637    

Foresight Energy LLC 7.87%, 03/28/2022, 3 mo. USD LIBOR + 5.750%

    4,429,403  
     

 

 

 
      Commercial Services - 6.0%  
 

Allied Universal Holdco LLC

 
    552,826    

4.25%, 07/10/2026, 1 mo. USD LIBOR + 4.250%(8)

    548,481  
    5,583,538    

6.51%, 07/10/2026, 3 mo. USD LIBOR + 4.250%

    5,539,651  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Commercial Services - 6.0% - (continued)  
$     22,799,501    

APX Group, Inc. 6.79%, 04/01/2024, 2 mo. USD LIBOR + 5.000%

  $ 22,400,509  
    3,245,000    

Belron Finance U.S. LLC 0.00%, 11/07/2026, 1 mo. USD LIBOR + 2.500%(9)

    3,243,994  
    28,780,772    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    28,492,964  
    7,554,073    

BrightView Landscapes LLC 4.38%, 08/15/2025, 1 mo. USD LIBOR + 2.500%

    7,565,857  
    21,780,000    

DCert Buyer, Inc. 5.79%, 10/16/2026, 1 mo. USD LIBOR + 4.000%

    21,358,121  
    13,255,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    13,285,354  
    5,785,000    

Garda World Security Corp. 0.00%, 10/30/2026, 1 mo. USD LIBOR + 4.750%(9)

    5,748,844  
    2,473,890    

Hertz Corp. 4.54%, 06/30/2023, 3 mo. USD LIBOR + 2.750%

    2,473,124  
    11,195,000    

PSAV Holdings LLC 6.49%, 10/15/2026, 1 mo. USD LIBOR + 4.500%

    10,957,106  
    8,542,332    

Quikrete Holdings, Inc. 4.54%, 11/15/2023, 1 mo. USD LIBOR + 2.750%

    8,502,268  
    16,515,812    

Tempo Acquisition LLC 4.79%, 05/01/2024, 1 mo. USD LIBOR + 3.000%

    16,512,344  
    11,585,209    

Trans Union LLC 3.79%, 04/10/2023, 1 mo. USD LIBOR + 2.000%

    11,600,850  
EUR     15,120,000    

Verisure Holding AB 3.50%, 10/21/2022, 3 mo. EURIBOR + 3.500%

    16,863,331  
$     5,885,480    

Weight Watchers International, Inc. 6.86%, 11/29/2024, 3 mo. USD LIBOR + 4.750%

    5,872,238  
     

 

 

 
    180,965,036  
 

 

 

 
      Construction Materials - 0.7%  
    3,082,857    

Advanced Drainage Systems, Inc. 4.06%, 07/31/2026, 1 mo. USD LIBOR + 2.250%

    3,094,418  
    8,773,438    

Hamilton Holdco LLC 4.11%, 07/02/2025, 1 mo. USD LIBOR + 2.000%

    8,784,404  
    8,941,812    

NCI Building Systems, Inc. 5.66%, 04/12/2025, 3 mo. USD LIBOR + 3.750%

    8,636,271  
     

 

 

 
    20,515,093  
 

 

 

 
      Distribution/Wholesale - 0.5%  
    531,086    

American Builders & Contractors Supply Co., Inc. 0.00%, 01/15/2027, 1 mo. USD LIBOR + 2.000%(9)

    530,093  
 

SRS Distribution, Inc.

 
    5,575,000    

0.00%, 05/23/2025, 1 mo. USD LIBOR + 4.500%(9)

    5,533,187  
    8,081,653    

5.04%, 05/23/2025, 1 mo. USD LIBOR + 3.250%

    7,808,897  
     

 

 

 
    13,872,177  
 

 

 

 
      Diversified Financial Services - 3.9%  
 

AlixPartners LLP

 

EUR     2,855,650    

3.25%, 04/04/2024, 3 mo. EURIBOR + 3.250%

    3,190,479  
$     14,624,703    

4.54%, 04/04/2024, 3 mo. USD LIBOR + 2.750%

    14,600,279  
    8,363,255    

Aretec Group, Inc. 6.04%, 10/01/2025, 3 mo. USD LIBOR + 4.250%

    7,809,190  
 

Crown Finance U.S., Inc.

 
EUR     1,778,843    

2.38%, 02/28/2025, 1 mo. EURIBOR + 2.375%

    1,985,589  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  60  

 


The Hartford Floating Rate Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Diversified Financial Services - 3.9% - (continued)  
$     21,449,453    

4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

  $ 21,144,870  
    4,870,504    

Financial & Risk U.S. Holdings, Inc. 5.54%, 10/01/2025, 1 mo. USD LIBOR + 3.750%

    4,893,639  
    8,050,000    

GreenSky Holdings LLC 5.06%, 03/31/2025, 1 mo. USD LIBOR + 3.250%

    7,899,063  
    3,776,025    

Minotaur Acquisition, Inc. 6.79%, 03/27/2026, 1 mo. USD LIBOR + 5.000%

    3,561,283  
EUR     16,534,055    

Nets Holding A/S 3.25%, 02/06/2025, 3 mo. EURIBOR + 3.250%

    18,263,767  
$     15,678,881    

NFP Corp. 4.79%, 01/08/2024, 1 mo. USD LIBOR + 3.000%

    15,197,382  
    13,172,513    

RP Crown Parent LLC 4.54%, 10/12/2023, 1 mo. USD LIBOR + 2.750%

    13,142,874  
    4,328,907    

UFC Holdings LLC 5.04%, 04/29/2026, 1 mo. USD LIBOR + 3.250%

    4,323,496  
     

 

 

 
    116,011,911  
 

 

 

 
      Electric - 1.0%  
    29,572,818    

Calpine Construction Finance Company, L.P. 4.29%, 01/15/2025, 1 mo. USD LIBOR + 2.500%

    29,567,495  
     

 

 

 
      Electrical Components & Equipment - 0.6%  
    1,067,250    

Lumentum Holdings 4.29%, 12/10/2025, 1 mo. USD LIBOR + 2.500%

    1,067,250  
    16,490,000    

Virgin Media Bristol LLC 4.42%, 01/31/2028, 1 mo. USD LIBOR + 2.500%

    16,414,476  
     

 

 

 
    17,481,726  
 

 

 

 
      Energy - Alternate Sources - 1.6%  
    18,328,000    

BCP Renaissance Parent LLC 5.36%, 10/31/2024, 3 mo. USD LIBOR + 3.500%

    16,529,657  
    5,626,143    

Gulf Finance LLC 7.32%, 08/25/2023, 1 mo. USD LIBOR + 5.250%

    4,110,629  
    28,382,285    

Medallion Midland Acquisition LLC 5.04%, 10/30/2024, 1 mo. USD LIBOR + 3.250%

    26,608,392  
     

 

 

 
    47,248,678  
 

 

 

 
      Engineering & Construction - 1.1%  
    24,333,934    

Brand Energy & Infrastructure Services, Inc. 6.24%, 06/21/2024, 3 mo. USD LIBOR + 4.250%

    23,603,916  
 

DG Investment Intermediate Holdings, Inc.

 

    7,540,921    

4.79%, 02/03/2025, 3 mo. USD LIBOR + 3.000%

    7,324,120  
    1,360,000    

8.54%, 02/02/2026, 3 mo. USD LIBOR + 6.750%

    1,305,600  
     

 

 

 
    32,233,636  
 

 

 

 
      Entertainment - 0.4%  
    10,879,975    

CityCenter Holdings LLC 4.04%, 04/18/2024, 1 mo. USD LIBOR + 2.250%

    10,876,602  
     

 

 

 
      Environmental Control - 0.3%  
EUR     7,638,300    

Fluidra Finco SLU 2.75%, 07/02/2025, 1 mo. EURIBOR + 2.750%

    8,572,237  
     

 

 

 
      Food - 1.5%  
$     5,610,000    

B&G Foods, Inc. 4.48%, 10/10/2026, 1 mo. USD LIBOR + 2.500%

    5,627,559  
EUR     1,540,000    

CHG PPC Parent LLC 3.50%, 03/31/2025, 1 mo. EURIBOR + 3.500%

    1,731,525  
$     15,494,233    

Hostess Brands LLC 4.13%, 08/03/2025, 1 mo. USD LIBOR + 2.250%

    15,407,155  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Food - 1.5% - (continued)  
 

Post Holdings, Inc.

 
$     12,300,000    

0.00%, 10/08/2026, 1 mo. USD LIBOR + 5.000%(9)

  $ 12,261,624  
    511,350    

3.83%, 05/24/2024, 1 mo. USD LIBOR + 2.000%

    511,703  
    10,820,000    

U.S. Foods, Inc. 3.79%, 09/13/2026, 1 mo. USD LIBOR + 2.000%

    10,848,565  
     

 

 

 
    46,388,131  
 

 

 

 
      Food Service - 0.1%  
    4,547,438    

CHG PPC Parent LLC 4.54%, 03/31/2025, 1 mo. USD LIBOR + 2.750%

    4,524,700  
     

 

 

 
      Gas - 0.3%  
 

Messer Industries GmbH

 
EUR     1,515,000    

2.75%, 03/01/2026, 3 mo. EURIBOR + 2.750%

    1,692,146  
$     7,004,800    

4.60%, 03/01/2026, 1 mo. USD LIBOR + 2.500%

    6,940,706  
     

 

 

 
    8,632,852  
 

 

 

 
      Healthcare - Products - 0.4%  
 

Lifescan Global Corp.

 
    10,178,995    

8.06%, 10/01/2024, 3 mo. USD LIBOR + 6.000%

    9,042,307  
    2,500,000    

11.56%, 09/26/2025, 3 mo. USD LIBOR + 9.500%

    2,137,500  
     

 

 

 
    11,179,807  
 

 

 

 
      Healthcare - Services - 5.5%  
    10,358,467    

CDRH Parent, Inc. 6.38%, 07/01/2021, 3 mo. USD LIBOR + 4.250%

    7,298,369  
    2,595,000    

CPI Holdco LLC 0.00%, 11/04/2026, 1 mo. USD LIBOR + 4.250%(9)

    2,588,513  
    9,199,937    

DentalCorp Perfect Smile ULC 5.54%, 06/06/2025, 1 mo. USD LIBOR + 3.750%

    8,977,575  
 

DuPage Medical Group Ltd.

 
    4,738,287    

4.54%, 08/15/2024, 1 mo. USD LIBOR + 2.750%

    4,641,152  
    2,741,320    

8.79%, 08/15/2025, 1 mo. USD LIBOR + 7.000%

    2,652,227  
    8,660,000    

Emerald TopCo, Inc. 5.29%, 07/24/2026, 1 mo. USD LIBOR + 3.500%

    8,517,110  
    4,815,000    

Ensemble RCM LLC 6.00%, 08/03/2026, 1 mo. USD LIBOR + 3.750%

    4,807,248  
    20,088,754    

Gentiva Health Services, Inc. 5.56%, 07/02/2025, 1 mo. USD LIBOR + 3.750%

    20,038,533  
EUR     9,225,688    

IQVIA, Inc. 2.00%, 06/11/2025, 3 mo. EURIBOR + 2.000%

    10,302,268  
 

MED ParentCo L.P.

 
$     3,640,424    

1.30%, 08/31/2026, 1 mo. USD LIBOR + 4.250%(8)

    3,582,032  
    14,578,950    

6.04%, 08/31/2026, 1 mo. USD LIBOR + 4.250%

    14,345,104  
    9,773,241    

MPH Acquisition Holdings LLC 4.85%, 06/07/2023, 3 mo. USD LIBOR + 2.750%

    9,143,551  
    4,759,350    

Ortho-Clinical Diagnostics S.A. 5.31%, 06/30/2025, 3 mo. USD LIBOR + 3.250%

    4,541,229  
    5,982,297    

Sound Inpatient Physicians 4.54%, 06/27/2025, 1 mo. USD LIBOR + 2.750%

    5,956,155  
    4,712,701    

Surgery Center Holdings, Inc. 5.04%, 09/02/2024, 1 mo. USD LIBOR + 3.250%

    4,543,844  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  61  

 


The Hartford Floating Rate Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Healthcare - Services - 5.5% - (continued)  
$     54,080,000    

Zelis Healthcare Corp. 0.00%, 09/30/2026, 1 mo. USD LIBOR + 4.750%(9)

  $ 53,448,886  
     

 

 

 
    165,383,796  
 

 

 

 
      Household Products - 1.2%  
 

Diamond (BC) B.V.

 
EUR     4,376,337    

3.25%, 09/06/2024, 1 mo. EURIBOR + 3.250%

    4,609,840  
$     14,407,276    

4.93%, 09/06/2024, 2 mo. USD LIBOR + 3.000%

    13,391,563  
    25,014,337    

Revlon Consumer Products Corp. 5.62%, 09/07/2023, 1 mo. USD LIBOR + 3.500%

    19,584,225  
     

 

 

 
    37,585,628  
 

 

 

 
      Insurance - 3.8%  
    16,159,776    

Acrisure LLC 6.35%, 11/22/2023, 1 mo. USD LIBOR + 4.250%

    15,836,580  
 

Asurion LLC

 
    8,984,599    

4.79%, 11/03/2023, 1 mo. USD LIBOR + 3.000%

    8,994,212  
    28,138,751    

4.79%, 11/03/2024, 1 mo. USD LIBOR + 3.000%

    28,156,478  
    12,570,000    

8.29%, 08/04/2025, 1 mo. USD LIBOR + 6.500%

    12,620,280  
    9,875,729    

Genworth Holdings, Inc. 6.32%, 03/07/2023, 1 mo. USD LIBOR + 4.500%

    9,851,040  
    24,252,988    

Hub International Ltd. 4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    23,702,930  
    17,178,285    

Sedgwick Claims Management Services, Inc. 5.04%, 12/31/2025, 1 mo. USD LIBOR + 3.250%

    16,649,537  
     

 

 

 
    115,811,057  
 

 

 

 
      Leisure Time - 3.2%  
    53,767,127    

Caesars Resort Collection LLC 4.54%, 12/23/2024, 1 mo. USD LIBOR + 2.750%

    52,932,661  
    10,928,529    

Delta (LUX) S.a.r.l. 4.29%, 02/01/2024, 1 mo. USD LIBOR + 2.500%

    10,750,940  
    19,263,652    

Eldorado Resorts LLC 4.21%, 04/17/2024, 2 mo. USD LIBOR + 2.250%

    19,231,482  
    12,138,275    

Penn National Gaming, Inc. 4.04%, 10/15/2025, 3 mo. USD LIBOR + 2.250%

    12,174,690  
     

 

 

 
    95,089,773  
 

 

 

 
      Lodging - 2.0%  
    11,250,192    

Boyd Gaming Corp. 3.96%, 09/15/2023, 1 week USD LIBOR + 2.250%

    11,253,680  
    36,449,148    

Caesars Entertainment Operating Co. 3.79%, 10/07/2024, 1 mo. USD LIBOR + 2.000%

    36,426,550  
    13,516,701    

Station Casinos LLC 4.29%, 06/08/2023, 1 mo. USD LIBOR + 2.500%

    13,522,378  
     

 

 

 
    61,202,608  
 

 

 

 
      Machinery - Diversified - 0.1%  
    4,320,313    

Zodiac Pool Solutions LLC 4.04%, 07/02/2025, 1 mo. USD LIBOR + 2.250%

    4,320,313  
     

 

 

 
      Media - 12.5%  
 

Altice Financing S.A.

 
EUR     2,729,300    

2.75%, 01/31/2026, 3 mo. EURIBOR + 2.750%

    2,978,024  
$     18,438,502    

4.60%, 01/31/2026, 3 mo. USD LIBOR + 2.750%

    17,730,648  
    9,750,000    

4.66%, 07/15/2025, 3 mo. USD LIBOR + 2.750%

    9,403,485  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Media - 12.5% - (continued)  
$     22,864,338    

Charter Communications Operating LLC 3.54%, 04/30/2025, 1 mo. USD LIBOR + 1.750%

  $ 22,889,718  
 

CSC Holdings LLC

 
    19,479,772    

4.17%, 07/17/2025, 1 mo. USD LIBOR + 2.250%

    19,363,478  
    6,171,875    

4.33%, 04/15/2027, 1 mo. USD LIBOR + 2.500%

    6,160,827  
    26,251,625    

Gray Television, Inc. 4.51%, 01/02/2026, 1 mo. ICE LIBOR + 2.500%

    26,304,916  
    30,962,133    

Houghton Mifflin Harcourt Publishing Co. 4.79%, 05/31/2021, 1 mo. USD LIBOR + 3.000%

    30,691,215  
    19,474,076    

ION Media Networks, Inc. 4.81%, 12/18/2024, 1 mo. USD LIBOR + 3.000%

    19,352,363  
    3,989,557    

Maxar Technologies Ltd. 4.85%, 10/04/2024, 1 mo. USD LIBOR + 2.750%

    3,519,108  
    18,779,131    

MTN Infrastructure TopCo, Inc. 4.79%, 11/15/2024, 1 mo. USD LIBOR + 3.000%

    18,536,505  
    2,855,000    

NASCAR Holdings, Inc. 0.00%, 10/19/2026, 1 mo. USD LIBOR + 2.750%(9)

    2,867,933  
 

NEP/NCP Holdco, Inc.

 
    8,120,684    

5.04%, 10/20/2025, 1 mo. USD LIBOR + 3.250%

    7,783,188  
    1,680,000    

8.79%, 10/19/2026, 1 mo. USD LIBOR + 7.000%

    1,604,400  
    22,220,000    

Nexstar Broadcasting, Inc. 4.55%, 09/18/2026, 1 mo. USD LIBOR + 2.750%

    22,290,882  
 

Numericable Group S.A.

 

EUR     5,815,380    

3.00%, 07/31/2025, 3 mo. EURIBOR + 3.000%

    6,365,124  
$     17,347,818    

4.54%, 07/31/2025, 1 mo. USD LIBOR + 2.750%

    16,767,707  
 

PSAV Holdings LLC

 
    28,087,899    

5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    26,982,078  
    8,180,000    

9.50%, 09/01/2025, 3 mo. USD LIBOR + 7.250%

    7,648,300  
    14,350,000    

Shutterfly, Inc. 0.00%, 10/01/2026, 1 mo. USD LIBOR + 6.000%(9)

    13,650,438  
    5,714,286    

Sinclair Television Group, Inc. 4.43%, 09/30/2026, 1 mo. USD LIBOR + 2.500%

    5,716,057  
    19,200,000    

Telenet Financing USD LLC 4.17%, 08/15/2026, 1 mo. USD LIBOR + 2.250%

    19,165,248  
GBP     12,075,000    

Virgin Media Investment Holdings Ltd. 3.96%, 11/15/2027, 3 mo. GBP LIBOR + 3.250%

    15,548,444  
 

Web.com Group, Inc.

 
$     15,463,923    

5.66%, 10/10/2025, 3 mo. USD LIBOR + 3.750%

    15,034,799  
    4,533,559    

9.66%, 10/09/2026, 1 mo. USD LIBOR + 7.750%

    4,349,405  
    7,341,047    

William Morris Endeavor Entertainment LLC 4.60%, 05/18/2025, 1 mo. USD LIBOR + 2.750%

    7,085,652  
EUR     7,235,000    

Ziggo B.V. 0.00%, 01/31/2029, 1 mo. EURIBOR + 3.000%(9)

    8,022,150  
$     18,750,000    

Ziggo Secured Finance Partnership 4.42%, 04/15/2025, 1 mo. USD LIBOR + 2.500%

    18,508,688  
     

 

 

 
    376,320,780  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  62  

 


The Hartford Floating Rate Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Metal Fabricate/Hardware - 0.9%  
$     1,295,859    

Ameriforge Group, Inc. 9.10%, 06/08/2022, 3 mo. USD LIBOR + 7.000%

  $ 1,289,380  
    14,821,873    

NN, Inc. 5.54%, 10/19/2022, 1 mo. USD LIBOR + 3.750%

    14,377,217  
    10,907,641    

Rexnord LLC 3.79%, 08/21/2024, 1 mo. USD LIBOR + 2.000%

    10,962,179  
     

 

 

 
    26,628,776  
 

 

 

 
      Miscellaneous Manufacturing - 1.1%  
    15,433,266    

Core & Main LP 4.81%, 08/01/2024, 6 mo. USD LIBOR + 2.750%

    15,066,726  
    3,380,000    

Tamko Building Products, Inc. 5.09%, 06/01/2026, 1 mo. USD LIBOR + 3.250%

    3,380,000  
    15,179,500    

USI, Inc. 5.10%, 05/16/2024, 3 mo. USD LIBOR + 3.000%

    14,720,320  
     

 

 

 
    33,167,046  
 

 

 

 
      Oil & Gas - 3.5%  
    2,813,333    

Ascent Resources - Marcellus LLC 8.41%, 03/30/2023, 1 mo. USD LIBOR + 6.500%

    2,672,667  
 

BCP Raptor LLC

 
    22,327,761    

6.04%, 06/24/2024, 2 mo. USD LIBOR + 4.250%

    19,564,700  
    14,322,675    

6.54%, 11/03/2025, 1 mo. USD LIBOR + 4.750%

    12,550,244  
 

Fieldwood Energy LLC

 
    8,674,446    

7.18%, 04/11/2022, 1 mo. USD LIBOR + 5.250%

    6,930,883  
    5,050,000    

9.18%, 04/11/2023, 1 mo. USD LIBOR + 7.250%

    2,398,750  
    3,131,820    

KCA Deutag Alpha Ltd. 8.54%, 02/28/2023, 3 mo. USD LIBOR + 6.750%

    1,967,253  
    19,307,870    

NorthRiver Midstream Finance L.P. 5.35%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    18,976,933  
    12,167,152    

PES Holdings LLC 5.62%, 12/31/2022, 1 mo. USD LIBOR + 6.990%(9)(10)

    3,670,465  
 

PowerTeam Services LLC

 
    21,231,035    

5.35%, 03/06/2025, 3 mo. USD LIBOR + 3.250%

    18,285,229  
    2,330,000    

9.35%, 03/06/2026, 3 mo. USD LIBOR + 7.250%

    1,631,000  
    13,573,487    

Traverse Midstream Partners LLC 5.80%, 09/27/2024, 3 mo. USD LIBOR + 4.000%

    11,876,801  
    9,366,704    

Ultra Resources, Inc. 2.53%, 04/12/2024, 1 mo. USD LIBOR + 3.750%

    5,516,333  
     

 

 

 
    106,041,258  
 

 

 

 
      Oil & Gas Services - 0.9%  
    3,780,000    

Buckeye Partners L.P. 0.00%, 11/01/2026, 1 mo. USD LIBOR + 2.750%(9)

    3,796,556  
    16,178,288    

Lower Cadence Holdings LLC 5.80%, 05/22/2026, 1 mo. USD LIBOR + 4.000%

    15,005,362  
 

Utex Industries, Inc.

 
    6,905,622    

5.00%, 05/22/2021, 1 mo. USD LIBOR + 4.000%

    5,282,801  
    3,000,000    

9.04%, 05/22/2022, 1 mo. USD LIBOR + 7.250%

    1,575,000  
     

 

 

 
    25,659,719  
 

 

 

 
      Packaging & Containers - 3.7%  
    26,901,057    

Berlin Packaging LLC 5.00%, 11/07/2025, 1 mo. USD LIBOR + 3.000%

    26,094,025  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Packaging & Containers - 3.7% - (continued)  
 

Berry Global, Inc.

 
EUR     2,982,525    

2.50%, 07/01/2026, 3 mo. EURIBOR + 2.500%

  $ 3,349,495  
$     11,827,416    

3.88%, 10/01/2022, 3 mo. USD LIBOR + 2.000%

    11,856,985  
 

Flex Acquisition Co., Inc.

 
    23,843,896    

5.10%, 12/29/2023, 3 mo. USD LIBOR + 3.000%

    22,493,854  
    21,316,996    

5.35%, 06/29/2025, 1 mo. USD LIBOR + 3.250%

    20,138,593  
    3,105,000    

Proampac PG Borrower LLC 10.62%, 11/18/2024, 1 mo. USD LIBOR + 8.500%

    2,872,125  
    24,671,844    

Reynolds Group Holdings, Inc. 4.54%, 02/05/2023, 1 mo. USD LIBOR + 2.750%

    24,658,274  
     

 

 

 
    111,463,351  
 

 

 

 
      Pharmaceuticals - 1.8%  
    15,109,924    

Bausch Health Companies, Inc. 4.92%, 06/02/2025, 1 mo. USD LIBOR + 3.000%

    15,158,729  
    7,298,325    

Catalent Pharma Solutions, Inc. 4.04%, 05/18/2026, 1 mo. USD LIBOR + 2.250%

    7,298,325  
    13,495,893    

Endo Luxembourg Finance Co., S.a.r.l. 6.06%, 04/29/2024, 1 mo. USD LIBOR + 4.250%

    12,389,230  
    4,554,429    

NVA Holdings, Inc. 4.54%, 02/02/2025, 3 mo. USD LIBOR + 2.750%

    4,548,736  
    15,775,000    

Sunshine Luxembourg S.a.r.l. 6.35%, 10/01/2026, 1 mo. USD LIBOR + 4.250%

    15,781,625  
     

 

 

 
    55,176,645  
 

 

 

 
      Real Estate - 0.9%  
    26,569,318    

VICI Properties LLC 3.85%, 12/20/2024, 1 mo. USD LIBOR + 2.000%

    26,647,698  
     

 

 

 
      REITS - 0.7%  
    20,277,496    

MGM Growth Properties Operating Partnership L.P. 3.79%, 03/21/2025, 1 mo. USD LIBOR + 2.000%

    20,328,189  
     

 

 

 
      Retail - 5.2%  
    33,105,375    

B.C. Unlimited Liability Co. 4.04%, 02/16/2024, 1 mo. USD LIBOR + 2.250%

    33,130,204  
    23,298,200    

Bass Pro Group LLC 6.79%, 09/25/2024, 1 mo. USD LIBOR + 5.000%

    22,445,253  
    3,498,295    

Belron Finance U.S. LLC 4.46%, 11/07/2024, 1 mo. USD LIBOR + 2.500%

    3,493,923  
 

Coty, Inc.

 
EUR     8,253,013    

2.50%, 04/07/2025, 1 mo. EURIBOR + 2.500%

    9,018,190  
$     11,346,654    

4.23%, 04/07/2025, 1 mo. USD LIBOR + 2.250%

    10,949,521  
    7,443,750    

Foundation Building Materials Holding Co. LLC 4.79%, 08/13/2025, 1 mo. USD LIBOR + 3.000%

    7,434,445  
    5,081,967    

Harbor Freight Tools USA, Inc. 4.29%, 08/18/2023, 1 mo. USD LIBOR + 2.500%

    4,969,198  
    3,931,864    

Michaels Stores, Inc. 4.31%, 01/30/2023, 1 mo. USD LIBOR + 2.500%

    3,827,945  
    3,683,435    

Neiman Marcus Group Ltd. LLC 7.99%, 10/25/2023, 1 mo. USD LIBOR + 6.000%

    2,675,610  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  63  

 


The Hartford Floating Rate Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Retail - 5.2% - (continued)  
$     12,277,185    

PetSmart, Inc. 5.93%, 03/11/2022, 1 mo. USD LIBOR + 4.000%

  $ 11,952,330  
    6,284,779    

Rodan & Fields LLC 5.92%, 06/16/2025, 1 mo. USD LIBOR + 4.000%

    5,098,527  
    13,677,054    

Sports Authority, Inc. 0.00%, 11/16/2020, 1 mo. USD LIBOR + 6.000%(9)(10)

    13,677  
    17,182,458    

Staples, Inc. 7.12%, 04/16/2026, 3 mo. USD LIBOR + 5.000%

    16,919,738  
    23,491,974    

U.S. Foods, Inc. 3.79%, 06/27/2023, 1 mo. USD LIBOR + 2.000%

    23,553,758  
     

 

 

 
    155,482,319  
 

 

 

 
      Semiconductors - 0.3%  
    9,535,815    

Microchip Technology, Inc. 3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

    9,547,734  
     

 

 

 
      Software - 6.8%  
    16,489,975    

Almonde, Inc. 5.70%, 06/13/2024, 3 mo. USD LIBOR + 3.500%

    15,737,702  
    26,588,856    

Change Healthcare Holdings LLC 4.29%, 03/01/2024, 1 mo. USD LIBOR + 2.500%

    26,416,560  
    15,007,305    

Cypress Intermediate Holdings, Inc. 4.54%, 04/29/2024, 1 mo. USD LIBOR + 2.750%

    14,736,573  
    20,114,008    

Epicor Software Corp. 5.04%, 06/01/2022, 1 mo. USD LIBOR + 3.250%

    20,038,581  
    17,639,588    

EVO Payments International LLC 5.05%, 12/22/2023, 1 mo. USD LIBOR + 3.250%

    17,646,997  
    2,325,000    

Hyland Software, Inc. 8.79%, 07/07/2025, 1 mo. USD LIBOR + 7.000%

    2,327,906  
 

Infor U.S., Inc.

 
EUR     3,673,942    

3.25%, 02/01/2022, 3 mo. EURIBOR + 2.250%

    4,101,931  
$     11,269,498    

4.85%, 02/01/2022, 1 mo. USD LIBOR + 2.750%

    11,269,498  
    1,395,182    

MA FinanceCo. LLC 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    1,352,461  
    5,330,000    

Navicure, Inc. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 4.000%(9)

    5,310,012  
 

Quest Software U.S. Holdings, Inc.

 
    5,844,722    

6.18%, 05/16/2025, 3 mo. USD LIBOR + 4.250%

    5,693,753  
    2,000,000    

10.18%, 05/18/2026, 3 mo. USD LIBOR + 8.250%

    1,958,340  
    9,592,278    

Seattle Spinco, Inc. 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    9,298,563  
    2,971,229    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    2,976,191  
    31,046,114    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    31,116,772  
    7,000,000    

Ultimate Software Group, Inc. 5.54%, 05/04/2026, 1 mo. USD LIBOR + 3.750%

    7,010,710  
    13,662,280    

Western Digital Corp. 3.75%, 04/29/2023, 1 mo. USD LIBOR + 1.750%

    13,604,215  
    12,597,552    

WEX, Inc. 4.04%, 05/15/2026, 1 mo. USD LIBOR + 2.250%

    12,635,849  
     

 

 

 
    203,232,614  
 

 

 

 
      Telecommunications - 4.9%  
    13,653,441    

Altice France S.A. 5.61%, 01/31/2026, 3 mo. USD LIBOR + 3.688%

    13,307,190  
    39,496,201    

CenturyLink, Inc. 4.54%, 01/31/2025, 1 mo. USD LIBOR + 2.750%

    39,066,877  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 83.8%(7) - (continued)  
      Telecommunications - 4.9% - (continued)  
$     11,902,500    

Level 3 Financing, Inc. 4.04%, 02/22/2024, 1 mo. USD LIBOR + 2.250%

  $ 11,911,427  
 

Masmovil Holdphone S.A.

 
EUR     1,480,485    

0.00%, 05/07/2026, 1 mo. USD LIBOR + 3.250%(8)(9)

    1,651,184  
    9,253,026    

3.25%, 05/07/2026, 1 mo. USD LIBOR + 3.250%

    10,319,896  
 

Sprint Communications, Inc.

 
$     43,983,841    

4.31%, 02/02/2024, 1 mo. USD LIBOR + 2.500%

    43,452,516  
    8,998,908    

4.81%, 02/02/2024, 1 mo. USD LIBOR + 3.000%

    8,938,885  
    7,869,507    

Univision Communications, Inc. 4.54%, 03/15/2024, 1 mo. USD LIBOR + 2.750%

    7,581,247  
    7,816,050    

Zacapa LLC 7.10%, 07/02/2025, 1 mo. USD LIBOR + 5.000%

    7,824,179  
    3,501,986    

Zayo Group LLC 4.04%, 01/19/2024, 1 mo. USD LIBOR + 2.250%

    3,505,243  
     

 

 

 
    147,558,644  
 

 

 

 
      Textiles - 0.2%  
 

International Textile Group, Inc.

 
    3,390,625    

7.03%, 05/01/2024, 3 mo. USD LIBOR + 5.000%

    2,627,734  
    3,500,000    

11.03%, 05/01/2025, 3 mo. USD LIBOR + 9.000%

    2,380,000  
     

 

 

 
    5,007,734  
 

 

 

 
          Transportation - 0.5%  
    2,901,638    

B.C. Unlimited Liability Co. 6.10%, 04/06/2026, 1 mo. USD LIBOR + 4.000%

    2,905,730  
    5,397,046    

Dynasty Acquisition Co., Inc. 6.10%, 04/06/2026, 1 mo. USD LIBOR + 4.000%

    5,404,656  
    7,702,923    

Savage Enterprises LLC 5.93%, 08/01/2025, 1 mo. USD LIBOR + 4.000%

    7,757,459  
     

 

 

 
        16,067,845  
     

 

 

 
   

Total Senior Floating Rate Interests
(cost $2,611,244,842)

  $ 2,522,181,983  
     

 

 

 
CONVERTIBLE BONDS - 0.2%  
          Media - 0.2%  
    4,750,000    

Scripps Escrow, Inc. 5.88%, 07/15/2027(1)

  $ 4,867,325  
     

 

 

 
   

Total Convertible Bonds
(cost $4,780,577)

  $ 4,867,325  
     

 

 

 
COMMON STOCKS - 0.7%  
          Consumer Services - 0.0%  
    57,891    

Caesars Entertainment Corp.*

  $ 710,902  
     

 

 

 
          Energy - 0.4%  
    2,037,975    

Ascent Resources - Marcellus LLC Class A*(11)(12)

    4,075,950  
    418,220,006    

KCA Deutag*(11)(12)(13)

    1,341,232  
    43,330    

Paragon Offshore Ltd., Litigation*

    222,422  
    544,947    

Philadelphia Energy Solutions Class A*

    68,118  
    389,285    

Templar Energy LLC Class A*

     
    112,212    

Texgen Power LLC*(11)(12)

    4,937,328  
     

 

 

 
        10,645,050  
     

 

 

 
          Insurance - 0.3%  
    175,508    

AFG Holdings, Inc.*

    9,652,940  
     

 

 

 
   

Total Common Stocks
(cost $30,679,150)

  $ 21,008,892  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  64  

 


The Hartford Floating Rate Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
WARRANTS - 0.0%  
          Energy - 0.0%      
$     719,301    

Ascent Resources - Marcellus LLC Expires 3/30/23*(11)(12)

  $ 20,547  
     

 

 

 
        20,547  
     

 

 

 
   

Total Warrants
(cost $71,756)

  $ 20,547  
     

 

 

 
   

Total Long-Term Investments
(cost $2,825,240,815)

  $ 2,714,844,878  
     

 

 

 
SHORT-TERM INVESTMENTS - 12.3%  
          Other Investment Pools & Funds - 12.3%  
    370,253,050    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(14)

  $ 370,253,050  
     

 

 

 
   

Total Short-Term Investments
(cost $370,253,050)

  $ 370,253,050  
     

 

 

 
   

Total Investments
(cost $3,195,493,865)

    102.5    $ 3,085,097,928  
   

Other Assets and Liabilities

    (2.5 )%       (75,721,507
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $ 3,009,376,421  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $107,355,748, representing 3.6% of net assets.

 

(2) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $18,927,032, representing 0.6% of net assets.

 

(3) 

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

(4) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

(5) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(6) 

Security has the ability to pay in kind (“PIK”) or pay income in cash. When applicable, separate rates of such payments are disclosed.

 

(7) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(8) 

This security, or a portion of this security, has unfunded loan commitments. As of October 31, 2019, the aggregate value of the unfunded commitment was $5,781,697, which rounds to 0.0% of total net assets.

 

(9) 

Represents an unsettled loan commitment. The coupon rate will be determined at time of settlement.

 

(10) 

Non-income producing. For long-term debt securities, items identified are in default as to payment of interest and/or principal.

 

(11) 

Investment valued using significant unobservable inputs.

 

(12) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $10,375,057, which represented 0.3% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(13) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $1,341,232 or 0.0% of net assets.

 

Period
Acquired
    

Security Name

   Shares/
Par Value
     Base
Total Cost
     Base
Market Value
 
  03/2011      KCA Deutag      418,220,006      $     5,667,717      $     1,341,232  

 

(14) 

Current yield as of period end.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  65  

 


The Hartford Floating Rate Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

OTC Total Return Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counterparty      Notional
Amount
     Payments
received (paid)
by the Fund
     Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 

Markit iBoxx USD Liquid Leveraged Loan Index

     GSC        USD       4,025,000        (1.00%)        03/20/20        Semi-Annual      $      $ (18,473   $ (16,761   $ 1,712  

Markit iBoxx USD Liquid Leveraged Loan Index

     MSC        USD       3,675,000        (1.00%)        06/20/20        Annual               (16,436     (5,869     10,567  
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

                    $     —      $     (34,909   $     (22,630   $     12,279  
                   

 

 

    

 

 

   

 

 

   

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
     Amount and Description of
Currency to be Sold
     Counterparty      Settlement
Date
    Appreciation     Depreciation  
  2,870,000        EUR        3,197,602        USD        BNP        11/29/19     $ 9,310     $  
  4,571,929        USD        4,119,000        EUR        BMO        11/29/19             (30,604
  189,674,429        USD        170,624,694        EUR        CBK        11/29/19             (980,050
  23,407,324        USD        18,216,071        GBP        BCLY        11/29/19             (210,204
                

 

 

   

 

 

 
  Total                    $     9,310     $     (1,220,858
                

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1      Level 2     Level 3(1)  

Assets

 

Corporate Bonds

   $ 166,766,131     $      $ 166,766,131     $  

Senior Floating Rate Interests

     2,522,181,983              2,522,181,983        

Convertible Bonds

     4,867,325              4,867,325        

Common Stocks

 

Consumer Services

     710,902       710,902               

Energy

     10,645,050              290,540       10,354,510  

Insurance

     9,652,940              9,652,940        

Warrants

     20,547                    20,547  

Short-Term Investments

     370,253,050       370,253,050               

Foreign Currency Contracts(2)

     9,310              9,310        

Swaps - Total Return(2)

     12,279              12,279        
  

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $     3,085,119,517     $     370,963,952      $     2,703,780,508     $     10,375,057  
  

 

 

   

 

 

    

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (1,220,858   $      $ (1,220,858   $  
  

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $ (1,220,858   $      $ (1,220,858   $  
  

 

 

   

 

 

    

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  66  

 


The Hartford Floating Rate High Income Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 10.1%  
      Advertising - 0.0%  
$     300,000    

Acosta, Inc. 7.75%, 10/01/2022(1)

  $ 12,000  
     

 

 

 
      Aerospace/Defense - 0.4%  
    600,000    

TransDigm UK Holdings plc 6.88%, 05/15/2026

    639,000  
    1,170,000    

TransDigm, Inc. 5.50%, 11/15/2027(1)(2)

    1,166,127  
     

 

 

 
    1,805,127  
 

 

 

 
      Airlines - 0.3%  
    1,150,000    

Bombardier, Inc. 7.88%, 04/15/2027(1)

    1,083,875  
     

 

 

 
      Auto Parts & Equipment - 0.5%  
    1,250,000    

Adient Global Holdings Ltd. 4.88%, 08/15/2026(1)

    984,375  
 

Panther BF Aggregator 2 L.P. / Panther Finance Co., Inc.

 
EUR     925,000    

4.38%, 05/15/2026(3)

    1,039,390  
$     200,000    

8.50%, 05/15/2027(1)

    201,500  
     

 

 

 
    2,225,265  
 

 

 

 
      Coal - 0.0%  
    1,365,000    

Foresight Energy LLC / Foresight Energy Finance Corp. 11.50%, 04/01/2023(1)

    119,438  
     

 

 

 
      Commercial Banks - 0.6%  
    200,000    

Banco Bilbao Vizcaya Argentaria S.A. 6.13%, 11/16/2027, (6.13% fixed rate until 11/16/2027; 5 year USD Swap + 3.870% thereafter)(4)(5)

    196,750  
EUR     1,310,000    

Banco Santander S.A. 1.00%, 12/15/2024(4)(6)

    1,298,502  
$     1,115,000    

Freedom Mortgage Corp. 8.13%, 11/15/2024(1)

    1,045,312  
     

 

 

 
    2,540,564  
 

 

 

 
      Commercial Services - 1.8%  
 

APX Group, Inc.

 

    1,350,000    

7.88%, 12/01/2022

    1,348,312  
    1,675,000    

8.50%, 11/01/2024(1)

    1,662,437  
    686,000    

8.75%, 12/01/2020

    675,710  
    510,000    

Ashtead Capital, Inc. 4.25%, 11/01/2029(1)(2)

    515,100  
EUR     800,000    

Banco de Sabadell S.A. 6.13%, 11/23/2022, (6.13% fixed rate until 11/23/2022; 5 year EUR Swap + 6.051% thereafter)(3)(4)(5)

    897,861  
$     940,000    

Brand Industrial Services, Inc. 8.50%, 07/15/2025(1)

    911,800  
    735,000    

GW B-CR Security Corp. 9.50%, 11/01/2027(1)

    755,213  
EUR     620,000    

La Financiere Atalian SASU 4.00%, 05/15/2024(3)

    459,700  
     

 

 

 
    7,226,133  
 

 

 

 
      Distribution/Wholesale - 0.1%  
$     405,000    

Core & Main Holdings L.P. (8.63% Cash, 9.38% PIK) 8.63%, 09/15/2024(1)(7)

    402,975  
     

 

 

 
      Environmental Control - 0.3%  
    1,074,000    

CD&R Waterworks Merger Sub LLC 6.13%, 08/15/2025(1)

    1,091,452  
     

 

 

 
      Food - 0.1%  
    425,000    

B&G Foods, Inc. 5.25%, 09/15/2027

    423,938  
     

 

 

 
          Household Products - 0.4%  
    425,000    

Coty, Inc. 6.50%, 04/15/2026(1)

    435,446  
    1,400,000    

Revlon Consumer Products Corp. 5.75%, 02/15/2021

    1,211,000  
     

 

 

 
    1,646,446  
 

 

 

 
      Household Products/Wares - 0.2%  
EUR     910,000    

Diamond (BC) B.V. 5.63%, 08/15/2025(3)

    928,857  
     

 

 

 
      Insurance - 0.5%  
 

Acrisure LLC / Acrisure Finance, Inc.

 

$     1,250,000    

7.00%, 11/15/2025(1)

    1,143,750  
    355,000    

10.13%, 08/01/2026(1)

    367,425  
    400,000    

HUB International Ltd. 7.00%, 05/01/2026(1)

    411,500  
     

 

 

 
    1,922,675  
 

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 10.1% - (continued)  
      Internet - 0.7%  
$     2,150,000    

Photo Holdings Merger Sub, Inc. 8.50%, 10/01/2026(1)

  $ 1,892,279  
    1,050,000    

Symantec Corp. 5.00%, 04/15/2025(1)

    1,076,753  
     

 

 

 
    2,969,032  
 

 

 

 
      Media - 0.8%  
    675,000    

LCPR Senior Secured Financing DAC 6.75%, 10/15/2027(1)

    692,719  
EUR     525,000    

UPCB Finance VII Ltd. 3.63%, 06/15/2029(3)

    616,038  
GBP     950,000    

Virgin Media Secured Finance plc 4.25%, 01/15/2030(1)

    1,237,388  
EUR     790,000    

Ziggo B.V. 2.88%, 01/15/2030(1)

    893,202  
     

 

 

 
    3,439,347  
 

 

 

 
      Metal Fabricate/Hardware - 0.1%  
$     280,000    

Advanced Drainage Systems, Inc. 5.00%, 09/30/2027(1)

    286,300  
     

 

 

 
      Oil & Gas - 1.0%  
    1,375,000    

Blue Racer Midstream LLC / Blue Racer Finance Corp. 6.13%, 11/15/2022(1)

    1,350,937  
    625,000    

Centennial Resource Production LLC 5.38%, 01/15/2026(1)

    585,938  
    225,000    

Chesapeake Energy Corp. 7.00%, 10/01/2024

    151,875  
    775,000    

Jagged Peak Energy LLC 5.88%, 05/01/2026

    782,750  
 

QEP Resources, Inc.

 

    450,000    

5.38%, 10/01/2022

    441,036  
    425,000    

6.88%, 03/01/2021

    425,531  
    790,000    

Vine Oil & Gas L.P. / Vine Oil & Gas Finance Corp. 8.75%, 04/15/2023(1)

    300,200  
     

 

 

 
    4,038,267  
 

 

 

 
      Packaging & Containers - 0.4%  
    735,000    

Ardagh Packaging Finance plc / Ardagh Holdings USA, Inc. 5.25%, 08/15/2027(1)

    753,375  
    825,000    

Owens-Brockway Glass Container, Inc. 5.38%, 01/15/2025(1)

    832,219  
     

 

 

 
    1,585,594  
 

 

 

 
      Pharmaceuticals - 0.3%  
    450,000    

Par Pharmaceutical, Inc. 7.50%, 04/01/2027(1)

    427,500  
EUR     290,000    

Rossini S.a.r.l. 3.88%, 10/30/2025, 3 mo. EURIBOR + 3.875%(1)(8)

    327,216  
 

Teva Pharmaceutical Finance Netherlands B.V.

 
    200,000    

3.25%, 04/15/2022

    220,285  
    425,000    

4.50%, 03/01/2025

    438,724  
     

 

 

 
    1,413,725  
     

 

 

 
      Pipelines - 0.2%  
 

Tallgrass Energy Partners L.P. / Tallgrass Energy Finance Corp.

 
$     225,000    

5.50%, 09/15/2024(1)

    218,813  
    450,000    

5.50%, 01/15/2028(1)

    423,000  
     

 

 

 
    641,813  
 

 

 

 
      Retail - 0.5%  
    650,000    

Beacon Roofing Supply, Inc. 4.88%, 11/01/2025(1)

    638,657  
 

Ferrellgas L.P. / Ferrellgas Finance Corp.

 

    1,325,000    

6.50%, 05/01/2021

    1,113,000  
    300,000    

6.75%, 01/15/2022

    251,250  
     

 

 

 
    2,002,907  
 

 

 

 
      Software - 0.2%  
    640,000    

SS&C Technologies, Inc. 5.50%, 09/30/2027(1)

    684,800  
     

 

 

 
      Telecommunications - 0.4%  
    800,000    

Altice Financing S.A. 7.50%, 05/15/2026(1)

    850,000  
EUR     400,000    

Altice France S.A. 3.38%, 01/15/2028(1)

    446,945  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  67  

 


The Hartford Floating Rate High Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 10.1% - (continued)  
      Telecommunications - 0.4% - (continued)  
$     550,000    

Nokia Oyj 4.38%, 06/12/2027

  $ 560,175  
     

 

 

 
    1,857,120  
 

 

 

 
      Toys/Games/Hobbies - 0.1%  
    200,000    

Mattel, Inc. 6.75%, 12/31/2025(1)

    208,750  
     

 

 

 
      Trucking & Leasing - 0.2%  
    900,000    

Fly Leasing Ltd. 6.38%, 10/15/2021

    915,188  
     

 

 

 
 

Total Corporate Bonds
(cost $43,790,924)

  $ 41,471,588  
   

 

 

 
SENIOR FLOATING RATE INTERESTS - 81.4%(9)  
      Advertising - 0.1%  
    1,033,951    

Acosta Holdco, Inc. 7.00%, 09/26/2021, 1 mo. USD LIBOR + 3.250%

  $ 303,723  
     

 

 

 
      Aerospace/Defense - 1.2%  
 

TransDigm, Inc.

 

    2,141,854    

4.29%, 06/09/2023, 1 mo. USD LIBOR + 2.500%

    2,130,866  
    2,708,376    

4.29%, 05/30/2025, 1 mo. USD LIBOR + 2.500%

    2,686,195  
     

 

 

 
    4,817,061  
 

 

 

 
      Agriculture - 0.0%  
    656    

Pinnacle Operating Corp. 7.29%, 11/15/2021, 1 mo. USD LIBOR + 5.500%

    453  
     

 

 

 
      Auto Parts & Equipment - 1.1%  
    1,675,800    

Adient U.S. LLC 6.78%, 05/06/2024, 1 mo. USD LIBOR + 4.250%

    1,632,330  
    2,995,000    

Panther BF Aggregator L.P. 5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

    2,951,333  
     

 

 

 
    4,583,663  
 

 

 

 
      Biotechnology - 0.9%  
    3,872,004    

Sotera Health Holdings LLC 4.93%, 05/15/2022, 1 mo. USD LIBOR + 3.000%

    3,799,403  
     

 

 

 
      Chemicals - 1.3%  
EUR     1,255,404    

CTC AcquiCo GmbH 2.50%, 03/07/2025, 3 mo. EURIBOR + 2.500%

    1,388,054  
 

LTI Holdings, Inc.

 

$     2,857,785    

5.29%, 09/06/2025, 1 mo. USD LIBOR + 3.500%

    2,617,731  
    190,000    

8.54%, 09/06/2026, 1 mo. USD LIBOR + 6.750%

    160,788  
    1,097,601    

Tronox Finance LLC 4.66%, 09/23/2024, 3 mo. USD LIBOR + 2.750%

    1,086,767  
     

 

 

 
    5,253,340  
 

 

 

 
      Coal - 0.2%  
    1,666,950    

Foresight Energy LLC 7.87%, 03/28/2022, 3 mo. USD LIBOR + 5.750%

    847,361  
     

 

 

 
      Commercial Services - 6.5%  
 

Allied Universal Holdco LLC

 

    17,677    

0.00%, 07/10/2026, 1 mo. USD LIBOR + 4.250%(10)(11)

    17,538  
    178,536    

6.51%, 07/10/2026, 3 mo. USD LIBOR + 4.250%

    177,132  
    4,636,379    

APX Group, Inc. 6.79%, 04/01/2024, 2 mo. USD LIBOR + 5.000%

    4,555,243  
    445,000    

Belron Finance U.S. LLC 0.00%, 11/07/2026, 1 mo. USD LIBOR + 2.500%(11)

    444,862  
    4,238,800    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    4,196,413  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 81.4%(9) - (continued)  
      Commercial Services - 6.5% - (continued)  
$     4,305,000    

DCert Buyer, Inc. 5.79%, 10/16/2026, 1 mo. USD LIBOR + 4.000%

  $ 4,221,612  
    2,815,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%(11)

    2,821,446  
    795,000    

Garda World Security Corp. 0.00%, 10/30/2026, 1 mo. USD LIBOR + 4.750%(11)

    790,031  
    4,515,000    

PSAV Holdings LLC 6.49%, 10/15/2026, 1 mo. USD LIBOR + 4.500%

    4,419,056  
    1,104,235    

Trans Union LLC 4.04%, 06/19/2025, 1 mo. USD LIBOR + 2.000%

    1,105,273  
EUR     2,875,000    

Verisure Holding AB 3.50%, 10/21/2022, 3 mo. EURIBOR + 3.500%

    3,206,487  
$     819,296    

Weight Watchers International, Inc. 6.86%, 11/29/2024, 3 mo. USD LIBOR + 4.750%

    817,452  
     

 

 

 
    26,772,545  
 

 

 

 
      Construction Materials - 0.3%  
    1,143,891    

NCI Building Systems, Inc. 5.66%, 04/12/2025, 3 mo. USD LIBOR + 3.750%

    1,104,804  
     

 

 

 
      Distribution/Wholesale - 0.5%  
    108,652    

American Builders & Contractors Supply Co., Inc. 0.00%, 01/15/2027, 1 mo. USD LIBOR + 2.000%(11)

    108,449  
 

SRS Distribution, Inc.

 

    775,000    

0.00%, 05/23/2025, 1 mo. USD LIBOR + 4.500%(11)

    769,188  
    1,107,677    

5.04%, 05/23/2025, 1 mo. USD LIBOR + 3.250%

    1,070,293  
     

 

 

 
    1,947,930  
 

 

 

 
      Diversified Financial Services - 3.1%  
EUR     1,223,850    

AlixPartners LLP 3.25%, 04/04/2024, 3 mo. EURIBOR + 3.250%

    1,367,348  
$     1,510,888    

Aretec Group, Inc. 6.04%, 10/01/2025, 3 mo. USD LIBOR + 4.250%

    1,410,792  
 

Crown Finance U.S., Inc.

 

EUR     206,749    

2.38%, 02/28/2025, 1 mo. EURIBOR + 2.375%

    230,778  
$     1,943,316    

4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    1,915,721  
    691,472    

Financial & Risk U.S. Holdings, Inc. 5.54%, 10/01/2025, 1 mo. USD LIBOR + 3.750%

    694,757  
    1,532,300    

Minotaur Acquisition, Inc. 6.79%, 03/27/2026, 1 mo. USD LIBOR + 5.000%

    1,445,158  
EUR     3,195,241    

Nets Holding A/S 3.25%, 02/06/2025, 3 mo. EURIBOR + 3.250%

    3,529,512  
$     1,074,865    

NFP Corp. 4.79%, 01/08/2024, 1 mo. USD LIBOR + 3.000%

    1,041,856  
    1,215,508    

UFC Holdings LLC 5.04%, 04/29/2026, 1 mo. USD LIBOR + 3.250%

    1,213,989  
     

 

 

 
    12,849,911  
 

 

 

 
      Electrical Components & Equipment - 0.7%  
    3,095,000    

Virgin Media Bristol LLC 4.42%, 01/31/2028, 1 mo. USD LIBOR + 2.500%

    3,080,825  
     

 

 

 
      Energy-Alternate Sources - 2.4%  
    3,056,313    

BCP Renaissance Parent LLC 5.36%, 10/31/2024, 3 mo. USD LIBOR + 3.500%

    2,756,427  
    976,390    

Gulf Finance LLC 7.32%, 08/25/2023, 1 mo. USD LIBOR + 5.250%

    713,379  
    6,649,448    

Medallion Midland Acquisition LLC 5.04%, 10/30/2024, 1 mo. USD LIBOR + 3.250%

    6,233,858  
     

 

 

 
    9,703,664  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  68  

 


The Hartford Floating Rate High Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 81.4%(9) - (continued)  
      Engineering & Construction - 1.2%  
$     3,700,880    

Brand Energy & Infrastructure Services, Inc. 6.24%, 06/21/2024, 3 mo. USD LIBOR + 4.250%

  $ 3,589,853  
 

DG Investment Intermediate Holdings, Inc.

 

    864,889    

4.79%, 02/03/2025, 3 mo. USD LIBOR + 3.000%

    840,023  
    325,000    

8.54%, 02/02/2026, 3 mo. USD LIBOR + 6.750%

    312,000  
     

 

 

 
    4,741,876  
 

 

 

 
      Environmental Control - 0.4%  
EUR     1,433,345    

Fluidra Finco SLU 2.75%, 07/02/2025, 1 mo. EURIBOR + 2.750%

    1,608,601  
     

 

 

 
      Food - 1.0%  
$     305,000    

B&G Foods, Inc. 4.48%, 10/10/2026, 1 mo. USD LIBOR + 2.500%

    305,955  
EUR     210,000    

CHG PPC Parent LLC 3.50%, 03/31/2025, 1 mo. EURIBOR + 3.500%

    236,117  
$     1,700,000    

Post Holdings, Inc. 0.00%, 10/08/2026, 1 mo. USD LIBOR + 5.000%(11)

    1,694,696  
    2,020,000    

U.S. Foods, Inc. 3.79%, 09/13/2026, 1 mo. USD LIBOR + 2.000%

    2,025,333  
     

 

 

 
    4,262,101  
 

 

 

 
      Food Service - 0.1%  
    562,875    

CHG PPC Parent LLC 4.54%, 03/31/2025, 1 mo. USD LIBOR + 2.750%

    560,061  
     

 

 

 
      Healthcare-Products - 0.4%  
 

Lifescan Global Corp.

 

    1,384,483    

8.06%, 10/01/2024, 3 mo. USD LIBOR + 6.000%

    1,229,878  
    500,000    

11.56%, 09/26/2025, 3 mo. USD LIBOR + 9.500%

    427,500  
     

 

 

 
    1,657,378  
 

 

 

 
      Healthcare-Services - 7.8%  
    2,036,811    

CDRH Parent, Inc. 6.38%, 07/01/2021, 3 mo. USD LIBOR + 4.250%

    1,435,096  
    450,000    

CPI Holdco LLC 0.00%, 11/04/2026, 1 mo. USD LIBOR + 4.250%(11)

    448,875  
    1,261,518    

DentalCorp Perfect Smile ULC 5.54%, 06/06/2025, 1 mo. USD LIBOR + 3.750%

    1,231,027  
 

DuPage Medical Group Ltd.

 

    920,651    

4.54%, 08/15/2024, 1 mo. USD LIBOR + 2.750%

    901,778  
    395,660    

8.79%, 08/15/2025, 1 mo. USD LIBOR + 7.000%

    382,801  
    1,230,000    

Emerald TopCo, Inc. 5.29%, 07/24/2026, 1 mo. USD LIBOR + 3.500%

    1,209,705  
    680,000    

Ensemble RCM LLC 6.00%, 08/03/2026, 1 mo. USD LIBOR + 3.750%

    678,905  
    2,479,995    

Gentiva Health Services, Inc. 5.56%, 07/02/2025, 1 mo. USD LIBOR + 3.750%

    2,473,795  
EUR     3,991,266    

IQVIA, Inc. 2.00%, 06/11/2025, 3 mo. EURIBOR + 2.000%

    4,457,022  
 

MED ParentCo L.P.

 

$     775,594    

1.30%, 08/31/2026, 1 mo. USD LIBOR + 4.250%(10)

    763,153  
    3,106,050    

6.04%, 08/31/2026, 1 mo. USD LIBOR + 4.250%

    3,056,229  
    1,358,566    

MPH Acquisition Holdings LLC 4.85%, 06/07/2023, 3 mo. USD LIBOR + 2.750%

    1,271,033  
    864,809    

Sound Inpatient Physicians 4.54%, 06/27/2025, 1 mo. USD LIBOR + 2.750%

    861,029  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 81.4%(9) - (continued)  
      Healthcare-Services - 7.8% - (continued)  
$     660,701    

Surgery Center Holdings, Inc. 5.04%, 09/02/2024, 1 mo. USD LIBOR + 3.250%

  $ 637,028  
    12,725,000    

Zelis Healthcare Corp. 0.00%, 09/30/2026, 1 mo. USD LIBOR + 4.750%(11)

    12,576,499  
     

 

 

 
    32,383,975  
 

 

 

 
      Household Products - 1.5%  
    3,858,029    

Diamond (BC) B.V. 4.93%, 09/06/2024, 2 mo. USD LIBOR + 3.000%

    3,586,038  
    3,464,604    

Revlon Consumer Products Corp. 5.62%, 09/07/2023, 1 mo. USD LIBOR + 3.500%

    2,712,508  
     

 

 

 
    6,298,546  
 

 

 

 
      Insurance - 5.5%  
    3,470,681    

Acrisure LLC 6.35%, 11/22/2023, 1 mo. USD LIBOR + 4.250%

    3,401,267  
 

Asurion LLC

 

    279,849    

4.79%, 11/03/2023, 1 mo. USD LIBOR + 3.000%

    280,148  
    9,071,458    

4.79%, 11/03/2024, 1 mo. USD LIBOR + 3.000%

    9,077,173  
    2,320,000    

8.29%, 08/04/2025, 1 mo. USD LIBOR + 6.500%

    2,329,280  
    3,261,262    

Genworth Holdings, Inc. 6.32%, 03/07/2023, 1 mo. USD LIBOR + 4.500%

    3,253,109  
    1,481,928    

Hub International Ltd. 4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    1,448,318  
    3,113,465    

Sedgwick Claims Management Services, Inc. 5.04%, 12/31/2025, 1 mo. USD LIBOR + 3.250%

    3,017,633  
     

 

 

 
    22,806,928  
 

 

 

 
      Leisure Time - 2.2%  
    6,149,487    

Caesars Resort Collection LLC 4.54%, 12/23/2024, 1 mo. USD LIBOR + 2.750%

    6,054,047  
    3,193,481    

Penn National Gaming, Inc. 4.04%, 10/15/2025, 3 mo. USD LIBOR + 2.250%

    3,203,061  
     

 

 

 
    9,257,108  
 

 

 

 
      Lodging - 2.0%  
    8,281,539    

Caesars Entertainment Operating Co. 3.79%, 10/07/2024, 1 mo. USD LIBOR + 2.000%

    8,276,405  
     

 

 

 
      Media - 13.1%  
 

Altice Financing S.A.

 

    2,089,825    

4.60%, 01/31/2026, 3 mo. USD LIBOR + 2.750%

    2,009,597  
    2,437,500    

4.66%, 07/15/2025, 3 mo. USD LIBOR + 2.750%

    2,350,871  
    2,362,816    

Charter Communications Operating LLC 3.54%, 04/30/2025, 1 mo. USD LIBOR + 1.750%

    2,365,439  
 

CSC Holdings LLC

 

    1,563,362    

4.17%, 07/17/2025, 1 mo. USD LIBOR + 2.250%

    1,554,028  
    484,609    

4.33%, 04/15/2027, 1 mo. USD LIBOR + 2.500%

    483,741  
    3,215,700    

Gray Television, Inc. 4.51%, 01/02/2026, 1 mo. ICE LIBOR + 2.500%

    3,222,228  
    9,475,339    

Houghton Mifflin Harcourt Publishing Co. 4.79%, 05/31/2021, 1 mo. USD LIBOR + 3.000%

    9,392,429  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  69  

 


The Hartford Floating Rate High Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 81.4%(9) - (continued)  
      Media - 13.1% - (continued)  
$     2,752,880    

ION Media Networks, Inc. 4.81%, 12/18/2024, 1 mo. USD LIBOR + 3.000%

  $ 2,735,674  
    566,506    

Maxar Technologies Ltd. 4.85%, 10/04/2024, 1 mo. USD LIBOR + 2.750%

    499,704  
    2,819,604    

MTN Infrastructure TopCo, Inc. 4.79%, 11/15/2024, 1 mo. USD LIBOR + 3.000%

    2,783,175  
    400,000    

NASCAR Holdings, Inc. 0.00%, 10/19/2026, 1 mo. USD LIBOR + 2.750%(11)

    401,812  
    2,775,000    

Nexstar Broadcasting, Inc. 4.55%, 09/18/2026, 1 mo. USD LIBOR + 2.750%

    2,783,852  
 

Numericable Group S.A.

 

EUR     902,648    

3.00%, 07/31/2025, 3 mo. EURIBOR + 3.000%

    987,978  
$     2,292,721    

4.54%, 07/31/2025, 1 mo. USD LIBOR + 2.750%

    2,216,053  
 

PSAV Holdings LLC

 

    2,951,592    

5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    2,835,388  
    2,225,000    

9.50%, 09/01/2025, 3 mo. USD LIBOR + 7.250%

    2,080,375  
    2,625,000    

Shutterfly, Inc. 0.00%, 10/01/2026, 1 mo. USD LIBOR + 6.000%(11)

    2,497,031  
    803,571    

Sinclair Television Group, Inc. 4.43%, 09/30/2026, 1 mo. USD LIBOR + 2.500%

    803,821  
    2,705,000    

Telenet Financing USD LLC 4.17%, 08/15/2026, 1 mo. USD LIBOR + 2.250%

    2,700,104  
 

Web.com Group, Inc.

 

    4,484,466    

5.66%, 10/10/2025, 3 mo. USD LIBOR + 3.750%

    4,360,022  
    625,697    

9.66%, 10/09/2026, 1 mo. USD LIBOR + 7.750%

    600,281  
    1,103,986    

William Morris Endeavor Entertainment LLC 4.60%, 05/18/2025, 1 mo. USD LIBOR + 2.750%

    1,065,579  
EUR     995,000    

Ziggo B.V. 0.00%, 01/31/2029, 1 mo. EURIBOR + 3.000%(11)

    1,103,253  
$     2,425,000    

Ziggo Secured Finance Partnership 4.42%, 04/15/2025, 1 mo. USD LIBOR + 2.500%

    2,393,790  
     

 

 

 
    54,226,225  
 

 

 

 
      Metal Fabricate/Hardware - 0.7%  
    257,047    

Ameriforge Group, Inc. 9.10%, 06/08/2022, 3 mo. USD LIBOR + 7.000%

    255,762  
    2,751,042    

NN, Inc. 5.54%, 10/19/2022, 1 mo. USD LIBOR + 3.750%

    2,668,511  
     

 

 

 
    2,924,273  
 

 

 

 
      Miscellaneous Manufacturing - 1.1%  
    1,507,708    

Core & Main LP 4.81%, 08/01/2024, 6 mo. USD LIBOR + 2.750%

    1,471,900  
    965,000    

Tamko Building Products, Inc. 5.09%, 06/01/2026, 1 mo. USD LIBOR + 3.250%

    965,000  
    2,104,909    

USI, Inc. 5.10%, 05/16/2024, 3 mo. USD LIBOR + 3.000%

    2,041,236  
     

 

 

 
    4,478,136  
 

 

 

 
      Oil & Gas - 4.0%  
    260,000    

Ascent Resources - Marcellus LLC 8.41%, 03/30/2023, 1 mo. USD LIBOR + 6.500%

    247,000  
 

BCP Raptor LLC

 

    3,989,554    

6.04%, 06/24/2024, 2 mo. USD LIBOR + 4.250%

    3,495,846  
    4,705,713    

6.54%, 11/03/2025, 1 mo. USD LIBOR + 4.750%

    4,123,381  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 81.4%(9) - (continued)  
      Oil & Gas - 4.0% - (continued)  
 

Fieldwood Energy LLC

 

$     1,215,000    

7.18%, 04/11/2022, 1 mo. USD LIBOR + 5.250%

  $ 970,785  
    575,000    

9.18%, 04/11/2023, 1 mo. USD LIBOR + 7.250%

    273,125  
    579,310    

KCA Deutag Alpha Ltd. 8.54%, 02/28/2023, 3 mo. USD LIBOR + 6.750%

    363,894  
    2,184,188    

NorthRiver Midstream Finance L.P. 5.35%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    2,146,751  
 

PowerTeam Services LLC

 

    2,058,953    

5.35%, 03/06/2025, 3 mo. USD LIBOR + 3.250%

    1,773,273  
    585,000    

9.35%, 03/06/2026, 3 mo. USD LIBOR + 7.250%

    409,500  
    2,089,355    

Traverse Midstream Partners LLC 5.80%, 09/27/2024, 3 mo. USD LIBOR + 4.000%

    1,828,186  
    1,290,813    

Ultra Resources, Inc. 5.80%, 04/12/2024, 1 mo. USD LIBOR + 3.750%

    760,199  
     

 

 

 
    16,391,940  
 

 

 

 
      Oil & Gas Services - 1.3%  
    515,000    

Buckeye Partners L.P. 0.00%, 11/01/2026, 1 mo. USD LIBOR + 2.750%(11)

    517,256  
    4,445,988    

Lower Cadence Holdings LLC 5.80%, 05/22/2026, 1 mo. USD LIBOR + 4.000%

    4,123,653  
 

Utex Industries, Inc.

 

    459,993    

5.00%, 05/22/2021, 1 mo. USD LIBOR + 4.000%

    351,894  
    750,000    

9.04%, 05/22/2022, 1 mo. USD LIBOR + 7.250%

    393,750  
     

 

 

 
    5,386,553  
 

 

 

 
      Packaging & Containers - 3.9%  
    5,483,115    

Berlin Packaging LLC 5.00%, 11/07/2025, 1 mo. USD LIBOR + 3.000%

    5,318,622  
 

Berry Global, Inc.

 

EUR     837,900    

2.50%, 07/01/2026, 3 mo. EURIBOR + 2.500%

    940,995  
$     440,000    

3.88%, 10/01/2022, 3 mo. USD LIBOR + 2.000%

    441,100  
EUR     532,610    

Crown European Holdings S.A. 2.38%, 04/03/2025, 1 mo. EURIBOR + 2.375%

    595,867  
 

Flex Acquisition Co., Inc.

 

$     2,841,026    

5.10%, 12/29/2023, 3 mo. USD LIBOR + 3.000%

    2,680,167  
    4,343,732    

5.35%, 06/29/2025, 1 mo. USD LIBOR + 3.250%

    4,103,610  
    970,000    

Proampac PG Borrower LLC 10.62%, 11/18/2024, 1 mo. USD LIBOR + 8.500%

    897,250  
    1,179,965    

Reynolds Group Holdings, Inc. 4.54%, 02/05/2023, 1 mo. USD LIBOR + 2.750%

    1,179,316  
     

 

 

 
    16,156,927  
 

 

 

 
      Pharmaceuticals - 1.7%  
    1,457,675    

Catalent Pharma Solutions, Inc. 4.04%, 05/18/2026, 1 mo. USD LIBOR + 2.250%

    1,457,675  
    1,877,656    

Endo Luxembourg Finance Co., S.a.r.l. 6.06%, 04/29/2024, 1 mo. USD LIBOR + 4.250%

    1,723,688  
    2,760,000    

Sunshine Luxembourg S.a.r.l. 6.35%, 10/01/2026, 1 mo. USD LIBOR + 4.250%

    2,761,159  
    1,037,901    

Valeant Pharmaceuticals International, Inc. 4.92%, 06/02/2025, 1 mo. USD LIBOR + 3.000%

    1,041,253  
     

 

 

 
    6,983,775  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  70  

 


The Hartford Floating Rate High Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 81.4%(9) - (continued)  
      Retail - 4.3%  
$     4,576,208    

B.C. Unlimited Liability Co. 4.04%, 02/16/2024, 1 mo. USD LIBOR + 2.250%

  $ 4,579,640  
    3,960,267    

Bass Pro Group LLC 6.79%, 09/25/2024, 1 mo. USD LIBOR + 5.000%

    3,815,282  
    471,402    

Belron Finance U.S. LLC 4.46%, 11/07/2024, 1 mo. USD LIBOR + 2.500%

    470,812  
EUR     1,762,996    

Coty, Inc. 2.50%, 04/07/2025, 1 mo. EURIBOR + 2.500%

    1,926,452  
$     1,488,750    

Foundation Building Materials Holding Co. LLC 4.79%, 08/13/2025, 1 mo. USD LIBOR + 3.000%

    1,486,889  
    647,083    

Harbor Freight Tools USA, Inc. 4.29%, 08/18/2023, 1 mo. USD LIBOR + 2.500%

    632,725  
    504,640    

Neiman Marcus Group Ltd. LLC 7.99%, 10/25/2023, 1 mo. USD LIBOR + 6.000%

    366,565  
    1,296,421    

PetSmart, Inc. 5.93%, 03/11/2022, 1 mo. USD LIBOR + 4.000%

    1,262,117  
    1,522,639    

Rodan & Fields LLC 5.92%, 06/16/2025, 1 mo. USD LIBOR + 4.000%

    1,235,241  
    2,110,789    

Sports Authority, Inc. 0.00%, 11/16/2020, 1 mo. USD LIBOR + 6.000%(11)(12)

    2,111  
    2,119,850    

Staples, Inc. 7.12%, 04/16/2026, 3 mo. USD LIBOR + 5.000%

    2,087,438  
     

 

 

 
    17,865,272  
 

 

 

 
      Software - 5.4%  
 

Almonde, Inc.

 

    1,240,196    

5.70%, 06/13/2024, 3 mo. USD LIBOR + 3.500%

    1,183,618  
    445,000    

9.45%, 06/13/2025, 3 mo. USD LIBOR + 7.250%

    415,149  
    2,927,906    

Change Healthcare Holdings LLC 4.29%, 03/01/2024, 1 mo. USD LIBOR + 2.500%

    2,908,933  
    1,179,655    

Cypress Intermediate Holdings, Inc. 4.54%, 04/29/2024, 1 mo. USD LIBOR + 2.750%

    1,158,374  
    2,711,580    

Epicor Software Corp. 5.04%, 06/01/2022, 1 mo. USD LIBOR + 3.250%

    2,701,412  
    3,197,470    

EVO Payments International LLC 5.05%, 12/22/2023, 1 mo. USD LIBOR + 3.250%

    3,198,813  
    810,000    

Hyland Software, Inc. 8.79%, 07/07/2025, 1 mo. USD LIBOR + 7.000%

    811,013  
    192,213    

MA FinanceCo. LLC 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    186,327  
    750,000    

Navicure, Inc. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 4.000%(11)

    747,188  
    1,535,120    

Quest Software U.S. Holdings, Inc. 6.18%, 05/16/2025, 3 mo. USD LIBOR + 4.250%

    1,495,468  
    1,298,060    

Seattle Spinco, Inc. 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    1,258,314  
    460,385    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    461,154  
    2,675,417    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    2,681,284  
    1,885,000    

Ultimate Software Group, Inc. 5.54%, 05/04/2026, 1 mo. USD LIBOR + 3.750%

    1,887,884  
    1,190,000    

Western Digital Corp. 0.00%, 04/29/2023, 1 mo. USD LIBOR + 1.750%(11)

    1,184,942  
     

 

 

 
    22,279,873  
 

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 81.4%(9) - (continued)  
      Telecommunications - 4.9%  
$     1,297,979    

Altice France S.A. 5.61%, 01/31/2026, 3 mo. USD LIBOR + 3.688%

  $ 1,265,062  
    4,311,322    

CenturyLink, Inc. 4.54%, 01/31/2025, 1 mo. USD LIBOR + 2.750%

    4,264,458  
 

Masmovil Holdphone S.A.

 

EUR     400,367    

0.00%, 05/07/2026, 1 mo. USD LIBOR + 3.250%(10)(11)

    446,529  
    2,502,293    

3.25%, 05/07/2026, 1 mo. USD LIBOR + 3.250%

    2,790,806  
 

Sprint Communications, Inc.

 

$     9,164,964    

4.31%, 02/02/2024, 1 mo. USD LIBOR + 2.500%

    9,054,251  
    613,455    

4.81%, 02/02/2024, 1 mo. USD LIBOR + 3.000%

    609,363  
    1,082,387    

Univision Communications, Inc. 4.54%, 03/15/2024, 1 mo. USD LIBOR + 2.750%

    1,042,739  
    864,200    

Zacapa LLC 7.10%, 07/02/2025, 1 mo. USD LIBOR + 5.000%

    865,099  
     

 

 

 
    20,338,307  
 

 

 

 
      Textiles - 0.4%  
 

International Textile Group, Inc.

 

    551,395    

7.03%, 05/01/2024, 3 mo. USD LIBOR + 5.000%

    427,331  
    1,500,000    

11.03%, 05/01/2025, 3 mo. USD LIBOR + 9.000%

    1,020,000  
     

 

 

 
    1,447,331  
 

 

 

 
      Transportation - 0.2%  
    606,507    

Savage Enterprises LLC 5.93%, 08/01/2025, 1 mo. USD LIBOR + 4.000%

    610,801  
     

 

 

 
 

Total Senior Floating Rate Interests
(cost $349,008,608)

  $ 336,007,075  
   

 

 

 
COMMON STOCKS - 0.7%  
      Energy - 0.2%  
    190,736    

Ascent Resources - Marcellus LLC Class A*(13)(14)

  $ 381,472  
    7,247    

Paragon Offshore Ltd., Litigation*

    37,206  
    78,609    

Templar Energy LLC Class A*

     
    13,865    

Texgen Power LLC*(13)(14)

    610,060  
     

 

 

 
    1,028,738  
 

 

 

 
      Insurance - 0.5%  
    34,814    

AFG Holdings, Inc.*

    1,914,770  
     

 

 

 
 

Total Common Stocks
(cost $2,941,826)

  $ 2,943,508  
   

 

 

 
CONVERTIBLE BONDS - 0.3%  
      Media - 0.3%  
    1,125,000    

Scripps Escrow, Inc. 5.88%, 07/15/2027(1)

  $ 1,152,788  
     

 

 

 
   

Total Convertible Bonds
(cost $1,132,225)

  $ 1,152,788  
     

 

 

 
WARRANTS - 0.0%  
          Energy - 0.0%      
    48,360    

Ascent Resources - Marcellus LLC Expires 3/30/23*(13)(14)

  $ 483  
    20,096    

Ascent Resources - Marcellus LLC Expires 3/30/23*(13)(14)

    1,005  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  71  

 


The Hartford Floating Rate High Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
WARRANTS - 0.0% - (continued)  
          Energy - 0.0% - (continued)      
$     25,838    

Ascent Resources - Marcellus LLC Expires 3/30/23*(13)(14)

  $ 2,584  
     

 

 

 
        4,072  
     

 

 

 
   

Total Warrants
(cost $10,874)

  $ 4,072  
     

 

 

 
   

Total Long-Term Investments
(cost $396,884,457)

  $ 381,579,031  
     

 

 

 
SHORT-TERM INVESTMENTS - 7.0%  
          Other Investment Pools & Funds - 7.0%  
    29,013,594    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(15)

  $ 29,013,594  
     

 

 

 
   

Total Short-Term Investments
(cost $29,013,594)

  $ 29,013,594  
     

 

 

 
   

Total Investments
(cost $425,898,051)

    99.5    $ 410,592,625  
   

Other Assets and Liabilities

    0.5      2,089,168  
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $     412,681,793  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1)

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $27,589,504, representing 6.7% of net assets.

 

(2)

This security, or a portion of this security, was purchased on a when-issued, delayed-delivery or delayed-draw basis. The cost of these securities was $1,679,565 at October 31, 2019.

(3)

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $3,941,846, representing 1.0% of net assets.

 

(4)

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

(5)

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(6)

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(7)

Security has the ability to pay in kind (“PIK”) or pay income in cash. When applicable, separate rates of such payments are disclosed.

 

(8)

Variable rate security; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(9)

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(10)

This security, or a portion of this security, has unfunded loan commitments. As of October 31, 2019, the aggregate value of the unfunded commitment was $1,227,220, which rounds to 0.0% of total net assets.

 

(11)

Represents an unsettled loan commitment. The coupon rate will be determined at time of settlement.

 

(12)

Non-income producing. For long-term debt securities, items identified are in default as to payment of interest and/or principal.

 

(13)

Investment valued using significant unobservable inputs.

 

(14) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $995,604, which represented 0.2% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(15) 

Current yield as of period end.

 
OTC Total Return Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counterparty    Notional
Amount
     Payments
received (paid)
by the Fund
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 

Markit iBoxx USD Liquid Leveraged Loan Index

   GSC      USD       10,500,000      1.00%      12/20/19        Quarterly      $      $ (26,410   $ (25,153   $ 1,257  

Markit iBoxx USD Liquid Leveraged Loan Index

   GSC      USD       2,600,000      1.00%      03/20/20        Quarterly               (11,933     (10,827     1,106  

Markit iBoxx USD Liquid Leveraged Loan Index

   MSC      USD       2,675,000      1.00%      06/20/20        Quarterly               (11,963     (4,271     7,692  
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

 

      $     —      $     (50,306   $     (40,251   $     10,055  
     

 

 

    

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  72  

 


The Hartford Floating Rate High Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  353,000      EUR      393,294      USD    BNP      11/29/19     $ 1,145     $  
  637,118      USD      574,000      EUR    BMO      11/29/19             (4,265
  49,474,319      USD      44,505,422      EUR    CBK      11/29/19             (255,634
  1,210,453      USD      942,000      GBP    BCLY      11/29/19             (10,870
                

 

 

   

 

 

 
 

Total

    $     1,145     $     (270,769
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1      Level 2     Level 3(1)  

Assets

 

Corporate Bonds

   $ 41,471,588     $      $ 41,471,588     $  

Senior Floating Rate Interests

     336,007,075              336,007,075        

Common Stocks

 

Energy

     1,028,738              37,206       991,532  

Insurance

     1,914,770              1,914,770        

Convertible Bonds

     1,152,788              1,152,788        

Warrants

     4,072                    4,072  

Short-Term Investments

     29,013,594       29,013,594               

Foreign Currency Contracts(2)

     1,145              1,145        

Swaps - Total Return(2)

     10,055              10,055        
  

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $     410,603,825     $     29,013,594      $     380,594,627     $     995,604  
  

 

 

   

 

 

    

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (270,769   $      $ (270,769   $  
  

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $ (270,769   $      $ (270,769   $  
  

 

 

   

 

 

    

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  73  

 


The Hartford High Yield Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 88.2%  
      Advertising - 0.3%  
$     965,000    

Lamar Media Corp. 5.75%, 02/01/2026

  $ 1,024,106  
     

 

 

 
      Aerospace/Defense - 1.8%  
 

DAE Funding LLC

 
    430,000    

4.50%, 08/01/2022(1)

    437,817  
    865,000    

5.00%, 08/01/2024(1)

    902,887  
 

TransDigm, Inc.

 
    2,150,000    

5.50%, 11/15/2027(1)(2)

    2,142,884  
    2,780,000    

6.25%, 03/15/2026(1)

    2,978,075  
     

 

 

 
        6,461,663  
 

 

 

 
      Airlines - 1.1%  
 

Bombardier, Inc.

 
    2,515,000    

6.13%, 01/15/2023(1)

    2,445,837  
    1,485,000    

7.88%, 04/15/2027(1)

    1,399,613  
     

 

 

 
        3,845,450  
 

 

 

 
      Auto Parts & Equipment - 0.9%  
EUR     1,225,000    

Adient Global Holdings Ltd. 3.50%, 08/15/2024(3)

    1,147,589  
$     260,000    

Adient U.S. LLC 7.00%, 05/15/2026(1)

    273,650  
 

American Axle & Manufacturing, Inc.

 
    210,000    

6.25%, 04/01/2025

    202,388  
    565,000    

6.50%, 04/01/2027

    535,337  
    1,200,000    

Panther BF Aggregator 2 L.P. / Panther Finance Co., Inc. 8.50%, 05/15/2027(1)

    1,209,000  
     

 

 

 
        3,367,964  
 

 

 

 
      Chemicals - 0.4%  
 

CF Industries, Inc.

 

    170,000    

4.95%, 06/01/2043

    170,213  
    945,000    

5.15%, 03/15/2034

    1,001,700  
    270,000    

5.38%, 03/15/2044

    276,750  
     

 

 

 
        1,448,663  
 

 

 

 
      Coal - 0.1%  
    1,910,000    

Foresight Energy LLC / Foresight Energy Finance Corp. 11.50%, 04/01/2023(1)

    167,125  
     

 

 

 
      Commercial Banks - 2.0%  
EUR     2,000,000    

Banco de Sabadell S.A. 6.50%, 05/18/2022, (6.50% fixed rate until 05/18/2022; 5 year EUR Swap + 6.414% thereafter)(3)(4)(5)

    2,285,713  
$     3,065,000    

Credit Suisse Group AG 6.25%, 12/18/2024, (6.25% fixed rate until 12/18/2024; 5 year USD Swap + 3.455% thereafter)(3)(4)(5)

    3,268,056  
    1,860,000    

Freedom Mortgage Corp. 8.13%, 11/15/2024(1)

    1,743,750  
     

 

 

 
        7,297,519  
 

 

 

 
      Commercial Services - 2.7%  
 

APX Group, Inc.

 
    1,245,000    

7.63%, 09/01/2023

    1,095,600  
    1,345,000    

7.88%, 12/01/2022

    1,343,319  
    1,710,000    

Ashtead Capital, Inc. 4.00%, 05/01/2028(1)(2)

    1,716,412  
    830,000    

Brand Industrial Services, Inc. 8.50%, 07/15/2025(1)

    805,100  
    120,000    

Cardtronics, Inc. / Cardtronics USA, Inc. 5.50%, 05/01/2025(1)

    123,900  
    1,650,000    

Herc Holdings, Inc. 5.50%, 07/15/2027(1)

    1,709,812  
 

Service Corp. International

 
    460,000    

4.63%, 12/15/2027

    480,700  
    355,000    

5.13%, 06/01/2029

    378,075  
   

United Rentals North America, Inc.

 
    250,000    

3.88%, 11/15/2027(2)

    252,563  
    560,000    

4.63%, 10/15/2025

    572,600  
    1,025,000    

5.88%, 09/15/2026

    1,085,906  
     

 

 

 
        9,563,987  
     

 

 

 
          Construction Materials - 1.4%  
    1,650,000    

Cemex Finance LLC 6.00%, 04/01/2024(1)

    1,690,920  
    820,000    

Norbord, Inc. 5.75%, 07/15/2027(1)

    848,700  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 88.2% - (continued)  
          Construction Materials - 1.4% - (continued)  
   

Standard Industries, Inc.

 
$     520,000    

4.75%, 01/15/2028(1)

  $ 539,500  
    1,760,000    

5.38%, 11/15/2024(1)

    1,810,688  
     

 

 

 
        4,889,808  
     

 

 

 
          Distribution/Wholesale - 1.0%  
   

American Builders & Contractors Supply Co., Inc.

 
    909,000    

4.00%, 01/15/2028(1)

    906,728  
    420,000    

5.75%, 12/15/2023(1)

    431,970  
    1,010,000    

Core & Main Holdings L.P. (8.63% Cash, 9.38% PIK) 8.63%, 09/15/2024(1)(6)

    1,004,950  
    600,000    

IAA, Inc. 5.50%, 06/15/2027(1)

    642,840  
    550,000    

Performance Food Group, Inc. 5.50%, 10/15/2027(1)

    581,625  
     

 

 

 
        3,568,113  
     

 

 

 
          Diversified Financial Services - 4.4%  
    1,485,000    

Ally Financial, Inc. 3.88%, 05/21/2024

    1,550,934  
    1,445,000    

Credit Acceptance Corp. 6.63%, 03/15/2026(1)

    1,535,312  
    735,000    

Fly Leasing Ltd. 5.25%, 10/15/2024

    757,050  
    1,625,000    

goeasy Ltd. 7.88%, 11/01/2022(1)

    1,687,969  
   

Navient Corp.

 
    200,000    

5.63%, 08/01/2033

    174,000  
    529,000    

5.88%, 10/25/2024

    544,870  
    80,000    

6.13%, 03/25/2024

    83,624  
    1,106,000    

6.50%, 06/15/2022

    1,183,420  
    546,000    

7.25%, 09/25/2023

    596,494  
   

Springleaf Finance Corp.

 
    820,000    

6.13%, 05/15/2022

    881,500  
    430,000    

6.13%, 03/15/2024

    470,313  
    575,000    

6.88%, 03/15/2025

    651,188  
    705,000    

7.75%, 10/01/2021

    768,464  
    1,935,000    

8.25%, 12/15/2020

    2,058,356  
    2,695,000    

Tempo Acquisition LLC / Tempo Acquisition Finance Corp. 6.75%, 06/01/2025(1)

    2,772,481  
     

 

 

 
        15,715,975  
     

 

 

 
          Electric - 1.0%  
    2,570,000    

AES Corp. 5.13%, 09/01/2027

    2,762,699  
    930,000    

NextEra Energy Operating Partners L.P. 4.25%, 07/15/2024(1)

    955,296  
     

 

 

 
        3,717,995  
     

 

 

 
          Entertainment - 2.6%  
    1,370,000    

Caesars Resort Collection LLC / CRC Finco, Inc. 5.25%, 10/15/2025(1)

    1,402,538  
   

Eldorado Resorts, Inc.

 
    1,605,000    

6.00%, 04/01/2025

    1,687,256  
    255,000    

6.00%, 09/15/2026

    279,544  
    1,185,000    

Golden Entertainment, Inc. 7.63%, 04/15/2026(1)

    1,245,731  
    1,920,000    

Jacobs Entertainment, Inc. 7.88%, 02/01/2024(1)

    2,040,000  
    2,610,000    

Penn National Gaming, Inc. 5.63%, 01/15/2027(1)

    2,688,300  
     

 

 

 
        9,343,369  
 

 

 

 
      Environmental Control - 1.5%  
 

Clean Harbors, Inc.

 
    1,307,000    

4.88%, 07/15/2027(1)

    1,362,469  
    584,000    

5.13%, 07/15/2029(1)

    621,960  
    975,000    

Stericycle, Inc. 5.38%, 07/15/2024(1)

    1,014,000  
    2,551,000    

Tervita Corp. 7.63%, 12/01/2021(1)

    2,519,113  
     

 

 

 
    5,517,542  
 

 

 

 
      Food - 2.2%  
    740,000    

B&G Foods, Inc. 5.25%, 09/15/2027

    738,150  
 

Post Holdings, Inc.

 
    2,520,000    

5.00%, 08/15/2026(1)

    2,621,052  
    1,395,000    

5.63%, 01/15/2028(1)

    1,492,650  
    990,000    

5.75%, 03/01/2027(1)

    1,053,984  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  74  

 


The Hartford High Yield Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 88.2% - (continued)  
      Food - 2.2% - (continued)  
$     1,870,000    

TreeHouse Foods, Inc. 4.88%, 03/15/2022

  $ 1,877,012  
     

 

 

 
        7,782,848  
 

 

 

 
      Gas - 0.7%  
 

AmeriGas Partners L.P. / AmeriGas Finance Corp.

 
    924,000    

5.50%, 05/20/2025

    991,082  
    338,000    

5.75%, 05/20/2027

    370,110  
    1,128,000    

5.88%, 08/20/2026

    1,249,260  
     

 

 

 
        2,610,452  
 

 

 

 
      Healthcare - Products - 1.6%  
    2,990,000    

Avantor, Inc. 6.00%, 10/01/2024(1)

    3,195,951  
    1,030,000    

Hill-Rom Holdings, Inc. 4.38%, 09/15/2027(1)

    1,060,900  
    1,565,000    

Sotera Health Holdings LLC 6.50%, 05/15/2023(1)

    1,594,344  
     

 

 

 
        5,851,195  
 

 

 

 
      Healthcare - Services - 3.4%  
    265,000    

Catalent Pharma Solutions, Inc. 5.00%, 07/15/2027(1)

    276,925  
    330,000    

Charles River Laboratories International, Inc. 4.25%, 05/01/2028(1)

    336,221  
    880,000    

CHS/Community Health Systems, Inc. 8.13%, 06/30/2024(1)

    668,800  
    2,645,000    

HCA Healthcare, Inc. 6.25%, 02/15/2021

    2,770,637  
 

HCA, Inc.

 
    2,215,000    

5.38%, 02/01/2025

    2,433,731  
    1,070,000    

5.38%, 09/01/2026

    1,166,300  
    100,000    

5.63%, 09/01/2028

    112,375  
    1,135,000    

5.88%, 05/01/2023

    1,245,322  
    80,000    

5.88%, 02/01/2029

    90,700  
    1,431,000    

7.50%, 11/15/2095

    1,599,143  
    1,510,000    

West Street Merger Sub, Inc. 6.38%, 09/01/2025(1)

    1,438,275  
     

 

 

 
        12,138,429  
 

 

 

 
      Home Builders - 1.7%  
 

KB Home

 
    420,000    

4.80%, 11/15/2029(2)

    423,413  
    1,030,000    

7.00%, 12/15/2021

    1,108,022  
 

M/I Homes, Inc.

 
    1,020,000    

5.63%, 08/01/2025

    1,060,800  
    1,595,000    

6.75%, 01/15/2021

    1,611,253  
    1,790,000    

Taylor Morrison Communities, Inc. 5.75%, 01/15/2028(1)

    1,982,425  
     

 

 

 
        6,185,913  
 

 

 

 
      Household Products - 0.4%  
    2,715,000    

Revlon Consumer Products Corp. 6.25%, 08/01/2024

    1,357,500  
     

 

 

 
      Household Products/Wares - 0.5%  
EUR     1,855,000    

Diamond (BC) B.V. 5.63%, 08/15/2025(3)

    1,893,440  
     

 

 

 
      Insurance - 1.9%  
 

Acrisure LLC / Acrisure Finance, Inc.

 
$     1,080,000    

7.00%, 11/15/2025(1)

    988,200  
    1,885,000    

8.13%, 02/15/2024(1)

    1,999,891  
    875,000    

10.13%, 08/01/2026(1)

    905,625  
    535,000    

CNO Financial Group, Inc. 5.25%, 05/30/2029

    590,035  
 

Genworth Holdings, Inc.

 
    135,000    

4.80%, 02/15/2024

    125,213  
    890,000    

4.90%, 08/15/2023

    837,935  
    505,000    

7.20%, 02/15/2021

    516,362  
    280,000    

7.63%, 09/24/2021

    290,500  
    45,000    

7.70%, 06/15/2020

    45,900  
    445,000    

MGIC Investment Corp. 5.75%, 08/15/2023

    488,944  
     

 

 

 
    6,788,605  
 

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 88.2% - (continued)  
      Iron/Steel - 0.6%  
$     2,050,000    

Steel Dynamics, Inc. 4.13%, 09/15/2025

  $ 2,096,330  
     

 

 

 
      Lodging - 3.9%  
 

Boyd Gaming Corp.

 
    1,365,000    

6.00%, 08/15/2026

    1,443,488  
    1,285,000    

6.38%, 04/01/2026

    1,365,313  
    2,590,000    

FelCor Lodging L.P. 6.00%, 06/01/2025

    2,703,312  
    2,072,000    

Hilton Domestic Operating Co., Inc. 4.25%, 09/01/2024

    2,108,260  
    1,810,000    

Jack Ohio Finance LLC / Jack Ohio Finance Corp. 6.75%, 11/15/2021(1)

    1,848,462  
    790,000    

MGM Resorts International 5.50%, 04/15/2027

    869,000  
    1,850,000    

Sugarhouse HSP Gaming Prop Mezz L.P. / Sugarhouse HSP Gaming Finance Corp. 5.88%, 05/15/2025(1)

    1,831,500  
    1,690,000    

Wynn Las Vegas LLC / Wynn Las Vegas Capital Corp. 5.50%, 03/01/2025(1)

    1,795,625  
     

 

 

 
        13,964,960  
 

 

 

 
      Machinery - Diversified - 0.2%  
    512,000    

Cloud Crane LLC 10.13%, 08/01/2024(1)

    540,800  
     

 

 

 
      Media - 10.8%  
 

Altice France S.A.

 
    2,330,000    

7.38%, 05/01/2026(1)

    2,495,069  
    2,215,000    

8.13%, 02/01/2027(1)

    2,455,881  
 

Altice Luxembourg S.A.

 
    1,285,000    

7.63%, 02/15/2025(1)

    1,325,156  
EUR     835,000    

8.00%, 05/15/2027(3)

    1,021,032  
 

CCO Holdings LLC / CCO Holdings Capital Corp.

 
$     105,000    

5.13%, 02/15/2023

    107,231  
    1,685,000    

5.13%, 05/01/2023(1)

    1,725,019  
    495,000    

5.75%, 09/01/2023

    504,900  
    28,000    

5.75%, 01/15/2024

    28,692  
    2,485,000    

5.75%, 02/15/2026(1)

    2,624,160  
 

CSC Holdings LLC

 
    1,800,000    

5.25%, 06/01/2024

    1,939,500  
    770,000    

5.50%, 04/15/2027(1)

    816,208  
    1,970,000    

6.50%, 02/01/2029(1)

    2,200,244  
 

DISH DBS Corp.

 
    965,000    

5.00%, 03/15/2023

    972,237  
    570,000    

5.88%, 11/15/2024

    571,425  
    2,830,000    

6.75%, 06/01/2021

    2,971,500  
    530,000    

7.75%, 07/01/2026

    534,691  
 

Gray Television, Inc.

 
    1,520,000    

5.13%, 10/15/2024(1)

    1,575,100  
    400,000    

5.88%, 07/15/2026(1)

    420,508  
    880,000    

iHeartCommunications, Inc. 5.25%, 08/15/2027(1)

    907,896  
    440,000    

LCPR Senior Secured Financing DAC 6.75%, 10/15/2027(1)

    451,550  
    925,000    

Quebecor Media, Inc. 5.75%, 01/15/2023

    1,001,035  
 

Sinclair Television Group, Inc.

 
    590,000    

5.13%, 02/15/2027(1)

    597,375  
    740,000    

5.63%, 08/01/2024(1)

    762,200  
    1,005,000    

5.88%, 03/15/2026(1)

    1,050,225  
 

Sirius XM Radio, Inc.

 
    695,000    

4.63%, 07/15/2024(1)

    726,275  
    1,470,000    

5.50%, 07/01/2029(1)

    1,588,996  
 

TEGNA, Inc.

 
    1,760,000    

4.88%, 09/15/2021(1)

    1,764,400  
    810,000    

6.38%, 10/15/2023

    833,287  
 

Viacom, Inc.

 
    355,000    

5.88%, 02/28/2057, (5.88% fixed rate until 02/28/2022; 3 mo. USD LIBOR + 3.895% thereafter)(5)

    368,756  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  75  

 


The Hartford High Yield Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 88.2% - (continued)  
      Media - 10.8% - (continued)  
$     118,000    

6.25%, 02/28/2057, (6.25% fixed rate until 02/28/2027; 3 mo. USD LIBOR + 3.899% thereafter)(5)

  $ 128,620  
    990,000    

Videotron Ltd. 5.00%, 07/15/2022

    1,041,975  
    959,000    

WMG Acquisition Corp. 5.50%, 04/15/2026(1)

    1,006,950  
 

Ziggo B.V.

 
    365,000    

4.88%, 01/15/2030(1)

    371,504  
    1,605,000    

5.50%, 01/15/2027(1)

    1,693,275  
     

 

 

 
        38,582,872  
 

 

 

 
      Metal Fabricate/Hardware - 0.8%  
    300,000    

Advanced Drainage Systems, Inc. 5.00%, 09/30/2027(1)

    306,750  
 

Novelis Corp.

 
    1,190,000    

5.88%, 09/30/2026(1)

    1,249,619  
    1,200,000    

6.25%, 08/15/2024(1)

    1,257,000  
     

 

 

 
        2,813,369  
 

 

 

 
      Mining - 0.5%  
    1,740,000    

Constellium SE 5.88%, 02/15/2026(1)

    1,813,950  
     

 

 

 
      Office/Business Equipment - 1.0%  
 

Pitney Bowes, Inc.

 
    340,000    

4.63%, 03/15/2024

    319,566  
    1,130,000    

5.20%, 04/01/2023

    1,113,050  
    2,000,000    

Xerox Corp. 4.13%, 03/15/2023

    2,042,500  
     

 

 

 
        3,475,116  
 

 

 

 
      Oil & Gas - 7.9%  
    2,280,000    

Blue Racer Midstream LLC / Blue Racer Finance Corp. 6.13%, 11/15/2022(1)

    2,240,100  
    1,065,000    

California Resources Corp. 8.00%, 12/15/2022(1)

    330,150  
    905,000    

Centennial Resource Production LLC 5.38%, 01/15/2026(1)

    848,437  
 

Chesapeake Energy Corp.

 
    2,025,000    

7.00%, 10/01/2024

    1,366,875  
    1,135,000    

7.50%, 10/01/2026

    726,400  
    1,330,000    

8.00%, 06/15/2027

    831,250  
    1,385,000    

Energen Corp. 4.63%, 09/01/2021

    1,405,775  
    280,000    

EP Energy LLC / Everest Acquisition Finance, Inc. 7.75%, 05/15/2026(1)

    194,600  
    2,134,000    

Jagged Peak Energy LLC 5.88%, 05/01/2026

    2,155,340  
    1,380,000    

Laredo Petroleum, Inc. 5.63%, 01/15/2022

    1,321,350  
    1,385,000    

Matador Resources Co. 5.88%, 09/15/2026

    1,327,869  
 

MEG Energy Corp.

 
    390,000    

6.38%, 01/30/2023(1)

    368,550  
    1,210,000    

6.50%, 01/15/2025(1)

    1,258,400  
    1,065,000    

7.00%, 03/31/2024(1)

    998,437  
    695,000    

Noble Holding International Ltd. 7.88%, 02/01/2026(1)

    458,700  
 

QEP Resources, Inc.

 
    2,680,000    

5.25%, 05/01/2023

    2,546,000  
    200,000    

5.38%, 10/01/2022

    196,016  
    560,000    

5.63%, 03/01/2026

    501,200  
    235,000    

6.80%, 03/01/2020

    238,114  
 

SM Energy Co.

 
    1,695,000    

5.00%, 01/15/2024

    1,500,075  
    575,000    

5.63%, 06/01/2025

    487,324  
    240,000    

6.13%, 11/15/2022

    228,600  
    735,000    

6.63%, 01/15/2027

    619,238  
    1,410,000    

Sunoco L.P. / Sunoco Finance Corp. 6.00%, 04/15/2027

    1,480,500  
    2,365,000    

Transocean, Inc. 6.80%, 03/15/2038

    1,457,431  
    1,705,000    

Vine Oil & Gas L.P. / Vine Oil & Gas Finance Corp. 8.75%, 04/15/2023(1)

    647,900  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 88.2% - (continued)  
      Oil & Gas - 7.9% - (continued)  
 

WPX Energy, Inc.

 
$     970,000    

5.25%, 09/15/2024

  $ 979,700  
    280,000    

5.75%, 06/01/2026

    281,400  
    1,250,000    

8.25%, 08/01/2023

    1,393,750  
     

 

 

 
        28,389,481  
 

 

 

 
      Packaging & Containers - 5.0%  
    1,840,000    

ARD Finance S.A. (7.13% Cash, 7.88% PIK) 7.13%, 09/15/2023(6)

    1,911,300  
 

Ardagh Packaging Finance plc / Ardagh Holdings USA, Inc.

 
    680,000    

4.13%, 08/15/2026(1)

    687,446  
    2,570,000    

5.25%, 08/15/2027(1)

    2,634,250  
    370,000    

6.00%, 02/15/2025(1)

    388,500  
    1,865,000    

Berry Global, Inc. 6.00%, 10/15/2022

    1,897,638  
    1,200,000    

Crown Americas LLC / Crown Americas Capital Corp. 4.75%, 02/01/2026

    1,259,160  
 

Flex Acquisition Co., Inc.

 
    2,170,000    

6.88%, 01/15/2025(1)

    2,034,375  
    775,000    

7.88%, 07/15/2026(1)

    728,500  
    3,085,000    

Owens-Brockway Glass Container, Inc. 5.88%, 08/15/2023(1)

    3,258,531  
 

Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC / Reynolds Group Issuer Lu

 
    2,050,000    

5.13%, 07/15/2023(1)

    2,103,197  
    815,000    

7.00%, 07/15/2024(1)

    843,525  
    270,000    

Trivium Packaging Finance B.V. 5.50%, 08/15/2026(1)

    282,825  
     

 

 

 
        18,029,247  
 

 

 

 
      Pharmaceuticals - 2.6%  
 

Bausch Health Cos., Inc.

 
    242,000    

5.50%, 03/01/2023(1)

    244,118  
    2,482,000    

5.88%, 05/15/2023(1)

    2,519,230  
    1,000,000    

6.13%, 04/15/2025(1)

    1,038,125  
    1,875,000    

7.00%, 01/15/2028(1)

    2,022,656  
    335,000    

Catalent Pharma Solutions, Inc. 4.88%, 01/15/2026(1)

    345,887  
 

Endo Dac / Endo Finance LLC / Endo Finco, Inc.

 
    202,000    

6.00%, 07/15/2023(1)

    133,573  
    1,485,000    

6.00%, 02/01/2025(1)

    946,687  
 

Teva Pharmaceutical Finance Netherlands B.V.

 
    1,260,000    

3.15%, 10/01/2026

    948,150  
    1,270,000    

6.75%, 03/01/2028

    1,139,339  
     

 

 

 
        9,337,765  
 

 

 

 
      Pipelines - 3.7%  
 

Cheniere Corpus Christi Holdings LLC

 
    1,745,000    

5.13%, 06/30/2027

    1,880,238  
    940,000    

5.88%, 03/31/2025

    1,042,310  
    738,000    

Cheniere Energy Partners L.P. 4.50%, 10/01/2029(1)

    751,838  
    2,095,000    

DCP Midstream Operating L.P. 5.38%, 07/15/2025

    2,202,997  
 

Energy Transfer Operating L.P.

 
    670,000    

5.50%, 06/01/2027

    752,226  
    1,907,000    

7.50%, 10/15/2020

    2,000,934  
    1,180,000    

Tallgrass Energy Partners L.P. / Tallgrass Energy Finance Corp. 4.75%, 10/01/2023(1)

    1,150,500  
    3,225,000    

Targa Resources Partners L.P. / Targa Resources Partners Finance Corp. 6.50%, 07/15/2027(1)

    3,450,814  
     

 

 

 
        13,231,857  
 

 

 

 
      REITS - 0.9%  
    3,105,000    

Iron Mountain, Inc. 4.88%, 09/15/2029(1)

    3,178,744  
     

 

 

 
      Retail - 3.7%  
 

1011778 BC ULC / New Red Finance, Inc.

 
    225,000    

3.88%, 01/15/2028(1)

    226,193  
    3,570,000    

5.00%, 10/15/2025(1)

    3,659,250  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  76  

 


The Hartford High Yield Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 88.2% - (continued)  
      Retail - 3.7% - (continued)  
 

Beacon Roofing Supply, Inc.

 
$     215,000    

4.50%, 11/15/2026(1)

  $ 219,300  
    1,055,000    

4.88%, 11/01/2025(1)

    1,036,590  
    2,100,000    

Ferrellgas L.P. / Ferrellgas Finance Corp. 6.75%, 06/15/2023

    1,774,500  
 

KFC Holding Co. / Pizza Hut Holdings LLC / Taco Bell of America LLC

 
    820,000    

4.75%, 06/01/2027(1)

    855,629  
    1,000,000    

5.25%, 06/01/2026(1)

    1,057,500  
 

L Brands, Inc.

 
    1,465,000    

5.25%, 02/01/2028

    1,358,787  
    235,000    

6.75%, 07/01/2036

    195,050  
    105,000    

6.88%, 11/01/2035

    89,250  
    2,360,000    

United Rentals North America, Inc. 4.88%, 01/15/2028

    2,436,700  
    435,000    

Yum! Brands, Inc. 4.75%, 01/15/2030(1)

    456,206  
     

 

 

 
        13,364,955  
 

 

 

 
      Semiconductors - 2.4%  
    1,775,000    

Entegris, Inc. 4.63%, 02/10/2026(1)

    1,827,411  
 

Micron Technology, Inc.

 
    325,000    

4.64%, 02/06/2024

    349,462  
    1,090,000    

4.98%, 02/06/2026

    1,184,636  
    1,025,000    

5.50%, 02/01/2025

    1,054,341  
 

Qorvo, Inc.

 
    485,000    

4.38%, 10/15/2029(1)

    487,728  
    1,770,000    

5.50%, 07/15/2026

    1,889,440  
 

Sensata Technologies B.V.

 
    1,005,000    

5.00%, 10/01/2025(1)

    1,083,089  
    770,000    

5.63%, 11/01/2024(1)

    845,075  
     

 

 

 
        8,721,182  
 

 

 

 
      Software - 2.7%  
    775,000    

CDK Global, Inc. 5.25%, 05/15/2029(1)

    822,953  
    1,150,000    

Change Healthcare Holdings LLC / Change Healthcare Finance, Inc. 5.75%, 03/01/2025(1)

    1,176,680  
    2,925,000    

Infor U.S., Inc. 6.50%, 05/15/2022

    2,965,219  
 

IQVIA, Inc.

 
EUR     545,000    

2.25%, 01/15/2028(1)

    620,907  
$     885,000    

5.00%, 05/15/2027(1)

    938,100  
    2,290,000    

SS&C Technologies, Inc. 5.50%, 09/30/2027(1)

    2,450,300  
    755,000    

Western Digital Corp. 4.75%, 02/15/2026

    771,534  
     

 

 

 
        9,745,693  
 

 

 

 
      Telecommunications - 6.9%  
 

Altice Financing S.A.

 
    1,570,000    

6.63%, 02/15/2023(1)

    1,612,704  
    1,350,000    

7.50%, 05/15/2026(1)

    1,434,375  
    640,000    

Altice France S.A. 5.50%, 01/15/2028(1)

    652,000  
 

CenturyLink, Inc.

 
    2,601,000    

5.63%, 04/01/2025

    2,741,064  
    569,000    

7.50%, 04/01/2024

    645,815  
    1,250,000    

Embarq Corp. 8.00%, 06/01/2036

    1,237,500  
 

Frontier Communications Corp.

 
    1,275,000    

6.88%, 01/15/2025

    570,562  
    1,710,000    

8.50%, 04/01/2026(1)

    1,714,275  
    775,000    

10.50%, 09/15/2022

    365,219  
    2,930,000    

Intelsat Jackson Holdings S.A. 8.50%, 10/15/2024(1)

    2,952,561  
 

Sprint Capital Corp.

 
    10,000    

6.88%, 11/15/2028

    10,897  
    725,000    

8.75%, 03/15/2032

    884,050  
 

Sprint Corp.

 
    1,174,000    

7.13%, 06/15/2024

    1,273,790  
    2,660,000    

7.25%, 09/15/2021

    2,838,380  
    10,000    

7.63%, 02/15/2025

    10,987  
    3,621,000    

7.88%, 09/15/2023

    3,996,679  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 88.2% - (continued)  
      Telecommunications - 6.9% - (continued)  
$     600,000    

Telecom Italia Capital S.A. 7.20%, 07/18/2036

  $ 702,000  
    880,000    

Telecom Italia S.p.A. 5.30%, 05/30/2024(1)

    941,600  
     

 

 

 
        24,584,458  
 

 

 

 
      Toys/Games/Hobbies - 0.5%  
    1,640,000    

Mattel, Inc. 6.75%, 12/31/2025(1)

    1,711,750  
     

 

 

 
      Trucking & Leasing - 0.5%  
 

Avolon Holdings Funding Ltd.

 
    440,000    

3.95%, 07/01/2024(1)

    456,808  
    180,000    

4.38%, 05/01/2026(1)

    190,429  
    1,200,000    

5.25%, 05/15/2024(1)

    1,308,600  
     

 

 

 
    1,955,837  
 

 

 

 
 

Total Corporate Bonds
(cost $312,601,823)

  $ 316,076,027  
   

 

 

 
SENIOR FLOATING RATE INTERESTS - 5.0%(7)  
          Auto Parts & Equipment - 0.3%  
    1,010,000    

Panther BF Aggregator L.P. 5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

  $ 995,274  
     

 

 

 
          Commercial Services - 1.3%  
    923,313    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    914,079  
    2,840,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    2,846,504  
    780,125    

Trans Union LLC 4.04%, 06/19/2025, 1 mo. USD LIBOR + 2.000%

    780,858  
     

 

 

 
        4,541,441  
     

 

 

 
          Diversified Financial Services - 0.2%  
    844,174    

Crown Finance U.S., Inc. 4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    832,187  
     

 

 

 
          Food Service - 0.1%  
    296,250    

CHG PPC Parent LLC 4.54%, 03/31/2025, 1 mo. USD LIBOR + 2.750%

    294,769  
     

 

 

 
          Gas - 0.1%  
    338,300    

Messer Industries GmbH 4.60%, 03/01/2026, 1 mo. USD LIBOR + 2.500%

    335,205  
     

 

 

 
          Healthcare - Services - 0.2%  
    733,180    

Syneos Health, Inc. 3.79%, 08/01/2024, 1 mo. USD LIBOR + 2.000%

    733,334  
     

 

 

 
          Household Products - 0.1%  
    540,375    

Diamond (BC) B.V. 4.93%, 09/06/2024, 2 mo. USD LIBOR + 3.000%

    502,279  
     

 

 

 
          Insurance - 0.9%  
    2,157,688    

Asurion LLC 4.79%, 11/03/2024, 1 mo. USD LIBOR + 3.000%

    2,159,047  
    211,775    

Genworth Holdings, Inc. 6.32%, 03/07/2023, 1 mo. USD LIBOR + 4.500%

    211,245  
    943,063    

Hub International Ltd. 4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    921,674  
     

 

 

 
        3,291,966  
     

 

 

 
          Leisure Time - 0.6%  
    2,195,375    

Golden Entertainment, Inc. 4.81%, 10/21/2024, 1 mo. USD LIBOR + 3.000%

    2,196,758  
     

 

 

 
          Machinery - Diversified - 0.2%  
    510,365    

Gardner Denver, Inc. 4.54%, 07/30/2024, 3 mo. USD LIBOR + 2.750%

    511,110  
     

 

 

 
          Media - 0.7%  
    2,629,350    

PSAV Holdings LLC 5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    2,525,832  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  77  

 


The Hartford High Yield Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 5.0%(7) - (continued)  
          Semiconductors - 0.1%  
$     442,667    

Microchip Technology, Inc. 3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

  $ 443,220  
     

 

 

 
          Software - 0.2%  
    246,346    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    246,757  
    585,257    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    586,381  
     

 

 

 
        833,138  
     

 

 

 
   

Total Senior Floating Rate Interests
(cost $18,130,318)

  $ 18,036,513  
     

 

 

 
CONVERTIBLE BONDS - 1.0%      
      Commercial Services - 0.2%      
    800,000    

Cardtronics, Inc. 1.00%, 12/01/2020

  $ 794,425  
     

 

 

 
      Media - 0.4%      
    1,360,000    

Scripps Escrow, Inc. 5.88%, 07/15/2027(1)

    1,393,592  
     

 

 

 
      Software - 0.4%      
    1,258,000    

Western Digital Corp. 1.50%, 02/01/2024

    1,192,997  
     

 

 

 
 

Total Convertible Bonds
(cost $3,467,819)

  $ 3,381,014  
   

 

 

 
COMMON STOCKS - 0.6%      
      Consumer Services - 0.2%      
    69,500    

Caesars Entertainment Corp.*

  $ 853,460  
     

 

 

 
      Diversified Financials - 0.3%      
    25,700    

OneMain Holdings, Inc.

    1,028,000  
     

 

 

 
      Energy - 0.1%      
    104,555,002    

KCA Deutag*(8)(9)(10)

    335,308  
     

 

 

 
 

Total Common Stocks
(cost $3,261,514)

  $ 2,216,768  
   

 

 

 
ESCROWS - 0.4%(11)      
      Media - 0.3%      
    1,025,000    

Nexstar Broadcasting, Inc.*(1)

  $ 1,081,067  
     

 

 

 
      Packaging & Containers - 0.1%      
    340,000    

Berry Global, Inc.*(1)

    357,850  
     

 

 

 
 

Total Escrows
(cost $1,365,000)

  $ 1,438,917  
   

 

 

 
 

Total Long-Term Investments
(cost $338,826,474)

  $ 341,149,239  
   

 

 

 
SHORT-TERM INVESTMENTS - 3.9%      
      Other Investment Pools & Funds - 3.9%  
    13,999,039    

Fidelity Institutional Government Fund, Institutional Class, 1.70%(12)

  $ 13,999,039  
     

 

 

 
 

Total Short-Term Investments
(cost $13,999,039)

  $ 13,999,039  
   

 

 

 
 

Total Investments
(cost $352,825,513)

    99.1    $ 355,148,278  
 

Other Assets and Liabilities

    0.9      3,325,538  
     

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 358,473,816  
     

 

 

    

 

 

 
Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity Industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $172,835,009, representing 48.2% of net assets.

 

(2) 

This security, or a portion of this security, was purchased on a when-issued, delayed-delivery or delayed-draw basis. The cost of these securities was $4,527,450 at October 31, 2019.

 

(3) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $9,615,830, representing 2.7% of net assets.

 

(4) 

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

(5) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(6) 

Security has the ability to pay in kind (“PIK”) or pay income in cash. When applicable, separate rates of such payments are disclosed.

 

(7) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(8) 

Investment valued using significant unobservable inputs.

 

(9) 

This security is valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of this security was $335,308, which represented 0.1% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(10) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $335,308 or 0.1% of net assets.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  78  

 


The Hartford High Yield Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Period
Acquired
    

Security Name

   Shares/
Par Value
     Base
Total Cost
     Base
Market Value
 
  03/2011      KCA Deutag      104,555,002      $     1,416,930      $     335,308  

 

(11) 

Share amount represents shares of the issuer previously held that resulted in receipt of the escrow.

 

(12) 

Current yield as of period end.

 

 

Centrally Cleared Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Notional
Amount(a)
    (Pay)/Receive
Fixed Rate
    Expiration
Date
     Periodic
Payment
Frequency
     Cost Basis      Value      Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Sell protection:  

CDX.NA.HY.33.V1

   USD      3,975,000       5.00     12/20/24        Quarterly      $ 292,016      $ 305,647      $ 13,631  
               

 

 

    

 

 

    

 

 

 

Total

 

        $     292,016      $     305,647      $     13,631  
       

 

 

    

 

 

    

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  884,000      EUR      984,808      USD    BNP      11/29/19     $ 2,965     $  
  7,617,005      USD      6,852,000      EUR    CBK      11/29/19             (39,357
                

 

 

   

 

 

 
 

Total

    $     2,965     $     (39,357
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1      Level 2     Level 3(1)  

Assets

 

Corporate Bonds

   $ 316,076,027     $      $ 316,076,027     $  

Senior Floating Rate Interests

     18,036,513              18,036,513        

Convertible Bonds

     3,381,014              3,381,014        

Common Stocks

 

Consumer Services

     853,460       853,460               

Diversified Financials

     1,028,000       1,028,000               

Energy

     335,308                    335,308  

Escrows

     1,438,917              1,438,917        

Short-Term Investments

     13,999,039       13,999,039               

Foreign Currency Contracts(2)

     2,965              2,965        

Swaps - Credit Default(2)

     13,631              13,631        
  

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $     355,164,874     $     15,880,499      $     338,949,067     $     335,308  
  

 

 

   

 

 

    

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (39,357   $      $ (39,357   $  
  

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $ (39,357   $      $ (39,357   $  
  

 

 

   

 

 

    

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  79  

 


The Hartford Inflation Plus Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 3.4%  
      Asset-Backed - Finance & Insurance - 0.4%  
$     1,360,000    

HSI Asset Securitization Corp. Trust 2.09%, 02/25/2036, 1 mo. USD LIBOR + 0.270%(1)

  $ 1,352,872  
    687,637    

Pretium Mortgage Credit Partners LLC 4.21%, 07/25/2060(2)(3)

    693,367  
     

 

 

 
        2,046,239  
 

 

 

 
      Asset-Backed - Home Equity - 0.1%  
    678,727    

GSAA Home Equity Trust 5.99%, 06/25/2036(4)

    302,771  
    716,116    

Renaissance Home Equity Loan Trust 6.12%, 11/25/2036(3)

    410,699  
     

 

 

 
              713,470  
 

 

 

 
      Other ABS - 0.6%  
    1,617,889    

Legacy Mortgage Asset Trust 4.00%, 01/25/2059(2)(3)

    1,637,331  
    485,520    

Pretium Mortgage Credit Partners LLC 4.83%, 09/25/2058(2)(3)

    488,212  
    953,214    

VOLT LXXV LLC 4.34%, 01/25/2049(2)(3)

    960,167  
     

 

 

 
        3,085,710  
 

 

 

 
      Whole Loan Collateral CMO - 2.3%  
    453,835    

Adjustable Rate Mortgage Trust 2.36%, 11/25/2035, 1 mo. USD LIBOR + 0.540%(1)

    452,838  
    819,965    

Banc of America Funding Trust 6.05%, 10/25/2036(3)

    823,177  
    196,232    

Bear Stearns Adjustable Rate Mortgage Trust 4.27%, 10/25/2035, 12 mo. USD CMT + 2.300%(1)

    202,378  
    433,855    

Chase Mortgage Finance Trust 4.22%, 12/25/2035(4)

    437,123  
    380,552    

Deutsche Alt-A Securities Mortgage Loan Trust 1.97%, 12/25/2036, 1 mo. USD LIBOR + 0.150%(1)

    342,244  
 

Fannie Mae Connecticut Avenue Securities

 
    1,101,876    

4.82%, 07/25/2024, 1 mo. USD LIBOR + 3.000%(1)

    1,157,030  
    259,924    

6.72%, 11/25/2024, 1 mo. USD LIBOR + 4.900%(1)

    283,128  
    141,375    

7.52%, 04/25/2028, 1 mo. USD LIBOR + 5.700%(1)

    154,505  
    119,711    

7.82%, 09/25/2028, 1 mo. USD LIBOR + 6.000%(1)

    130,517  
    179,397    

GreenPoint Mortgage Funding Trust 3.79%, 10/25/2045, 12 mo. USD MTA + 1.400%(1)

    155,083  
    430,510    

GSR Mortgage Loan Trust 4.28%, 10/25/2035(4)

    352,586  
    495,053    

HarborView Mortgage Loan Trust 2.04%, 01/19/2038, 1 mo. USD LIBOR + 0.190%(1)

    481,114  
    2,075,934    

IndyMac Index Mortgage Loan Trust 2.11%, 01/25/2036, 1 mo. USD LIBOR + 0.290%(1)

    1,749,137  
    688,152    

JP Morgan Mortgage Trust 4.08%, 01/25/2037(4)

    672,865  
 

MASTR Adjustable Rate Mortgages Trust

 
    993,554    

2.06%, 05/25/2037, 1 mo. USD LIBOR + 0.240%(1)

    619,817  
    7,025    

4.71%, 11/21/2034(4)

    7,234  
    1,531,688    

New Residential Mortgage Loan Trust 4.34%, 02/26/2024(2)(3)

    1,541,932  
 

Residential Funding Mortgage Securities, Inc.

 
    155,365    

4.76%, 02/25/2036(4)

    144,722  
    324,596    

6.00%, 07/25/2037

    320,439  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 3.4% - (continued)  
      Whole Loan Collateral CMO - 2.3% - (continued)  
$     419,121    

Structured Adjustable Rate Mortgage Loan Trust 4.58%, 06/25/2035(4)

  $ 379,828  
    482,240    

WaMu Mortgage Pass-Through Certificates Trust 2.24%, 06/25/2044, 1 mo. USD LIBOR + 0.420%(1)

    480,379  
    650,514    

Washington Mutual Mortgage Pass-Through Certificates WMALT Trust 3.22%, 11/25/2046, 12 mo. USD MTA + 0.830%(1)

    612,827  
     

 

 

 
        11,500,903  
 

 

 

 
 

Total Asset & Commercial Mortgage Backed Securities
(cost $16,706,435)

  $ 17,346,322  
   

 

 

 
FOREIGN GOVERNMENT OBLIGATIONS - 2.0%  
      Argentina - 0.0%  
ARS     18,856,000    

Argentina POM Politica Monetaria 72.48%, 06/21/2020(4)

  $ 140,405  
     

 

 

 
      Brazil - 0.7%  
BRL     12,791,465    

Brazil Notas do Tesouro Nacional 6.00%, 08/15/2022(5)

    3,592,408  
     

 

 

 
      Colombia - 0.4%  
COP     5,318,572,023    

Colombian TES 4.75%, 02/23/2023(5)

    1,734,358  
     

 

 

 
      Russia - 0.7%  
RUB     239,504,862    

Russian Federal Inflation Linked Bond - OFZ 2.50%, 08/16/2023(5)

    3,634,453  
     

 

 

 
      South Africa - 0.2%  
ZAR     22,127,665    

South Africa Government Bond - CPI Linked 1.88%, 02/28/2033(5)

    1,206,364  
     

 

 

 
 

Total Foreign Government Obligations
(cost $11,773,406)

  $ 10,307,988  
   

 

 

 
SENIOR FLOATING RATE INTERESTS - 4.8%(6)  
      Advertising - 0.0%  
$     225,000    

Clear Channel Outdoor Holdings, Inc. 5.29%, 08/21/2026, 1 mo. USD LIBOR + 3.500%

  $ 225,362  
     

 

 

 
      Aerospace/Defense - 0.2%  
    158,257    

Circor International, Inc. 5.42%, 12/11/2024, 1 mo. USD LIBOR + 3.500%

    156,714  
    586,407    

TransDigm, Inc. 4.29%, 06/09/2023, 1 mo. USD LIBOR + 2.500%

    583,398  
     

 

 

 
              740,112  
 

 

 

 
      Airlines - 0.1%  
    320,100    

American Airlines, Inc. 3.81%, 04/28/2023, 1 mo. USD LIBOR + 2.000%

    319,549  
    100,000    

WestJet Airlines Ltd. 0.00%, 08/07/2026, 1 mo. USD LIBOR + 3.000%(7)

    100,417  
     

 

 

 
              419,966  
 

 

 

 
      Auto Manufacturers - 0.0%  
    103,163    

Navistar International Corp. 5.42%, 11/06/2024, 1 mo. USD LIBOR + 3.500%

    101,938  
     

 

 

 
      Auto Parts & Equipment - 0.1%  
    109,725    

Adient U.S. LLC 6.78%, 05/06/2024, 1 mo. USD LIBOR + 4.250%

    106,879  
    95,989    

Altra Industrial Motion Corp. 3.79%, 10/01/2025, 1 mo. USD LIBOR + 2.000%

    95,509  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  80  

 


The Hartford Inflation Plus Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 4.8%(6) - (continued)  
      Auto Parts & Equipment - 0.1% - (continued)  
$     125,000    

Panther BF Aggregator L.P. 5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

  $ 123,177  
     

 

 

 
              325,565  
 

 

 

 
      Biotechnology - 0.0%  
    97,990    

Sotera Health Holdings LLC 4.93%, 05/15/2022, 1 mo. USD LIBOR + 3.000%

    96,153  
     

 

 

 
      Chemicals - 0.2%  
    113,275    

Axalta Coating Systems U.S. Holdings, Inc. 3.85%, 06/01/2024, 3 mo. USD LIBOR + 1.750%

    113,073  
    116,818    

Cabot Microelectronics Corp. 4.06%, 11/14/2025, 1 mo. ICE LIBOR + 2.250%

    117,184  
EUR     97,643    

CTC AcquiCo GmbH 2.50%, 03/07/2025, 3 mo. EURIBOR + 2.500%

    107,960  
$     301,583    

Minerals Technologies, Inc. 4.14%, 02/14/2024, 1 mo. USD LIBOR + 2.250%

    302,714  
    99,250    

Platform Specialty Products Corp. 4.04%, 01/30/2026, 1 mo. ICE LIBOR + 2.250%

    99,529  
    85,526    

Tronox Finance LLC 4.66%, 09/23/2024, 3 mo. USD LIBOR + 2.750%

    84,682  
    75,001    

Univar, Inc. 4.04%, 07/01/2024, 1 mo. USD LIBOR + 2.250%

    75,189  
    138,600    

WR Grace & Co. 3.85%, 04/03/2025, 3 mo. USD LIBOR + 1.750%

    138,832  
     

 

 

 
        1,039,163  
 

 

 

 
      Commercial Services - 0.4%  
    100,000    

Belron Finance U.S. LLC 0.00%, 11/07/2026, 1 mo. USD LIBOR + 2.500%(7)

    99,969  
    197,996    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    196,016  
    100,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    100,229  
    100,000    

KAR Auction Services, Inc. 0.00%, 09/19/2026, 1 mo. USD LIBOR + 2.250%(7)

    100,250  
    139,423    

Quikrete Holdings, Inc. 4.54%, 11/15/2023, 1 mo. USD LIBOR + 2.750%

    138,769  
    217,687    

Russell Investments U.S. Inst’l Holdco, Inc. 5.04%, 06/01/2023, 3 mo. USD LIBOR + 3.250%

    210,994  
    283,475    

Tempo Acquisition LLC 4.79%, 05/01/2024, 1 mo. USD LIBOR + 3.000%

    283,416  
    141,048    

Trans Union LLC 3.79%, 04/10/2023, 1 mo. USD LIBOR + 2.000%

    141,238  
    480,150    

United Rentals, Inc. 3.54%, 10/31/2025, 1 mo. ICE LIBOR + 1.750%

    482,037  
EUR     135,000    

Verisure Holding AB 3.50%, 10/21/2022, 3 mo. EURIBOR+ 3.500%

    150,565  
$     145,875    

Xerox Business Services LLC 4.29%, 12/07/2023, 1 mo. USD LIBOR + 2.500%

    140,587  
     

 

 

 
        2,044,070  
 

 

 

 
      Construction Materials - 0.0%  
    98,750    

Hamilton Holdco LLC 4.11%, 07/02/2025, 1 mo. USD LIBOR + 2.000%

    98,873  
     

 

 

 
      Distribution/Wholesale - 0.1%  
    488,000    

American Builders & Contractors Supply Co., Inc. 0.00%, 01/15/2027, 1 mo. USD LIBOR + 2.000%(7)

    487,087  
     

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 4.8%(6) - (continued)  
      Diversified Financial Services - 0.2%  
$     195,000    

AlixPartners LLP 4.54%, 04/04/2024, 3 mo. USD LIBOR + 2.750%

  $ 194,675  
    106,546    

Crown Finance U.S., Inc. 4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    105,033  
    416,667    

Delos Finance S.a.r.l. 3.85%, 10/06/2023, 3 mo. USD LIBOR + 1.750%

    417,708  
    118,703    

FinCo I LLC 3.79%, 12/27/2022, 1 mo. USD LIBOR + 2.000%

    118,762  
EUR     97,014    

Nets Holding A/S 3.25%, 02/06/2025, 3 mo. EURIBOR + 3.250%

    107,163  
$     90,636    

Victory Capital Holdings, Inc. 5.35%, 07/01/2026, 1 mo. USD LIBOR + 3.250%

    90,908  
     

 

 

 
        1,034,249  
 

 

 

 
      Electrical Components & Equipment - 0.1%  
    670,000    

Virgin Media Bristol LLC 4.42%, 01/31/2028, 1 mo. USD LIBOR + 2.500%

    666,931  
     

 

 

 
      Electronics - 0.0%  
    99,250    

Resideo Funding, Inc. 4.11%, 10/24/2025, 3 mo. USD LIBOR + 2.000%

    98,258  
     

 

 

 
      Energy - Alternate Sources - 0.1%  
    4,332    

AES Corp. 3.87%, 05/31/2022, 3 mo. USD LIBOR + 1.750%

    4,330  
    182,688    

BCP Renaissance Parent LLC 5.36%, 10/31/2024, 3 mo. USD LIBOR + 3.500%

    164,762  
    96,495    

TEX Operations Co. LLC 3.79%, 08/04/2023, 1 mo. USD LIBOR + 2.000%

    96,777  
     

 

 

 
        265,869  
 

 

 

 
      Engineering & Construction - 0.0%  
    219,938    

Brand Energy & Infrastructure Services, Inc. 6.24%, 06/21/2024, 3 mo. USD LIBOR + 4.250%

    213,339  
     

 

 

 
      Entertainment - 0.0%  
    143,550    

Wyndham Hotels & Resorts, Inc. 3.54%, 05/30/2025, 1 mo. USD LIBOR + 1.750%

    144,149  
     

 

 

 
      Environmental Control - 0.1%  
    123,863    

Advanced Disposal Services, Inc. 4.09%, 11/10/2023, 1 Week USD LIBOR + 2.250%

    124,016  
    146,625    

Clean Harbors, Inc. 3.54%, 06/28/2024, 1 mo. USD LIBOR + 1.750%

    147,358  
     

 

 

 
        271,374  
 

 

 

 
      Food - 0.0%  
    100,000    

B&G Foods, Inc. 4.48%, 10/10/2026, 1 mo. USD LIBOR + 2.500%

    100,313  
    11,523    

Post Holdings, Inc. 3.83%, 05/24/2024, 1 mo. USD LIBOR + 2.000%

    11,531  
    115,000    

U.S. Foods, Inc. 3.79%, 09/13/2026, 1 mo. USD LIBOR + 2.000%

    115,303  
     

 

 

 
        227,147  
 

 

 

 
      Food Service - 0.0%  
    93,266    

Aramark Services, Inc. 3.54%, 03/11/2025, 3 mo. USD LIBOR + 1.750%

    93,344  
     

 

 

 
      Gas - 0.0%  
    99,500    

Messer Industries GmbH 4.60%, 03/01/2026, 1 mo. USD LIBOR + 2.500%

    98,590  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  81  

 


The Hartford Inflation Plus Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 4.8%(6) - (continued)  
      Healthcare - Services - 0.2%  
$     133,427    

Gentiva Health Services, Inc. 5.56%, 07/02/2025, 1 mo. USD LIBOR + 3.750%

  $ 133,093  
EUR     162,938    

IQVIA, Inc. 2.00%, 06/11/2025, 3 mo. EURIBOR + 2.000%

    181,951  
$     277,248    

MPH Acquisition Holdings LLC 4.85%, 06/07/2023, 3 mo. USD LIBOR + 2.750%

    259,385  
    247,789    

Universal Health Services, Inc. 3.54%, 10/31/2025, 1 mo. USD LIBOR + 1.750%

    248,099  
    250,000    

Zelis Healthcare Corp. 0.00%, 09/30/2026, 1 mo. USD LIBOR + 4.750%(7)

    247,083  
     

 

 

 
        1,069,611  
 

 

 

 
      Household Products - 0.0%  
    101,850    

Revlon Consumer Products Corp. 5.62%, 09/07/2023, 1 mo. USD LIBOR + 3.500%

    79,740  
     

 

 

 
      Insurance - 0.2%  
    671,379    

Asurion LLC 4.79%, 11/03/2023, 1 mo. USD LIBOR + 3.000%

    672,097  
    212,313    

Hub International Ltd. 4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    207,498  
 

Sedgwick Claims Management Services, Inc.

 

    178,650    

5.04%, 12/31/2025, 1 mo. USD LIBOR + 3.250%

    173,151  
    149,625    

5.79%, 09/03/2026, 1 mo. USD LIBOR + 4.000%

    148,347  
     

 

 

 
        1,201,093  
 

 

 

 
      IT Services - 0.1%  
    247,500    

Science Applications International Corp. 3.54%, 10/31/2025, 1 mo. ICE LIBOR + 1.750%

    247,733  
     

 

 

 
      Leisure Time - 0.2%  
    437,371    

Caesars Resort Collection LLC 4.54%, 12/23/2024, 1 mo. USD LIBOR + 2.750%

    430,583  
    133,024    

Eldorado Resorts LLC 4.21%, 04/17/2024, 2 mo. USD LIBOR + 2.250%

    132,802  
    246,075    

Golden Entertainment, Inc. 4.81%, 10/21/2024, 1 mo. USD LIBOR + 3.000%

    246,230  
    99,250    

Penn National Gaming, Inc. 4.04%, 10/15/2025, 3 mo. USD LIBOR + 2.250%

    99,548  
     

 

 

 
        909,163  
 

 

 

 
      Lodging - 0.1%  
    157,024    

Boyd Gaming Corp. 3.96%, 09/15/2023, 1 week USD LIBOR + 2.250%

    157,073  
    224,354    

Caesars Entertainment Operating Co. 3.79%, 10/07/2024, 1 mo. USD LIBOR + 2.000%

    224,215  
    166,127    

Station Casinos LLC 4.29%, 06/08/2023, 1 mo. USD LIBOR + 2.500%

    166,196  
     

 

 

 
        547,484  
 

 

 

 
      Machinery - Construction & Mining - 0.1%  
    148,875    

Brookfield WEC Holdings, Inc. 5.29%, 08/01/2025, 1 mo. USD LIBOR + 3.500%

    147,821  
    84,887    

Pike Corp. 5.04%, 07/24/2026, 1 mo. USD LIBOR + 3.250%

    84,821  
     

 

 

 
        232,642  
 

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 4.8%(6) - (continued)  
      Media - 0.4%  
$     117,600    

Altice Financing S.A. 4.60%, 01/31/2026, 3 mo. USD LIBOR + 2.750%

  $ 113,085  
    290,329    

Charter Communications Operating LLC 3.54%, 04/30/2025, 1 mo. USD LIBOR + 1.750%

    290,651  
 

CSC Holdings LLC

 
    294,328    

4.17%, 07/17/2025, 1 mo. USD LIBOR + 2.250%

    292,571  
    188,575    

4.17%, 01/15/2026, 1 mo. ICE LIBOR + 2.250%

    187,066  
    188,575    

Gray Television, Inc. 4.51%, 01/02/2026, 1 mo. ICE LIBOR + 2.500%

    188,958  
    224,309    

ION Media Networks, Inc. 4.81%, 12/18/2024, 1 mo. USD LIBOR + 3.000%

    222,907  
    98,500    

Lamar Media Corp. 3.56%, 03/14/2025, 1 mo. USD LIBOR + 1.750%

    98,716  
    99,495    

MTN Infrastructure TopCo, Inc. 4.79%, 11/15/2024, 1 mo. USD LIBOR + 3.000%

    98,210  
    165,000    

Nexstar Broadcasting, Inc. 4.55%, 09/18/2026, 1 mo. USD LIBOR + 2.750%

    165,526  
    197,247    

PSAV Holdings LLC 5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    189,481  
     

 

 

 
        1,847,171  
 

 

 

 
      Miscellaneous Manufacturing - 0.1%  
    149,915    

H.B. Fuller Co. 3.85%, 10/20/2024, 1 mo. USD LIBOR + 2.000%

    149,367  
    245,000    

USI, Inc. 5.10%, 05/16/2024, 3 mo. USD LIBOR + 3.000%

    237,589  
     

 

 

 
        386,956  
 

 

 

 
      Oil & Gas - 0.0%  
    103,950    

NorthRiver Midstream Finance L.P. 5.35%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    102,168  
     

 

 

 
      Oil & Gas Services - 0.1%  
    100,000    

Buckeye Partners L.P. 0.00%, 11/01/2026, 1 mo. USD LIBOR + 2.750%(7)

    100,438  
    99,750    

Lower Cadence Holdings LLC 5.80%, 05/22/2026, 1 mo. USD LIBOR + 4.000%

    92,518  
    379,050    

UGI Energy Services LLC 5.54%, 08/13/2026, 1 mo. USD LIBOR + 3.750%

    379,998  
     

 

 

 
        572,954  
 

 

 

 
      Packaging & Containers - 0.2%  
 

Berry Global, Inc.

 
EUR     99,750    

2.50%, 07/01/2026, 3 mo. EURIBOR + 2.500%

    112,023  
$     199,500    

4.44%, 07/01/2026, 3 mo. USD LIBOR + 2.500%

    200,083  
    148,247    

Flex Acquisition Co., Inc. 5.10%, 12/29/2023, 3 mo. USD LIBOR + 3.000%

    139,854  
    693,900    

Reynolds Group Holdings, Inc. 4.54%, 02/05/2023, 1 mo. USD LIBOR + 2.750%

    693,518  
     

 

 

 
        1,145,478  
 

 

 

 
      Pharmaceuticals - 0.2%  
 

Bausch Health Companies, Inc.

 
    175,000    

4.67%, 11/27/2025, 1 mo. USD LIBOR + 2.750%

    175,145  
    94,744    

4.92%, 06/02/2025, 1 mo. USD LIBOR + 3.000%

    95,050  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  82  

 


The Hartford Inflation Plus Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 4.8%(6) - (continued)  
      Pharmaceuticals - 0.2% - (continued)  
$     99,500    

Catalent Pharma Solutions, Inc. 4.04%, 05/18/2026, 1 mo. USD LIBOR + 2.250%

  $ 99,500  
    361,675    

Endo Luxembourg Finance Co., S.a.r.l. 6.06%, 04/29/2024, 1 mo. USD LIBOR + 4.250%

    332,018  
    266,679    

IQVIA, Inc. 4.10%, 03/07/2024, 3 mo. USD LIBOR + 2.000%

    267,346  
    165,000    

Sunshine Luxembourg S.a.r.l. 6.35%, 10/01/2026, 1 mo. USD LIBOR + 4.250%

    165,069  
     

 

 

 
        1,134,128  
 

 

 

 
      Real Estate - 0.1%  
    179,501    

KFC Holding Co. 3.63%, 04/03/2025, 1 mo. USD LIBOR + 1.750%

    179,501  
    219,545    

VICI Properties LLC 3.85%, 12/20/2024, 1 mo. USD LIBOR + 2.000%

    220,193  
     

 

 

 
        399,694  
 

 

 

 
      REITS - 0.1%  
    255,725    

MGM Growth Properties Operating Partnership L.P. 3.79%, 03/21/2025, 1 mo. USD LIBOR + 2.000%

    256,364  
     

 

 

 
      Retail - 0.2%  
    117,634    

B.C. Unlimited Liability Co. 4.04%, 02/16/2024, 1 mo. USD LIBOR + 2.250%

    117,722  
    196,000    

Bass Pro Group LLC 6.79%, 09/25/2024, 1 mo. USD LIBOR + 5.000%

    188,824  
    276,372    

Coty, Inc. 4.23%, 04/07/2025, 1 mo. USD LIBOR + 2.250%

    266,699  
    309,952    

Michaels Stores, Inc. 4.31%, 01/30/2023, 1 mo. USD LIBOR + 2.500%

    301,760  
    128,054    

Staples, Inc. 7.12%, 04/16/2026, 3 mo. USD LIBOR + 5.000%

    126,096  
     

 

 

 
        1,001,101  
 

 

 

 
      Semiconductors - 0.1%  
    153,838    

Entegris, Inc. 3.79%, 11/06/2025, 1 mo. USD LIBOR + 2.000%

    154,350  
    71,861    

Microchip Technology, Inc. 3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

    71,951  
    102,254    

ON Semiconductor Corp. 3.79%, 09/19/2026, 1 mo. USD LIBOR + 2.000%

    102,649  
     

 

 

 
        328,950  
 

 

 

 
      Software - 0.5%  
    153,623    

Almonde, Inc. 5.70%, 06/13/2024, 3 mo. USD LIBOR + 3.500%

    146,614  
    194,767    

Change Healthcare Holdings LLC 4.29%, 03/01/2024, 1 mo. USD LIBOR + 2.500%

    193,505  
    169,323    

Go Daddy Operating Co. LLC 3.54%, 02/15/2024, 1 mo. USD LIBOR + 1.750%

    169,419  
    551,984    

Infor U.S., Inc. 4.85%, 02/01/2022, 1 mo. USD LIBOR + 2.750%

    551,984  
    17,882    

MA FinanceCo. LLC 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    17,334  
    120,758    

Seattle Spinco, Inc. 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    117,060  
    39,961    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    40,028  
    269,093    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    269,689  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 4.8%(6) - (continued)  
      Software - 0.5% - (continued)  
$     100,000    

Ultimate Software Group, Inc. 5.54%, 05/04/2026, 1 mo. USD LIBOR + 3.750%

  $ 100,153  
    205,275    

Verint Systems, Inc. 4.15%, 06/28/2024, 1 mo. USD LIBOR + 2.000%

    205,918  
    478,981    

WEX, Inc. 4.04%, 05/15/2026, 1 mo. USD LIBOR + 2.250%

    480,437  
     

 

 

 
        2,292,141  
 

 

 

 
      Telecommunications - 0.3%  
    320,975    

Altice France S.A. 5.61%, 01/31/2026, 3 mo. USD LIBOR + 3.688%

    312,835  
    99,242    

CenturyLink, Inc. 4.54%, 01/31/2025, 1 mo. USD LIBOR + 2.750%

    98,164  
    148,252    

Ciena Corp. 3.85%, 09/26/2025, 1 mo. USD LIBOR + 2.000%

    148,622  
    375,000    

Level 3 Financing, Inc. 4.04%, 02/22/2024, 1 mo. USD LIBOR + 2.250%

    375,281  
    100,000    

Liberty Latin America Ltd. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 5.000%(7)

    100,844  
    429,000    

Sprint Communications, Inc. 4.31%, 02/02/2024, 1 mo. USD LIBOR + 2.500%

    423,818  
    100,095    

Zayo Group LLC 4.04%, 01/19/2024, 1 mo. USD LIBOR + 2.250%

    100,188  
     

 

 

 
        1,559,752  
 

 

 

 
      Transportation - 0.0%  
    49,074    

B.C. Unlimited Liability Co. 6.10%, 04/06/2026, 1 mo. USD LIBOR + 4.000%

    49,143  
    91,277    

Dynasty Acquisition Co., Inc. 6.10%, 04/06/2026, 1 mo. USD LIBOR + 4.000%

    91,406  
     

 

 

 
        140,549  
 

 

 

 
 

Total Senior Floating Rate Interests
(cost $24,324,404)

  $ 24,146,411  
   

 

 

 
U.S. GOVERNMENT AGENCIES - 13.0%  
      Mortgage-Backed Agencies - 13.0%  
      FHLMC - 0.2%  
    1,076,302    

6.07%, 11/25/2023, 1 mo. USD LIBOR + 4.250%(1)

  $ 1,160,897  
     

 

 

 
      FNMA - 0.3%  
    1,345,000    

4.22%, 04/25/2031, 1 mo. USD LIBOR + 2.400%(1)(2)

    1,355,864  
     

 

 

 
      GNMA - 6.3%  
    9,200,000    

3.00%, 11/01/2049(8)

    9,470,242  
    21,600,000    

3.00%, 12/01/2049(8)

    22,224,404  
     

 

 

 
        31,694,646  
 

 

 

 
      UMBS - 6.2%  
    9,200,000    

3.00%, 11/01/2049(8)

    9,348,433  
    21,600,000    

3.00%, 12/01/2049(8)

    21,926,071  
     

 

 

 
        31,274,504  
 

 

 

 
 

Total U.S. Government Agencies
(cost $65,204,153)

  $ 65,485,911  
   

 

 

 
U.S. GOVERNMENT SECURITIES - 87.1%  
      U.S. Treasury Securities - 87.1%  
      U.S. Treasury Bonds - 5.8%  
    26,187,179    

U.S. Treasury Bonds 2.38%, 01/15/2025(5)

  $ 29,127,576  
     

 

 

 
        29,127,576  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  83  

 


The Hartford Inflation Plus Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT SECURITIES - 87.1% - (continued)  
      U.S. Treasury Notes - 81.3%  
$     141,017,055    

0.13%, 04/15/2021(5)

  $ 139,880,408  
    58,932,370    

0.13%, 07/15/2026(5)

    58,932,167  
    4,836,443    

0.25%, 01/15/2025(5)

    4,855,019  
    14,011,770    

0.25%, 07/15/2029(5)

    14,162,915  
    16,022,495    

0.38%, 07/15/2025(5)(9)

    16,271,065  
    46,409,708    

0.50%, 01/15/2028(5)(10)(11)

    47,607,514  
    90,077,310    

0.63%, 01/15/2026(5)

    92,504,530  
    27,161,776    

0.75%, 07/15/2028(5)

    28,586,993  
    5,623,892    

0.88%, 01/15/2029(5)

    5,981,279  
    876,822    

1.00%, 02/15/2049(5)

    985,901  
    265,000    

2.75%, 09/30/2020(9)

    267,692  
     

 

 

 
        410,035,483  
     

 

 

 
 

Total U.S. Government Securities
(cost $432,038,242)

  $ 439,163,059  
   

 

 

 
 

Total Long-Term Investments
(cost $550,046,640)

  $ 556,449,691  
   

 

 

 
SHORT-TERM INVESTMENTS - 2.6%  
      Other Investment Pools & Funds - 2.6%  
    12,891,365    

Fidelity Institutional Government Fund, Institutional Class, 1.70%(12)

  $ 12,891,365  
     

 

 

 
 

Total Short-Term Investments
(cost $12,891,365)

  $ 12,891,365  
   

 

 

 
 

Total Investments
(cost $562,938,005)

    112.9    $ 569,341,056  
 

Other Assets and Liabilities

    (12.9 )%       (64,998,131
     

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 504,342,925  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

(1) 

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(2) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $6,676,873, representing 1.3% of net assets.

 

(3) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(4) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(5) 

The principal amount for these securities are adjusted for inflation and the interest payments equal a fixed percentage of the inflation-adjusted principal amount.

 

(6) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(7) 

Represents an unsettled loan commitment. The coupon rate will be determined at time of settlement.

 

(8) 

Represents or includes a TBA transaction.

 

(9) 

All, or a portion of the security, was pledged as collateral in connection with OTC swap contracts. As of October 31, 2019, the market value of securities pledged was $564,232.

 

(10) 

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $610,357.

 

(11) 

All, or a portion of the security, was pledged as collateral in connection with centrally cleared swap contracts. As of October 31, 2019, the market value of securities pledged was $1,872,102.

 

(12) 

Current yield as of period end.

 
Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

U.S. Treasury 2-Year Note Future

     39        12/31/2019      $ 8,408,461      $ 11,649  

U.S. Treasury 10-Year Note Future

     348        12/19/2019        45,343,312        (1,874

U.S. Treasury Ultra Bond Future

     3        12/19/2019        569,250        (4,787
           

 

 

 

Total

 

   $ 4,988  
  

 

 

 
Short position contracts:  

U.S. Treasury 5-Year Note Future

     125        12/31/2019      $     14,900,390      $ (29,717

U.S. Treasury 10-Year Ultra Future

     101        12/19/2019        14,353,047        (11,825
           

 

 

 

Total

 

   $ (41,542
  

 

 

 

Total futures contracts

 

   $     (36,554
  

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  84  

 


The Hartford Inflation Plus Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counter-
party
   Notional
Amount(a)
     (Pay)/Receive
Fixed Rate
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Sell protection:  

CMBX.NA.AAA.6

   GSC      USD       18,507,790      0.50%      05/11/63        Monthly      $      $ (14,126   $ 155,074      $ 169,200  
                   

 

 

    

 

 

   

 

 

    

 

 

 

Total traded indices

            $      $ (14,126   $ 155,074      $ 169,200  
        

 

 

    

 

 

   

 

 

    

 

 

 

Total OTC contracts

            $     —      $     (14,126   $     155,074      $     169,200  
           

 

 

    

 

 

   

 

 

    

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

OTC Interest Rate Swap Contracts Outstanding at October 31, 2019  

Counterparty

  

Payments made
by Fund

  

Payments received
by Fund

   Notional
Amount
     Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Value     Unrealized
Appreciation/
(Depreciation)
 

BCLY

  

2.00% Fixed

  

CPURNSA

     USD       12,310,000        01/15/22        At Maturity      $      $      $ (210,304   $ (210,304

BCLY

  

2.29% Fixed

  

CPURNSA

     USD       25,572,000        01/15/22        At maturity                      (598,935     (598,935

BOA

  

2.12% Fixed

  

CPURNSA

     USD       8,580,000        01/15/24        At maturity                      (240,186     (240,186
                   

 

 

    

 

 

    

 

 

   

 

 

 

Total

                    $     —      $     —      $     (1,049,425   $     (1,049,425
                   

 

 

    

 

 

    

 

 

   

 

 

 

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Value     Unrealized
Appreciation/
(Depreciation)
 

12 Mo. Federal Funds Rate

  

0.94% Fixed

   USD     13,439,000        08/22/24      Annual    $      $      $ 181,180     $ 181,180  

12 Mo. Federal Funds Rate

  

1.03% Fixed

   USD     9,012,000        09/06/26      Annual                    137,734       137,734  

12 Mo. Federal Funds Rate

  

1.00% Fixed

   USD     3,322,000        09/29/26      Annual      69,626               61,392       (8,234

3 Mo. USD LIBOR

  

2.36% Fixed

   USD     6,700,000        04/09/24      Semi-Annual                    (253,144     (253,144

3 Mo. USD LIBOR

  

2.36% Fixed

   USD     6,965,000        04/09/24      Semi-Annual                    (264,220     (264,220

3 Mo. USD LIBOR

  

2.36% Fixed

   USD     7,150,000        04/09/24      Semi-Annual                    (270,459     (270,459

3 Mo. USD LIBOR

  

2.36% Fixed

   USD     9,540,000        04/09/24      Semi-Annual                    (360,031     (360,031

3 Mo. USD LIBOR

  

1.72% Fixed

   USD     880,000        10/29/29      Semi-Annual                    (9,557     (9,557

3 Mo. USD LIBOR

  

1.72% Fixed

   USD     1,705,000        10/29/29      Semi-Annual                    (19,313     (19,313

3 Mo. USD LIBOR

  

1.77% Fixed

   USD     1,285,000        10/30/29      Semi-Annual                    (19,941     (19,941

3 Mo. USD LIBOR

  

1.77% Fixed

   USD     1,300,000        10/30/29      Semi-Annual                    (20,720     (20,720
                

 

 

    

 

 

    

 

 

   

 

 

 

Total

 

         $     69,626      $     —      $     (837,079   $     (906,705
        

 

 

    

 

 

    

 

 

   

 

 

 

 

Bond Forward Contracts Outstanding at October 31, 2019  

Counterparty

    

Reference Obligation

     Notional Amount        Expiration Date        Unrealized
Appreciation/
(Depreciation)
 

BOA

     U.S. Treasury Bonds(5), 0.13%, 07/15/2026        USD       9,077,657          11/29/2019        $ 35,524  

BOA

     U.S. Treasury Bonds(5), 0.38%, 07/15/2025        USD       28,690,490          11/29/2019          115,118  

MSC

     U.S. Treasury Bonds(5), 0.63%, 01/15/2026        USD       20,415,534          11/29/2019          87,024  
                     

 

 

 

Total

 

     $     237,666  
    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  85  

 


The Hartford Inflation Plus Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  3,427,461      USD      14,019,000      BRL    GSC      12/18/19     $     $ (58,153
  1,655,787      USD      5,620,240,000      COP    CBK      12/18/19             (3,961
  661,430      USD      595,000      EUR    CBK      11/29/19             (3,418
  3,461,642      USD      228,953,000      RUB    GSC      12/18/19             (84,670
  1,277,637      USD      19,012,000      ZAR    GSC      12/18/19       27,791        
                

 

 

   

 

 

 
 

Total

    $     27,791     $     (150,202
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Assets

 

Asset & Commercial Mortgage Backed Securities

   $ 17,346,322     $     $ 17,346,322     $  

Foreign Government Obligations

     10,307,988             10,307,988        

Senior Floating Rate Interests

     24,146,411             24,146,411        

U.S. Government Agencies

     65,485,911             65,485,911        

U.S. Government Securities

     439,163,059             439,163,059        

Short-Term Investments

     12,891,365       12,891,365              

Bond Forward Contracts(2)

     237,666             237,666        

Foreign Currency Contracts(2)

     27,791             27,791        

Futures Contracts(2)

     11,649       11,649              

Swaps - Credit Default(2)

     169,200             169,200        

Swaps - Interest Rate(2)

     318,914             318,914        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     570,106,276     $     12,903,014     $     557,203,262     $     —  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (150,202   $     $ (150,202   $  

Futures Contracts(2)

     (48,203     (48,203            

Swaps - Interest Rate(2)

     (2,275,044           (2,275,044      
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (2,473,449   $ (48,203   $ (2,425,246   $  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  86  

 


Hartford Municipal Income Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 93.3%      
          Alabama - 1.4%      
$     150,000    

Jefferson County, AL, Board of Education 5.00%, 02/01/2046

  $ 177,009  
    300,000    

State of Alabama, Docks Department 5.00%, 10/01/2024

    344,532  
     

 

 

 
        521,541  
     

 

 

 
          Arizona - 1.9%  
    100,000    

Maricopa County, AZ, Industrial Dev Auth 5.00%, 09/01/2042

    119,206  
    200,000    

Maricopa County, AZ, Pollution Control Corp. 5.00%, 06/01/2035

    203,700  
    200,000    

Salt Verde Financial Corp., AZ, Rev 5.00%, 12/01/2037

    268,908  
    110,000    

Tempe, AZ, Industrial Dev Auth 4.00%, 10/01/2023(1)

    111,065  
     

 

 

 
        702,879  
     

 

 

 
          California - 2.9%  
    50,000    

Alameda County, Oakland, CA, Unified School Dist 4.00%, 08/01/2034

    56,605  
    100,000    

City of Los Angeles, CA, Department of Airports 5.00%, 05/15/2026

    118,431  
    45,000    

Elk Grove, CA, Finance Auth Special Tax 5.00%, 09/01/2032

    53,155  
    90,000    

Los Angeles County, CA, Metropolitan Transportation Auth 4.00%, 06/01/2034

    101,550  
   

Orange County, CA, Community Facs Dist, Special Tax

 
    100,000    

5.00%, 08/15/2023

    111,798  
    150,000    

5.00%, 08/15/2033

    175,486  
    100,000    

Romoland, CA, School Dist 5.00%, 09/01/2043

    115,428  
    100,000    

San Bernardino City, CA, Unified School Dist, GO 0.00%, 08/01/2027(2)

    86,255  
    255,000    

San Joaquin Hills, CA, Transportation Corridor Agency 0.00%, 01/15/2025(2)

    225,930  
     

 

 

 
        1,044,638  
     

 

 

 
          Colorado - 2.3%  
    175,000    

City & County of Denver, CO, Airport System Rev 5.00%, 12/01/2036

    232,986  
    150,000    

Denver, CO, Convention Center Hotel Auth 5.00%, 12/01/2040

    170,471  
    100,000    

Denver, CO, Urban Renewal Auth 5.25%, 12/01/2039(1)

    106,972  
    45,000    

E-470 Public Highway, CO, Auth Rev 2.25%, 09/01/2039, 1 mo. USD LIBOR + 1.050%(3)

    45,399  
   

Park Creek, CO, Metropolitan Dist Rev

 
    100,000    

5.00%, 12/01/2023

    113,146  
    120,000    

5.00%, 12/01/2029

    149,034  
     

 

 

 
        818,008  
     

 

 

 
          Connecticut - 3.3%  
    200,000    

City of Bridgeport, CT, GO 5.00%, 07/15/2048

    233,864  
   

Connecticut State Health & Educational Facs Auth

 
    215,000    

5.00%, 07/01/2020

    220,252  
    60,000    

5.00%, 07/01/2042

    70,894  
    250,000    

Hamden, CT, GO 5.00%, 08/15/2025

    297,067  
    50,000    

Hartford, CT, GO 5.00%, 07/01/2027

    59,059  
    170,000    

State of Connecticut, GO 5.00%, 06/15/2026

    200,320  
    100,000    

Waterbury, CT, GO 5.00%, 11/15/2047

    117,430  
     

 

 

 
        1,198,886  
     

 

 

 
          District of Columbia - 1.5%  
   

Dist of Columbia, GO

 
    150,000    

5.00%, 06/01/2032

    173,596  
    150,000    

5.00%, 07/01/2042

    160,851  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 93.3% - (continued)      
          District of Columbia - 1.5% - (continued)  
$     175,000    

Metropolitan Washington, DC, Airports Auth System Rev 5.00%, 10/01/2026

  $ 213,635  
     

 

 

 
        548,082  
     

 

 

 
          Florida - 5.0%  
    70,000    

City of Atlantic Beach, FL, Health Care Facs Auth 5.00%, 11/15/2048

    79,474  
    200,000    

Jacksonville, FL, Rev 5.00%, 10/01/2030

    218,980  
    150,000    

JEA, FL, Electric System Rev 5.00%, 10/01/2028

    185,733  
    150,000    

JEA, FL, Water & Sewer System Rev 5.00%, 10/01/2028

    185,733  
   

Lee County, FL, Airport Rev

 
    125,000    

5.00%, 10/01/2032

    147,318  
    100,000    

5.00%, 10/01/2033

    117,727  
   

Miami-Dade County, FL, Aviation Rev

 
    15,000    

5.00%, 10/01/2029

    17,577  
    15,000    

5.00%, 10/01/2031

    17,472  
    20,000    

5.00%, 10/01/2032

    23,242  
    20,000    

5.00%, 10/01/2033

    23,205  
    65,000    

Miami-Dade County, FL, Seaport Department Rev 5.00%, 10/01/2023

    72,666  
    100,000    

Orange County, FL, Health Facs Auth 5.00%, 08/01/2031

    112,032  
    275,000    

Polk County, FL, Industrial Dev Auth 5.00%, 01/01/2029

    316,489  
    200,000    

Port St. Lucie, FL, Special Assessment 4.00%, 07/01/2027

    227,834  
    60,000    

Putnam County, FL, Dev Auth 5.00%, 03/15/2042

    71,290  
     

 

 

 
        1,816,772  
     

 

 

 
          Georgia - 2.3%  
   

Burke County, GA, Dev Auth Rev

 

    165,000    

2.25%, 10/01/2032(4)

    167,711  
    70,000    

2.35%, 10/01/2032(4)

    70,571  
    125,000    

3.00%, 11/01/2045(4)

    128,243  
    35,000    

Georgia Housing & Finance Auth Rev 3.50%, 06/01/2039

    36,422  
    170,000    

Main Street, GA, Natural Gas, Inc. 5.00%, 05/15/2032

    207,232  
   

Municipal Electric Auth, GA

 
    100,000    

5.00%, 01/01/2028

    118,462  
    85,000    

5.00%, 01/01/2056

    97,985  
     

 

 

 
        826,626  
     

 

 

 
          Hawaii - 0.5%  
    150,000    

State of Hawaii Airports System Rev 5.00%, 07/01/2031

    185,121  
     

 

 

 
          Illinois - 14.8%  
   

Chicago, IL, Board of Education, GO

 
    150,000    

5.00%, 12/01/2027

    174,150  
    140,000    

5.25%, 12/01/2039

    153,797  
    100,000    

5.75%, 04/01/2035

    119,885  
    270,000    

Chicago, IL, Metropolitan Water Reclamation Dist, GO 5.25%, 12/01/2032

    356,378  
   

Chicago, IL, Midway International Airport Rev

 
    100,000    

5.00%, 01/01/2023

    110,575  
    250,000    

5.00%, 01/01/2041

    276,477  
   

Chicago, IL, Transit Auth

 
    75,000    

5.00%, 06/01/2020

    76,457  
    100,000    

5.00%, 12/01/2044

    112,297  
    160,000    

5.25%, 12/01/2024

    172,078  
    250,000    

City of Chicago, IL, GO 5.00%, 01/01/2026

    280,552  
   

City of Decatur, IL, GO

 
    110,000    

5.00%, 03/01/2034

    127,281  
    150,000    

5.00%, 03/01/2035

    173,228  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  87  

 


Hartford Municipal Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 93.3% - (continued)      
          Illinois - 14.8% - (continued)  
   

Cook County, IL, Community High School Dist No. 212 Leyden

 
$     105,000    

5.00%, 12/01/2027

  $ 120,578  
    170,000    

5.00%, 12/01/2030

    194,106  
    105,000    

Cook County, IL, GO 5.00%, 11/15/2028

    108,600  
   

Illinois State Finance Auth Rev

 
    150,000    

5.00%, 11/15/2030

    173,942  
    150,000    

5.00%, 02/15/2033

    181,098  
    245,000    

5.00%, 08/15/2035

    278,215  
    150,000    

5.00%, 10/01/2041

    175,492  
    100,000    

Illinois State Toll Highway Auth, Taxable Rev 5.00%, 01/01/2031

    125,207  
    150,000    

Kane Cook & DuPage Counties, IL, GO 5.00%, 01/01/2035

    166,448  
    100,000    

Kane McHenry Cook & DeKalb Counties, IL, Unified School Dist, GO 5.00%, 01/01/2023

    110,869  
   

Metropolitan Pier & Exposition Auth, IL

 
    125,000    

0.00%, 06/15/2020(2)

    123,633  
    105,000    

0.00%, 12/15/2042(5)

    70,605  
   

Railsplitter, IL, Tobacco Settlement Auth

 
    100,000    

5.00%, 06/01/2023

    112,168  
    70,000    

5.00%, 06/01/2027

    84,265  
   

Regional Transportation, IL, Auth Rev

 
    80,000    

5.00%, 06/01/2026

    91,972  
    125,000    

6.25%, 07/01/2022

    140,785  
    150,000    

Sales Tax Securitization Corp., IL 5.00%, 01/01/2029

    178,455  
   

State of Illinois, GO

 
    225,000    

5.00%, 11/01/2021

    237,769  
    50,000    

5.00%, 02/01/2027

    57,197  
    250,000    

5.00%, 05/01/2029

    273,170  
    105,000    

5.00%, 11/01/2029

    119,053  
    90,000    

University of Illinois, IL, Auxiliary Facs Rev 5.00%, 04/01/2024

    100,462  
     

 

 

 
        5,357,244  
     

 

 

 
          Indiana - 0.9%  
    84,657    

City of Evansville, IN 3.00%, 06/01/2034

    89,118  
    115,000    

Indiana Municipal Power Agency 5.00%, 01/01/2033

    140,370  
    85,000    

Indianapolis, IN, Airport Auth Rev 4.75%, 01/01/2030

    85,407  
     

 

 

 
        314,895  
     

 

 

 
          Kentucky - 1.0%  
    225,000    

Kentucky Bond Dev Corp. 5.00%, 09/01/2035

    274,268  
    90,000    

Kentucky Economic Dev Finance Auth 5.00%, 12/01/2047

    97,918  
     

 

 

 
        372,186  
     

 

 

 
          Louisiana - 2.0%  
   

Louisiana State Local Gov’t Environmental Facs & Community Dev Auth Rev

 
    100,000    

5.75%, 11/15/2030

    110,647  
    100,000    

6.00%, 11/15/2030

    112,271  
   

Louisiana State Public Facs Auth Rev

 
    100,000    

5.00%, 05/15/2035

    113,067  
    100,000    

5.00%, 05/15/2047

    114,136  
    40,000    

6.38%, 05/15/2031

    43,111  
    200,000    

New Orleans, LA, Aviation Board 5.00%, 01/01/2038

    232,698  
     

 

 

 
        725,930  
     

 

 

 
          Maryland - 0.1%  
    50,000    

Maryland Health & Higher Educational Facs Auth 2.88%, 07/01/2023

    52,269  
     

 

 

 
          Massachusetts - 2.7%  
   

Massachusetts Dev Finance Agency

 
    100,000    

5.00%, 07/01/2034

    116,134  
    145,000    

5.00%, 07/01/2037

    176,648  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 93.3% - (continued)      
          Massachusetts - 2.7% - (continued)  
   

Massachusetts Dev Finance Agency - (continued)

 
$     150,000    

5.00%, 07/01/2044

  $ 177,769  
    100,000    

5.00%, 10/01/2047(1)

    110,053  
    150,000    

5.00%, 07/01/2048

    176,949  
    200,000    

Massachusetts State, Port Auth 4.00%, 07/01/2046

    215,230  
     

 

 

 
        972,783  
     

 

 

 
          Michigan - 5.6%  
    85,000    

City of Detroit, MI, GO 5.00%, 04/01/2022

    89,818  
    450,000    

Ecorse, MI, Public School Dist 5.00%, 05/01/2027

    556,726  
    150,000    

Great Lakes, MI, Water Auth Water Supply System Rev 5.00%, 07/01/2046

    175,872  
    250,000    

Lansing School Dist 5.00%, 05/01/2037

    311,137  
   

Michigan Finance Auth

 
    165,000    

5.00%, 11/01/2034

    204,673  
    100,000    

5.00%, 07/01/2035

    115,778  
    100,000    

5.00%, 05/15/2038

    115,158  
    300,000    

New Haven Community Schools 5.00%, 05/01/2032

    371,835  
    50,000    

State of Michigan Rev 5.00%, 03/15/2027

    62,127  
    35,000    

Wayne County, MI, Airport Auth Rev 5.00%, 12/01/2030

    41,564  
     

 

 

 
        2,044,688  
     

 

 

 
          Minnesota - 2.4%  
   

Duluth, MN, Independent School Dist No. 709

 
    20,000    

4.00%, 02/01/2027

    22,335  
    250,000    

5.00%, 02/01/2024

    285,210  
    80,000    

Freddie Mac Multifamily, ML, Certificates 2.54%, 06/25/2037

    83,093  
    100,000    

Minneapolis-St. Paul, MN, Metropolitan Airports Commission 5.00%, 01/01/2031

    120,009  
    100,000    

Rochester, MN, Healthcare & Housing Rev Facs 4.00%, 12/01/2019

    100,077  
    200,000    

St. Francis, MN, Independent School Dist No. 15 4.00%, 02/01/2029

    214,954  
    50,000    

St. Paul, MN, Housing & Redevelopment Auth 5.25%, 11/15/2028

    50,062  
     

 

 

 
        875,740  
     

 

 

 
          Missouri - 2.8%  
    250,000    

Bi-State Dev Agency of the Missouri-Illinois Metropolitan Dist 4.00%, 10/01/2036

    289,395  
   

City of St. Louis, MO, Airport Rev

 
    165,000    

5.00%, 07/01/2031

    205,544  
    150,000    

5.00%, 07/01/2042

    178,621  
    100,000    

Kirkwood, MO, Industrial Dev Auth Retirement Community 5.25%, 05/15/2032

    114,774  
    200,000    

St. Louis County, MO, Industrial Dev Auth 5.00%, 09/01/2023

    219,890  
     

 

 

 
        1,008,224  
     

 

 

 
          Montana - 0.9%  
    120,000    

Montana Board of Housing 4.25%, 12/01/2045

    132,050  
    150,000    

Montana Facs Finance Auth 5.00%, 02/15/2033

    176,748  
     

 

 

 
        308,798  
     

 

 

 
          Nebraska - 1.0%  
    300,000    

Central Plains, NE, Energy Project 5.00%, 09/01/2025

    349,785  
     

 

 

 
          Nevada - 2.1%  
    100,000    

City of North Las Vegas, NV 3.50%, 06/01/2023

    102,604  
    150,000    

City of Reno, NV 5.00%, 06/01/2033

    183,941  
   

Clark County, NV, School Dist, GO

 
    225,000    

5.00%, 06/15/2028

    273,647  
    100,000    

5.00%, 06/15/2029

    123,381  
    70,000    

Clark County, NV, Special Improvement Dist 2.25%, 12/01/2019

    70,012  
     

 

 

 
        753,585  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  88  

 


Hartford Municipal Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 93.3% - (continued)      
          New Jersey - 1.0%  
$     50,000    

City of Atlantic City, NJ, GO 5.00%, 03/01/2020

  $ 50,544  
    75,000    

New Jersey Economic Dev Auth 5.00%, 06/15/2023

    83,408  
    50,000    

New Jersey Health Care Facs Financing Auth Rev 5.25%, 07/01/2026

    53,297  
    65,000    

New Jersey Transportation Trust Fund Auth 5.00%, 12/15/2023

    73,482  
    90,000    

Tobacco Settlement Financing Corp., NJ 5.00%, 06/01/2029

    110,501  
     

 

 

 
        371,232  
     

 

 

 
          New Mexico - 0.6%  
    205,000    

City of Santa Fe, NM 5.00%, 05/15/2039

    228,977  
     

 

 

 
          New York - 3.6%  
   

Metropolitan Transportation Auth, NY, Rev

 
    100,000    

5.25%, 11/15/2036

    123,172  
    70,000    

5.25%, 11/15/2040

    73,057  
   

New York State Dormitory Auth Rev

 
    150,000    

5.00%, 03/15/2031

    178,018  
    155,000    

5.00%, 03/15/2037

    186,659  
    100,000    

New York State Liberty Dev Corp. Rev 5.25%, 10/01/2035

    136,335  
    100,000    

New York Transportation Dev Corp. Rev 5.00%, 07/01/2046

    110,552  
    210,000    

State of New York Mortgage Agency 3.50%, 10/01/2032

    225,998  
   

Syracuse, NY, Industrial Dev Agency

 
    110,000    

5.00%, 01/01/2031

    122,036  
    50,000    

5.00%, 01/01/2033

    55,112  
    100,000    

TSASC, Inc., NY 5.00%, 06/01/2023

    112,057  
     

 

 

 
        1,322,996  
     

 

 

 
          North Carolina - 1.3%  
   

North Carolina Medical Care Commission Retirement Finance Auth Rev, First Mortgage Galloway Ridge

 
    250,000    

5.00%, 01/01/2031

    294,100  
    30,000    

5.00%, 01/01/2039

    34,544  
    120,000    

5.00%, 01/01/2044

    137,351  
     

 

 

 
        465,995  
     

 

 

 
          Ohio - 3.3%  
    200,000    

American Municipal Power, Inc., OH 4.00%, 02/15/2036

    218,218  
   

Buckeye, OH, Tobacco Settlement Finance Auth

 
    250,000    

5.88%, 06/01/2047

    251,605  
    250,000    

6.00%, 06/01/2042

    251,422  
    150,000    

6.50%, 06/01/2047

    153,405  
   

Cleveland, OH, Airport System Rev

 
    60,000    

5.00%, 01/01/2022

    64,775  
    55,000    

5.00%, 01/01/2023

    61,267  
    150,000    

Cleveland, OH, Department of Public Utilities 5.00%, 11/15/2030

    185,365  
     

 

 

 
        1,186,057  
     

 

 

 
          Oklahoma - 0.2%  
   

Oklahoma Dev Finance Auth

 
    35,000    

5.25%, 08/15/2048

    41,530  
    35,000    

5.50%, 08/15/2057

    41,707  
     

 

 

 
        83,237  
     

 

 

 
          Oregon - 0.8%  
    55,000    

Benton & Linn Counties, OR, Consolidated School Dist No. 509J & 509A Corvallis 0.00%, 06/15/2038(5)

    65,953  
    40,000    

Marion County, OR, School Dist No. 15 North Marion 0.00%, 06/15/2037(2)

    21,775  
    35,000    

Multnomah & Clackamas Counties, OR, School Dist No. 10JT Gresham-Barlow 0.00%, 06/15/2038(2)

    19,366  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 93.3% - (continued)      
          Oregon - 0.8% - (continued)  
$     55,000    

Salem Hospital Facs Auth, OR 5.00%, 05/15/2025

  $ 64,156  
    115,000    

State of Oregon Housing & Community Services Department 4.50%, 01/01/2049

    126,091  
     

 

 

 
        297,341  
     

 

 

 
          Pennsylvania - 6.1%  
    300,000    

City of Philadelphia, PA, GO 5.00%, 02/01/2039

    368,064  
    150,000    

Commonwealth Finance Auth, PA 5.00%, 06/01/2027

    183,614  
    100,000    

Delaware River, PA, Joint Toll Bridge Commission 5.00%, 07/01/2047

    119,551  
    195,000    

Erie, PA, City School Dist, GO 5.00%, 04/01/2029

    246,193  
    90,000    

Harrisburg, PA, School Dist, GO 5.00%, 11/15/2026

    110,416  
    100,000    

Lancaster County, PA, Hospital Auth 5.13%, 07/01/2037

    109,075  
    100,000    

Montgomery County, PA, Industrial Dev Auth Rev 5.00%, 12/01/2025

    115,404  
    225,000    

Pennsylvania Housing Finance Agency 4.75%, 04/01/2033

    247,793  
   

Pennsylvania Turnpike Commission Rev

 
    90,000    

5.00%, 12/01/2031

    107,578  
    145,000    

5.00%, 12/01/2037

    158,776  
    250,000    

Philadelphia, PA, School Dist, GO 4.00%, 09/01/2036

    278,757  
    50,000    

Pittsburgh, PA, Water & Sewer Auth 5.00%, 09/01/2033

    63,273  
    75,000    

Wilkes-Barre Area, PA, School Dist 5.00%, 04/15/2059

    88,906  
     

 

 

 
        2,197,400  
     

 

 

 
          Puerto Rico - 0.7%  
   

Puerto Rico Sales Tax Financing Corp. Sales Tax Rev

 
    300,000    

0.00%, 07/01/2051(2)

    58,167  
    175,000    

5.00%, 07/01/2058

    183,715  
     

 

 

 
        241,882  
     

 

 

 
          Rhode Island - 0.5%  
    80,000    

Rhode Island Health & Educational Building Corp. 5.00%, 05/15/2028

    97,382  
    65,000    

Rhode Island Housing & Mortgage Finance Corp. 4.00%, 10/01/2032

    67,057  
     

 

 

 
        164,439  
     

 

 

 
          South Carolina - 1.1%  
    150,000    

South Carolina Jobs-Economic Dev Auth 5.00%, 05/01/2028

    187,926  
   

South Carolina State Public Service Auth

 
    50,000    

5.00%, 12/01/2031

    57,666  
    50,000    

5.00%, 12/01/2034

    57,254  
    100,000    

5.00%, 12/01/2050

    113,192  
     

 

 

 
        416,038  
     

 

 

 
          South Dakota - 0.9%  
    300,000    

South Dakota Housing Dev Auth 4.00%, 11/01/2049

    330,429  
     

 

 

 
          Tennessee - 2.6%  
    300,000    

Chattanooga, TN, Health Educational & Housing Facs Board Rev 5.00%, 08/01/2039

    358,098  
    150,000    

Shelby County, TN, Health Educational & Housing Facs Board Rev 5.00%, 09/01/2025(1)

    157,797  
    200,000    

Tennessee Energy Acquisition Corp. 5.25%, 09/01/2026

    239,376  
    175,000    

Tennessee Housing Dev Agency 3.50%, 01/01/2047

    184,233  
     

 

 

 
        939,504  
     

 

 

 
          Texas - 9.2%  
   

Arlington, TX, Higher Education Finance Corp. Rev

 

    150,000    

4.00%, 08/15/2030

    170,714  
    250,000    

5.00%, 02/15/2027

    307,555  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  89  

 


Hartford Municipal Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 93.3% - (continued)      
          Texas - 9.2% - (continued)  
$     200,000    

Austin, TX, Airport System Rev 5.00%, 11/15/2031

  $ 230,566  
    100,000    

Austin, TX, Independent School Dist 4.00%, 08/01/2033

    116,519  
    250,000    

Central Texas Turnpike System Rev 5.00%, 08/15/2042

    279,137  
    150,000    

El Paso, TX, Independent School Dist, GO 5.00%, 08/15/2027

    184,359  
    110,000    

Harris County, TX, Toll Road Auth 5.00%, 08/15/2031

    136,858  
    75,000    

Kerrville, TX, Health Facs Dev Corp. 5.00%, 08/15/2023

    84,214  
    150,000    

Lower Colorado River, TX, Auth Rev 5.00%, 05/15/2040

    173,040  
    100,000    

New Hope, TX, Cultural Education Facs Finance Corp. 5.00%, 11/01/2031

    108,902  
    130,000    

North Texas Tollway Auth Rev 5.00%, 01/01/2031

    164,637  
    250,000    

Northside, TX, Independent School Dist, GO 4.00%, 08/15/2034

    289,197  
    500,000    

State of Texas 4.00%, 08/27/2020

    511,415  
    250,000    

Texas Municipal Gas Acquisition & Supply Corp. Rev 5.25%, 12/15/2025

    299,340  
    60,000    

Texas Transportation Commission 0.00%, 08/01/2038(2)

    28,774  
    200,000    

Wylie, TX, Independent School Dist 4.00%, 08/15/2036

    232,382  
     

 

 

 
        3,317,609  
     

 

 

 
          Utah - 0.6%  
    175,000    

Salt Lake County, UT 5.13%, 02/15/2033

    206,087  
     

 

 

 
          Virginia - 0.2%  
    90,000    

Wise County, VA, Industrial Dev Auth Rev 1.88%, 11/01/2040(4)

    90,259  
     

 

 

 
          Washington - 1.8%  
    140,000    

Port of Seattle, WA 5.00%, 05/01/2028

    174,398  
   

Washington State Health Care Facs Auth Rev

 
    115,000    

5.00%, 01/01/2026

    135,683  
    145,000    

5.38%, 01/01/2040

    161,002  
    150,000    

Washington State Housing Finance Commission 5.00%, 01/01/2039(1)

    165,781  
     

 

 

 
              636,864  
     

 

 

 
          Wisconsin - 1.4%  
   

Public Finance Auth, WI

 
    100,000    

5.00%, 10/01/2043(1)

    110,783  
    95,000    

5.00%, 10/01/2044

    114,024  
    150,000    

5.00%, 07/01/2048

    175,056  
    100,000    

5.00%, 10/01/2048(1)

    110,498  
     

 

 

 
        510,361  
     

 

 

 
   

Total Municipal Bonds
(cost $32,123,825)

  $ 33,805,387  
     

 

 

 
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 6.0%      
          Other Investment Pools & Funds - 6.0%  
$     2,192,570    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(6)

  $ 2,192,570  
     

 

 

 
   

Total Short-Term Investments
(cost $2,192,570)

  $ 2,192,570  
     

 

 

 
                                                        
   

Total Investments
(cost $34,316,395)

    99.3    $ 35,997,957  
   

Other Assets and Liabilities

    0.7      240,421  
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $ 36,238,378  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $872,949, representing 2.4% of net assets.

 

(2) 

Security is a zero-coupon bond.

 

(3) 

Variable rate security; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(4) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(5) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(6) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Municipal Bonds

   $ 33,805,387      $      $ 33,805,387      $  —  

Short-Term Investments

     2,192,570        2,192,570                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     35,997,957      $     2,192,570      $     33,805,387      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  90  

 


The Hartford Municipal Opportunities Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6%  
      Alabama - 1.7%  
 

Alabama Federal Aid Highway Finance Auth

 
$     1,615,000    

5.00%, 09/01/2026

  $ 1,788,742  
    1,250,000    

5.00%, 09/01/2034

    1,541,550  
    1,415,000    

Birmingham, AL, Water Works Board Water Rev 5.00%, 01/01/2029

    1,732,045  
    3,000,000    

Jefferson County, AL, Board of Education 5.00%, 02/01/2042

    3,559,980  
    2,660,000    

Jefferson County, AL, GO 5.00%, 04/01/2024

    3,058,095  
    4,000,000    

Lower Alabama Gas Dist 5.00%, 09/01/2031

    5,077,880  
 

State of Alabama, Docks Department

 
    230,000    

5.00%, 10/01/2024

    264,141  
    1,000,000    

5.00%, 10/01/2032

    1,190,150  
     

 

 

 
    18,212,583  
 

 

 

 
      Alaska - 0.3%  
 

CIVICVentures, AK, Rev

 
    2,000,000    

5.00%, 09/01/2025

    2,358,420  
    1,000,000    

5.00%, 09/01/2026

    1,175,320  
     

 

 

 
    3,533,740  
 

 

 

 
      Arizona - 0.8%  
    4,925,000    

Maricopa County, AZ, Pollution Control Corp. 5.00%, 06/01/2035

    5,016,113  
    855,000    

Salt Verde Financial Corp., AZ, Rev 5.25%, 12/01/2020

    888,781  
    100,000    

Sundance, AZ, Community Facs Dist 7.13%, 07/01/2027(1)

    100,081  
    2,200,000    

Tempe, AZ, Industrial Dev Auth 4.00%, 10/01/2023(1)

    2,221,296  
     

 

 

 
    8,226,271  
 

 

 

 
      California - 5.9%  
 

Alameda County, Oakland, CA, Unified School Dist

 
    475,000    

4.00%, 08/01/2034

    537,748  
    1,000,000    

4.00%, 08/01/2036

    1,125,680  
    1,050,000    

California County, CA, Tobacco Securitization Agency 5.00%, 06/01/2022

    1,127,563  
    1,000,000    

California Health Facs Finance Auth Rev 5.00%, 02/01/2029

    1,254,730  
 

California State Communities Dev Auth Rev

 
    535,000    

5.00%, 10/01/2022

    593,903  
    1,000,000    

5.63%, 10/01/2032

    1,121,810  
    1,000,000    

California State Public Works Board, Correctional Facs Improvement 6.00%, 03/01/2035

    1,016,500  
    2,000,000    

California State Public Works Board, Lease Rev 5.25%, 10/01/2023

    2,156,400  
    3,750,000    

California State, GO 5.00%, 04/01/2036

    4,772,550  
 

California State, GO Taxable

 
    3,000,000    

5.00%, 08/01/2029

    3,675,450  
    3,750,000    

5.00%, 04/01/2035

    4,786,612  
 

Elk Grove, CA, Finance Auth Special Tax

 
    315,000    

5.00%, 09/01/2031

    373,124  
    910,000    

5.00%, 09/01/2032

    1,074,910  
    2,600,000    

Fresno, CA, Unified School Dist 0.00%, 08/01/2031(2)

    1,856,348  
 

Hemet, CA, Unified School Dist Financing Auth

 
    1,440,000    

5.00%, 09/01/2030

    1,646,194  
    1,535,000    

5.00%, 09/01/2031

    1,748,994  
 

Inglewood, CA, Redevelopment Agency

 

    1,000,000    

5.00%, 05/01/2028

    1,243,230  
    1,000,000    

5.00%, 05/01/2029

    1,236,730  
    5,225,000    

Long Beach, CA, Finance Auth Natural Gas 2.90%, 11/15/2027, 3 mo. USD LIBOR + 1.450%(3)

    5,292,037  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      California - 5.9% - (continued)  
 

Oakland, CA, Airport Rev

 
$     500,000    

5.00%, 05/01/2023

  $ 544,575  
    2,000,000    

5.00%, 05/01/2026

    2,106,440  
   

Orange County, CA, Community Facs Dist, Special Tax

 
    980,000    

5.00%, 08/15/2034

    1,121,590  
    1,000,000    

5.00%, 08/15/2036

    1,161,010  
    2,500,000    

5.00%, 08/15/2041

    2,876,800  
    1,000,000    

Rancho Cucamonga, CA, Redevelopment Agency Tax Allocation 5.00%, 09/01/2029

    1,163,720  
    2,000,000    

Romoland, CA, School Dist 5.00%, 09/01/2048

    2,298,980  
    60,000    

San Diego, CA, Redevelopment Agency, Centre City Sub Package 5.25%, 09/01/2026

    60,191  
    3,000,000    

San Diego, CA, Redevelopment Agency, Tax Allocation 7.00%, 11/01/2039

    3,000,000  
 

San Diego, CA, United School Dist

 
    805,000    

4.00%, 07/01/2034

    902,333  
    865,000    

4.00%, 07/01/2035

    965,764  
    1,165,000    

San Joaquin Hills, CA, Transportation Corridor Agency 5.00%, 01/15/2029

    1,352,973  
 

San Mateo, CA, Joint Powers Finance Auth

 
    1,250,000    

5.00%, 06/15/2029

    1,463,425  
    1,250,000    

5.00%, 06/15/2030

    1,459,137  
 

Santa Margarita, CA, Water Dist Special Tax

 
    475,000    

4.25%, 09/01/2021

    493,440  
    485,000    

5.00%, 09/01/2022

    523,228  
    475,000    

5.00%, 09/01/2023

    524,258  
    480,000    

5.00%, 09/01/2024

    530,333  
    480,000    

5.00%, 09/01/2025

    528,475  
    2,065,000    

5.00%, 09/01/2028

    2,348,524  
    1,500,000    

Stockton, CA, Redevelopment Agency 5.00%, 09/01/2029

    1,824,735  
     

 

 

 
    63,890,444  
 

 

 

 
      Colorado - 2.3%  
 

Arapahoe County, CO, School Dist No. 6 Littleton

 
    1,230,000    

5.50%, 12/01/2032

    1,619,455  
    1,655,000    

5.50%, 12/01/2034

    2,168,696  
 

City & County of Denver, CO, Airport System Rev

 
    1,000,000    

5.00%, 12/01/2034

    1,322,660  
    1,575,000    

5.00%, 12/01/2036

    2,096,876  
 

Colorado Health Facs Auth Rev

 
    1,330,000    

2.63%, 10/01/2039, 1 mo. USD LIBOR + 1.250%(3)

    1,333,697  
    6,665,000    

5.00%, 08/01/2044

    7,879,296  
    1,000,000    

Denver City & County, CO School Dist No. 1 5.50%, 12/01/2029

    1,306,430  
    1,440,000    

Denver, CO, Urban Renewal Auth 5.25%, 12/01/2039(1)

    1,540,397  
    1,930,000    

E-470 Public Highway, CO, Auth Rev 2.25%, 09/01/2039, 1 mo. USD LIBOR + 1.050%(3)

    1,947,119  
 

Park Creek, CO, Metropolitan Dist Rev

 
    2,000,000    

5.00%, 12/01/2029

    2,346,260  
    1,195,000    

5.00%, 12/01/2033

    1,463,744  
     

 

 

 
    25,024,630  
 

 

 

 
      Connecticut - 3.3%  
    6,500,000    

City of Bridgeport, CT, GO 5.00%, 08/15/2025

    7,707,960  
 

Connecticut Housing Finance Auth

 
    420,000    

4.00%, 11/15/2044

    435,238  
    1,170,000    

4.00%, 11/15/2045

    1,234,935  
    1,655,000    

4.00%, 05/15/2047

    1,789,138  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  91  

 


The Hartford Municipal Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Connecticut - 3.3% - (continued)  
$     5,265,000    

Connecticut State Health & Educational Facs Auth 5.00%, 07/01/2020

  $ 5,393,624  
    2,065,000    

Hamden, CT, GO 5.00%, 08/15/2025

    2,453,778  
    950,000    

Hartford, CT, GO 5.00%, 07/01/2027

    1,122,111  
    1,500,000    

New Britain, CT, GO 5.00%, 03/01/2031

    1,800,240  
    2,600,000    

New Haven, CT, GO 5.00%, 08/01/2024

    2,980,328  
 

State of Connecticut, GO

 
    470,000    

5.00%, 04/15/2022

    511,059  
    250,000    

5.00%, 03/15/2024

    287,293  
    1,450,000    

5.00%, 03/15/2025

    1,704,286  
    750,000    

5.00%, 05/15/2025

    885,240  
    2,425,000    

5.00%, 06/15/2026

    2,930,418  
    2,500,000    

5.00%, 04/15/2029

    3,044,075  
 

Waterbury, CT, GO

 
    405,000    

5.00%, 11/15/2031

    492,338  
    1,000,000    

5.00%, 11/15/2032

    1,210,340  
     

 

 

 
    35,982,401  
 

 

 

 
      District of Columbia - 0.1%  
 

Dist of Columbia Rev

 

    735,000    

5.00%, 07/01/2032

    802,076  
    270,000    

5.00%, 07/01/2037

    291,465  
     

 

 

 
    1,093,541  
 

 

 

 
      Florida - 5.1%  
 

Broward County, FL, Airport System Rev

 
    265,000    

5.00%, 10/01/2020

    273,748  
    285,000    

5.00%, 10/01/2021

    304,363  
    1,997,056    

Capital Trust Agency, FL, MF Rev 2.77%, 09/01/2027

    2,048,181  
    1,430,000    

City of Atlantic Beach, FL, Health Care Facs Auth 5.00%, 11/15/2048

    1,623,536  
    3,380,000    

Gainesville, FL, Utilities System Rev 5.00%, 10/01/2047

    4,177,139  
 

Greater Orlando, FL, Aviation Auth

 
    2,040,000    

5.00%, 10/01/2024

    2,180,291  
    5,000,000    

5.00%, 10/01/2033

    6,249,600  
    5,000,000    

5.00%, 10/01/2034

    6,232,850  
    500,000    

Magnolia Creek, FL, Community Dev Dist Capital Improvement 5.90%, 05/01/2039*

    90,000  
    1,000,000    

Manatee County, FL, School Dist 5.00%, 10/01/2030

    1,223,750  
    190,000    

Miami Beach, FL, Health Facs Auth 5.00%, 11/15/2020

    196,874  
    1,000,000    

Miami Beach, FL, Redevelopment Agency 5.00%, 02/01/2026

    1,145,710  
 

Miami-Dade County, FL, Aviation Rev

 
    1,000,000    

5.00%, 10/01/2024

    1,102,830  
    2,500,000    

5.00%, 10/01/2026

    2,757,850  
    530,000    

5.00%, 10/01/2027

    613,528  
    200,000    

5.00%, 10/01/2035

    206,382  
    3,000,000    

Miami-Dade County, FL, GO 5.00%, 07/01/2032

    3,546,180  
 

Orange County, FL, Health Facs Auth

 
    1,190,000    

5.00%, 08/01/2024

    1,353,030  
    1,280,000    

5.00%, 08/01/2025

    1,451,994  
    1,350,000    

5.00%, 08/01/2026

    1,527,147  
 

Palm Beach County, FL, Health Facs Auth

 
    1,000,000    

6.75%, 06/01/2024

    1,114,470  
    1,000,000    

6.80%, 06/01/2025

    1,113,040  
 

Polk County, FL, Industrial Dev Auth

 
    1,750,000    

5.00%, 01/01/2039

    1,966,475  
    2,340,000    

5.00%, 01/01/2049

    2,604,279  
    2,330,000    

5.00%, 01/01/2055

    2,586,044  
 

Port St. Lucie, FL, Special Assessment

 
    3,000,000    

4.00%, 07/01/2028

    3,406,860  
    3,000,000    

4.00%, 07/01/2029

    3,393,750  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Florida - 5.1% - (continued)  
$     1,150,000    

Putnam County, FL, Dev Auth 5.00%, 03/15/2042

  $ 1,366,395  
     

 

 

 
    55,856,296  
 

 

 

 
      Georgia - 3.5%  
 

Burke County, GA, Dev Auth Rev

 

    1,740,000    

2.05%, 10/01/2032(4)

    1,752,754  
    2,665,000    

2.25%, 10/01/2032(4)

    2,708,786  
    2,860,000    

2.35%, 10/01/2032(4)

    2,883,337  
    4,450,000    

3.00%, 11/01/2045(4)

    4,565,433  
    2,000,000    

City of Atlanta, GA, Airport Passenger Facs Charge Rev 5.00%, 01/01/2023

    2,012,180  
 

Main Street Natural Gas, Inc., GA

 
    2,150,000    

4.00%, 08/01/2049(4)

    2,412,214  
    4,165,000    

5.00%, 05/15/2032

    5,077,177  
    3,375,000    

Monroe County, GA, Dev Auth Rev 2.40%, 01/01/2039(4)

    3,386,171  
 

Municipal Electric Auth, GA

 
    1,170,000    

5.00%, 01/01/2022

    1,258,429  
    1,000,000    

5.00%, 11/01/2022

    1,103,490  
    1,075,000    

5.00%, 01/01/2024

    1,191,218  
    6,420,000    

5.00%, 01/01/2028

    7,634,205  
    1,700,000    

5.00%, 01/01/2056

    1,959,709  
     

 

 

 
    37,945,103  
 

 

 

 
      Hawaii - 0.6%  
 

State of Hawaii Airports System Rev

 
    2,000,000    

5.00%, 08/01/2022

    2,184,120  
    1,000,000    

5.00%, 07/01/2032

    1,229,400  
    1,000,000    

5.00%, 07/01/2033

    1,225,450  
    155,000    

5.00%, 07/01/2034

    189,505  
    1,000,000    

5.00%, 07/01/2035

    1,219,320  
     

 

 

 
    6,047,795  
 

 

 

 
      Illinois - 15.2%  
 

Chicago, IL, Board of Education Rev

 
    1,000,000    

5.00%, 04/01/2046

    1,130,390  
    665,000    

6.00%, 01/01/2020

    669,562  
    715,000    

6.00%, 04/01/2046

    853,167  
 

Chicago, IL, Board of Education, GO

 
    2,500,000    

0.00%, 12/01/2025(2)

    2,108,825  
    600,000    

5.00%, 12/01/2023

    659,922  
    1,000,000    

5.00%, 12/01/2024

    1,138,430  
    3,500,000    

5.00%, 12/01/2034

    3,989,335  
    1,510,000    

5.00%, 12/01/2042

    1,590,860  
    500,000    

5.25%, 12/01/2020

    519,260  
 

Chicago, IL, Metropolitan Water Reclamation Dist, GO

 
    3,500,000    

5.00%, 12/01/2027

    4,259,605  
    2,530,000    

5.00%, 12/01/2031

    2,706,290  
    1,700,000    

5.25%, 12/01/2032

    2,243,864  
 

Chicago, IL, Midway International Airport Rev

 
    500,000    

5.00%, 01/01/2021

    520,365  
    1,420,000    

5.00%, 01/01/2031

    1,654,272  
    1,000,000    

5.00%, 01/01/2036

    1,167,780  
 

Chicago, IL, Transit Auth

 
    3,000,000    

5.00%, 06/01/2020

    3,058,290  
    415,000    

5.00%, 06/01/2025

    485,064  
    800,000    

5.25%, 12/01/2027

    855,320  
    5,000,000    

5.25%, 12/01/2028

    5,340,200  
 

City of Chicago, IL, GO

 
    325,000    

0.00%, 01/01/2026(2)

    276,751  
    1,000,000    

5.00%, 01/01/2020

    1,004,670  
    980,000    

5.00%, 01/01/2021

    1,021,885  
    1,000,000    

5.00%, 12/01/2023

    1,031,950  
    2,000,000    

5.00%, 01/01/2024

    2,195,960  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  92  

 


The Hartford Municipal Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Illinois - 15.2% - (continued)  
 

City of Chicago, IL, Wastewater Transmission Rev

 
$     1,000,000    

5.00%, 01/01/2028

  $ 1,139,370  
    2,500,000    

5.00%, 01/01/2029

    2,846,550  
 

City of Chicago, IL, Waterworks Rev

 
    135,000    

5.00%, 11/01/2023

    147,906  
    1,000,000    

5.00%, 11/01/2027

    1,188,130  
    1,020,000    

5.00%, 11/01/2028

    1,158,230  
    1,205,000    

5.00%, 11/01/2029

    1,307,401  
    3,465,000    

Cook County, IL, Community Consolidated School Dist No. 15, GO 5.00%, 12/01/2024

    4,044,556  
 

Cook County, IL, Community High School Dist No. 212 Leyden

 
    1,775,000    

5.00%, 12/01/2026

    2,046,415  
    310,000    

5.00%, 12/01/2027

    355,992  
    1,000,000    

5.00%, 12/01/2034

    1,136,290  
 

Cook County, IL, GO

 
    1,000,000    

5.00%, 11/15/2026

    1,204,140  
    4,300,000    

5.00%, 11/15/2027

    5,122,375  
 

Illinois State Finance Auth Rev

 
    1,000,000    

5.00%, 10/01/2023

    1,134,930  
    1,000,000    

5.00%, 11/15/2023

    1,141,470  
    5,000,000    

5.00%, 02/15/2027

    6,193,650  
    700,000    

5.00%, 10/01/2028

    846,412  
    1,000,000    

5.00%, 11/15/2028

    1,178,510  
    2,650,000    

5.00%, 11/15/2031

    3,064,089  
    2,500,000    

5.00%, 11/15/2033

    2,874,525  
    2,135,000    

5.00%, 11/15/2034

    2,460,587  
 

Illinois State Toll Highway Auth, Taxable Rev

 
    1,000,000    

5.00%, 01/01/2027

    1,109,670  
    2,500,000    

5.00%, 01/01/2031

    3,069,935  
 

Kane Cook & DuPage Counties, IL, GO

 
    4,200,000    

5.00%, 01/01/2031

    4,707,906  
    1,700,000    

5.00%, 01/01/2034

    1,888,870  
    1,700,000    

5.00%, 01/01/2035

    1,886,405  
 

Kane McHenry Cook & DeKalb Counties, IL, Unified School Dist No. 300, GO

 
    1,875,000    

5.00%, 01/01/2027

    2,171,700  
    2,000,000    

5.00%, 01/01/2029

    2,423,040  
    1,665,000    

Kendall Kane & Will Counties, IL, Unified School Dist, GO 5.00%, 02/01/2034

    1,924,707  
 

Metropolitan Pier & Exposition Auth, IL

 
    1,120,000    

0.00%, 06/15/2020(2)

    1,107,747  
    4,000,000    

0.00%, 12/15/2024(2)

    3,556,720  
    2,000,000    

0.00%, 06/15/2027(2)

    1,667,540  
    3,895,000    

4.85%, 12/15/2042

    2,619,115  
    1,650,000    

5.00%, 12/15/2020

    1,705,704  
    1,000,000    

5.00%, 12/15/2035

    1,101,930  
 

Railsplitter, IL, Tobacco Settlement Auth

 
    1,000,000    

5.00%, 06/01/2026

    1,208,850  
    1,940,000    

5.00%, 06/01/2027

    2,335,353  
    1,000,000    

5.50%, 06/01/2023

    1,066,550  
 

Regional Transportation, IL, Auth Rev

 
    600,000    

5.00%, 06/01/2035

    701,106  
    8,775,000    

6.00%, 07/01/2024

    10,139,337  
    3,525,000    

6.00%, 07/01/2031

    4,747,082  
 

Sales Tax Securitization Corp., IL

 
    2,560,000    

5.00%, 01/01/2029

    3,093,567  
    1,000,000    

5.00%, 01/01/2030

    1,181,280  
 

State of Illinois, GO

 
    7,100,000    

5.00%, 11/01/2021

    7,502,925  
    3,500,000    

5.00%, 11/01/2024

    3,907,050  
    1,500,000    

5.00%, 08/01/2025

    1,598,805  
    3,500,000    

5.00%, 11/01/2025

    3,953,985  
    1,985,000    

5.00%, 02/01/2026

    2,175,699  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Illinois - 15.2% - (continued)  
 

State of Illinois, GO - (continued)

 

$     2,000,000    

5.00%, 10/01/2026

  $ 2,292,140  
    1,200,000    

5.00%, 02/01/2027

    1,372,716  
    3,120,000    

5.00%, 11/01/2029

    3,537,581  
    950,000    

5.00%, 05/01/2033

    1,030,987  
 

State of Illinois, Sales Tax Rev

 
    1,185,000    

5.00%, 06/15/2024

    1,290,975  
    795,000    

6.50%, 06/15/2022

    821,617  
     

 

 

 
    165,972,139  
 

 

 

 
      Indiana - 1.2%  
    2,021,813    

City of Evansville, IN 3.00%, 06/01/2034

    2,128,342  
 

Indiana Municipal Power Agency

 
    1,050,000    

5.00%, 01/01/2032

    1,289,831  
    870,000    

5.00%, 01/01/2033

    1,061,931  
    180,000    

5.00%, 01/01/2034

    218,956  
    1,000,000    

Indiana State Finance Auth Hospital Rev 5.00%, 12/01/2029

    1,159,650  
    1,625,000    

Indiana State Finance Auth Rev 5.00%, 03/01/2023

    1,762,572  
 

Indianapolis, IN, Local Public Improvement Bond Bank

 
    1,000,000    

5.00%, 01/01/2029

    1,129,650  
    1,000,000    

5.00%, 01/01/2031

    1,182,910  
    775,000    

Richmond, IN, Hospital Auth Rev 5.00%, 01/01/2035

    867,248  
    2,000,000    

Whiting, IN, Environmental Facs Rev 5.00%, 03/01/2046(4)

    2,197,200  
     

 

 

 
    12,998,290  
 

 

 

 
      Iowa - 0.1%  
 

Iowa Student Loan Liquidity Corp.

 
    180,000    

5.00%, 12/01/2022

    198,553  
    650,000    

5.00%, 12/01/2024

    744,360  
     

 

 

 
    942,913  
 

 

 

 
      Kansas - 0.3%  
 

Wyandotte County-Kansas City, KS

 
    1,000,000    

5.00%, 09/01/2025

    1,157,250  
    1,390,000    

5.00%, 09/01/2028

    1,639,477  
     

 

 

 
    2,796,727  
 

 

 

 
      Kentucky - 1.4%  
 

Kentucky Bond Dev Corp.

 
    1,000,000    

5.00%, 09/01/2032

    1,230,930  
    1,100,000    

5.00%, 09/01/2033

    1,349,865  
    1,200,000    

5.00%, 09/01/2034

    1,467,948  
    1,025,000    

5.00%, 09/01/2035

    1,249,444  
    2,910,000    

Kentucky Economic Dev Finance Auth 5.00%, 12/01/2047

    3,166,022  
    4,000,000    

Kentucky Public Energy Auth 4.00%, 01/01/2049(4)

    4,424,440  
    2,600,000    

Louisville & Jefferson County, KY, Metropolitan Gov’t Rev Catholic Health Initiatives 5.00%, 12/01/2023

    2,837,952  
     

 

 

 
    15,726,601  
 

 

 

 
      Louisiana - 1.6%  
 

Louisiana State Local Gov’t Environmental Facs & Community Dev Auth Rev

 
    975,000    

5.75%, 11/15/2030

    1,078,808  
    1,155,000    

6.00%, 11/15/2030

    1,296,730  
    1,750,000    

6.00%, 11/15/2035

    1,942,798  
    4,000,000    

Louisiana State, GO 5.00%, 12/01/2031

    4,649,080  
 

New Orleans, LA, Aviation Board

 
    750,000    

5.00%, 01/01/2026

    887,535  
    500,000    

5.00%, 01/01/2027

    602,320  
    1,250,000    

5.00%, 01/01/2034

    1,416,538  
    710,000    

5.00%, 01/01/2035

    832,574  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  93  

 


The Hartford Municipal Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Louisiana - 1.6% - (continued)  
 

Shreveport, LA, Water & Sewer Rev

 
$     2,000,000    

5.00%, 12/01/2027

  $ 2,373,320  
    1,000,000    

5.00%, 12/01/2035

    1,211,910  
    1,400,000    

5.00%, 12/01/2036

    1,694,658  
     

 

 

 
    17,986,271  
     

 

 

 
      Maine - 0.1%  
 

Finance Auth of Maine

 

    225,000    

5.00%, 12/01/2021

    240,509  
    1,000,000    

5.00%, 12/01/2023

    1,126,830  
     

 

 

 
    1,367,339  
     

 

 

 
      Maryland - 0.6%  
    500,000    

Howard County, MD, Special Obligation 4.00%, 02/15/2028(1)

    533,845  
    480,000    

Maryland Economic Dev Corp. 4.00%, 06/01/2020

    487,397  
    1,620,000    

Maryland Health & Higher Educational Facs Auth 2.88%, 07/01/2023

    1,693,499  
    2,000,000    

Rockville, MD, Mayor 3.00%, 11/01/2025

    2,008,860  
    1,840,000    

State of Maryland, GO 5.00%, 03/15/2028

    2,300,111  
     

 

 

 
    7,023,712  
     

 

 

 
      Massachusetts - 2.5%  
 

Commonwealth of Massachusetts, GO

 
    5,000,000    

5.00%, 01/01/2036

    6,281,650  
    5,000,000    

5.00%, 04/01/2047

    5,941,150  
    200,000    

Massachusetts School Building Auth 5.00%, 11/15/2030

    245,310  
 

Massachusetts State Dev Finance Agency

 
    1,000,000    

4.00%, 10/01/2024(1)

    1,078,460  
    1,000,000    

4.00%, 10/01/2025(1)

    1,089,360  
    635,000    

4.00%, 10/01/2026(1)

    691,464  
    165,000    

4.00%, 07/15/2036

    189,466  
    1,720,000    

5.00%, 07/01/2028

    2,038,114  
    1,850,000    

5.00%, 07/01/2029

    2,235,486  
    3,350,000    

5.00%, 07/01/2030

    4,010,633  
    955,000    

5.00%, 07/01/2031

    1,170,668  
    2,180,000    

5.00%, 07/01/2043

    2,585,981  
     

 

 

 
    27,557,742  
     

 

 

 
      Michigan - 3.3%  
    500,000    

City of Detroit, MI, GO 5.00%, 04/01/2021

    517,505  
    5,000,000    

Great Lakes, MI, Water Auth Water Supply System Rev 5.00%, 07/01/2029

    6,023,150  
    1,200,000    

Lincoln Park School Dist, GO 5.00%, 05/01/2030

    1,521,252  
 

Michigan Finance Auth

 
    2,165,000    

5.00%, 04/01/2020

    2,196,133  
    1,000,000    

5.00%, 07/01/2027

    1,180,580  
    1,000,000    

5.00%, 07/01/2028

    1,177,450  
    1,000,000    

5.00%, 07/01/2029

    1,148,020  
    2,700,000    

5.00%, 10/01/2030

    3,083,022  
    2,555,000    

5.00%, 06/01/2033

    2,896,655  
    1,000,000    

5.00%, 06/01/2034

    1,132,230  
    915,000    

5.00%, 11/01/2034

    1,135,003  
    1,000,000    

5.00%, 11/01/2035

    1,237,740  
    1,000,000    

5.00%, 11/01/2036

    1,233,500  
    1,000,000    

5.00%, 11/01/2038

    1,221,930  
    1,000,000    

Michigan State Building Auth 5.00%, 04/15/2027

    1,238,090  
 

Michigan State Hospital Finance Auth

 
    1,505,000    

4.00%, 11/15/2031

    1,718,273  
    345,000    

4.00%, 11/15/2032

    391,171  
    3,170,000    

Michigan State Housing Dev Auth 4.25%, 12/01/2049

    3,498,095  
    370,000    

State of Michigan Rev 5.00%, 03/15/2027

    459,740  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Michigan - 3.3% - (continued)  
$     2,465,000    

Wayne County, MI, Airport Auth Rev 5.00%, 12/01/2030

  $ 2,893,686  
     

 

 

 
    35,903,225  
     

 

 

 
      Minnesota - 0.7%  
 

Duluth, MN, Independent School Dist No. 709

 
    2,935,000    

3.00%, 02/01/2021

    2,988,916  
    1,180,000    

4.00%, 02/01/2027

    1,317,777  
    2,015,000    

Freddie Mac Multifamily, ML, Certificates 2.54%, 06/25/2037

    2,092,889  
    250,000    

Rochester, MN, Healthcare & Housing Rev Facs 4.00%, 12/01/2019

    250,192  
 

St. Francis, MN, Independent School Dist, No. 15

 
    315,000    

4.00%, 02/01/2029

    338,553  
    365,000    

4.00%, 02/01/2030

    390,583  
    750,000    

4.00%, 02/01/2031

    800,242  
     

 

 

 
    8,179,152  
     

 

 

 
      Mississippi - 0.5%  
    1,970,000    

Mississippi Dev Bank, Special Obligation 5.00%, 10/01/2033

    2,435,294  
 

State of Mississippi

 

    1,000,000    

5.00%, 10/15/2025

    1,201,350  
    1,850,000    

5.00%, 10/15/2029

    2,193,527  
     

 

 

 
    5,830,171  
     

 

 

 
      Missouri - 2.1%  
    4,965,000    

Bi-State Dev Agency of the Missouri-Illinois Metropolitan Dist 4.00%, 10/01/2036

    5,747,384  
 

City of St. Louis, MO, Airport Rev

 

    540,000    

5.00%, 07/01/2030

    675,918  
    1,000,000    

5.00%, 07/01/2032

    1,218,400  
    1,000,000    

5.00%, 07/01/2047

    1,183,910  
 

Kansas City Industrial Dev Auth

 

    1,065,000    

5.00%, 03/01/2030

    1,319,056  
    1,000,000    

5.00%, 03/01/2031

    1,231,690  
    490,000    

5.00%, 03/01/2032

    601,176  
 

Kirkwood, MO, Industrial Dev Auth Retirement Community

 
    2,500,000    

5.25%, 05/15/2042

    2,808,500  
    2,000,000    

5.25%, 05/15/2050

    2,225,720  
    3,500,000    

8.25%, 05/15/2045

    3,628,555  
    1,255,000    

St. Louis County, MO, Industrial Dev Auth 5.00%, 09/01/2026

    1,454,972  
    1,000,000    

Stone Canyon, MO, Community Improvement Dist Rev 5.75%, 04/01/2027*

    260,000  
     

 

 

 
    22,355,281  
     

 

 

 
      Montana - 0.6%  
    2,780,000    

Montana Board of Housing 4.00%, 12/01/2043

    2,989,779  
    2,500,000    

Montana Facs Finance Auth 5.00%, 02/15/2028

    3,017,325  
     

 

 

 
    6,007,104  
     

 

 

 
      Nebraska - 0.5%  
 

Central Plains, NE, Energy Project

 
    1,000,000    

5.00%, 09/01/2022

    1,089,810  
    210,000    

5.00%, 09/01/2025

    244,850  
    3,325,000    

5.00%, 09/01/2028

    4,066,275  
     

 

 

 
    5,400,935  
     

 

 

 
      Nevada - 1.4%  
 

City of North Las Vegas, NV

 
    475,000    

4.50%, 06/01/2039

    502,925  
    745,000    

4.63%, 06/01/2043

    789,439  
    1,000,000    

4.63%, 06/01/2049

    1,052,470  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  94  

 


The Hartford Municipal Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Nevada - 1.4% - (continued)  
 

Clark County, NV, School Dist, GO

 
$     830,000    

5.00%, 06/15/2026

  $ 993,759  
    1,000,000    

5.00%, 06/15/2028

    1,239,260  
    6,460,000    

5.00%, 06/15/2029

    8,104,613  
    755,000    

Clark County, NV, Special Improvement Dist 2.25%, 12/01/2019

    755,128  
 

Las Vegas, NV, Special Improvement Dist

 
    325,000    

5.00%, 06/01/2027

    351,839  
    360,000    

5.00%, 06/01/2028

    388,292  
    615,000    

5.00%, 06/01/2029

    660,627  
    10,000    

Nevada State Natural Resources, GO 5.00%, 03/01/2026

    11,229  
 

Reno, NV

 
    250,000    

5.00%, 06/01/2024

    286,818  
    250,000    

5.00%, 06/01/2026

    300,658  
     

 

 

 
    15,437,057  
 

 

 

 
      New Jersey - 1.3%  
 

City of Atlantic City, NJ, GO

 

    250,000    

5.00%, 03/01/2021

    261,028  
    400,000    

5.00%, 03/01/2022

    430,956  
    705,000    

City of Bayonne, NJ 0.00%, 07/01/2023(2)

    663,553  
 

New Jersey Economic Dev Auth

 
    1,000,000    

5.00%, 09/01/2021

    1,046,000  
    1,200,000    

5.00%, 06/15/2023

    1,334,532  
    500,000    

New Jersey Economic Dev Auth Rev, School Facs Construction Bond 5.00%, 06/15/2020

    510,675  
 

New Jersey Transportation Trust Fund Auth

 
    5,000,000    

0.00%, 12/15/2032(2)

    3,531,950  
    1,500,000    

5.00%, 06/15/2021

    1,584,870  
    1,000,000    

5.00%, 12/15/2023

    1,130,490  
    2,870,000    

Tobacco Settlement Financing Corp., NJ 5.00%, 06/01/2029

    3,523,757  
     

 

 

 
    14,017,811  
 

 

 

 
      New Mexico - 0.1%  
    1,045,000    

City of Santa Fe 5.00%, 05/15/2049

    1,149,040  
     

 

 

 
      New York - 6.2%  
 

City of New York, NY, GO

 
    2,190,000    

5.00%, 08/01/2032

    2,772,803  
    1,250,000    

5.00%, 08/01/2033

    1,577,413  
    2,445,000    

5.00%, 08/01/2034

    3,077,742  
    370,000    

Metropolitan Transportation Auth, NY, Rev 0.00%, 11/15/2027(2)

    314,211  
    2,750,000    

New York and New Jersey Port Auth, Taxable Rev 5.00%, 10/15/2025

    3,206,747  
    1,000,000    

New York City, NY Transitional Finance Auth Building Aid Rev 5.00%, 07/15/2026

    1,217,260  
 

New York City, NY Transitional Finance Auth Future Tax Secured Rev

 
    2,000,000    

4.00%, 11/01/2036

    2,308,260  
    1,525,000    

4.00%, 11/01/2037

    1,749,663  
    1,335,000    

New York City, NY, Housing Dev Corp. 4.50%, 02/15/2048

    1,412,483  
    475,000    

New York Mortgage Agency Rev 3.50%, 10/01/2034

    492,157  
 

New York State Dormitory Auth Rev

 
    1,670,000    

5.00%, 03/15/2022

    1,758,493  
    2,000,000    

5.00%, 12/15/2027

    2,226,740  
    2,500,000    

5.00%, 03/15/2030

    2,955,350  
    2,500,000    

5.00%, 03/15/2031

    3,033,200  
    2,500,000    

5.00%, 03/15/2033

    3,015,125  
    3,800,000    

5.00%, 03/15/2035

    4,738,486  
    4,000,000    

5.00%, 03/15/2043

    4,752,120  
    860,000    

New York State Energy Research & Dev Auth 2.38%, 07/01/2026(4)

    862,864  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      New York - 6.2% - (continued)  
$     2,300,000    

New York State Liberty Dev Corp. Rev 5.15%, 11/15/2034(1)

  $ 2,576,023  
    1,000,000    

New York State Thruway Auth Rev 4.00%, 01/01/2037

    1,091,580  
    1,000,000    

New York State Urban Dev Corp. Rev 5.00%, 03/15/2026

    1,124,250  
    2,500,000    

Sales Tax Asset Receivable Corp., NY 5.00%, 10/15/2029

    2,942,400  
    4,790,000    

State of New York Mortgage Agency 3.50%, 10/01/2032

    5,154,902  
 

Syracuse, NY, Industrial Dev Agency

 
    320,000    

5.00%, 01/01/2029

    354,378  
    2,635,000    

5.00%, 01/01/2031

    2,923,322  
 

Town of Oyster Bay, NY, GO

 
    615,000    

2.63%, 03/01/2020

    615,271  
    265,000    

3.00%, 03/01/2021

    271,389  
    1,400,000    

4.00%, 02/15/2020

    1,409,534  
    155,000    

4.00%, 11/01/2022

    158,997  
    2,340,000    

5.00%, 08/15/2024

    2,718,659  
    1,325,000    

Triborough Bridge & Tunnel Auth, NY 0.00%, 11/15/2031(2)

    989,563  
    2,000,000    

TSASC, Inc., NY 5.00%, 06/01/2026

    2,393,440  
    1,000,000    

Yonkers, NY, GO 5.00%, 03/15/2021

    1,052,360  
     

 

 

 
    67,247,185  
 

 

 

 
      North Carolina - 1.3%  
    1,325,000    

North Carolina Eastern Municipal Power Agency 4.00%, 01/01/2020

    1,330,963  
    2,475,000    

North Carolina Housing Finance Agency 4.00%, 07/01/2047

    2,648,844  
    2,970,000    

North Carolina Medical Care Commission 5.00%, 01/01/2049

    3,388,503  
 

North Carolina Medical Care Commission Retirement Finance Auth Rev, First Mortgage Galloway Ridge

 
    1,050,000    

5.00%, 01/01/2039

    1,209,054  
    670,000    

5.00%, 01/01/2044

    766,875  
    1,555,000    

5.88%, 01/01/2031

    1,566,460  
    1,000,000    

6.00%, 01/01/2039

    1,007,550  
 

North Carolina Medical Care Commission Rev

 
    245,000    

4.00%, 01/01/2026

    268,341  
    565,000    

5.00%, 01/01/2027

    659,457  
    795,000    

5.00%, 01/01/2028

    938,903  
    275,000    

5.00%, 01/01/2029

    325,501  
     

 

 

 
    14,110,451  
 

 

 

 
      North Dakota - 0.4%  
    4,000,000    

North Dakota Housing Finance Agency 4.25%, 07/01/2049

    4,405,000  
     

 

 

 
      Ohio - 3.2%  
    2,000,000    

Allen County, OH, Hospital Facs Rev 5.00%, 05/01/2023

    2,177,280  
    5,000,000    

American Municipal Power, Inc., OH 2.30%, 02/15/2038(4)

    5,077,550  
 

Buckeye, OH, Tobacco Settlement Finance Auth

 
    11,000,000    

5.88%, 06/01/2047

    11,070,620  
    6,680,000    

6.00%, 06/01/2042

    6,718,009  
 

Cleveland, OH, Airport System Rev

 
    1,165,000    

5.00%, 01/01/2022

    1,257,711  
    1,385,000    

5.00%, 01/01/2023

    1,542,807  
    1,200,000    

Cuyahoga, OH, Community College Dist 5.00%, 08/01/2027

    1,211,268  
    4,000,000    

Dayton, OH, City School Dist, GO 5.00%, 11/01/2027

    5,005,040  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  95  

 


The Hartford Municipal Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Ohio - 3.2% - (continued)  
$     430,000    

Hamilton County, OH, Sales Tax Rev 5.00%, 12/01/2027

  $ 543,391  
     

 

 

 
    34,603,676  
 

 

 

 
      Oklahoma - 0.3%  
 

Oklahoma Dev Finance Auth

 
    935,000    

5.25%, 08/15/2048

    1,109,443  
    935,000    

5.50%, 08/15/2057

    1,114,183  
    640,000    

Oklahoma Housing Finance Agency 5.00%, 09/01/2043

    665,242  
     

 

 

 
    2,888,868  
 

 

 

 
      Oregon - 2.1%  
    1,665,000    

Benton & Linn Counties, OR, Consolidated School Dist No. 509J & 509A Corvallis 5.00%, 06/15/2038

    1,996,585  
    1,150,000    

Clackamas County, OR, Hospital Facs Auth 2.80%, 05/15/2024

    1,150,310  
    8,200,000    

Clackamas County, OR, School Dist No. 12, GO 0.00%, 06/15/2040(2)

    3,794,222  
    625,000    

Jackson County, OR, School Dist No. 4, GO 0.00%, 06/15/2034(2)

    391,931  
    1,105,000    

Marion County, OR, School Dist No. 15 North Marion 0.00%, 06/15/2037(2)

    601,529  
    850,000    

Multnomah & Clackamas Counties, OR, School Dist No. 10JT Gresham-Barlow 0.00%, 06/15/2038(2)

    470,305  
    2,500,000    

Oregon Health & Science University 4.00%, 07/01/2046

    2,765,250  
 

Port of Portland, OR, Airport Rev

 
    1,000,000    

5.00%, 07/01/2031

    1,141,040  
    750,000    

5.00%, 07/01/2032

    853,980  
 

Salem Hospital Facs Auth, OR

 
    910,000    

5.00%, 05/15/2038

    1,055,536  
    720,000    

5.00%, 05/15/2048

    825,919  
    3,315,000    

State of Oregon Housing & Community Services Department 4.50%, 01/01/2049

    3,634,699  
    7,505,000    

Washington Clackamas & Yamhill Counties, OR, School Dist No. 88J 0.00%, 06/15/2034(2)

    4,763,574  
     

 

 

 
    23,444,880  
 

 

 

 
      Pennsylvania - 6.6%  
    905,000    

Allegheny County, PA, Industrial Dev Auth, Charter School 6.75%, 08/15/2035

    932,231  
 

Beaver County, PA, GO

 
    1,220,000    

5.00%, 11/15/2020

    1,261,968  
    1,285,000    

5.00%, 11/15/2021

    1,377,623  
    1,345,000    

5.00%, 11/15/2022

    1,485,512  
    965,000    

City of Philadelphia, PA 5.00%, 08/01/2021

    1,026,963  
    1,555,000    

City of Philadelphia, PA, Airport Rev 5.00%, 02/01/2035

    1,939,940  
    930,000    

City of Philadelphia, PA, Water & Wastewater Rev 5.00%, 11/01/2029

    1,157,915  
 

Commonwealth Finance Auth, PA

 
    3,000,000    

5.00%, 06/01/2026

    3,533,790  
    125,000    

5.00%, 06/01/2028

    155,718  
    1,070,000    

5.00%, 06/01/2029

    1,326,886  
    145,000    

5.00%, 06/01/2031

    178,182  
    1,000,000    

Delaware River, PA, Joint Toll Bridge Commission 5.00%, 07/01/2031

    1,235,490  
 

Erie, PA, City School Dist, GO

 
    2,440,000    

5.00%, 04/01/2028

    3,030,651  
    1,105,000    

5.00%, 04/01/2029

    1,395,096  
    2,410,000    

Harrisburg, PA, School Dist, GO 5.00%, 11/15/2026

    2,956,684  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Pennsylvania - 6.6% - (continued)  
 

Lancaster County, PA, Hospital Auth

 
$     635,000    

5.00%, 07/01/2024

  $ 693,268  
    515,000    

5.00%, 07/01/2025

    570,193  
 

Montgomery County, PA, Industrial Dev Auth Rev

 
    760,000    

5.00%, 12/01/2044

    878,986  
    2,455,000    

5.00%, 12/01/2046

    2,716,973  
    1,000,000    

5.00%, 12/01/2049

    1,153,950  
    920,000    

Pennsylvania Higher Educational Facs Auth Rev 5.00%, 05/01/2032

    1,110,688  
 

Pennsylvania Housing Finance Agency

 
    1,000,000    

3.10%, 04/01/2023

    1,021,640  
    1,025,000    

3.10%, 10/01/2023

    1,047,027  
    2,250,000    

Pennsylvania State, Industrial Dev Auth 5.00%, 07/01/2021

    2,389,545  
 

Pennsylvania Turnpike Commission Rev

 
    575,000    

2.00%, 12/01/2020, MUNIPSA + 0.880%(3)

    577,162  
    2,000,000    

2.02%, 12/01/2021, MUNIPSA + 0.900%(3)

    2,021,600  
    925,000    

2.10%, 12/01/2021, MUNIPSA + 0.980%(3)

    936,146  
    800,000    

5.00%, 12/01/2020

    832,896  
    1,000,000    

5.00%, 12/01/2021

    1,078,530  
    500,000    

5.00%, 12/01/2027

    605,770  
    1,000,000    

5.00%, 12/01/2029

    1,210,730  
    1,590,000    

5.00%, 12/01/2030

    1,916,729  
    1,000,000    

5.00%, 12/01/2031

    1,234,150  
    2,000,000    

5.00%, 12/01/2033

    2,387,200  
    2,615,000    

5.00%, 12/01/2037

    2,863,451  
    755,000    

5.00%, 12/01/2042

    903,765  
 

Philadelphia, PA, GO

 
    1,550,000    

5.00%, 02/01/2033

    1,943,809  
    2,000,000    

5.00%, 02/01/2034

    2,502,060  
 

Philadelphia, PA, School Dist, GO

 
    1,560,000    

5.00%, 09/01/2022

    1,715,984  
    2,000,000    

5.00%, 09/01/2023

    2,264,360  
    1,100,000    

5.00%, 09/01/2031

    1,368,268  
    1,060,000    

5.00%, 09/01/2032

    1,313,859  
    200,000    

5.25%, 09/01/2023

    206,626  
 

Pittsburgh, PA, Water & Sewer Auth

 
    195,000    

5.00%, 09/01/2032

    247,398  
    735,000    

5.00%, 09/01/2034

    927,658  
 

Pittsburgh, PA, School Dist, GO

 
    3,145,000    

5.00%, 09/01/2021

    3,361,816  
    1,500,000    

5.00%, 09/01/2023

    1,601,475  
    950,000    

Pittsburgh, PA, Water & Sewer Auth 5.00%, 09/01/2033

    1,202,187  
    500,000    

Reading, PA, School Dist, GO 5.00%, 03/01/2038

    586,570  
    1,500,000    

Wilkes-Barre Area, PA, School Dist 5.00%, 04/15/2059

    1,778,115  
     

 

 

 
    72,165,233  
 

 

 

 
      Puerto Rico - 0.7%  
    1,085,000    

Puerto Rico Highway & Transportation Auth 4.95%, 07/01/2026

    1,098,932  
 

Puerto Rico Sales Tax Financing Corp. Sales Tax Rev

 
    6,525,000    

0.00%, 07/01/2051(2)

    1,265,132  
    4,750,000    

5.00%, 07/01/2058

    4,986,550  
     

 

 

 
    7,350,614  
 

 

 

 
      Rhode Island - 0.8%  
 

Rhode Island Health & Educational Building Corp.

 
    2,700,000    

5.00%, 05/15/2027

    3,165,750  
    2,020,000    

5.00%, 05/15/2028

    2,458,885  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  96  

 


The Hartford Municipal Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Rhode Island - 0.8% - (continued)  
$     1,345,000    

Rhode Island Housing & Mortgage Finance Corp. 2.75%, 04/01/2040

  $ 1,378,867  
    1,000,000    

Rhode Island Student Loan Auth 5.00%, 12/01/2028

    1,228,250  
     

 

 

 
    8,231,752  
 

 

 

 
      South Carolina - 1.8%  
    1,987,000    

Lancaster County, SC, Sun City Assessment 7.70%, 11/01/2017*

    417,270  
 

South Carolina Jobs-Economic Dev Auth

 
    4,355,000    

5.00%, 05/01/2029

    5,405,121  
    1,375,000    

5.00%, 05/01/2048

    1,603,360  
    1,000,000    

5.25%, 08/01/2024

    1,146,550  
 

South Carolina Port Auth

 
    1,240,000    

5.00%, 07/01/2029

    1,568,650  
    1,100,000    

5.00%, 07/01/2030

    1,382,337  
    3,190,000    

5.00%, 07/01/2031

    3,973,847  
 

South Carolina State Public Service Auth

 
    1,665,000    

5.00%, 12/01/2031

    1,920,278  
    2,350,000    

5.00%, 12/01/2034

    2,690,961  
     

 

 

 
    20,108,374  
 

 

 

 
      South Dakota - 1.6%  
 

South Dakota Housing Dev Auth

 

    1,125,000    

2.45%, 11/01/2023

    1,152,236  
    1,990,000    

3.50%, 11/01/2046

    2,088,903  
    790,000    

4.00%, 11/01/2047

    850,490  
    8,500,000    

4.00%, 11/01/2049

    9,362,155  
 

South Dakota State Educational Enhancement Funding Corp.

 
    835,000    

5.00%, 06/01/2023

    928,278  
    1,395,000    

5.00%, 06/01/2024

    1,547,083  
    1,000,000    

5.00%, 06/01/2026

    1,104,220  
     

 

 

 
    17,033,365  
 

 

 

 
      Tennessee - 1.1%  
    890,000    

Chattanooga, TN, Health Educational & Housing Facs Board Rev 5.00%, 08/01/2044

    1,052,149  
 

Tennessee Housing Dev Agency

 
    1,615,000    

3.50%, 07/01/2045

    1,697,220  
    4,515,000    

3.50%, 01/01/2047

    4,749,367  
    4,375,000    

4.00%, 01/01/2049

    4,724,300  
     

 

 

 
    12,223,036  
 

 

 

 
      Texas - 9.3%  
    1,000,000    

Arlington, TX 5.00%, 02/15/2034

    1,153,670  
    1,000,000    

Arlington, TX, Higher Education Finance Corp. Rev 5.00%, 08/15/2027

    1,151,300  
 

Austin, TX, Airport System Rev

 
    595,000    

5.00%, 11/15/2026

    724,662  
    1,125,000    

5.00%, 11/15/2028

    1,358,662  
    560,000    

5.00%, 11/15/2030

    671,205  
    1,620,000    

Austin, TX, Independent School Dist 4.00%, 08/01/2033

    1,887,608  
    1,800,000    

Central Texas Turnpike System Rev 5.00%, 08/15/2032

    2,042,766  
    1,060,000    

City of Houston, TX 0.00%, 09/01/2025(2)

    959,915  
    5,215,000    

City of San Antonio, TX, Electric & Gas Systems Rev 5.00%, 02/01/2032

    6,262,832  
 

Clifton, TX, Higher Education Finance Corp.

 
    1,000,000    

4.00%, 08/15/2029

    1,163,670  
    1,050,000    

4.00%, 08/15/2030

    1,197,872  
    500,000    

4.00%, 08/15/2031

    565,775  
    1,000,000    

Dallas, TX, Area Rapid Transit Sales Tax Rev 5.00%, 12/01/2030

    1,201,800  
    750,000    

Dallas-Fort Worth, TX, International Airport Rev 5.00%, 11/01/2023

    777,180  
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Texas - 9.3% - (continued)  
$     1,000,000    

Denton, TX, Independent School Dist, GO 0.00%, 08/15/2020(2)

  $ 990,470  
    1,500,000    

Grapevine-Colleyville, TX, Independent School Dist, GO 5.00%, 08/15/2027

    1,798,680  
 

Harris County - Houston, TX, Sports Auth

 
    2,500,000    

5.00%, 11/15/2030

    2,871,125  
    500,000    

5.00%, 11/15/2032

    567,960  
    350,000    

5.00%, 11/15/2034

    396,624  
    1,605,000    

Harris County, TX, Toll Road Auth 5.00%, 08/15/2032

    1,990,762  
 

Kerrville, TX, Health Facs Dev Corp.

 
    1,300,000    

5.00%, 08/15/2024

    1,497,379  
    1,500,000    

5.00%, 08/15/2035

    1,712,040  
    1,580,000    

La Joya, TX, Independent School Dist, GO 5.00%, 02/15/2025

    1,816,558  
 

New Hope, TX, Cultural Education Facs Finance Corp.

 
    700,000    

1.85%, 11/01/2020

    693,203  
    340,000    

3.25%, 11/15/2022

    340,014  
    3,375,000    

5.00%, 11/01/2031

    3,675,442  
    1,000,000    

5.00%, 11/01/2046

    1,070,260  
 

North Texas Tollway Auth Rev

 
    5,000,000    

0.00%, 01/01/2032(2)

    3,756,000  
    1,000,000    

5.00%, 01/01/2030

    1,134,990  
    1,200,000    

5.00%, 01/01/2035

    1,414,140  
    1,440,000    

San Antonio, TX, Water Rev 5.00%, 05/15/2031

    1,730,419  
    1,000,000    

Spring Branch, TX, Independent School Dist, GO 5.00%, 02/01/2026

    1,183,940  
    10,200,000    

State of Texas 4.00%, 08/27/2020

    10,432,866  
    25,000,000    

State of Texas, GO 1.21%, 06/01/2043(4)

    25,000,000  
    2,575,000    

Tarrant County, TX, Cultural Education Facs 5.00%, 10/01/2034

    2,817,642  
    1,885,000    

Texas Municipal Gas Acquisition & Supply Corp. Rev 6.25%, 12/15/2026

    2,198,551  
    1,755,000    

Texas Transportation Commission 0.00%, 08/01/2038(2)

    841,628  
    2,000,000    

Travis County, TX, Health Facs Dev 7.13%, 11/01/2040

    2,114,000  
 

Wylie, TX, Independent School Dist

 

    3,905,000    

4.00%, 08/15/2035

    4,550,965  
    3,095,000    

4.00%, 08/15/2036

    3,596,111  
     

 

 

 
    101,310,686  
 

 

 

 
      Utah - 0.2%  
    490,000    

Salt Lake County, UT 5.13%, 02/15/2033

    577,043  
    1,875,000    

Utah Housing Corp. 4.00%, 01/01/2045

    1,993,594  
     

 

 

 
    2,570,637  
 

 

 

 
      Vermont - 0.5%  
 

Vermont Housing Finance Agency

 

    1,685,000    

4.00%, 11/01/2045

    1,758,045  
    1,775,000    

4.00%, 11/01/2046

    1,891,173  
    2,175,000    

4.00%, 05/01/2048

    2,317,854  
     

 

 

 
    5,967,072  
 

 

 

 
      Virginia - 0.2%  
    1,500,000    

Chesapeake Bay, VA, Bridge & Tunnel Dist 5.00%, 07/01/2051

    1,714,875  
     

 

 

 
      Washington - 0.6%  
    2,060,000    

Chelan County, WA, Public Utility Dist No. 1 0.00%, 06/01/2028(2)

    1,743,769  
 

Washington State Health Care Facs Auth Rev

 

    780,000    

5.00%, 07/01/2028

    900,190  
    2,000,000    

5.00%, 03/01/2029

    2,317,120  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  97  

 


The Hartford Municipal Opportunities Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.6% - (continued)  
      Washington - 0.6% - (continued)  
$     1,560,000    

Washington State Housing Finance Commission 5.00%, 01/01/2055(1)

  $ 1,690,385  
     

 

 

 
    6,651,464  
 

 

 

 
      West Virginia - 0.4%  
    1,000,000    

West Virginia Housing Dev Fund 2.80%, 11/01/2022

    1,030,990  
 

West Virginia State Economic Dev Auth

 

    2,000,000    

1.70%, 01/01/2041(4)

    2,001,120  
    1,555,000    

2.55%, 03/01/2040(4)

    1,614,821  
     

 

 

 
    4,646,931  
 

 

 

 
      Wisconsin - 2.1%  
    1,790,000    

Milwaukee County, WI, Airport Rev 5.00%, 12/01/2025

    2,037,450  
 

Public Finance Auth, WI

 

    1,600,000    

5.00%, 09/01/2025(1)

    1,792,480  
    2,940,000    

5.00%, 07/01/2035

    3,535,997  
    1,050,000    

5.00%, 07/01/2036

    1,259,485  
    875,000    

5.00%, 10/01/2043(1)

    969,351  
    2,340,000    

5.00%, 10/01/2044

    2,808,585  
    3,200,000    

5.00%, 10/01/2048(1)

    3,535,936  
    1,000,000    

5.00%, 10/01/2053(1)

    1,102,140  
 

Wisconsin State Health & Educational Facs Auth Rev

 
    3,000,000    

5.00%, 11/15/2027

    3,490,230  
    1,700,000    

5.00%, 12/01/2028

    1,964,724  
     

 

 

 
    22,496,378  
 

 

 

 
      Wyoming - 0.1%  
    1,360,000    

Wyoming Community Dev Auth 4.00%, 12/01/2046

    1,454,479  
     

 

 

 
 

Total Municipal Bonds
(cost $1,005,541,840)

  $ 1,053,089,270  
   

 

 

 
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 2.7%  
      Other Investment Pools & Funds - 2.7%  
$     28,940,001    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(5)

  $ 28,940,001  
     

 

 

 
 

Total Short-Term Investments
(cost $28,940,001)

  $ 28,940,001  
   

 

 

 
   

Total Investments
(cost $1,034,481,841)

    99.3    $ 1,082,029,271  
   

Other Assets and Liabilities

    0.7      8,142,835  
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $     1,090,172,106  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing. For long-term debt securities, items identified are in default as to payment of interest and/or principal.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $18,921,218, representing 1.7% of net assets.

 

(2) 

Security is a zero-coupon bond.

 

(3) 

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(4) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(5) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Municipal Bonds

   $ 1,053,089,270      $      $ 1,053,089,270      $  

Short-Term Investments

     28,940,001        28,940,001                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     1,082,029,271      $     28,940,001      $     1,053,089,270      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  98  

 


Hartford Municipal Short Duration Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.4%  
          Alabama - 1.3%  
$     250,000    

State of Alabama, Docks Department 5.00%, 10/01/2024

  $ 287,110  
     

 

 

 
          Arizona - 2.0%  
    100,000    

Maricopa County, AZ, Industrial Dev Auth 5.00%, 09/01/2022

    109,882  
    200,000    

Maricopa County, AZ, Pollution Control Corp. 5.00%, 06/01/2035

    203,700  
    105,000    

Tempe, AZ, Industrial Dev Auth 4.00%, 10/01/2023(1)

    106,016  
     

 

 

 
        419,598  
     

 

 

 
          California - 2.5%  
    195,000    

California County, CA, Tobacco Securitization Agency 5.00%, 06/01/2020

    198,551  
    245,000    

Orange County, CA, Community Facs Dist, Special Tax 4.00%, 08/15/2021

    254,401  
    75,000    

Roseville, CA, Natural Gas Financing Auth 5.00%, 02/15/2023

    82,997  
     

 

 

 
        535,949  
     

 

 

 
          Colorado - 1.7%  
    150,000    

Denver, CO, Convention Center Hotel Auth 5.00%, 12/01/2022

    164,370  
    40,000    

E-470 Public Highway, CO, Auth Rev 2.25%, 09/01/2039, 1 mo. USD LIBOR + 1.050%(2)

    40,355  
    150,000    

Park Creek, CO, Metropolitan Dist Rev 5.00%, 12/01/2021

    160,461  
     

 

 

 
        365,186  
     

 

 

 
          Connecticut - 1.2%  
    110,000    

Connecticut State Health & Educational Facs Auth 5.00%, 07/01/2020

    112,687  
    140,000    

State of Connecticut, GO 5.00%, 07/15/2022

    153,429  
     

 

 

 
        266,116  
     

 

 

 
          District of Columbia - 0.5%  
    95,000    

Metropolitan Washington, DC, Airports Auth System Rev 5.00%, 10/01/2039

    97,996  
     

 

 

 
          Florida - 5.7%  
    250,000    

Alachua County Health Facilities Auth 4.00%, 12/01/2023

    274,920  
    165,000    

Broward County, FL, Airport System Rev 5.00%, 10/01/2020

    170,446  
    200,000    

City of Atlantic Beach, FL 3.00%, 11/15/2023

    201,176  
   

JEA, FL, Electric System Rev

 
    100,000    

5.00%, 10/01/2021

    106,852  
    100,000    

5.00%, 10/01/2022

    110,919  
    50,000    

Miami-Dade County, FL, Aviation Rev 5.00%, 10/01/2024

    58,008  
   

Miami-Dade County, FL, Seaport Department Rev

 
    65,000    

5.00%, 10/01/2021

    69,225  
    145,000    

5.00%, 10/01/2022

    157,914  
    75,000    

Tampa-Hillsborough County, FL, Expressway Auth 5.00%, 07/01/2021

    79,575  
     

 

 

 
        1,229,035  
     

 

 

 
          Georgia - 2.4%  
   

Burke County, GA, Dev Auth Rev

 
    70,000    

2.35%, 10/01/2032(3)

    70,571  
    100,000    

3.00%, 11/01/2045(3)

    102,594  
    50,000    

Main Street Natural Gas, Inc., GA 4.00%, 08/01/2049(3)

    56,098  
    100,000    

Monroe County, GA, Dev Auth Rev 2.40%, 01/01/2039(3)

    100,331  
   

Municipal Electric Auth, GA

 
    75,000    

5.00%, 01/01/2021

    78,108  
    100,000    

5.00%, 11/01/2022

    110,349  
     

 

 

 
        518,051  
     

 

 

 
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.4% - (continued)  
          Illinois - 21.3%  
   

Chicago, IL, Board of Education, GO

 
$     45,000    

0.00%, 12/01/2021(4)

  $ 42,810  
    55,000    

0.00%, 12/01/2022(4)

    51,011  
    100,000    

0.00%, 12/01/2024(4)

    87,937  
    200,000    

5.00%, 12/01/2021

    211,318  
    225,000    

Chicago, IL, Midway International Airport Rev 5.00%, 01/01/2023

    248,794  
    280,000    

Chicago, IL, O’Hare International Airport 5.00%, 01/01/2023

    309,792  
   

Chicago, IL, Transit Auth

 
    100,000    

5.00%, 06/01/2020

    101,943  
    100,000    

5.00%, 12/01/2022

    107,233  
   

City of Chicago, IL, GO

 
    85,000    

4.00%, 01/01/2020

    85,264  
    135,000    

5.00%, 01/01/2022

    142,131  
    70,000    

City of Chicago, IL, Park Dist, GO 3.00%, 01/01/2021

    70,503  
   

City of Chicago, IL, Wastewater Transmission Rev

 
    160,000    

0.00%, 01/01/2022(4)

    153,731  
    110,000    

0.00%, 01/01/2024(4)

    100,835  
    85,000    

City of Chicago, IL, Waterworks Rev 5.00%, 11/01/2020

    87,849  
   

City of Decatur, IL, GO

 
    65,000    

3.00%, 03/01/2022

    66,940  
    150,000    

5.00%, 03/01/2023

    165,945  
   

Cook County, IL, GO

 
    100,000    

5.00%, 11/15/2019

    100,110  
    200,000    

5.00%, 11/15/2022

    219,036  
    125,000    

Illinois Housing Dev Auth 3.05%, 08/01/2022

    129,820  
   

Illinois State Finance Auth Rev

 
    50,000    

5.00%, 08/15/2020

    51,198  
    100,000    

5.00%, 11/15/2021

    107,078  
    100,000    

Kane McHenry Cook & DeKalb Counties, IL, Unified School Dist, GO 4.00%, 01/01/2020

    100,429  
    50,000    

Kendall Kane & Will Counties, IL, Unified School Dist, GO 0.00%, 02/01/2021(4)

    49,023  
   

Metropolitan Pier & Exposition Auth, IL

 
    160,000    

0.00%, 12/15/2019(4)

    159,682  
    200,000    

0.00%, 06/15/2021(4)

    194,016  
    85,000    

5.50%, 12/15/2023

    91,777  
   

Railsplitter, IL, Tobacco Settlement Auth

 
    150,000    

5.00%, 06/01/2022

    163,363  
    50,000    

5.25%, 06/01/2021

    52,962  
    150,000    

Sales Tax Securitization Corp., IL 5.00%, 01/01/2024

    167,959  
   

State of Illinois, GO

 
    240,000    

4.00%, 06/15/2020

    243,161  
    75,000    

5.00%, 04/01/2021

    78,065  
    120,000    

5.00%, 02/01/2022

    127,406  
    200,000    

5.00%, 11/01/2022

    216,354  
    100,000    

5.00%, 10/01/2023

    110,008  
    150,000    

Village of Bolingbrook, IL, GO 5.00%, 01/01/2023

    166,353  
     

 

 

 
        4,561,836  
     

 

 

 
          Iowa - 0.2%  
    30,000    

Iowa Student Loan Liquidity Corp. 5.00%, 12/01/2022

    33,092  
     

 

 

 
          Kentucky - 1.2%  
    40,000    

Kentucky Bond Dev Corp. 5.00%, 09/01/2023

    45,239  
    200,000    

Kentucky Public Energy Auth 4.00%, 01/01/2049(3)

    221,222  
     

 

 

 
        266,461  
     

 

 

 
          Louisiana - 1.6%  
    110,000    

City of New Orleans, LA, Sewerage Service Rev 5.00%, 06/01/2021

    116,377  
    200,000    

New Orleans, LA, Aviation Board 5.00%, 01/01/2023

    220,564  
     

 

 

 
        336,941  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  99  

 


Hartford Municipal Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.4% - (continued)  
          Maine - 0.4%  
$     70,000    

Finance Auth of Maine 5.00%, 12/01/2021

  $ 74,825  
     

 

 

 
          Maryland - 0.3%  
    20,000    

Maryland Economic Dev Corp. 4.00%, 06/01/2020

    20,308  
    40,000    

Maryland Health & Higher Educational Facs Auth 2.88%, 07/01/2023

    41,815  
     

 

 

 
        62,123  
     

 

 

 
          Massachusetts - 4.2%  
   

Massachusetts Dev Finance Agency

 
    100,000    

3.50%, 10/01/2022(1)

    103,928  
    150,000    

5.00%, 07/01/2024

    174,288  
    270,000    

5.00%, 07/01/2025

    318,104  
   

Massachusetts Educational Financing Auth

 
    20,000    

5.00%, 07/01/2023

    22,419  
    80,000    

5.00%, 07/01/2024

    91,939  
    35,000    

Massachusetts Housing Finance Agency 1.50%, 12/01/2047(3)

    35,012  
    150,000    

Massachusetts State Dev Finance Agency Rev 5.00%, 07/01/2022

    163,367  
     

 

 

 
        909,057  
     

 

 

 
          Michigan - 0.8%  
    70,000    

City of Detroit, MI, GO 5.00%, 04/01/2022

    73,968  
    100,000    

State of Michigan Rev 5.00%, 03/15/2021

    105,152  
     

 

 

 
        179,120  
     

 

 

 
          Minnesota - 1.0%  
    200,000    

Duluth, MN, Independent School Dist, No. 709 5.00%, 02/01/2022

    215,402  
     

 

 

 
          Missouri - 1.5%  
    50,000    

City of St. Louis, MO, Airport Rev 5.00%, 07/01/2023

    56,219  
    100,000    

Kirkwood, MO, Industrial Dev Auth Retirement Community 5.00%, 05/15/2022

    106,169  
    150,000    

St. Louis County, MO, Industrial Dev Auth 5.00%, 09/01/2023

    164,918  
     

 

 

 
        327,306  
     

 

 

 
          Nebraska - 1.8%  
    120,000    

Central Plains, NE, Energy Project Gas Rev 5.25%, 12/01/2021

    128,830  
    150,000    

Nebraska Investment Finance Auth Rev 4.00%, 09/01/2048

    162,565  
    100,000    

Washington County, NE 2.38%, 09/01/2030(3)

    100,656  
     

 

 

 
        392,051  
     

 

 

 
          Nevada - 2.1%  
    100,000    

City of North Las Vegas, NV 3.50%, 06/01/2022

    102,151  
    150,000    

City of Reno, NV 5.00%, 06/01/2024

    171,024  
    100,000    

Clark County, NV, School Dist, GO 5.00%, 06/15/2025

    118,513  
    65,000    

Clark County, NV, Special Improvement Dist 2.25%, 12/01/2019

    65,011  
     

 

 

 
        456,699  
     

 

 

 
          New Jersey - 3.4%  
    50,000    

City of Atlantic City, NJ, GO 5.00%, 03/01/2020

    50,544  
    200,000    

City of Bayonne, NJ 0.00%, 07/01/2023(4)

    188,242  
   

New Jersey Economic Dev Auth

 
    100,000    

5.00%, 06/15/2022

    108,607  
    75,000    

5.00%, 06/15/2023

    83,408  
    60,000    

New Jersey Transportation Trust Fund Auth 5.00%, 12/15/2023

    67,830  
   

Tobacco Settlement Financing Corp., NJ

 
    125,000    

5.00%, 06/01/2023

    139,391  
    70,000    

5.00%, 06/01/2025

    81,934  
     

 

 

 
        719,956  
     

 

 

 
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.4% - (continued)  
          New Mexico - 3.9%  
$     250,000    

City of Santa Fe, NM 2.63%, 05/15/2025

  $ 250,220  
   

New Mexico Mortgage Finance Auth

 
    80,000    

3.75%, 03/01/2048

    85,784  
    300,000    

3.75%, 01/01/2050

    327,009  
    150,000    

4.00%, 01/01/2049

    162,767  
     

 

 

 
        825,780  
     

 

 

 
          New York - 1.0%  
    100,000    

Town of Oyster Bay, NY, GO 4.00%, 02/15/2020

    100,681  
    100,000    

TSASC, Inc., NY 5.00%, 06/01/2020

    102,042  
     

 

 

 
        202,723  
     

 

 

 
          North Dakota - 0.5%  
    100,000    

North Dakota Housing Finance Agency 3.50%, 07/01/2046

    105,422  
     

 

 

 
          Ohio - 2.2%  
   

Cleveland, OH, Airport System Rev

 
    60,000    

5.00%, 01/01/2022

    64,775  
    60,000    

5.00%, 01/01/2023

    66,836  
    150,000    

5.00%, 01/01/2024

    170,674  
    50,000    

County of Lucas, OH 5.00%, 11/15/2019

    50,050  
    110,000    

State of Ohio 5.00%, 06/15/2021

    116,806  
     

 

 

 
        469,141  
     

 

 

 
          Oregon - 1.5%  
    60,000    

Salem Hospital Facs Auth, OR 5.00%, 05/15/2025

    69,989  
   

State of Oregon Housing & Community Services Department

 
    125,000    

3.50%, 07/01/2048

    132,056  
    110,000    

4.50%, 01/01/2049

    120,608  
     

 

 

 
        322,653  
     

 

 

 
          Pennsylvania - 7.6%  
    35,000    

City of Philadelphia, PA 5.00%, 08/01/2021

    37,247  
    300,000    

City of Philadelphia, PA, GO 5.00%, 02/01/2022

    324,282  
    100,000    

Lancaster County, PA, Hospital Auth 5.00%, 07/01/2020

    101,678  
   

Lehigh County, PA, Industrial Dev Auth

 
    65,000    

1.80%, 02/15/2027(3)

    65,640  
    55,000    

1.80%, 09/01/2029(3)

    55,290  
    150,000    

Montgomery County, PA, Industrial Dev Auth Rev 4.00%, 12/01/2020

    153,191  
    155,000    

Northeastern Pennsylvania Hospital & Education Auth 5.00%, 05/01/2020

    157,562  
    20,000    

Philadelphia, PA, Hospitals & Higher Education Facs Auth 5.00%, 07/01/2020

    20,410  
   

Philadelphia, PA, School Dist, GO

 
    85,000    

4.00%, 09/01/2022

    86,947  
    65,000    

5.00%, 09/01/2020

    66,971  
    150,000    

Reading, PA, School Dist, GO 5.00%, 03/01/2023

    167,077  
    105,000    

Redev. Auth of the City of Philadelphia, PA 5.00%, 04/15/2021

    110,210  
    50,000    

State Public School Building Auth 5.00%, 04/01/2021

    52,537  
    200,000    

Wilkes-Barre Area, PA, School Dist 5.00%, 04/15/2023

    222,630  
     

 

 

 
        1,621,672  
     

 

 

 
          Puerto Rico - 0.7%  
    177,000    

Puerto Rico Sales Tax Financing Corp. Sales Tax Rev 0.00%, 07/01/2024(4)

    155,100  
     

 

 

 
          Rhode Island - 2.2%  
    150,000    

Rhode Island Health & Educational Building Corp. 5.00%, 05/15/2022

    162,363  
    30,000    

Rhode Island Housing & Mortgage Finance Corp. 4.00%, 10/01/2032

    30,950  
    100,000    

Rhode Island Student Loan Auth 5.00%, 12/01/2023

    112,683  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  100  

 


Hartford Municipal Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.4% - (continued)  
          Rhode Island - 2.2% - (continued)  
   

Rhode Island Tobacco Settlement Financing Corp.

 
$     100,000    

5.00%, 06/01/2020

  $ 101,984  
    60,000    

5.00%, 06/01/2021

    63,169  
     

 

 

 
        471,149  
     

 

 

 
          South Carolina - 0.8%  
    150,000    

South Carolina Jobs-Economic Dev Auth 5.00%, 05/01/2024

    172,986  
     

 

 

 
          South Dakota - 1.3%  
    250,000    

South Dakota State Educational Enhancement Funding Corp. 5.00%, 06/01/2023

    277,928  
     

 

 

 
          Tennessee - 5.6%  
    250,000    

Chattanooga Health Educational & Housing Facs. Board, TN 5.00%, 08/01/2025

    294,077  
    150,000    

Shelby County, TN, Health Educational & Housing Facs Board 4.00%, 09/01/2022(1)

    150,510  
    245,000    

Tennessee Energy Acquisition Corp. 5.25%, 09/01/2026

    293,236  
   

Tennessee Housing Dev Agency

 
    105,000    

3.50%, 07/01/2045

    110,345  
    180,000    

3.50%, 01/01/2047

    189,497  
    155,000    

3.50%, 01/01/2048

    163,584  
     

 

 

 
        1,201,249  
     

 

 

 
          Texas - 6.3%  
    100,000    

Arlington, TX, Higher Education Finance Corp. Rev 4.00%, 12/01/2022

    107,849  
    70,000    

Big Sandy, TX, Independent School Dist Upshur County, GO 5.00%, 02/15/2024

    79,911  
    100,000    

Central Texas Turnpike System Rev 5.00%, 08/15/2024

    115,782  
    105,000    

City of San Antonio, TX, Airport System 5.00%, 07/01/2022

    114,414  
    50,000    

Harris County, TX, Metropolitan Transportation Auth 5.00%, 11/01/2022

    55,548  
    100,000    

Kerrville, TX, Health Facs Dev Corp. 5.00%, 08/15/2020

    102,688  
    100,000    

Lower Colorado River, TX, Auth Rev 5.00%, 05/15/2020

    101,993  
    150,000    

New Hope, TX, Cultural Education Facs Finance Corp. 1.70%, 11/01/2019

    150,000  
    100,000    

North East Texas Regional Mobility Auth 5.00%, 01/01/2021

    103,509  
    300,000    

State of Texas 4.00%, 08/27/2020

    306,849  
    100,000    

University of Texas System 5.00%, 08/15/2020

    102,965  
     

 

 

 
        1,341,508  
     

 

 

 
          Utah - 0.7%  
    130,000    

Salt Lake County, UT 5.13%, 02/15/2033

    153,093  
     

 

 

 
          Virginia - 0.4%  
    90,000    

Wise County, VA, Industrial Dev Auth Rev 1.88%, 11/01/2040(3)

    90,259  
     

 

 

 
          Washington - 3.0%  
    100,000    

Chelan Cnty. Public Utility Dist. No 1, WA 0.00%, 06/01/2021(4)

    97,839  
    195,000    

Tobacco Settlement Auth, WA 5.00%, 06/01/2024

    217,801  
    80,000    

Washington State Health Care Facs Auth Rev 5.00%, 10/01/2039

    81,254  
    250,000    

Washington State Housing Finance Commission 2.38%, 01/01/2026(1)

    250,217  
     

 

 

 
        647,111  
     

 

 

 
          West Virginia - 0.3%  
    55,000    

West Virginia State Economic Dev Auth 2.55%, 03/01/2040(3)

    57,116  
     

 

 

 
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 96.4% - (continued)  
          Wisconsin - 1.3%  
   

Public Finance Auth, WI

 
$     150,000    

4.00%, 07/01/2025

  $ 167,801  
    100,000    

5.00%, 05/15/2020(1)

    101,559  
     

 

 

 
        269,360  
     

 

 

 
   

Total Municipal Bonds
(cost $20,263,622)

  $ 20,638,160  
     

 

 

 
SHORT-TERM INVESTMENTS - 3.7%  
          Other Investment Pools & Funds - 3.7%  
    802,193    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(5)

  $ 802,193  
     

 

 

 
   

Total Short-Term Investments
(cost $802,193)

  $ 802,193  
     

 

 

 
   

Total Investments
(cost $21,065,815)

    100.1    $     21,440,353  
   

Other Assets and Liabilities

    (0.1 )%       (24,456
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $ 21,415,897  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $712,231, representing 3.3% of net assets.

 

(2) 

Variable rate security; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(3) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(4) 

Security is a zero-coupon bond.

 

(5) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  101  

 


Hartford Municipal Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Municipal Bonds

   $ 20,638,160      $      $ 20,638,160      $  

Short-Term Investments

     802,193        802,193                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     21,440,353      $     802,193      $     20,638,160      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  102  

 


The Hartford Quality Bond Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 26.1%  
      Canada - 0.7%  
$     915,000    

Master Credit Card Trust 3.74%, 07/21/2024(1)

  $ 939,508  
     

 

 

 
      Cayman Islands - 2.4%  
    1,305,000    

ALM XVIII Ltd. 3.65%, 01/15/2028, 3 mo. USD LIBOR + 1.650%(1)(2)

    1,302,040  
 

BlueMountain CLO Ltd.

 
    675,000    

3.55%, 10/22/2030, 3 mo. USD LIBOR + 1.600%(1)(2)

    667,862  
    605,000    

4.50%, 04/13/2027, 3 mo. USD LIBOR + 2.500%(1)(2)

    605,198  
    250,000    

Carlyle Global Market Strategies CLO Ltd. 2.97%, 04/17/2031, 3 mo. USD LIBOR + 0.970%(1)(2)

    247,248  
    350,000    

LCM L.P. 3.37%, 04/20/2028, 3 mo. USD LIBOR + 1.400%(1)(2)

    345,075  
     

 

 

 
        3,167,423  
     

 

 

 
      United States - 23.0%  
    8,220,979    

Benchmark Mortgage Trust 0.54%, 07/15/2051(3)(4)

    289,971  
    2,524,020    

Cantor Commercial Real Estate 1.14%, 05/15/2052(4)

    214,803  
    961,000    

Capital Auto Receivables Asset Trust 3.62%, 05/20/2021

    962,792  
    265,000    

Citigroup Commercial Mortgage Trust 3.15%, 11/15/2049

    278,289  
    209,671    

COLT Mortgage Loan Trust 3.87%, 10/26/2048(1)(3)

    211,132  
    750,000    

CSMC Trust 2.76%, 04/05/2033(1)

    752,545  
    521,120    

Deephaven Residential Mortgage Trust 3.56%, 04/25/2059(1)(3)

    525,276  
 

Fannie Mae Connecticut Avenue Securities

 
    19,434    

3.27%, 01/25/2029, 1 mo. USD LIBOR + 1.450%(2)

    19,455  
    270,000    

3.82%, 03/25/2031, 1 mo. USD LIBOR + 2.000%(2)

    270,475  
    965,000    

4.37%, 12/25/2030, 1 mo. USD LIBOR + 2.550%(2)

    978,885  
    865,000    

6.07%, 01/25/2029, 1 mo. USD LIBOR + 4.250%(2)

    913,091  
    760,891    

6.27%, 01/25/2029, 1 mo. USD LIBOR + 4.450%(2)

    800,537  
    936,847    

6.82%, 07/25/2025, 1 mo. USD LIBOR + 5.000%(2)

    1,001,474  
    2,677,000    

FNMA 1.57%, 05/25/2029(3)(4)(5)(6)

    286,523  
    1,330,000    

Ford Credit Auto Owner Trust 3.61%, 01/15/2030(1)

    1,371,950  
 

FREMF Mortgage Trust

 

    440,000    

3.73%, 10/25/2049(1)(3)

    461,804  
    490,000    

3.76%, 07/25/2026(1)(3)

    499,638  
    350,000    

3.80%, 02/25/2050(1)(3)

    364,823  
    230,000    

3.84%, 10/25/2049(1)(3)

    242,689  
    995,000    

3.88%, 02/25/2050(1)(3)

    1,037,420  
    600,000    

3.95%, 08/25/2047(1)(3)

    616,046  
    1,610,000    

3.98%, 04/25/2051(1)(3)

    1,715,236  
    165,000    

4.22%, 06/25/2047(1)(3)

    178,350  
    184,000    

4.33%, 12/25/2044(1)(3)

    191,355  
    211,000    

4.38%, 02/25/2052(1)(3)

    226,673  
    370,000    

Hertz Vehicle Financing II L.P. 3.29%, 02/25/2024(1)

    379,514  
    592,640    

Mill City Mortgage Loan Trust 3.25%, 05/25/2062(1)(3)

    605,624  
    815,000    

Morgan Stanley Bank of America Merrill Lynch Trust 3.83%, 12/15/2047

    868,345  
    59,648    

MortgageIT Trust 2.46%, 02/25/2035, 1 mo. USD LIBOR + 0.640%(2)

    60,360  
    1,187,000    

Natixis Commercial Mortgage Securities Trust 4.40%, 06/17/2038(1)

    1,344,691  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 26.1% - (continued)  
      United States - 23.0% - (continued)  
 

New Residential Mortgage Loan Trust

 

$     1,125,544    

3.75%, 01/25/2054(1)(3)

  $ 1,172,184  
    55,125    

3.75%, 05/25/2054(1)(3)

    56,096  
    175,221    

3.75%, 11/25/2056(1)(3)

    182,758  
    708,405    

4.00%, 02/25/2057(1)(3)

    743,516  
 

NRZ Excess Spread-Collateralized Notes

 

    425,353    

3.19%, 01/25/2023(1)

    427,255  
    185,301    

3.27%, 02/25/2023(1)

    186,141  
 

Seasoned Credit Risk Transfer Trust

 

    450,890    

3.50%, 11/25/2057

    479,673  
    1,216,061    

3.50%, 03/25/2058

    1,280,098  
    1,220,534    

3.50%, 07/25/2058

    1,301,288  
    243,610    

3.50%, 08/25/2058

    259,912  
    1,092,498    

3.50%, 10/25/2058

    1,150,029  
    280,000    

SoFi Consumer Loan Program Trust 3.79%, 04/26/2027(1)

    287,096  
    474,299    

Spruce Hill Mortgage Loan Trust 3.40%, 04/29/2049(1)(3)

    477,946  
 

Towd Point Mortgage Trust

 

    642,000    

3.75%, 04/25/2055(1)(3)

    668,822  
    389,978    

3.75%, 05/25/2058(1)(3)

    405,109  
    385,000    

Toyota Auto Loan Extended Note Trust 2.56%, 11/25/2031(1)

    394,159  
 

Verus Securitization Trust

 

    625,471    

2.78%, 07/25/2059(1)(7)

    627,900  
    553,363    

3.21%, 04/25/2059(1)(3)

    557,867  
    375,000    

3.70%, 07/25/2047(1)(3)

    381,887  
    1,050,000    

VNDO Mortgage Trust 3.34%, 11/15/2030(1)(3)

    1,073,621  
   

Wells Fargo Bank N.A.

 

    2,039,330    

0.84%, 09/15/2061(3)(4)

    139,221  
    1,851,695    

1.04%, 04/15/2052(3)(4)

    151,576  
    475,621    

Wells Fargo Mortgage Backed Securities Trust 4.00%, 11/25/2048(1)(3)

    485,133  
     

 

 

 
        30,559,053  
     

 

 

 
   

Total Asset & Commercial Mortgage Backed Securities
(cost $33,829,328)

  $ 34,665,984  
     

 

 

 
CORPORATE BONDS - 0.2%  
      REITS - 0.2%  
    295,000    

SBA Tower Trust 2.84%, 01/15/2025(1)

  $ 297,933  
     

 

 

 
 

Total Corporate Bonds
(cost $295,000)

  $ 297,933  
   

 

 

 
U.S. GOVERNMENT AGENCIES - 83.9%  
      Mortgage-Backed Agencies - 83.4%  
      FHLMC - 15.9%  
$     10,411    

0.00%, 11/15/2036(8)(9)

  $ 9,508  
    7,235,610    

0.29%, 01/25/2027(3)(4)

    137,924  
    4,367,741    

0.61%, 03/25/2027(3)(4)

    172,482  
    191,783    

2.50%, 12/15/2026(4)

    8,363  
    876,995    

2.50%, 03/15/2028(4)

    57,890  
    85,534    

2.50%, 03/15/2028

    5,511  
    138,753    

2.50%, 05/15/2028(4)

    9,744  
    1,059,711    

2.75%, 12/15/2041

    1,039,457  
    183,140    

3.00%, 05/15/2032(4)

    10,593  
    365,491    

3.00%, 03/01/2033

    375,514  
    140,601    

3.00%, 03/15/2033(4)

    15,104  
    740,181    

3.00%, 04/01/2033

    760,454  
    919,667    

3.00%, 01/01/2037

    943,772  
    302,000    

3.00%, 04/15/2042

    312,924  
    1,441,303    

3.00%, 11/01/2046

    1,480,500  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  103  

 


The Hartford Quality Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 83.9% - (continued)  
      Mortgage-Backed Agencies - 83.4% - (continued)  
      FHLMC - 15.9% - (continued)  
$     2,146,283    

3.00%, 12/01/2046

  $ 2,204,119  
    587,553    

3.00%, 10/01/2047

    601,380  
    188,087    

3.00%, 02/01/2048

    192,115  
    89,579    

3.00%, 03/01/2048

    91,476  
    92,819    

3.02%, 08/25/2029, 1 mo. USD LIBOR + 1.200%(2)

    92,947  
    995,000    

3.12%, 10/25/2031(3)

    1,054,772  
    194,573    

3.50%, 06/15/2026(4)

    8,825  
    65,979    

3.50%, 09/15/2026(4)

    5,249  
    109,717    

3.50%, 03/15/2027

    7,593  
    649,135    

3.50%, 03/15/2041(4)

    53,754  
    1,743,562    

3.50%, 05/01/2048

    1,800,429  
    274,059    

3.50%, 06/01/2048

    282,779  
    187,125    

3.50%, 09/01/2048

    192,878  
    177,361    

4.00%, 08/15/2026(4)

    12,749  
    251,595    

4.00%, 07/15/2027(4)

    18,981  
    505,550    

4.00%, 03/15/2028(4)

    38,963  
    116,588    

4.00%, 06/15/2028(4)

    9,644  
    298,990    

4.00%, 07/15/2030

    30,192  
    266,643    

4.00%, 06/15/2041

    287,350  
    250,000    

4.00%, 11/15/2041

    284,137  
    671,000    

4.00%, 08/15/2043

    764,301  
    267,698    

4.00%, 07/01/2044

    283,152  
    89,142    

4.00%, 09/01/2048

    92,964  
    375,000    

4.00%, 11/01/2049

    389,842  
    999,000    

4.12%, 09/25/2030, 1 mo. USD LIBOR + 2.300%(2)

    1,006,319  
    86,739    

4.50%, 02/01/2039

    93,874  
    902,083    

4.50%, 07/01/2042

    978,266  
    138,309    

4.50%, 09/01/2044

    148,591  
    370,813    

4.62%, 05/25/2028, 1 mo. USD LIBOR + 2.800%(2)

    372,896  
    89,794    

5.00%, 10/01/2028

    96,033  
    321,786    

5.00%, 09/01/2029

    343,991  
    290,999    

5.00%, 01/01/2030

    311,207  
    335,592    

5.00%, 09/01/2031

    358,567  
    283,444    

5.00%, 11/01/2031

    302,815  
    51,598    

5.00%, 09/01/2033

    57,009  
    189,754    

5.00%, 09/15/2033(4)

    28,626  
    352,110    

5.00%, 05/01/2039

    389,017  
    548,471    

5.00%, 08/01/2039

    606,318  
    202,122    

5.00%, 07/01/2041

    223,176  
    285,202    

5.00%, 02/15/2048(4)

    55,524  
    274,996    

5.00%, 03/01/2049

    293,906  
    39,835    

5.50%, 08/15/2033

    44,871  
    281,239    

5.50%, 04/01/2038

    316,048  
    974,729    

5.97%, 01/25/2025, 1 mo. USD LIBOR + 4.150%(2)

    1,008,707  
     

 

 

 
        21,176,092  
     

 

 

 
      FNMA - 32.1%  
    87,113    

0.00%, 06/25/2036(8)(9)

    78,673  
    100,000    

0.00%, 09/25/2041(8)(9)

    76,859  
    316,111    

2.00%, 09/25/2039

    315,137  
    857,000    

2.00%, 02/25/2043

    770,318  
    366,534    

2.05%, 06/25/2055(3)(4)

    21,633  
    354,636    

2.07%, 04/25/2055(3)(4)

    22,148  
    473,168    

2.23%, 08/25/2044(3)(4)

    26,696  
    33,867    

2.50%, 06/25/2028(4)

    2,210  
    420,000    

2.50%, 03/25/2043

    409,814  
    1,140,000    

2.87%, 02/01/2032

    1,191,441  
    316,874    

3.00%, 02/25/2027(4)

    18,939  
    113,414    

3.00%, 09/25/2027

    8,366  
    341,634    

3.00%, 12/25/2027(4)

    27,515  
    885,203    

3.00%, 03/01/2037

    910,324  
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 83.9% - (continued)  
      Mortgage-Backed Agencies - 83.4% - (continued)  
      FNMA - 32.1% - (continued)  
$     238,742    

3.00%, 10/01/2037

  $ 245,451  
    1,038,445    

3.00%, 06/25/2048

    1,067,610  
    872,611    

3.00%, 10/25/2048

    905,313  
    992,096    

3.00%, 08/25/2049

    1,025,794  
    600,000    

3.00%, 09/25/2057

    623,741  
    1,300,000    

3.07%, 11/01/2029

    1,395,466  
    1,100,000    

3.13%, 01/01/2030

    1,174,804  
    850,000    

3.19%, 09/01/2029

    915,071  
    1,700,000    

3.28%, 12/01/2032

    1,848,983  
    339,816    

3.38%, 12/01/2029

    372,948  
    1,240,000    

3.46%, 09/01/2037

    1,373,567  
    141,992    

3.50%, 05/25/2027(4)

    11,450  
    211,069    

3.50%, 10/25/2027

    17,507  
    56,159    

3.50%, 05/25/2030(4)

    5,517  
    63,978    

3.50%, 08/25/2030(4)

    5,963  
    157,569    

3.50%, 02/25/2031(4)

    11,594  
    137,182    

3.50%, 09/25/2035(4)

    16,715  
    211,983    

3.50%, 09/01/2043

    221,949  
    332,117    

3.50%, 10/01/2044

    350,519  
    349,450    

3.50%, 02/01/2045

    364,384  
    342,289    

3.50%, 02/01/2046

    356,747  
    736,003    

3.50%, 09/01/2046

    765,531  
    324,862    

3.50%, 10/01/2046

    337,969  
    136,788    

3.50%, 10/25/2046(4)

    26,260  
    219,392    

3.50%, 11/01/2046

    231,562  
    231,219    

3.50%, 09/01/2047

    241,799  
    169,768    

3.50%, 12/01/2047

    177,702  
    243,357    

3.50%, 02/01/2048

    254,112  
    297,898    

3.50%, 02/25/2048

    308,372  
    500,000    

3.50%, 05/25/2048

    555,981  
    2,811,416    

3.50%, 07/01/2049

    2,884,240  
    1,748,004    

3.50%, 09/01/2057

    1,840,017  
    1,089,718    

3.50%, 12/25/2058

    1,146,613  
    200,000    

3.55%, 02/01/2030

    221,586  
    1,189,417    

3.57%, 10/01/2029(12)

    1,310,868  
    609,482    

3.86%, 08/01/2035

    689,387  
    287,221    

4.00%, 05/25/2027(4)

    22,677  
    440,706    

4.00%, 12/01/2040

    472,151  
    126,168    

4.00%, 03/01/2041

    135,027  
    33,658    

4.00%, 03/25/2042(4)

    3,568  
    371,800    

4.00%, 11/25/2043

    398,402  
    156,165    

4.00%, 06/01/2044

    165,065  
    18,657    

4.00%, 08/01/2044

    19,722  
    179,746    

4.00%, 10/01/2044

    189,994  
    324,093    

4.00%, 11/01/2044

    342,594  
    299,365    

4.00%, 05/01/2045

    316,487  
    202,180    

4.00%, 07/01/2045

    216,639  
    707,938    

4.00%, 05/01/2046

    748,420  
    176,467    

4.00%, 06/01/2046

    186,146  
    218,484    

4.00%, 04/01/2047

    234,060  
    2,003,128    

4.00%, 07/01/2048

    2,086,434  
    798,222    

4.00%, 09/01/2048

    830,924  
    1,094,835    

4.00%, 11/01/2048

    1,136,588  
    3,535,000    

4.00%, 11/01/2049

    3,682,135  
    190,000    

4.00%, 12/01/2049

    197,520  
    477,596    

4.06%, 03/01/2030

    541,124  
    50,947    

4.50%, 07/25/2027(4)

    4,097  
    83,925    

4.50%, 08/01/2041

    90,721  
    24,562    

4.50%, 09/01/2041

    26,230  
    573,743    

4.50%, 09/25/2048

    111,876  
    28,772    

5.00%, 11/01/2023

    30,713  
    2,351,228    

5.00%, 03/01/2049

    2,516,155  
    420,000    

5.00%, 06/01/2049

    449,833  
    24,376    

5.47%, 05/25/2042(3)(4)

    2,358  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  104  

 


The Hartford Quality Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 83.9% - (continued)  
      Mortgage-Backed Agencies - 83.4% - (continued)  
      FNMA - 32.1% - (continued)  
$     362,795    

5.50%, 07/25/2045

  $ 77,580  
    486,877    

6.00%, 01/25/2042(4)

    83,292  
    435,109    

6.00%, 01/25/2047(4)

    96,289  
    319,424    

6.00%, 09/25/2047(4)

    75,076  
     

 

 

 
        42,673,062  
     

 

 

 
          GNMA - 23.5%  
    75,162    

1.75%, 09/20/2043

    74,239  
    548,176    

2.14%, 04/20/2040

    518,283  
    141,337    

3.00%, 09/20/2028(4)

    10,832  
    285,596    

3.00%, 09/16/2042

    295,454  
    278,199    

3.00%, 09/20/2042

    286,445  
    101,960    

3.00%, 02/16/2043(4)

    14,651  
    850,809    

3.00%, 04/20/2045

    886,346  
    54,218    

3.00%, 08/15/2045

    55,889  
    128,241    

3.00%, 11/20/2045

    132,706  
    169,000    

3.00%, 02/20/2046

    177,763  
    1,350,000    

3.00%, 12/01/2049(10)

    1,389,025  
    67,807    

3.50%, 02/16/2027(4)

    5,418  
    161,374    

3.50%, 03/20/2027(4)

    14,133  
    166,021    

3.50%, 07/20/2040(4)

    13,313  
    397,934    

3.50%, 12/20/2040

    420,757  
    224,182    

3.50%, 02/20/2041

    18,889  
    392,088    

3.50%, 04/20/2042

    36,945  
    600,278    

3.50%, 10/20/2042(4)

    106,415  
    308,207    

3.50%, 07/20/2043(4)

    38,758  
    3,467,722    

3.50%, 09/20/2049

    3,604,264  
    4,450,000    

3.50%, 11/01/2049(10)

    4,618,266  
    1,027,077    

4.00%, 04/16/2026

    83,123  
    45,349    

4.00%, 12/16/2026

    3,859  
    600,854    

4.00%, 05/20/2029(4)

    52,745  
    140,667    

4.00%, 02/15/2041

    152,619  
    29,309    

4.00%, 05/16/2042(4)

    4,253  
    118,941    

4.00%, 03/20/2043(4)

    18,892  
    46,975    

4.00%, 01/20/2044(4)

    9,866  
    410,965    

4.00%, 03/20/2047(4)

    62,745  
    620,687    

4.00%, 07/20/2047(4)

    95,240  
    1,168,092    

4.00%, 04/20/2049

    1,215,477  
    3,561,741    

4.00%, 05/20/2049

    3,709,527  
    3,800,000    

4.00%, 11/01/2049(10)

    3,951,406  
    296,686    

4.50%, 06/20/2039

    317,740  
    482,214    

4.50%, 09/16/2040

    532,562  
    46,735    

4.50%, 09/20/2041

    50,536  
    25,899    

4.50%, 05/20/2044

    27,817  
    55,449    

4.50%, 06/20/2044

    59,565  
    45,790    

4.50%, 10/20/2044

    49,097  
    167,855    

4.50%, 04/20/2045

    35,199  
    26,162    

4.50%, 01/20/2046

    27,953  
    496,350    

4.50%, 01/20/2047(4)

    94,569  
    4,725,000    

4.50%, 11/01/2049(10)

    4,946,484  
    129,298    

5.00%, 05/20/2034

    143,412  
    40,985    

5.00%, 07/15/2039

    45,937  
    476,457    

5.00%, 02/16/2040(4)

    93,758  
    386,963    

5.00%, 05/20/2040(4)

    89,956  
    762,011    

5.00%, 04/20/2041

    976,065  
    29,103    

5.00%, 06/15/2041

    32,645  
    130,061    

5.00%, 10/16/2041(4)

    22,683  
    27,865    

5.00%, 03/15/2044

    31,234  
    534,858    

5.00%, 11/16/2046(4)

    113,388  
    120,506    

5.00%, 01/16/2047(4)

    26,257  
    454,866    

5.00%, 09/16/2047(4)

    101,451  
    495,339    

5.00%, 06/20/2048(4)

    109,007  
    400,000    

5.00%, 11/01/2049(10)

    422,297  
    351,169    

5.50%, 05/20/2038

    400,891  
    282,223    

5.50%, 03/20/2039(4)

    55,975  
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 83.9% - (continued)  
      Mortgage-Backed Agencies - 83.4% - (continued)  
          GNMA - 23.5% - (continued)  
$     350,067    

5.50%, 02/16/2047(4)

  $ 82,553  
    435,965    

5.50%, 05/20/2047(4)

    87,822  
    20,134    

6.00%, 01/15/2039

    23,125  
    128,533    

6.00%, 09/15/2040

    146,809  
    302,440    

6.00%, 02/20/2046(4)

    73,624  
     

 

 

 
        31,298,954  
     

 

 

 
          UMBS - 11.9%  
    2,500,000    

3.00%, 11/01/2034(10)

    2,559,863  
    7,414,000    

3.00%, 11/01/2049(10)

    7,533,618  
    1,500,000    

3.00%, 12/01/2049(10)

    1,522,644  
    1,134,000    

3.50%, 11/01/2049(10)

    1,164,299  
    1,100,000    

3.50%, 12/01/2049(10)

    1,129,606  
    700,000    

4.00%, 11/01/2034(10)

    729,716  
    785,000    

4.00%, 11/01/2049(10)

    814,622  
    325,000    

5.50%, 11/01/2049(10)

    350,344  
     

 

 

 
        15,804,712  
     

 

 

 
        110,952,820  
     

 

 

 
      Other Direct Federal Obligations - 0.5%      
    651,628    

SLM Student Loan Trust 3.32%, 12/15/2033, 3 mo. USD LIBOR + 1.200%(1)(2)

    643,860  
     

 

 

 
   

Total U.S. Government Agencies
(cost $109,166,253)

  $ 111,596,680  
     

 

 

 
U.S. GOVERNMENT SECURITIES - 0.7%  
          Other Direct Federal Obligations - 0.7%  
    700,000    

Tennessee Valley Authority Power 4.25%, 09/15/2065

  $ 962,181  
     

 

 

 
   

Total U.S. Government Securities
(cost $839,382)

  $ 962,181  
     

 

 

 
   

Total Long-Term Investments
(cost $144,129,963)

  $ 147,522,778  
     

 

 

 
SHORT-TERM INVESTMENTS - 10.2%  
          Other Investment Pools & Funds - 10.2%  
    13,493,251    

Fidelity Institutional Government Fund, Institutional Class, 1.70%(11)

  $ 13,493,251  
     

 

 

 
   

Total Short-Term Investments
(cost $13,493,251)

  $ 13,493,251  
     

 

 

 
   

Total Investments Excluding Purchased Options
(cost $157,623,214)

    121.1    $ 161,016,029  
   

Total Purchased Options
(cost $970,001)

    0.7    $ 937,305  
     

 

 

    

 

 

 
   

Total Investments
(cost $158,593,215)

    121.8    $ 161,953,334  
   

Other Assets and Liabilities

    (21.8 )%       (28,959,284
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $     132,994,050  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  105  

 


The Hartford Quality Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $23,900,980, representing 18.0% of net assets.

 

(2) 

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(3) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(4) 

Securities disclosed are interest-only strips.

 

(5) 

This security is valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At

  October 31, 2019, the aggregate fair value of this security was $286,523, which represented 0.2% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(6) 

Investment valued using significant unobservable inputs.

 

(7) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(8) 

Securities disclosed are principal-only strips.

 

(9) 

Security is a zero-coupon bond.

 

(10) 

Represents or includes a TBA transaction.

 

(11) 

Current yield as of period end.

 

(12)

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $761,312.

 
OTC Swaption Contracts Outstanding at October 31, 2019  

Description

 

Counter-
party

 

Exercise Price/
FX Rate/Rate

  Pay/
Receive
Floating
Rate
    Expiration
Date
   

Notional
Amount

    Number of
Contracts
    Market
Value
    Premiums
Paid
(Received)
by Fund
    Unrealized
Appreciation/
(Depreciation)
 
Purchased swaption contracts:  
Calls  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  BOA   2.45%     Receive       08/02/27     USD     725,000       725,000     $ 160,370     $ 62,350     $ 98,020  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  JPM   2.45%     Pay       08/02/27     USD     787,500       787,500       174,195       80,876       93,319  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  MSC   2.45%     Pay       08/02/27     USD     800,000       800,000       176,960       128,654       48,306  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 09/24/59*

  DEUT   1.85%     Pay       09/20/29     USD     700,000       700,000       111,020       114,450       (3,430
               

 

 

   

 

 

   

 

 

 

Total Calls

 

    $ 622,545     $ 386,330     $ 236,215  
   

 

 

   

 

 

   

 

 

 
Puts  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  BOA   2.45%     Pay       08/02/27     USD     725,000       725,000     $ 63,568     $ 166,025     $ (102,457

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  JPM   2.45%     Receive       08/02/27     USD     787,500       787,500       69,048       155,610       (86,562

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  MSC   2.45%     Receive       08/02/27     USD     800,000       800,000       70,144       147,586       (77,442

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 09/24/59*

  DEUT   1.85%     Receive       09/20/29     USD     700,000       700,000       112,000       114,450       (2,450
               

 

 

   

 

 

   

 

 

 

Total Puts

 

    $ 314,760     $ 583,671     $     (268,911
   

 

 

   

 

 

   

 

 

 

Total purchased swaption contracts

            $     937,305     $     970,001     $ (32,696
           

 

 

   

 

 

   

 

 

 

 

*

Swaptions with forward premiums.

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

U.S. Treasury 2-Year Note Future

     3        12/31/2019      $ 646,805      $ 1,166  

U.S. Treasury 10-Year Note Future

     280        12/19/2019            36,483,125        (267,471

U.S. Treasury Long Bond Future

     30        12/19/2019        4,841,250        (93,274

U.S. Treasury Ultra Bond Future

     46        12/19/2019        8,728,500        (324,404
           

 

 

 

Total

 

   $     (683,983
  

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  106  

 


The Hartford Quality Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Futures Contracts Outstanding at October 31, 2019 – (continued)  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Short position contracts:  

U.S. Treasury 5-Year Note Future

     43        12/31/2019      $     5,125,735      $ 14,403  

U.S. Treasury 10-Year Ultra Future

     67        12/19/2019        9,521,328        128,643  
           

 

 

 

Total

 

   $ 143,046  
  

 

 

 

Total futures contracts

 

   $     (540,937
  

 

 

 

 

TBA Sale Commitments Outstanding at October 31, 2019  

Description

   Principal
Amount
     Maturity
Date
     Market
Value
    Unrealized
Appreciation/
(Depreciation)
 

UMBS, 2.50%

   $     1,917,000        11/01/2034      $ (1,937,593   $ (6,915

UMBS, 3.50%

     2,665,000        11/01/2034        (2,760,669     (2,261

UMBS, 4.00%

     5,520,000        11/01/2049        (5,728,294     (7,508

UMBS, 4.50%

     2,870,000        11/01/2049        (3,018,657     5,605  

GNMA II, 4.00%

     1,715,000        11/01/2049        (1,783,332     (4,020
        

 

 

   

 

 

 

Total (proceeds receivable $15,213,446)

 

   $     (15,228,545   $     (15,099
  

 

 

   

 

 

 

At October 31, 2019, the aggregate market value of TBA Sale Commitments represents (11.5)% of total net assets.

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Value     Unrealized
Appreciation/
(Depreciation)
 

3 Mo. USD LIBOR

  

3.00% Fixed

   USD     7,119,000        04/30/25      Semi-Annual    $ 14,422      $      $ (571,175   $ (585,597

3 Mo. USD LIBOR

  

2.27% Fixed

   USD     5,925,000        07/14/27      Semi-Annual                    (355,247     (355,247

3 Mo. USD LIBOR

  

2.83% Fixed

   USD     7,222,000        12/21/28      Semi-Annual                    (834,392     (834,392

3 Mo. USD LIBOR

  

2.88% Fixed

   USD     350,000        12/31/48      Semi-Annual                    (93,078     (93,078

3 Mo. USD LIBOR

  

2.87% Fixed

   USD     175,000        01/28/49      Semi-Annual                    (46,064     (46,064

3 Mo. USD LIBOR

  

2.38% Fixed

   USD     400,000        05/31/49      Semi-Annual                    (59,414     (59,414

3 Mo. USD LIBOR

  

1.78% Fixed

   USD     405,000        09/24/49      Semi-Annual                    379       379  
                

 

 

    

 

 

    

 

 

   

 

 

 

Total

 

         $     14,422      $     —      $     (1,958,991   $     (1,973,413
        

 

 

    

 

 

    

 

 

   

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  6,028,806      USD      640,000,000      JPY    BMO      01/10/20     $     72,599     $     —  

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  107  

 


The Hartford Quality Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Assets

 

Asset & Commercial Mortgage Backed Securities

   $ 34,665,984     $     $ 34,379,461     $ 286,523  

Corporate Bonds

     297,933             297,933        

U.S. Government Agencies

     111,596,680             111,596,680        

U.S. Government Securities

     962,181             962,181        

Short-Term Investments

     13,493,251       13,493,251              

Purchased Options

     937,305             937,305        

Foreign Currency Contracts(2)

     72,599             72,599        

Futures Contracts(2)

     144,212       144,212              

Swaps - Interest Rate(2)

     379             379        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     162,170,524     $     13,637,463     $     148,246,538     $     286,523  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Futures Contracts(2)

   $ (685,149   $ (685,149   $     $  

Swaps - Interest Rate(2)

     (1,973,792           (1,973,792      

TBA Sale Commitments

     (15,228,545           (15,228,545      
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (17,887,486   $ (685,149   $ (17,202,337   $  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  108  

 


The Hartford Short Duration Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 15.7%  
          Asset-Backed - Automobile - 0.7%  
   

Credit Acceptance Auto Loan Trust

 
$     920,000    

2.65%, 06/15/2026(1)

  $ 922,296  
    1,270,000    

3.55%, 08/15/2027(1)

    1,294,504  
    1,412,326    

Marlette Funding Trust 2.69%, 09/17/2029(1)

    1,416,993  
    3,750,000    

OneMain Direct Auto Receivables Trust 3.43%, 12/16/2024(1)

    3,812,088  
    1,820,004    

Santander Drive Auto Receivables Trust 2.46%, 03/15/2022

    1,821,655  
    590,000    

Westlake Automobile Receivables Trust 3.20%, 01/16/2024(1)

    592,898  
     

 

 

 
    9,860,434  
     

 

 

 
          Asset-Backed - Finance & Insurance - 4.3%  
    2,408,289    

Ajax Mortgage Loan Trust 3.16%, 09/25/2056(1)(2)

    2,417,555  
    2,250,000    

Apidos CLO 3.08%, 04/15/2031, 3 mo. USD LIBOR + 1.080%(1)(3)

    2,240,289  
   

Bayview Opportunity Master Fund Trust

 
    434,807    

3.50%, 01/28/2055(1)(2)

    443,187  
    761,338    

3.50%, 06/28/2057(1)(2)

    774,639  
    959,166    

3.50%, 01/28/2058(1)(2)

    979,205  
    304,684    

4.00%, 11/28/2053(1)(2)

    314,447  
    962,430    

4.00%, 10/28/2064(1)(2)

    993,324  
   

Carlyle Global Market Strategies CLO Ltd.

 
    250,000    

2.89%, 01/18/2029, 3 mo. USD LIBOR + 0.890%(1)(3)

    248,501  
    1,500,000    

2.97%, 04/17/2031, 3 mo. USD LIBOR + 0.970%(1)(3)

    1,483,488  
    1,000,000    

3.40%, 04/17/2031, 3 mo. USD LIBOR + 1.400%(1)(3)

    983,127  
    2,125,000    

CIFC Funding Ltd. 3.25%, 07/16/2030, 3 mo. USD LIBOR + 1.250%(1)(3)

    2,121,294  
    51,485    

Credit Suisse ABS Trust 3.42%, 07/25/2024(1)

    51,507  
    2,643,375    

DB Master Finance LLC 3.79%, 05/20/2049(1)

    2,718,156  
    899,031    

Finance of America Structured Securities Trust 3.38%, 09/25/2028(1)(2)

    897,891  
    1,190,000    

KKR CLO 21 Ltd. 3.00%, 04/15/2031, 3 mo. USD LIBOR + 1.000%(1)(3)

    1,177,406  
    222,517    

Nationstar HECM Loan Trust 3.19%, 07/25/2028(1)

    222,866  
    1,410,546    

NRZ Excess Spread-Collateralized Notes 3.19%, 01/25/2023(1)

    1,416,852  
    1,991,055    

OBX Trust 4.00%, 11/25/2048(1)(2)

    2,004,342  
    1,250,000    

Octagon Investment Partners Ltd. 3.02%, 07/17/2030, 3 mo. USD LIBOR + 1.020%(1)(3)

    1,241,616  
   

OneMain Financial Issuance Trust

 
    4,000,000    

3.48%, 02/14/2031(1)

    4,063,769  
    825,000    

4.57%, 02/20/2029(1)

    833,150  
    2,871,000    

Planet Fitness Master Issuer LLC 4.26%, 09/05/2048(1)

    2,931,090  
   

Regional Management Issuance Trust

 
    1,450,000    

3.05%, 11/15/2028(1)

    1,449,765  
    1,385,000    

3.83%, 07/15/2027(1)

    1,394,025  
    2,500,000    

4.56%, 01/18/2028(1)

    2,557,298  
    1,479,172    

SoFi Consumer Loan Program LLC 3.28%, 01/26/2026(1)

    1,490,650  
    48,153    

SoFi Consumer Loan Program Trust 2.55%, 02/25/2027(1)

    48,162  
   

Towd Point Mortgage Trust

 
    1,660,419    

2.25%, 07/25/2056(1)(2)

    1,657,460  
    317,763    

2.75%, 02/25/2055(1)(2)

    319,433  
    834,254    

2.75%, 04/25/2055(1)(2)

    837,765  
    348,491    

2.75%, 05/25/2055(1)(2)

    349,889  
    2,440,299    

2.75%, 10/25/2056(1)(2)

    2,469,173  
    1,485,788    

2.75%, 04/25/2057(1)(2)

    1,499,421  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 15.7% - (continued)  
          Asset-Backed - Finance & Insurance - 4.3% - (continued)  
$     977,203    

2.75%, 07/25/2057(1)(2)

  $ 986,242  
    1,423,558    

2.75%, 10/25/2057(1)(2)

    1,435,412  
   

Vantage Data Centers Issuer LLC

 
    2,570,708    

3.19%, 07/15/2044(1)

    2,608,445  
    963,667    

4.07%, 02/16/2043(1)

    1,001,075  
    1,293,038    

4.20%, 11/16/2043(1)

    1,340,676  
    1,485,000    

Verizon Owner Trust 2.22%, 12/20/2021(1)

    1,486,805  
    3,159,125    

Wingstop Funding LLC 4.97%, 12/05/2048(1)

    3,293,293  
    2,755,000    

Z Capital Credit Partners CLO Ltd. 3.45%, 07/16/2027, 3 mo. USD LIBOR + 1.450%(1)(3)

    2,711,022  
     

 

 

 
    59,493,712  
 

 

 

 
          Asset-Backed - Home Equity - 0.1%  
    354,847    

Accredited Mortgage Loan Trust 2.50%, 01/25/2035, 1 mo. USD LIBOR + 0.680%(3)

    356,473  
    921,914    

Morgan Stanley ABS Capital, Inc. Trust 2.58%, 01/25/2035, 1 mo. USD LIBOR + 0.760%(3)

    928,518  
    97,234    

Residential Asset Securitization Trust 5.12%, 07/25/2034(2)

    98,969  
     

 

 

 
    1,383,960  
 

 

 

 
          Collateralized - Mortgage Obligations - 0.2%  
    2,235,000    

Natixis Commercial Mortgage Securities Trust 2.51%, 10/15/2036(1)

    2,243,247  
     

 

 

 
          Commercial Mortgage - Backed Securities - 1.0%  
   

Citigroup Mortgage Loan Trust

 
    2,031,601    

3.25%, 03/25/2061(1)(2)

    2,063,269  
    1,578,007    

3.50%, 02/25/2058(1)(2)

    1,621,059  
    583,063    

DBUBS Mortgage Trust 0.70%, 11/10/2046(1)(2)(4)

    2,553  
   

FREMF Mortgage Trust

 
    635,000    

3.15%, 04/25/2046(1)(2)

    636,025  
    900,000    

4.03%, 05/25/2045(1)(2)

    937,867  
    3,028,530    

4.12%, 02/25/2046(1)(2)

    3,089,894  
    1,000,000    

4.62%, 11/25/2049(1)(2)

    1,020,836  
   

JP Morgan Chase Commercial Mortgage Securities Trust

 
    1,588,982    

3.91%, 05/05/2030(1)

    1,635,426  
    2,825,576    

4.39%, 07/15/2046(1)

    2,894,680  
     

 

 

 
    13,901,609  
 

 

 

 
          Diversified Financial Services - 0.3%  
    3,935,000    

Marlette Funding Trust 2.39%, 12/17/2029(1)

    3,937,764  
     

 

 

 
          Other ABS - 0.9%  
    2,970,678    

Avant Loans Funding Trust 2.72%, 10/15/2026(1)

    2,975,128  
    3,395,000    

Falcon Aerospace Ltd. 3.60%, 09/15/2039(1)

    3,394,872  
    1,238,851    

Finance of America Structured Securities Trust 3.28%, 04/25/2029(1)(2)

    1,247,571  
   

Marlette Funding Trust

 
    206,108    

3.06%, 07/17/2028(1)

    206,355  
    1,824,759    

3.13%, 07/16/2029(1)

    1,839,954  
    1,122,009    

3.44%, 04/16/2029(1)

    1,130,944  
    1,032,793    

Nationstar HECM Loan Trust 2.65%, 06/25/2029(1)(2)

    1,032,881  
    980,662    

VOLT LXIV LLC 3.38%, 10/25/2047(1)(5)

    982,530  
     

 

 

 
    12,810,235  
 

 

 

 
          Whole Loan Collateral CMO - 8.2%  
   

Angel Oak Mortgage Trust LLC

 
    492,726    

2.48%, 07/25/2047(1)(2)

    491,215  
    480,906    

2.71%, 11/25/2047(1)(2)

    479,942  
    95,040    

2.81%, 01/25/2047(1)(2)

    94,949  
    4,539,090    

2.99%, 07/26/2049(1)(2)

    4,572,293  
    1,828,024    

3.92%, 11/25/2048(1)(2)

    1,854,442  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  109  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 15.7% - (continued)  
          Whole Loan Collateral CMO - 8.2% - (continued)  
 

Arroyo Mortgage Trust

 
$     5,205,663    

2.96%, 10/25/2048(1)(2)

  $ 5,248,383  
    1,304,341    

3.81%, 01/25/2049(1)(2)

    1,332,688  
    1,249,003    

Bellemeade Re Ltd. 3.02%, 10/25/2028, 1 mo. USD LIBOR + 1.200%(1)(3)

    1,249,600  
 

Bunker Hill Loan Depositary Trust

 
    1,260,882    

3.61%, 10/26/2048(1)(5)

    1,276,808  
    3,896,965    

3.82%, 10/26/2048(1)(5)

    3,952,627  
    2,666,946    

CIM Trust 3.00%, 04/25/2057(1)(2)

    2,685,575  
    1,270,000    

Colombia Cent CLO Ltd. 3.09%, 10/25/2028, 3 mo. USD LIBOR + 1.150%(1)(3)

    1,270,427  
 

COLT Mortgage Loan Trust

 
    3,395,515    

2.58%, 11/25/2049(1)(2)

    3,400,249  
    1,050,211    

2.76%, 08/25/2049(1)(2)

    1,053,677  
    513,324    

2.93%, 02/25/2048(1)(2)

    513,707  
    646,711    

3.47%, 07/27/2048(1)(2)

    649,413  
    522,780    

3.69%, 10/26/2048(1)(2)

    526,454  
    751,848    

3.71%, 03/25/2049(1)(2)

    759,215  
    2,302,449    

4.01%, 12/28/2048(1)(2)

    2,330,252  
    1,787,032    

CSMC Trust 4.13%, 07/25/2058(1)(2)

    1,803,703  
 

Deephaven Residential Mortgage Trust

 
    447,567    

2.45%, 06/25/2047(1)(2)

    447,122  
    196,517    

2.73%, 12/26/2046(1)(2)

    196,229  
    295,652    

2.81%, 10/25/2047(1)(2)

    295,139  
    944,065    

3.48%, 04/25/2058(1)(2)

    952,108  
    2,284,562    

3.79%, 08/25/2058(1)(2)

    2,301,823  
    1,500,434    

Flagstar Mortgage Trust 4.00%, 09/25/2048(1)(2)

    1,515,134  
    2,231,465    

GCAT Trust 2.65%, 10/25/2068(1)(2)

    2,232,850  
    798,827    

Home Re Ltd. 3.42%, 10/25/2028, 1 mo. USD LIBOR + 1.600%(1)(3)

    799,242  
    1,006,828    

MetLife Securitization Trust 3.00%, 04/25/2055(1)(2)

    1,024,542  
    575,460    

MFA Trust 2.59%, 02/25/2057(1)(2)

    572,551  
 

Mill City Mortgage Loan Trust

 
    664,402    

2.50%, 04/25/2057(1)(2)

    666,031  
    4,433,754    

2.75%, 07/25/2059(1)(2)

    4,453,356  
    2,076,890    

2.75%, 01/25/2061(1)(2)

    2,096,884  
    1,139,399    

3.25%, 05/25/2062(1)(2)

    1,164,360  
    2,198,593    

3.50%, 05/25/2058(1)(2)

    2,249,777  
    2,077,555    

3.50%, 08/25/2058(1)(2)

    2,138,150  
    5,525,000    

New Residential Advance Receivables Trust 2.43%, 10/15/2051(1)

    5,525,000  
 

New Residential Mortgage LLC

 
    2,815,217    

3.61%, 05/25/2023(1)

    2,855,572  
    3,061,487    

3.79%, 07/25/2054(1)

    3,115,931  
 

New Residential Mortgage Loan Trust

 
    3,334,245    

2.57%, 01/25/2048, 1 mo. USD LIBOR + 0.750%(1)(3)

    3,325,915  
    601,049    

3.25%, 09/25/2056(1)(2)

    615,394  
    998,203    

3.50%, 12/25/2057(1)(2)

    1,038,329  
    596,348    

3.75%, 11/26/2035(1)(2)

    619,407  
    420,194    

3.75%, 03/25/2056(1)(2)

    435,402  
    659,873    

3.75%, 11/25/2056(1)(2)

    688,257  
    1,226,085    

4.00%, 02/25/2057(1)(2)

    1,286,855  
    1,188,356    

4.00%, 03/25/2057(1)(2)

    1,248,727  
    832,456    

4.00%, 04/25/2057(1)(2)

    869,464  
    1,205,524    

4.00%, 05/25/2057(1)(2)

    1,265,786  
    1,939,627    

4.00%, 09/25/2057(1)(2)

    2,004,042  
    918,081    

4.00%, 12/25/2057(1)

    956,976  
    2,700,000    

NRZ Advance Receivables Trust 2.59%, 07/15/2052(1)

    2,715,440  
    1,327,727    

Preston Ridge Partners Mortgage Trust LLC 3.75%, 04/25/2023(1)(2)

    1,329,427  
    5,525,000    

PSMC Trust 3.50%, 10/25/2049(1)(2)

    5,616,292  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 15.7% - (continued)  
          Whole Loan Collateral CMO - 8.2% - (continued)  
$     3,101,182    

Radnor RE Ltd. 3.02%, 06/25/2029, 1 mo. USD LIBOR + 1.200%(1)(3)

  $ 3,099,270  
 

Sequoia Mortgage Trust

 

    4,380,000    

3.50%, 11/25/2049(1)(2)

    4,416,258  
    481,019    

4.00%, 09/25/2048(1)(2)

    485,731  
    1,991,825    

4.50%, 08/25/2048(1)(2)

    2,070,030  
    1,165,207    

Spruce Hill Mortgage Loan Trust 3.40%, 04/29/2049(1)(2)

    1,174,167  
    919,247    

Towd Point Mortgage Trust 2.25%, 04/25/2056(1)(2)

    917,191  
 

Verus Securitization Trust

 

    2,976,000    

2.64%, 11/25/2059(1)(5)

    2,978,001  
    572,953    

2.93%, 02/25/2048(1)(2)

    573,508  
    1,798,392    

3.68%, 06/01/2058(1)(2)

    1,809,704  
    2,187,691    

Wells Fargo Mortgage Backed Securities Trust 4.00%, 04/25/2049(1)(2)

    2,203,999  
     

 

 

 
    113,890,992  
 

 

 

 
   

Total Asset & Commercial Mortgage Backed Securities
(cost $216,246,473)

  $ 217,521,953  
   

 

 

 
CORPORATE BONDS - 56.9%  
          Aerospace/Defense - 0.6%      
    500,000    

Arconic, Inc. 5.87%, 02/23/2022

  $ 534,655  
    365,000    

BAE Systems Holdings, Inc. 2.85%, 12/15/2020(1)

    367,739  
    2,275,000    

L3Harris Technologies, Inc. 3.85%, 06/15/2023(1)

    2,402,497  
    4,825,000    

United Technologies Corp. 3.65%, 08/16/2023

    5,103,726  
     

 

 

 
    8,408,617  
 

 

 

 
          Agriculture - 0.6%  
    3,125,000    

Altria Group, Inc. 3.49%, 02/14/2022

    3,212,709  
    5,000,000    

BAT Capital Corp. 2.79%, 09/06/2024

    4,974,492  
    644,000    

Reynolds American, Inc. 3.25%, 06/12/2020

    648,338  
     

 

 

 
    8,835,539  
 

 

 

 
          Auto Manufacturers - 2.2%  
    2,000,000    

Daimler Finance North America LLC 2.00%, 07/06/2021(1)

    1,996,547  
   

Ford Motor Credit Co. LLC

 
    2,000,000    

2.46%, 03/27/2020

    2,000,113  
    3,125,000    

3.35%, 11/01/2022

    3,134,313  
    2,800,000    

4.06%, 11/01/2024(6)

    2,809,575  
   

General Motors Financial Co., Inc.

 
    2,500,000    

3.15%, 06/30/2022

    2,538,982  
    2,500,000    

3.20%, 07/06/2021

    2,531,866  
    2,500,000    

4.20%, 11/06/2021

    2,584,495  
    2,500,000    

Harley-Davidson Financial Services, Inc. 2.85%, 01/15/2021(1)

    2,509,978  
   

Hyundai Capital America

 
    2,490,000    

2.60%, 03/19/2020(1)

    2,493,700  
    1,825,000    

4.13%, 06/08/2023(1)

    1,912,927  
   

Nissan Motor Acceptance Corp.

 
    1,000,000    

2.15%, 09/28/2020(1)

    999,470  
    1,250,000    

2.55%, 03/08/2021(1)

    1,253,524  
   

Volkswagen Group of America Finance LLC

 
    750,000    

2.45%, 11/20/2019(1)

    750,149  
    3,025,000    

4.25%, 11/13/2023(1)

    3,241,209  
     

 

 

 
    30,756,848  
 

 

 

 
          Auto Parts & Equipment - 0.3%  
    4,237,000    

Goodyear Tire & Rubber Co. 8.75%, 08/15/2020

    4,427,665  
     

 

 

 
          Beverages - 0.5%  
    1,155,000    

Anheuser-Busch InBev Finance, Inc. 3.70%, 02/01/2024

    1,232,193  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  110  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Beverages - 0.5% - (continued)  
$     1,700,000    

Anheuser-Busch InBev Worldwide, Inc. 4.15%, 01/23/2025

  $ 1,858,546  
   

Constellation Brands, Inc.

 
    2,435,000    

2.65%, 11/07/2022

    2,472,271  
    340,000    

2.70%, 05/09/2022

    344,298  
    625,000    

Molson Coors Brewing Co. 2.10%, 07/15/2021

    625,432  
     

 

 

 
    6,532,740  
 

 

 

 
          Biotechnology - 0.4%  
   

Celgene Corp.

 
    2,000,000    

2.88%, 08/15/2020

    2,012,795  
    2,000,000    

3.55%, 08/15/2022

    2,084,379  
    1,750,000    

Gilead Sciences, Inc. 3.25%, 09/01/2022

    1,816,370  
     

 

 

 
    5,913,544  
 

 

 

 
          Chemicals - 1.4%  
    4,500,000    

Air Liquide Finance S.A. 1.75%, 09/27/2021(1)

    4,482,500  
   

Celanese U.S. Holdings LLC

 
    915,000    

3.50%, 05/08/2024

    944,643  
    3,225,000    

4.63%, 11/15/2022

    3,425,459  
    3,600,000    

DuPont de Nemours, Inc. 4.21%, 11/15/2023

    3,857,117  
    2,500,000    

Eastman Chemical Co. 3.50%, 12/01/2021

    2,563,273  
    1,235,000    

International Flavors & Fragrances, Inc. 3.40%, 09/25/2020

    1,248,711  
    439,000    

Sherwin-Williams Co. 2.75%, 06/01/2022

    446,922  
    2,000,000    

Syngenta Finance N.V. 3.70%, 04/24/2020(1)

    2,009,372  
     

 

 

 
    18,977,997  
 

 

 

 
          Commercial Banks - 18.5%  
    1,000,000    

ABN Amro Bank N.V. 2.45%, 06/04/2020(1)

    1,002,424  
   

Banco Santander S.A.

 
    1,600,000    

3.13%, 02/23/2023

    1,634,448  
    1,200,000    

3.50%, 04/11/2022

    1,235,427  
    600,000    

3.85%, 04/12/2023

    627,089  
   

Bank of America Corp.

 
    3,500,000    

2.50%, 10/21/2022

    3,532,585  
    1,500,000    

2.74%, 01/23/2022, (2.74% fixed rate until 01/23/2021; 3 mo. USD LIBOR + 0.370% thereafter)(7)

    1,511,698  
    3,825,000    

4.00%, 04/01/2024

    4,108,152  
    4,915,000    

Bank of Montreal 2.05%, 11/01/2022

    4,918,824  
    1,395,000    

Bank of New York Mellon Corp. 2.99%, 10/30/2023, 3 mo. USD LIBOR + 1.050%(3)

    1,418,584  
    1,500,000    

Banque Federative du Credit Mutuel S.A. 2.70%, 07/20/2022(1)

    1,524,794  
   

Barclays plc

 
    2,500,000    

2.75%, 11/08/2019

    2,500,142  
    1,850,000    

2.88%, 06/08/2020

    1,855,291  
    2,625,000    

3.25%, 01/12/2021

    2,653,487  
    1,775,000    

4.61%, 02/15/2023, (4.61% fixed rate until 02/15/2022; 3 mo. USD LIBOR + 1.400% thereafter)(7)

    1,854,100  
 

BB&T Corp.

 

    1,750,000    

2.05%, 05/10/2021

    1,753,295  
    1,750,000    

3.05%, 06/20/2022

    1,795,577  
 

BNP Paribas S.A.

 

    580,000    

2.95%, 05/23/2022(1)

    591,208  
    750,000    

3.50%, 03/01/2023(1)

    778,605  
 

BPCE S.A.

 

    1,750,000    

2.75%, 01/11/2023(1)

    1,783,924  
    300,000    

3.00%, 05/22/2022(1)

    305,079  
    1,500,000    

4.00%, 09/12/2023(1)

    1,584,393  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Commercial Banks - 18.5% - (continued)  
 

Canadian Imperial Bank of Commerce

 

$     1,250,000    

2.61%, 07/22/2023, (2.61% fixed rate until 07/22/2022; 3 mo. USD LIBOR + 0.785% thereafter)(7)

  $ 1,260,953  
    1,250,000    

3.50%, 09/13/2023

    1,318,724  
 

Capital One Financial Corp.

 

    2,500,000    

2.94%, 05/12/2020, 3 mo. USD LIBOR + 0.760%(3)

    2,506,750  
    1,250,000    

3.05%, 03/09/2022

    1,274,207  
    1,750,000    

3.45%, 04/30/2021

    1,786,224  
    1,755,000    

3.90%, 01/29/2024

    1,861,673  
 

CIT Group, Inc.

 

    2,500,000    

4.13%, 03/09/2021

    2,556,250  
    1,620,000    

5.00%, 08/15/2022

    1,722,173  
    3,980,000    

5.00%, 08/01/2023

    4,288,450  
 

Citigroup, Inc.

 

    3,000,000    

2.31%, 11/04/2022, (2.31% fixed rate until 11/04/2021; 3 mo. SOFRRATE + 0.867% thereafter)(6)(7)

    3,008,640  
    2,000,000    

2.70%, 03/30/2021

    2,019,575  
    4,500,000    

2.90%, 12/08/2021

    4,576,107  
 

Citizens Bank NA

 

    770,000    

2.55%, 05/13/2021

    776,219  
    4,500,000    

2.65%, 05/26/2022

    4,571,012  
    665,000    

Citizens Financial Group, Inc. 2.38%, 07/28/2021

    667,895  
    3,550,000    

Comerica, Inc. 3.70%, 07/31/2023

    3,744,851  
 

Cooperatieve Rabobank UA

 

    1,650,000    

2.50%, 01/19/2021

    1,662,484  
    1,500,000    

2.75%, 01/10/2022

    1,523,685  
 

Credit Agricole S.A.

 

    2,500,000    

2.38%, 01/22/2025(1)

    2,501,344  
    1,800,000    

2.75%, 06/10/2020(1)

    1,807,231  
    735,000    

3.75%, 04/24/2023(1)

    768,261  
 

Credit Suisse Group AG

 

    3,420,000    

2.59%, 09/11/2025, (2.59% fixed rate until 09/11/2024; 3 mo. SOFR + 1.560% thereafter)(1)(7)

    3,408,190  
    2,001,000    

3.57%, 01/09/2023(1)

    2,051,964  
    2,000,000    

Credit Suisse Group Funding Guernsey Ltd. 3.45%, 04/16/2021

    2,036,419  
 

Danske Bank A/S

 

    1,120,000    

2.00%, 09/08/2021(1)

    1,115,285  
    1,250,000    

2.70%, 03/02/2022(1)

    1,260,590  
    1,250,000    

2.80%, 03/10/2021(1)

    1,259,888  
    5,510,000    

5.00%, 01/12/2022(1)

    5,805,281  
    1,190,000    

Deutsche Bank AG 2.70%, 07/13/2020

    1,190,424  
 

Discover Bank

 

    2,425,000    

2.45%, 09/12/2024

    2,429,306  
    2,600,000    

3.10%, 06/04/2020

    2,614,663  
    2,150,000    

DNB Bank ASA 2.38%, 06/02/2021(1)(8)

    2,164,852  
 

Fifth Third Bancorp

 

    2,430,000    

2.38%, 01/28/2025

    2,441,413  
    1,750,000    

2.60%, 06/15/2022

    1,769,972  
    2,000,000    

3.65%, 01/25/2024

    2,109,654  
   

Goldman Sachs Group, Inc.

 
    1,225,000    

2.35%, 11/15/2021

    1,229,461  
    2,000,000    

2.60%, 12/27/2020

    2,001,928  
    660,000    

2.63%, 04/25/2021

    666,126  
    545,000    

2.75%, 09/15/2020

    548,293  
    1,005,000    

2.88%, 02/25/2021

    1,015,557  
    4,000,000    

3.00%, 04/26/2022

    4,053,044  
    1,500,000    

3.20%, 02/23/2023

    1,546,867  
    2,500,000    

3.63%, 02/20/2024

    2,628,003  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  111  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Commercial Banks - 18.5% - (continued)  
   

HSBC Holdings plc

 
$     3,500,000    

2.63%, 11/07/2025

  $ 3,500,000  
    1,800,000    

2.95%, 05/25/2021

    1,824,528  
    905,000    

3.12%, 05/18/2024, 3 mo. USD LIBOR + 1.000%(3)

    911,317  
    2,135,000    

3.26%, 03/13/2023, (3.26% fixed rate until 03/13/2022; 3 mo. USD LIBOR + 1.055% thereafter)(7)

    2,182,060  
    1,150,000    

3.40%, 03/08/2021

    1,169,883  
   

Huntington Bancshares, Inc.

 
    2,000,000    

2.30%, 01/14/2022

    2,011,224  
    1,700,000    

3.15%, 03/14/2021

    1,724,595  
   

ING Groep N.V.

 
    705,000    

3.15%, 03/29/2022

    721,771  
    2,000,000    

4.10%, 10/02/2023

    2,131,013  
   

Intesa Sanpaolo S.p.A.

 
    1,955,000    

3.13%, 07/14/2022(1)

    1,969,210  
    2,000,000    

3.25%, 09/23/2024(1)

    2,013,139  
    1,675,000    

3.38%, 01/12/2023(1)

    1,692,771  
    750,000    

6.50%, 02/24/2021(1)

    787,476  
   

JP Morgan Chase & Co.

 
    4,000,000    

2.30%, 08/15/2021

    4,006,656  
    4,600,000    

2.30%, 10/15/2025, (2.30% fixed rate until 10/15/2024; 3 mo. USD SOFR + 1.160% thereafter)(7)

    4,590,635  
    3,000,000    

2.55%, 03/01/2021

    3,025,384  
    1,800,000    

3.17%, 10/24/2023, 3 mo. USD LIBOR + 1.230%(3)

    1,831,438  
   

KeyBank NA

 
    1,500,000    

2.40%, 06/09/2022

    1,514,807  
    905,000    

2.50%, 11/22/2021

    913,764  
    1,700,000    

3.30%, 02/01/2022

    1,751,165  
    4,100,000    

Macquarie Bank Ltd. 2.10%, 10/17/2022(1)

    4,091,690  
    3,000,000    

Macquarie Group Ltd. 3.19%, 11/28/2023, (3.19% fixed rate until 11/28/2022; 3 mo. USD LIBOR + 1.023% thereafter)(1)(7)

    3,063,773  
    1,045,000    

Manufacturers & Traders Trust Co. 3.02%, 12/28/2020, 1 mo. USD LIBOR + 1.215%(3)

    1,045,476  
    3,580,000    

Mitsubishi UFJ Financial Group, Inc. 2.62%, 07/18/2022

    3,623,873  
 

Mizuho Financial Group, Inc.

 

    1,500,000    

2.63%, 04/12/2021(1)

    1,510,881  
    2,000,000    

2.72%, 07/16/2023, (2.72% fixed rate until 07/16/2022; 3 mo. USD LIBOR + 0.840% thereafter)(7)

    2,021,736  
   

Morgan Stanley

 
    920,000    

2.50%, 04/21/2021

    926,691  
    2,000,000    

2.75%, 05/19/2022

    2,030,892  
    1,000,000    

2.88%, 07/22/2022, 3 mo. USD LIBOR + 0.930%(3)

    1,009,045  
    2,000,000    

3.34%, 10/24/2023, 3 mo. USD LIBOR + 1.400%(3)

    2,040,368  
    3,400,000    

National Bank of Canada 2.15%, 10/07/2022(1)

    3,405,195  
    4,125,000    

NatWest Markets plc 3.63%, 09/29/2022(1)

    4,275,301  
   

Regions Financial Corp.

 
    2,500,000    

2.75%, 08/14/2022

    2,546,570  
    2,250,000    

3.20%, 02/08/2021

    2,281,118  
    1,500,000    

3.80%, 08/14/2023

    1,587,354  
    3,900,000    

Royal Bank of Canada 2.25%, 11/01/2024

    3,908,879  
   

Santander Holdings USA, Inc.

 
    1,115,000    

2.65%, 04/17/2020

    1,117,268  
    3,530,000    

3.70%, 03/28/2022

    3,628,830  
   

Santander UK plc

 
    2,250,000    

2.38%, 03/16/2020

    2,252,807  
    2,000,000    

3.40%, 06/01/2021

    2,042,950  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Commercial Banks - 18.5% - (continued)  
   

Skandinaviska Enskilda Banken AB

 
$     1,400,000    

2.63%, 11/17/2020(1)

  $ 1,407,624  
    1,500,000    

2.80%, 03/11/2022

    1,527,467  
   

Standard Chartered plc

 
    3,655,000    

2.74%, 09/10/2022, (2.74% fixed rate until 09/10/2021; 3 mo. USD LIBOR + 1.200% thereafter)(1)(7)

    3,671,553  
    3,400,000    

4.25%, 01/20/2023, (4.25% fixed rate until 01/20/2022; 3 mo. USD LIBOR + 1.150% thereafter)(1)(7)

    3,523,597  
    895,000    

SunTrust Banks, Inc. 2.90%, 03/03/2021

    905,059  
    1,010,000    

Svenska Handelsbanken AB 1.88%, 09/07/2021

    1,009,082  
    5,000,000    

Toronto-Dominion Bank 1.90%, 12/01/2022

    4,987,255  
    2,750,000    

UBS Group Funding Switzerland AG 3.00%, 04/15/2021(1)

    2,790,627  
   

UniCredit S.p.A.

 
    3,250,000    

3.75%, 04/12/2022(1)

    3,329,106  
    3,035,000    

6.57%, 01/14/2022(1)

    3,267,462  
   

Wells Fargo & Co.

 
    4,650,000    

2.41%, 10/30/2025, (2.41% fixed rate until 10/30/2024; 3 mo. USD LIBOR + 0.825% thereafter)(7)

    4,653,933  
    2,500,000    

2.50%, 03/04/2021

    2,516,984  
    3,000,000    

3.16%, 10/31/2023, 3 mo. USD LIBOR + 1.230%(3)

    3,052,565  
    1,795,000    

3.75%, 01/24/2024

    1,899,413  
     

 

 

 
        257,744,274  
     

 

 

 
          Commercial Services - 0.9%  
   

Equifax, Inc.

 
    1,035,000    

3.30%, 12/15/2022

    1,066,815  
    2,555,000    

3.95%, 06/15/2023

    2,691,980  
   

Global Payments, Inc.

 
    2,345,000    

2.65%, 02/15/2025

    2,373,843  
    1,500,000    

3.80%, 04/01/2021

    1,531,677  
    1,500,000    

4.00%, 06/01/2023

    1,585,907  
    2,750,000    

IHS Markit Ltd. 4.13%, 08/01/2023

    2,904,908  
     

 

 

 
        12,155,130  
     

 

 

 
          Construction Materials - 0.1%  
    2,000,000    

Fortune Brands Home & Security, Inc. 3.00%, 06/15/2020

    2,009,812  
     

 

 

 
          Diversified Financial Services - 3.7%  
    910,000    

AerCap Ireland Capital DAC / AerCap Global Aviation Trust 3.30%, 01/23/2023

    932,546  
    2,230,000    

AIG Global Funding 2.30%, 07/01/2022(1)

    2,241,027  
   

Air Lease Corp.

 
    2,500,000    

2.13%, 01/15/2020

    2,499,600  
    2,500,000    

2.25%, 01/15/2023

    2,488,684  
    2,700,000    

2.63%, 07/01/2022

    2,725,153  
   

Aircastle Ltd.

 
    1,200,000    

4.13%, 05/01/2024

    1,255,062  
    1,400,000    

4.40%, 09/25/2023

    1,471,798  
    3,075,000    

5.13%, 03/15/2021

    3,182,935  
   

Ally Financial, Inc.

 
    2,690,000    

3.88%, 05/21/2024

    2,809,436  
    10,355,000    

4.13%, 03/30/2020

    10,422,307  
    2,500,000    

CNA Financial Corp. 7.25%, 11/15/2023

    2,934,617  
    1,150,000    

Credit Agricole S.A. 2.38%, 07/01/2021(1)

    1,159,575  
    2,000,000    

goeasy Ltd. 7.88%, 11/01/2022(1)

    2,077,500  
    4,125,000    

LeasePlan Corp. N.V. 2.88%, 10/24/2024(1)

    4,134,728  
    1,250,000    

Navient Corp. 8.00%, 03/25/2020

    1,276,562  
    2,525,000    

Protective Life Global Funding 2.62%, 08/22/2022(1)

    2,557,534  
   

Societe Generale S.A.

 
    1,350,000    

2.50%, 04/08/2021(1)

    1,356,925  
    1,800,000    

3.25%, 01/12/2022(1)(8)

    1,836,958  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  112  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Diversified Financial Services - 3.7% - (continued)  
   

Synchrony Financial

 
$     610,000    

2.70%, 02/03/2020

  $ 610,520  
    2,135,000    

2.85%, 07/25/2022

    2,159,657  
    1,245,000    

4.38%, 03/19/2024

    1,324,158  
     

 

 

 
    51,457,282  
     

 

 

 
          Electric - 3.0%  
    2,500,000    

AEP Texas, Inc. 2.40%, 10/01/2022

    2,524,380  
    2,500,000    

Ameren Corp. 2.50%, 09/15/2024

    2,516,726  
    3,400,000    

CenterPoint Energy, Inc. 3.85%, 02/01/2024

    3,601,063  
    2,475,000    

Dominion Energy, Inc. 3.07%, 08/15/2024(5)

    2,548,407  
   

Edison International

 
    2,000,000    

2.40%, 09/15/2022(8)

    1,954,319  
    2,750,000    

2.95%, 03/15/2023(8)

    2,717,859  
    395,000    

Emera U.S. Finance L.P. 2.70%, 06/15/2021

    398,483  
 

Enel Finance International N.V.

 
    3,150,000    

2.88%, 05/25/2022(1)

    3,190,785  
    1,500,000    

4.25%, 09/14/2023(1)

    1,593,740  
    3,760,000    

Evergy, Inc. 2.45%, 09/15/2024

    3,782,201  
 

Eversource Energy

 
    1,055,000    

2.50%, 03/15/2021

    1,061,338  
    890,000    

3.80%, 12/01/2023

    942,720  
    805,000    

Exelon Corp. 2.85%, 06/15/2020

    808,627  
    970,000    

FirstEnergy Corp. 2.85%, 07/15/2022

    988,108  
    2,285,000    

Fortis, Inc. 2.10%, 10/04/2021

    2,283,347  
    1,850,000    

ITC Holdings Corp. 2.70%, 11/15/2022

    1,878,090  
    705,000    

Potomac Electric Power Co. 3.05%, 04/01/2022

    722,739  
    3,410,000    

Public Service Enterprise Group, Inc. 2.88%, 06/15/2024

    3,499,753  
    1,341,000    

SCANA Corp. 4.75%, 05/15/2021

    1,375,620  
    3,000,000    

Southern Co. 2.35%, 07/01/2021

    3,017,670  
     

 

 

 
    41,405,975  
     

 

 

 
          Electronics - 0.1%  
    850,000    

Fortive Corp. 2.35%, 06/15/2021

    852,260  
     

 

 

 
          Engineering & Construction - 0.1%  
    1,760,000    

SBA Tower Trust 3.17%, 04/09/2047(1)

    1,783,346  
     

 

 

 
          Entertainment - 0.2%  
    2,835,000    

Eldorado Resorts, Inc. 7.00%, 08/01/2023

    2,959,031  
     

 

 

 
          Environmental Control - 0.2%  
    2,245,000    

Republic Services, Inc. 2.50%, 08/15/2024

    2,282,426  
     

 

 

 
          Food - 1.4%  
   

Conagra Brands, Inc.

 
    6,020,000    

3.80%, 10/22/2021

    6,215,433  
    2,000,000    

4.30%, 05/01/2024

    2,145,808  
 

Danone S.A.

 
    4,000,000    

2.08%, 11/02/2021(1)

    4,000,536  
    770,000    

3.00%, 06/15/2022(1)

    788,200  
    190,000    

Kraft Heinz Foods Co. 2.80%, 07/02/2020

    190,498  
    2,500,000    

Mondelez International Holdings Netherlands B.V. 2.00%, 10/28/2021(1)

    2,501,030  
   

Tyson Foods, Inc.

 

    1,000,000    

2.25%, 08/23/2021

    1,004,921  
    2,000,000    

4.50%, 06/15/2022

    2,117,865  
     

 

 

 
    18,964,291  
 

 

 

 
          Gas - 0.1%  
    1,605,000    

CenterPoint Energy Resources Corp. 4.50%, 01/15/2021

    1,642,511  
     

 

 

 
          Healthcare - Products - 0.2%  
    2,260,000    

Boston Scientific Corp. 3.45%, 03/01/2024

    2,372,493  
     

 

 

 
          Healthcare - Services - 1.3%  
   

Anthem, Inc.

 
    2,350,000    

2.38%, 01/15/2025

    2,348,564  
    1,500,000    

2.95%, 12/01/2022

    1,534,846  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Healthcare - Services - 1.3% - (continued)  
$     3,800,000    

Centene Corp. 4.75%, 05/15/2022

  $ 3,880,750  
    3,771,000    

CommonSpirit Health 2.76%, 10/01/2024

    3,827,788  
    1,810,000    

Dignity Health 2.64%, 11/01/2019

    1,810,000  
    590,000    

Laboratory Corp. of America Holdings 2.63%, 02/01/2020

    590,796  
    3,300,000    

UnitedHealth Group, Inc. 3.50%, 02/15/2024

    3,483,710  
     

 

 

 
    17,476,454  
 

 

 

 
          Home Builders - 0.2%  
    2,000,000    

Toll Brothers Finance Corp. 5.88%, 02/15/2022

    2,127,500  
     

 

 

 
          Household Products/Wares - 0.2%  
    2,515,000    

Church & Dwight Co., Inc. 2.88%, 10/01/2022

    2,565,579  
     

 

 

 
          Insurance - 1.2%  
    1,250,000    

Assurant, Inc. 4.20%, 09/27/2023

    1,306,672  
    785,000    

AXA Equitable Holdings, Inc. 3.90%, 04/20/2023

    822,811  
    3,000,000    

Jackson National Life Global Funding 2.50%, 06/27/2022(1)

    3,032,930  
    3,250,000    

Liberty Mutual Group, Inc. 4.95%, 05/01/2022(1)

    3,454,236  
    2,315,000    

Marsh & McLennan Cos., Inc. 3.88%, 03/15/2024

    2,471,721  
    3,000,000    

Metropolitan Life Global Funding 3.38%, 01/11/2022(1)

    3,094,721  
    705,000    

Trinity Acquisition plc 3.50%, 09/15/2021

    719,807  
    2,250,000    

Willis North America, Inc. 3.60%, 05/15/2024

    2,354,808  
     

 

 

 
    17,257,706  
 

 

 

 
          Internet - 0.4%  
    2,000,000    

Netflix, Inc. 5.50%, 02/15/2022

    2,120,000  
    3,630,000    

Tencent Holdings Ltd. 2.99%, 01/19/2023(1)

    3,696,528  
     

 

 

 
    5,816,528  
 

 

 

 
          Iron/Steel - 0.3%  
    1,500,000    

ArcelorMittal 6.25%, 02/25/2022

    1,622,083  
   

Steel Dynamics, Inc.

 
    1,500,000    

5.13%, 10/01/2021

    1,505,250  
    1,000,000    

5.25%, 04/15/2023

    1,020,000  
     

 

 

 
    4,147,333  
 

 

 

 
          IT Services - 1.1%  
   

Hewlett Packard Enterprise Co.

 
    4,550,000    

2.25%, 04/01/2023

    4,546,574  
    1,250,000    

3.50%, 10/05/2021

    1,283,275  
    1,250,000    

3.60%, 10/15/2020

    1,266,779  
    5,775,000    

International Business Machines Corp. 3.00%, 05/15/2024

    5,997,484  
    2,200,000    

NCR Corp. 5.00%, 07/15/2022

    2,219,250  
     

 

 

 
    15,313,362  
 

 

 

 
          Lodging - 1.4%  
    3,320,000    

Choice Hotels International, Inc. 5.70%, 08/28/2020

    3,411,300  
    5,090,000    

Las Vegas Sands Corp. 3.20%, 08/08/2024

    5,208,113  
   

Marriott International, Inc.

 
    1,565,000    

2.13%, 10/03/2022

    1,566,294  
    1,500,000    

2.30%, 01/15/2022

    1,507,402  
    2,500,000    

3.60%, 04/15/2024

    2,639,225  
 

MGM Resorts International

 
    2,000,000    

5.25%, 03/31/2020

    2,017,500  
    2,300,000    

6.00%, 03/15/2023

    2,536,486  
     

 

 

 
    18,886,320  
 

 

 

 
          Machinery - Diversified - 0.6%  
   

CNH Industrial Capital LLC

 
    2,000,000    

4.38%, 11/06/2020

    2,040,480  
    995,000    

4.38%, 04/05/2022

    1,040,322  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  113  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Machinery - Diversified - 0.6% - (continued)  
   

Roper Technologies, Inc.

 
$     3,225,000    

2.35%, 09/15/2024

  $ 3,244,546  
    1,500,000    

3.65%, 09/15/2023

    1,579,186  
     

 

 

 
    7,904,534  
 

 

 

 
          Media - 1.4%  
    815,000    

CBS Corp. 2.90%, 06/01/2023

    829,623  
    1,500,000    

CCO Holdings LLC / CCO Holdings Capital Corp. 5.13%, 05/01/2023(1)

    1,535,625  
    1,685,000    

Charter Communications Operating LLC / Charter Communications Operating Capital 3.58%, 07/23/2020

    1,699,387  
    3,185,000    

Comcast Corp. 3.70%, 04/15/2024

    3,406,303  
   

Cox Communications, Inc.

 
    905,000    

2.95%, 06/30/2023(1)

    924,785  
    2,207,000    

3.15%, 08/15/2024(1)

    2,282,400  
    2,195,000    

Discovery Communications LLC 2.80%, 06/15/2020

    2,204,417  
   

Fox Corp.

 
    550,000    

3.67%, 01/25/2022(1)

    569,361  
    735,000    

4.03%, 01/25/2024(1)

    785,479  
    2,900,000    

Viacom, Inc. 3.25%, 03/15/2023

    2,931,351  
    2,675,000    

Videotron Ltd. 5.00%, 07/15/2022

    2,815,438  
     

 

 

 
    19,984,169  
     

 

 

 
          Mining - 0.3%  
   

Anglo American Capital plc

 
    2,250,000    

3.75%, 04/10/2022(1)

    2,308,786  
    1,500,000    

4.13%, 04/15/2021(1)

    1,532,220  
    320,000    

Glencore Funding LLC 3.00%, 10/27/2022(1)

    323,088  
     

 

 

 
    4,164,094  
     

 

 

 
          Miscellaneous Manufacturing - 0.1%  
    1,480,000    

Parker-Hannifin Corp. 2.70%, 06/14/2024

    1,507,121  
     

 

 

 
          Office/Business Equipment - 0.6%  
    4,425,000    

Pitney Bowes, Inc. 4.13%, 09/15/2020

    4,469,250  
    4,000,000    

Xerox Corp. 2.75%, 09/01/2020

    3,990,000  
     

 

 

 
    8,459,250  
     

 

 

 
          Oil & Gas - 2.1%  
    3,075,000    

Aker BP ASA 4.75%, 06/15/2024(1)

    3,198,000  
    875,000    

Canadian Natural Resources Ltd. 2.95%, 01/15/2023

    892,777  
    2,795,000    

Cimarex Energy Co. 4.38%, 06/01/2024

    2,928,307  
    3,400,000    

Eni S.p.A. 4.00%, 09/12/2023(1)

    3,596,273  
    3,000,000    

EQT Corp. 2.50%, 10/01/2020

    2,996,901  
   

Occidental Petroleum Corp.

 
    5,050,000    

2.70%, 08/15/2022

    5,103,179  
    3,775,000    

2.90%, 08/15/2024

    3,809,369  
    1,991,000    

4.85%, 03/15/2021

    2,057,859  
EUR     2,535,000    

Petroleos Mexicanos 3.13%, 11/27/2020(9)

    2,905,035  
$     1,565,000    

Pioneer Natural Resources Co. 3.45%, 01/15/2021

    1,589,072  
     

 

 

 
    29,076,772  
     

 

 

 
          Pharmaceuticals - 2.3%  
   

AbbVie, Inc.

 
    1,250,000    

2.30%, 05/14/2021

    1,257,086  
    1,330,000    

2.50%, 05/14/2020

    1,333,692  
    3,855,000    

Allergan Funding SCS 3.00%, 03/12/2020

    3,864,508  
   

Bayer U.S. Finance LLC

 
    2,000,000    

3.50%, 06/25/2021(1)

    2,039,993  
    1,400,000    

3.88%, 12/15/2023(1)

    1,466,295  
    3,130,000    

Cigna Corp. 3.75%, 07/15/2023

    3,278,797  
    1,060,000    

CVS Health Corp. 2.63%, 08/15/2024

    1,071,484  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Pharmaceuticals - 2.3% - (continued)  
   

Elanco Animal Health, Inc.

 
$     4,075,000    

3.91%, 08/27/2021

  $ 4,184,158  
    2,560,000    

4.27%, 08/28/2023

    2,681,505  
    2,070,000    

McKesson Corp. 3.65%, 11/30/2020

    2,105,499  
    945,000    

Mylan N.V. 3.75%, 12/15/2020

    957,672  
    3,250,000    

Teva Pharmaceutical Finance LLC 2.25%, 03/18/2020

    3,209,375  
    4,850,000    

Teva Pharmaceutical Finance Netherlands B.V. 2.20%, 07/21/2021

    4,597,897  
     

 

 

 
    32,047,961  
 

 

 

 
          Pipelines - 1.7%  
   

Energy Transfer Operating L.P.

 
    1,130,000    

4.20%, 09/15/2023

    1,194,153  
    2,150,000    

4.50%, 04/15/2024

    2,295,343  
    1,700,000    

Enterprise Products Operating LLC 2.85%, 04/15/2021

    1,721,055  
    2,775,000    

EQM Midstream Partners L.P. 4.75%, 07/15/2023

    2,745,931  
   

Kinder Morgan Energy Partners L.P.

 
    850,000    

4.15%, 03/01/2022

    887,337  
    1,175,000    

5.30%, 09/15/2020

    1,206,923  
    865,000    

6.85%, 02/15/2020

    876,296  
   

MPLX L.P.

 
    1,080,000    

3.00%, 09/09/2021, 3 mo. USD LIBOR + 0.900%(3)

    1,084,340  
    240,000    

3.50%, 12/01/2022(1)

    247,023  
    5,200,000    

Phillips 66 Partners L.P. 2.45%, 12/15/2024

    5,189,277  
    2,050,000    

Sunoco Logistics Partners Operations L.P. 4.40%, 04/01/2021

    2,106,916  
    750,000    

Western Midstream Operating L.P. 4.00%, 07/01/2022

    761,748  
    3,000,000    

Williams Cos., Inc. 4.30%, 03/04/2024

    3,186,182  
     

 

 

 
    23,502,524  
 

 

 

 
          Real Estate - 0.2%  
    2,000,000    

WEA Finance LLC 3.15%, 04/05/2022(1)

    2,040,629  
    1,100,000    

WEA Finance LLC / Westfield UK & Europe Finance plc 3.25%, 10/05/2020(1)

    1,111,535  
     

 

 

 
    3,152,164  
 

 

 

 
          Real Estate Investment Trusts - 1.8%  
 

American Tower Corp.

 

    1,750,000    

3.00%, 06/15/2023

    1,797,549  
    1,755,000    

3.30%, 02/15/2021

    1,781,547  
    2,350,000    

3.38%, 05/15/2024

    2,450,343  
    3,890,000    

Brandywine Operating Partnership L.P. 4.10%, 10/01/2024

    4,109,419  
 

Crown Castle International Corp.

 

    1,500,000    

3.15%, 07/15/2023

    1,537,311  
    240,000    

3.40%, 02/15/2021

    243,975  
    2,000,000    

Realty Income Corp. 3.25%, 10/15/2022

    2,071,332  
    1,745,000    

SBA Tower Trust 2.84%, 01/15/2025(1)

    1,762,347  
    1,870,000    

Scentre Group Trust 2.38%, 11/05/2019(1)

    1,870,000  
    3,700,000    

Ventas Realty L.P. 2.65%, 01/15/2025

    3,748,021  
   

Welltower, Inc.

 
    2,000,000    

3.63%, 03/15/2024

    2,110,610  
    2,000,000    

3.95%, 09/01/2023

    2,124,670  
     

 

 

 
    25,607,124  
 

 

 

 
          Retail - 0.6%  
   

CVS Health Corp.

 
    2,350,000    

2.13%, 06/01/2021

    2,353,613  
    715,000    

2.80%, 07/20/2020

    718,398  
    595,000    

3.35%, 03/09/2021

    605,520  
    2,500,000    

3.70%, 03/09/2023

    2,606,516  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  114  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 56.9% - (continued)  
          Retail - 0.6% - (continued)  
$     1,790,000    

Dollar Tree, Inc. 3.70%, 05/15/2023

  $ 1,873,280  
     

 

 

 
    8,157,327  
     

 

 

 
          Savings & Loans - 0.1%  
    1,400,000    

Nationwide Building Society 3.62%, 04/26/2023, (3.62% fixed rate until 04/26/2022; 3 mo. USD LIBOR + 1.181% thereafter)(1)(7)

    1,439,094  
     

 

 

 
          Semiconductors - 0.9%  
    2,700,000    

Broadcom Corp. / Broadcom Cayman Finance Ltd. 2.38%, 01/15/2020

    2,700,864  
   

Broadcom, Inc.

 
    1,500,000    

3.13%, 10/15/2022(1)

    1,527,612  
    1,500,000    

3.63%, 10/15/2024(1)

    1,541,109  
    1,140,000    

Microchip Technology, Inc. 3.92%, 06/01/2021

    1,166,807  
   

NXP B.V. / NXP Funding LLC

 
    2,000,000    

4.13%, 06/01/2021(1)

    2,055,073  
    860,000    

4.88%, 03/01/2024(1)

    934,512  
    2,700,000    

QUALCOMM, Inc. 3.00%, 05/20/2022

    2,771,507  
     

 

 

 
    12,697,484  
     

 

 

 
          Software - 0.1%  
    541,000    

Fidelity National Information Services, Inc. 2.25%, 08/15/2021

    542,827  
    1,380,000    

Fiserv, Inc. 3.80%, 10/01/2023

    1,462,606  
     

 

 

 
    2,005,433  
     

 

 

 
          Telecommunications - 1.5%  
   

AT&T, Inc.

 
    2,000,000    

2.80%, 02/17/2021

    2,020,091  
    2,000,000    

3.60%, 02/17/2023

    2,088,242  
    5,500,000    

Nokia Oyj 3.38%, 06/12/2022

    5,561,875  
    3,169,000    

Sprint Communications, Inc. 7.00%, 03/01/2020(1)

    3,215,268  
    4,647,500    

Sprint Spectrum Co. LLC / Sprint Spectrum Co. II LLC / Sprint Spectrum Co. III LLC 3.36%, 03/20/2023(1)

    4,676,547  
    2,000,000    

Telefonica Emisiones S.A. 4.57%, 04/27/2023

    2,162,075  
    1,000,000    

Verizon Communications, Inc. 5.15%, 09/15/2023

    1,116,880  
     

 

 

 
    20,840,978  
     

 

 

 
          Transportation - 1.1%  
   

Penske Truck Leasing Co. L.P. / PTL Finance Corp.

 
    1,500,000    

2.70%, 03/14/2023(1)

    1,517,167  
    1,425,000    

2.70%, 11/01/2024(1)

    1,439,295  
    1,000,000    

3.20%, 07/15/2020(1)

    1,006,306  
    2,065,000    

3.45%, 07/01/2024(1)

    2,151,745  
    1,250,000    

3.90%, 02/01/2024(1)

    1,319,312  
    2,000,000    

4.13%, 08/01/2023(1)

    2,124,020  
    1,270,000    

Ryder System, Inc. 2.25%, 09/01/2021

    1,273,589  
    4,450,000    

TTX Co. 3.60%, 01/15/2025(1)

    4,708,900  
     

 

 

 
    15,540,334  
     

 

 

 
          Trucking & Leasing - 0.9%  
    2,650,000    

Aviation Capital Group LLC 3.88%, 05/01/2023(1)

    2,741,292  
   

Avolon Holdings Funding Ltd.

 
    3,000,000    

3.63%, 05/01/2022(1)

    3,062,400  
    2,950,000    

5.13%, 10/01/2023(1)

    3,183,050  
    2,500,000    

GATX Corp. 4.35%, 02/15/2024

    2,686,729  
    300,000    

Park Aerospace Holdings Ltd. 5.25%, 08/15/2022(1)

    319,485  
     

 

 

 
    11,992,956  
 

 

 

 
 

Total Corporate Bonds
(cost $775,542,294)

  $ 791,151,882  
   

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 0.5%  
          Qatar - 0.5%  
   

Qatar Government International Bond

 
$     4,700,000    

3.38%, 03/14/2024(1)

  $ 4,911,500  
    1,960,000    

3.88%, 04/23/2023(1)

    2,067,377  
     

 

 

 
    6,978,877  
 

 

 

 
   

Total Foreign Government Obligations
(cost $6,641,541)

  $ 6,978,877  
   

 

 

 
MUNICIPAL BONDS - 0.5%  
          General Obligation - 0.2%  
    2,805,000    

Cook County, IL, GO 4.74%, 11/15/2022

  $ 2,927,887  
     

 

 

 
          Higher Education - 0.2%  
    2,630,000    

Chicago, IL, Board of Education, GO 5.28%, 12/01/2022

    2,705,849  
     

 

 

 
      Transportation - 0.1%  
    1,750,000    

Alameda Corridor Transportation Auth, CA 0.00%, 10/01/2022(10)

    1,629,145  
     

 

 

 
   

Total Municipal Bonds
(cost $7,105,832)

  $ 7,262,881  
   

 

 

 
SENIOR FLOATING RATE INTERESTS - 15.7%(11)  
          Advertising - 0.1%  
    1,460,000    

Clear Channel Outdoor Holdings, Inc. 5.29%, 08/21/2026, 1 mo. USD LIBOR + 3.500%

  $ 1,462,351  
     

 

 

 
          Aerospace/Defense - 0.4%  
    1,199,419    

Circor International, Inc. 5.42%, 12/11/2024, 1 mo. USD LIBOR + 3.500%

    1,187,725  
    507,876    

Fly Funding S.a.r.l. 4.18%, 02/09/2023, 3 mo. USD LIBOR + 2.000%

    507,876  
    3,780,359    

TransDigm, Inc. 4.29%, 06/09/2023, 1 mo. USD LIBOR + 2.500%

    3,760,965  
     

 

 

 
    5,456,566  
 

 

 

 
      Airlines - 0.2%  
 

American Airlines, Inc.

 
    1,541,983    

3.55%, 06/27/2025, 1 mo. USD LIBOR + 1.750%

    1,526,764  
    950,000    

3.94%, 10/12/2021, 1 mo. USD LIBOR + 2.000%

    950,133  
    955,000    

WestJet Airlines Ltd. 0.00%, 08/07/2026, 1 mo. USD LIBOR + 3.000%(12)

    958,982  
     

 

 

 
    3,435,879  
 

 

 

 
          Auto Manufacturers - 0.1%  
    707,400    

Navistar International Corp. 5.42%, 11/06/2024, 1 mo. USD LIBOR + 3.500%

    699,003  
     

 

 

 
          Auto Parts & Equipment - 0.4%  
    1,122,188    

Adient U.S. LLC 6.78%, 05/06/2024, 1 mo. USD LIBOR + 4.250%

    1,093,078  
EUR     330,000    

AL Alpine AT Bidco GmbH 3.00%, 10/31/2025, 3 mo. EURIBOR + 3.000%

    358,572  
$     745,056    

Altra Industrial Motion Corp. 3.79%, 10/01/2025, 1 mo. USD LIBOR + 2.000%

    741,331  
    389,075    

IAA, Inc. 4.06%, 06/28/2026, 1 mo. USD LIBOR + 2.250%

    390,211  
   

Panther BF Aggregator L.P.

 
EUR     1,620,000    

3.75%, 04/30/2026, 1 mo. EURIBOR + 3.750%

    1,804,942  
$     1,125,000    

5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

    1,108,597  
     

 

 

 
    5,496,731  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  115  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
          Beverages - 0.1%  
$     825,585    

Jacobs Douwe Egberts International B.V. 3.81%, 11/01/2025, 3 mo. USD LIBOR + 1.750%

  $ 825,379  
     

 

 

 
          Biotechnology - 0.0%  
    289,204    

Sotera Health Holdings LLC 4.93%, 05/15/2022, 1 mo. USD LIBOR + 3.000%

    283,781  
     

 

 

 
          Chemicals - 0.5%  
    1,081,001    

Axalta Coating Systems U.S. Holdings, Inc. 3.85%, 06/01/2024, 3 mo. USD LIBOR + 1.750%

    1,079,076  
    862,659    

Cabot Microelectronics Corp. 4.06%, 11/14/2025, 1 mo. ICE LIBOR + 2.250%

    865,359  
EUR     627,702    

CTC AcquiCo GmbH 2.50%, 03/07/2025, 3 mo. EURIBOR + 2.500%

    694,027  
$     748,125    

Hexion, Inc. 5.60%, 07/01/2026, 1 mo. USD LIBOR + 3.500%

    744,385  
    301,583    

Minerals Technologies, Inc. 4.14%, 02/14/2024, 1 mo. USD LIBOR + 2.250%

    302,714  
    679,863    

Platform Specialty Products Corp. 4.04%, 01/30/2026, 1 mo. ICE LIBOR + 2.250%

    681,773  
   

Starfruit Finco B.V.

 
EUR     150,000    

3.75%, 10/01/2025, 3 mo. EURIBOR + 3.750%

    166,838  
$     339,379    

5.19%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    330,545  
    641,447    

Tronox Finance LLC 4.66%, 09/23/2024, 3 mo. USD LIBOR + 2.750%

    635,116  
   

Univar, Inc.

 
    662,511    

4.04%, 07/01/2024, 1 mo. USD LIBOR + 2.250%

    664,167  
    277,710    

4.29%, 07/01/2024, 1 mo. ICE LIBOR + 2.500%

    278,213  
    821,700    

WR Grace & Co. 3.85%, 04/03/2025, 3 mo. USD LIBOR + 1.750%

    823,072  
     

 

 

 
    7,265,285  
 

 

 

 
          Commercial Services - 1.7%  
   

Allied Universal Holdco LLC

 
    85,312    

4.25%, 07/10/2026, 1 mo. USD LIBOR + 4.250%(13)

    84,642  
    861,657    

6.51%, 07/10/2026, 3 mo. USD LIBOR + 4.250%

    854,885  
    390,000    

Belron Finance U.S. LLC 0.00%, 11/07/2026, 1 mo. USD LIBOR + 2.500%(12)

    389,879  
    2,016,510    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    1,996,345  
    605,170    

Bright Horizons Family Solutions, Inc. 3.54%, 11/07/2023, 1 mo. USD LIBOR + 1.750%

    605,739  
    831,072    

BrightView Landscapes LLC 4.38%, 08/15/2025, 1 mo. USD LIBOR + 2.500%

    832,369  
    1,370,000    

DCert Buyer, Inc. 5.79%, 10/16/2026, 1 mo. USD LIBOR + 4.000%

    1,343,463  
    1,805,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    1,809,133  
    313,600    

Energizer Holdings, Inc. 4.31%, 12/17/2025, 1 mo. USD LIBOR + 2.250%

    313,076  
    280,000    

Garda World Security Corp. 0.00%, 10/17/2026, 1 mo. USD LIBOR + 4.750%(12)

    278,250  
    520,000    

KAR Auction Services, Inc. 0.00%, 09/19/2026, 1 mo. USD LIBOR + 2.250%(12)

    521,300  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
          Commercial Services - 1.7% - (continued)  
$     1,683,897    

Quikrete Holdings, Inc. 4.54%, 11/15/2023, 1 mo. USD LIBOR + 2.750%

  $ 1,676,000  
    1,970,870    

Russell Investments U.S. Inst’l Holdco, Inc. 5.04%, 06/01/2023, 3 mo. USD LIBOR + 3.250%

    1,910,266  
EUR     931,593    

Techem GmbH 3.50%, 07/31/2025, 3 mo. EURIBOR + 3.500%

    1,044,055  
$     1,779,050    

Tempo Acquisition LLC 4.79%, 05/01/2024, 1 mo. USD LIBOR + 3.000%

    1,778,676  
    1,501,468    

Trans Union LLC 3.79%, 04/10/2023, 1 mo. USD LIBOR + 2.000%

    1,503,495  
    3,578,850    

United Rentals, Inc. 3.54%, 10/31/2025, 1 mo. ICE LIBOR + 1.750%

    3,592,915  
    485,000    

US Ecology, Inc. 0.00%, 08/14/2026, 1 mo. USD LIBOR + 2.500%(12)

    486,819  
EUR     1,015,000    

Verisure Holding AB 3.50%, 10/21/2022, 3 mo. EURIBOR + 3.500%

    1,132,029  
$     892,174    

Weight Watchers International, Inc. 6.86%, 11/29/2024, 3 mo. USD LIBOR + 4.750%

    890,166  
    589,375    

Xerox Business Services LLC 4.29%, 12/07/2023, 1 mo. USD LIBOR + 2.500%

    568,010  
     

 

 

 
    23,611,512  
     

 

 

 
          Construction Materials - 0.3%  
    232,143    

Advanced Drainage Systems, Inc. 4.06%, 07/31/2026, 1 mo. USD LIBOR + 2.250%

    233,013  
    2,600,000    

American Builders & Contractors Supply Co., Inc. 0.00%, 01/15/2027, 1 mo. USD LIBOR + 2.000%(12)

    2,595,138  
    668,375    

Hamilton Holdco LLC 4.11%, 07/02/2025, 1 mo. USD LIBOR + 2.000%

    669,210  
    1,291,917    

NCI Building Systems, Inc. 5.66%, 04/12/2025, 3 mo. USD LIBOR + 3.750%

    1,247,773  
     

 

 

 
    4,745,134  
     

 

 

 
          Distribution/Wholesale - 0.0%  
    285,650    

Beacon Roofing Supply, Inc. 4.04%, 01/02/2025, 1 mo. USD LIBOR + 2.250%

    282,956  
     

 

 

 
          Diversified Financial Services - 0.5%  
   

AlixPartners LLP

 
EUR     363,175    

3.25%, 04/04/2024, 3 mo. EURIBOR + 3.250%

    405,758  
$     1,360,125    

4.54%, 04/04/2024, 3 mo. USD LIBOR + 2.750%

    1,357,854  
    1,645,998    

Crown Finance U.S., Inc. 4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    1,622,625  
    570,833    

Delos Finance S.a.r.l. 3.85%, 10/06/2023, 3 mo. USD LIBOR + 1.750%

    572,261  
    585,855    

FinCo I LLC 3.79%, 12/27/2022, 1 mo. USD LIBOR + 2.000%

    586,148  
EUR     621,771    

Nets Holding A/S 3.25%, 02/06/2025, 3 mo. EURIBOR + 3.250%

    686,817  
$     257,713    

NFP Corp. 4.79%, 01/08/2024, 1 mo. USD LIBOR + 3.000%

    249,798  
    442,488    

RP Crown Parent LLC 4.54%, 10/12/2023, 1 mo. USD LIBOR + 2.750%

    441,492  
    418,498    

UFC Holdings LLC 5.04%, 04/29/2026, 1 mo. USD LIBOR + 3.250%

    417,975  
    1,087,636    

Victory Capital Holdings, Inc. 5.35%, 07/01/2026, 1 mo. USD LIBOR + 3.250%

    1,090,899  
     

 

 

 
    7,431,627  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  116  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
          Electrical Components & Equipment - 0.3%  
$     270,075    

Lumentum Holdings 4.29%, 12/10/2025, 1 mo. USD LIBOR + 2.500%

  $ 270,075  
    2,325,000    

Virgin Media Bristol LLC 4.42%, 01/31/2028, 1 mo. USD LIBOR + 2.500%

    2,314,352  
EUR     1,400,000    

Virgin Media SFA Finance Ltd. 0.00%, 01/31/2029, 1 mo. EURIBOR + 2.500%(12)

    1,555,080  
     

 

 

 
    4,139,507  
     

 

 

 
          Electronics - 0.1%  
$     774,150    

Resideo Funding, Inc. 4.11%, 10/24/2025, 3 mo. USD LIBOR + 2.000%

    766,409  
     

 

 

 
      Energy - Alternate Sources - 0.2%  
    28,882    

AES Corp. 3.87%, 05/31/2022, 3 mo. USD LIBOR + 1.750%

    28,866  
    1,525,688    

BCP Renaissance Parent LLC 5.36%, 10/31/2024, 3 mo. USD LIBOR + 3.500%

    1,375,987  
    458,106    

Medallion Midland Acquisition LLC 5.04%, 10/30/2024, 1 mo. USD LIBOR + 3.250%

    429,475  
    552,350    

TEX Operations Co. LLC 3.79%, 08/04/2023, 1 mo. USD LIBOR + 2.000%

    553,963  
     

 

 

 
    2,388,291  
 

 

 

 
      Engineering & Construction - 0.1%  
    1,955,000    

Brand Energy & Infrastructure Services, Inc. 6.24%, 06/21/2024, 3 mo. USD LIBOR + 4.250%

    1,896,350  
     

 

 

 
      Entertainment - 0.2%  
    475,934    

CityCenter Holdings LLC 4.04%, 04/18/2024, 1 mo. USD LIBOR + 2.250%

    475,787  
 

Merlin Entertainments plc

 

EUR     415,000    

0.00%, 10/16/2026, 1 mo. EURIBOR + 3.000%(12)

    464,946  
$     402,146    

0.00%, 10/16/2026, 1 mo. USD LIBOR + 3.250%(12)

    403,486  
    52,854    

0.00%, 10/17/2026, 1 mo. USD LIBOR + 3.250%(12)(13)

    53,030  
    511,227    

Scientific Games International, Inc. 4.54%, 08/14/2024, 2 mo. USD LIBOR + 2.750%

    504,995  
    1,004,850    

Wyndham Hotels & Resorts, Inc. 3.54%, 05/30/2025, 1 mo. USD LIBOR + 1.750%

    1,009,040  
     

 

 

 
    2,911,284  
 

 

 

 
      Environmental Control - 0.2%  
    1,138,845    

Advanced Disposal Services, Inc. 4.09%, 11/10/2023, 1 Week USD LIBOR + 2.250%

    1,140,258  
    1,725,386    

Clean Harbors, Inc. 3.54%, 06/28/2024, 1 mo. USD LIBOR + 1.750%

    1,734,013  
EUR     523,375    

Fluidra Finco SLU 2.75%, 07/02/2025, 1 mo. EURIBOR + 2.750%

    587,368  
     

 

 

 
    3,461,639  
 

 

 

 
      Food - 0.2%  
$     375,000    

B&G Foods, Inc. 4.48%, 10/10/2026, 1 mo. USD LIBOR + 2.500%

    376,174  
    480,126    

IRB Holding Corp. 5.22%, 02/05/2025, 1 mo. USD LIBOR + 3.250%

    475,924  
    75,282    

Post Holdings, Inc. 3.83%, 05/24/2024, 1 mo. USD LIBOR + 2.000%

    75,334  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
      Food - 0.2% - (continued)  
$     1,180,000    

U.S. Foods, Inc. 3.79%, 09/13/2026, 1 mo. USD LIBOR + 2.000%

  $ 1,183,115  
     

 

 

 
    2,110,547  
 

 

 

 
      Food Service - 0.1%  
    352,337    

8th Avenue Food & Provisions, Inc. 5.69%, 10/01/2025, 3 mo. USD LIBOR + 3.750%

    352,337  
    554,934    

Aramark Services, Inc. 3.54%, 03/11/2025, 3 mo. USD LIBOR + 1.750%

    555,395  
    232,063    

CHG PPC Parent LLC 4.54%, 03/31/2025, 1 mo. USD LIBOR + 2.750%

    230,902  
     

 

 

 
    1,138,634  
 

 

 

 
      Gas - 0.1%  
 

Messer Industries GmbH

 

EUR     150,000    

2.75%, 03/01/2026, 3 mo. EURIBOR + 2.750%

    167,539  
$     587,050    

4.60%, 03/01/2026, 1 mo. USD LIBOR + 2.500%

    581,679  
     

 

 

 
    749,218  
 

 

 

 
      Healthcare - Products - 0.0%  
    242,327    

Avantor, Inc. 4.79%, 11/21/2024, 3 mo. USD LIBOR +3.000%

    243,841  
     

 

 

 
      Healthcare - Services - 0.9%  
    288,550    

Agiliti Health, Inc. 5.06%, 01/04/2026, UNFND + 3.000%

    287,468  
    225,000    

CPI Holdco LLC 0.00%, 10/01/2027, 1 mo. USD LIBOR + 4.250%(12)

    224,437  
    540,000    

Emerald TopCo, Inc. 5.29%, 07/24/2026, 1 mo. USD LIBOR + 3.500%

    531,090  
    380,000    

Ensemble RCM LLC 6.00%, 08/03/2026, 1 mo. USD LIBOR + 3.750%

    379,388  
    821,281    

Envision Healthcare Corp. 5.54%, 10/10/2025, 1 mo. USD LIBOR + 3.750%

    661,772  
    806,782    

Gentiva Health Services, Inc. 5.56%, 07/02/2025, 1 mo. USD LIBOR + 3.750%

    804,765  
EUR     587,563    

IQVIA, Inc. 2.00%, 06/11/2025, 3 mo. EURIBOR + 2.000%

    656,127  
$     567,643    

Jaguar Holding Co. 4.29%, 08/18/2022, 3 mo. USD LIBOR + 2.500%

    566,224  
 

MED ParentCo L.P.

 
    143,098    

1.30%, 08/31/2026, 1 mo. USD LIBOR + 4.250%(13)

    140,803  
    573,072    

6.04%, 08/31/2026, 1 mo. USD LIBOR + 4.250%

    563,880  
    1,714,251    

MPH Acquisition Holdings LLC 4.85%, 06/07/2023, 3 mo. USD LIBOR + 2.750%

    1,603,802  
    481,190    

Surgery Center Holdings, Inc. 5.04%, 09/02/2024, 1 mo. USD LIBOR + 3.250%

    463,949  
    864,962    

Syneos Health, Inc. 3.79%, 08/01/2024, 1 mo. USD LIBOR + 2.000%

    865,144  
    992,503    

Team Health Holdings, Inc. 4.54%, 02/06/2024, 1 mo. USD LIBOR + 2.750%

    761,746  
    1,528,450    

Universal Health Services, Inc. 3.54%, 10/31/2025, 1 mo. USD LIBOR + 1.750%

    1,530,361  
    1,995,000    

Zelis Healthcare Corp. 0.00%, 09/30/2026, 1 mo. USD LIBOR + 4.750%(12)

    1,971,718  
     

 

 

 
    12,012,674  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  117  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
      Household Products - 0.1%  
$     604,238    

Diamond (BC) B.V. 4.93%, 09/06/2024, 2 mo. USD LIBOR + 3.000%

  $ 561,639  
    135,720    

Prestige Brands, Inc. 3.79%, 01/26/2024, 1 mo. USD LIBOR + 2.000%

    135,826  
     

 

 

 
    697,465  
 

 

 

 
      Insurance - 0.6%  
 

Asurion LLC

 
    2,277,299    

4.79%, 08/04/2022, 1 mo. USD LIBOR + 3.000%

    2,277,709  
    889,023    

4.79%, 11/03/2023, 1 mo. USD LIBOR + 3.000%

    889,974  
    865,000    

8.29%, 08/04/2025, 1 mo. USD LIBOR + 6.500%

    868,460  
    236,400    

Genworth Holdings, Inc. 6.32%, 03/07/2023, 1 mo. USD LIBOR + 4.500%

    235,809  
 

Hub International Ltd.

 
    540,000    

0.00%, 04/25/2025, 1 mo. USD LIBOR + 4.000%(12)

    538,920  
    1,367,688    

4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    1,336,668  
 

Sedgwick Claims Management Services, Inc.

 
    1,424,238    

5.04%, 12/31/2025, 1 mo. USD LIBOR + 3.250%

    1,380,399  
    663,338    

5.79%, 09/03/2026, 1 mo. USD LIBOR + 4.000%

    657,673  
     

 

 

 
    8,185,612  
 

 

 

 
      IT Services - 0.1%  
    1,876,050    

Science Applications International Corp. 3.54%, 10/31/2025, 1 mo. ICE LIBOR + 1.750%

    1,877,814  
     

 

 

 
      Leisure Time - 0.7%  
    2,970,478    

Caesars Resort Collection LLC 4.54%, 12/23/2024, 1 mo. USD LIBOR + 2.750%

    2,924,376  
    2,733,990    

Delta (LUX) S.a.r.l. 4.29%, 02/01/2024, 1 mo. USD LIBOR + 2.500%

    2,689,563  
    834,424    

Eldorado Resorts LLC 4.21%, 04/17/2024, 2 mo. USD LIBOR + 2.250%

    833,031  
    1,630,850    

Golden Entertainment, Inc. 4.81%, 10/21/2024, 1 mo. USD LIBOR + 3.000%

    1,631,877  
    1,013,594    

Penn National Gaming, Inc. 4.04%, 10/15/2025, 3 mo. USD LIBOR + 2.250%

    1,016,634  
     

 

 

 
    9,095,481  
 

 

 

 
      Lodging - 0.4%  
    1,227,269    

Boyd Gaming Corp. 3.96%, 09/15/2023, 1 week USD LIBOR + 2.250%

    1,227,649  
    1,655,161    

Caesars Entertainment Operating Co. 3.79%, 10/07/2024, 1 mo. USD LIBOR + 2.000%

    1,654,134  
    690,413    

Four Seasons Hotels Ltd. 3.79%, 11/30/2023, 1 mo. USD LIBOR + 2.000%

    692,616  
    974,847    

Hilton Worldwide Finance LLC 3.57%, 06/22/2026, 1 mo. USD LIBOR + 1.750%

    978,590  
    1,687,921    

Station Casinos LLC 4.29%, 06/08/2023, 1 mo. USD LIBOR + 2.500%

    1,688,630  
     

 

 

 
    6,241,619  
 

 

 

 
      Machinery - Construction & Mining - 0.1%  
    1,297,242    

Brookfield WEC Holdings, Inc. 5.29%, 08/01/2025, 1 mo. USD LIBOR + 3.500%

    1,288,058  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
      Machinery - Construction & Mining - 0.1% - (continued)  
$     288,615    

Pike Corp. 5.04%, 07/24/2026, 1 mo. USD LIBOR + 3.250%

  $ 288,392  
     

 

 

 
    1,576,450  
 

 

 

 
      Machinery - Diversified - 0.1%  
    982,382    

Gardner Denver, Inc. 4.54%, 07/30/2024, 3 mo. USD LIBOR + 2.750%

    983,816  
    1,037,169    

Gates Global LLC 4.54%, 04/01/2024, 3 mo. USD LIBOR + 2.750%

    1,014,528  
     

 

 

 
    1,998,344  
 

 

 

 
      Media - 1.7%  
    502,225    

Advantage Sales & Marketing, Inc. 5.04%, 07/23/2021, 1 mo. USD LIBOR + 3.250%

    467,446  
    852,600    

Altice Financing S.A. 4.60%, 01/31/2026, 3 mo. USD LIBOR + 2.750%

    819,869  
    1,631,487    

Charter Communications Operating LLC 3.54%, 04/30/2025, 1 mo. USD LIBOR + 1.750%

    1,633,298  
 

CSC Holdings LLC

 

    923,813    

4.17%, 07/17/2025, 1 mo. USD LIBOR + 2.250%

    918,297  
    1,240,625    

4.17%, 01/15/2026, 1 mo. ICE LIBOR + 2.250%

    1,230,700  
    1,103,063    

4.33%, 04/15/2027, 1 mo. USD LIBOR + 2.500%

    1,100,694  
    706,450    

E.W. Scripps Co. 4.54%, 05/01/2026, 1 mo. USD LIBOR + 2.750%

    705,920  
    1,394,463    

Gray Television, Inc. 4.51%, 01/02/2026, 1 mo. ICE LIBOR + 2.500%

    1,397,293  
    2,447,004    

ION Media Networks, Inc. 4.81%, 12/18/2024, 1 mo. USD LIBOR + 3.000%

    2,431,710  
    664,875    

Lamar Media Corp. 3.56%, 03/14/2025, 1 mo. USD LIBOR + 1.750%

    666,331  
    71,507    

Mission Broadcasting, Inc. 4.28%, 01/17/2024, 1 mo. ICE LIBOR + 2.250%

    71,574  
    1,068,255    

MTN Infrastructure TopCo, Inc. 4.79%, 11/15/2024, 1 mo. USD LIBOR + 3.000%

    1,054,453  
    355,000    

NASCAR Holdings, Inc. 0.00%, 10/19/2026, 1 mo. USD LIBOR + 2.750%(12)

    356,608  
 

Nexstar Broadcasting, Inc.

 

    359,864    

4.05%, 01/17/2024, 1 mo. ICE LIBOR + 2.250%

    360,202  
    2,220,000    

4.55%, 09/18/2026, 1 mo. USD LIBOR + 2.750%

    2,227,082  
    716,625    

Numericable Group S.A. 4.54%, 07/31/2025, 1 mo. USD LIBOR + 2.750%

    692,661  
    1,187,912    

PSAV Holdings LLC 5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    1,141,144  
    892,857    

Sinclair Television Group, Inc. 4.43%, 09/30/2026, 1 mo. USD LIBOR + 2.500%

    893,134  
    2,350,000    

Telenet Financing USD LLC 4.17%, 08/15/2026, 1 mo. USD LIBOR + 2.250%

    2,345,747  
    268,059    

Web.com Group, Inc. 5.66%, 10/10/2025, 3 mo. USD LIBOR + 3.750%

    260,621  
EUR     1,310,000    

Ziggo B.V. 0.00%, 01/31/2029, 1 mo. EURIBOR + 3.000%(12)

    1,452,525  
$     1,245,000    

Ziggo Secured Finance Partnership 4.42%, 04/15/2025, 1 mo. USD LIBOR + 2.500%

    1,228,977  
     

 

 

 
        23,456,286  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  118  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
      Metal Fabricate/Hardware - 0.1%  
$     1,624,278    

Rexnord LLC 3.79%, 08/21/2024, 1 mo. USD LIBOR + 2.000%

  $ 1,632,399  
     

 

 

 
      Miscellaneous Manufacturing - 0.3%  
    164,581    

Core & Main LP 4.81%, 08/01/2024, 6 mo. USD LIBOR + 2.750%

    160,672  
    1,057,733    

H.B. Fuller Co. 3.85%, 10/20/2024, 1 mo. USD LIBOR + 2.000%

    1,053,872  
    513,713    

Momentive Performance Materials Inc. 5.04%, 05/15/2024, 3 mo. USD LIBOR + 3.250%

    503,762  
    385,000    

Tamko Building Products, Inc. 5.09%, 06/01/2026, 1 mo. USD LIBOR + 3.250%

    385,000  
    1,720,417    

USI, Inc. 5.10%, 05/16/2024, 3 mo. USD LIBOR + 3.000%

    1,668,375  
     

 

 

 
    3,771,681  
 

 

 

 
      Oil & Gas - 0.1%  
    777,150    

NorthRiver Midstream Finance L.P. 5.35%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    763,830  
    693,000    

Traverse Midstream Partners LLC 5.80%, 09/27/2024, 3 mo. USD LIBOR + 4.000%

    606,375  
     

 

 

 
    1,370,205  
 

 

 

 
      Oil & Gas Services - 0.3%  
    740,000    

Buckeye Partners L.P. 0.00%, 11/15/2026, 1 mo. USD LIBOR + 2.750%(12)

    743,241  
    653,363    

Lower Cadence Holdings LLC 5.80%, 05/22/2026, 1 mo. USD LIBOR + 4.000%

    605,994  
    2,279,288    

UGI Energy Services LLC 5.54%, 08/13/2026, 1 mo. USD LIBOR + 3.750%

    2,284,986  
     

 

 

 
    3,634,221  
 

 

 

 
      Packaging & Containers - 0.5%  
    247,494    

Berlin Packaging LLC 5.00%, 11/07/2025, 1 mo. USD LIBOR + 3.000%

    240,069  
 

Berry Global, Inc.

 

EUR     663,338    

2.50%, 07/01/2026, 3 mo. EURIBOR + 2.500%

    744,954  
$     968,010    

3.88%, 10/01/2022, 3 mo. USD LIBOR + 2.000%

    970,430  
    1,197,000    

4.44%, 07/01/2026, 3 mo. USD LIBOR + 2.500%

    1,200,495  
    228,068    

Crown Americas LLC 4.00%, 04/03/2025, 1 Week USD LIBOR + 2.000%

    228,980  
EUR     78,811    

Crown European Holdings S.A. 2.38%, 04/03/2025, 1 mo. EURIBOR + 2.375%

    88,171  
 

Flex Acquisition Co., Inc.

 

$     880,499    

5.10%, 12/29/2023, 3 mo. USD LIBOR + 3.000%

    830,645  
    997,633    

5.35%, 06/29/2025, 1 mo. USD LIBOR + 3.250%

    942,484  
    2,190,161    

Reynolds Group Holdings, Inc. 4.54%, 02/05/2023, 1 mo. USD LIBOR + 2.750%

    2,188,957  
     

 

 

 
    7,435,185  
 

 

 

 
      Pharmaceuticals - 0.5%  
 

Bausch Health Companies, Inc.

 

    1,159,375    

4.67%, 11/27/2025, 1 mo. USD LIBOR + 2.750%

    1,160,337  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
      Pharmaceuticals - 0.5% - (continued)  
$     957,074    

4.92%, 06/02/2025, 1 mo. USD LIBOR + 3.000%

  $ 960,166  
    706,450    

Catalent Pharma Solutions, Inc. 4.04%, 05/18/2026, 1 mo. USD LIBOR + 2.250%

    706,450  
    1,456,475    

Endo Luxembourg Finance Co., S.a.r.l. 6.06%, 04/29/2024, 1 mo. USD LIBOR + 4.250%

    1,337,044  
    524,008    

IQVIA, Inc. 4.10%, 03/07/2024, 3 mo. USD LIBOR + 2.000%

    525,318  
    1,980,000    

Sunshine Luxembourg S.a.r.l. 6.35%, 10/01/2026, 1 mo. USD LIBOR + 4.250%

    1,980,832  
     

 

 

 
    6,670,147  
 

 

 

 
      Real Estate - 0.2%  
    1,091,559    

KFC Holding Co. 3.63%, 04/03/2025, 1 mo. USD LIBOR + 1.750%

    1,091,559  
    1,345,909    

VICI Properties LLC 3.85%, 12/20/2024, 1 mo. USD LIBOR + 2.000%

    1,349,879  
     

 

 

 
    2,441,438  
 

 

 

 
      REITS - 0.1%  
    2,055,450    

MGM Growth Properties Operating Partnership L.P. 3.79%, 03/21/2025, 1 mo. USD LIBOR + 2.000%

    2,060,589  
     

 

 

 
      Retail - 0.8%  
    1,889,397    

B.C. Unlimited Liability Co. 4.04%, 02/16/2024, 1 mo. USD LIBOR + 2.250%

    1,890,814  
    1,784,728    

Bass Pro Group LLC 6.79%, 09/25/2024, 1 mo. USD LIBOR + 5.000%

    1,719,389  
    496,250    

Belron Finance U.S. LLC 4.43%, 11/13/2025, 1 mo. USD LIBOR + 2.250%

    495,630  
 

Coty, Inc.

 
EUR     785,063    

2.50%, 04/07/2025, 1 mo. EURIBOR + 2.500%

    857,849  
$     1,537,968    

4.23%, 04/07/2025, 1 mo. USD LIBOR + 2.250%

    1,484,139  
    1,026,551    

Michaels Stores, Inc. 4.31%, 01/30/2023, 1 mo. USD LIBOR + 2.500%

    999,420  
    1,011,527    

Staples, Inc. 7.12%, 04/16/2026, 3 mo. USD LIBOR + 5.000%

    996,061  
    1,997,676    

U.S. Foods, Inc. 3.79%, 06/27/2023, 1 mo. USD LIBOR + 2.000%

    2,002,930  
     

 

 

 
    10,446,232  
 

 

 

 
      Semiconductors - 0.2%  
    1,513,563    

Entegris, Inc. 3.79%, 11/06/2025, 1 mo. USD LIBOR + 2.000%

    1,518,603  
    1,087,922    

Microchip Technology, Inc. 3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

    1,089,282  
    570,719    

ON Semiconductor Corp. 3.79%, 09/19/2026, 1 mo. USD LIBOR + 2.000%

    572,922  
     

 

 

 
    3,180,807  
 

 

 

 
      Software - 1.1%  
    1,028,806    

Almonde, Inc. 5.70%, 06/13/2024, 3 mo. USD LIBOR + 3.500%

    981,872  
    1,463,905    

Aristocrat Technologies, Inc. 3.72%, 10/19/2024, 3 mo. USD LIBOR + 1.750%

    1,466,394  
    1,613,910    

CDW LLC 3.54%, 10/13/2026, 3 mo. USD LIBOR + 1.750%

    1,618,816  
    1,168,603    

Change Healthcare Holdings LLC 4.29%, 03/01/2024, 1 mo. USD LIBOR + 2.500%

    1,161,030  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  119  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
      Software - 1.1% - (continued)  
$     138,942    

EVO Payments International LLC 5.05%, 12/22/2023, 1 mo. USD LIBOR + 3.250%

  $ 139,000  
    1,133,727    

Go Daddy Operating Co. LLC 3.54%, 02/15/2024, 1 mo. USD LIBOR + 1.750%

    1,134,373  
    328,235    

Hyland Software, Inc. 5.04%, 07/01/2024, 1 mo. USD LIBOR + 3.250%

    325,773  
    559,563    

Infor U.S., Inc. 4.85%, 02/01/2022, 1 mo. USD LIBOR + 2.750%

    559,563  
    147,186    

MA FinanceCo. LLC 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    142,679  
    993,985    

Seattle Spinco, Inc. 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    963,549  
    330,583    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    331,136  
    2,037,059    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    2,041,548  
    645,000    

Ultimate Software Group, Inc. 5.54%, 05/04/2026, 1 mo. USD LIBOR + 3.750%

    645,987  
    816,213    

Verint Systems, Inc. 4.15%, 06/28/2024, 1 mo. USD LIBOR + 2.000%

    818,767  
    575,000    

Western Digital Corp. 0.00%, 04/29/2023, 1 mo. USD LIBOR + 1.750%(12)

    572,556  
    2,157,832    

WEX, Inc. 4.04%, 05/15/2026, 1 mo. USD LIBOR + 2.250%

    2,164,392  
     

 

 

 
    15,067,435  
 

 

 

 
          Telecommunications - 0.9%  
    1,682,685    

Altice France S.A. 5.61%, 01/31/2026, 3 mo. USD LIBOR + 3.688%

    1,640,012  
    1,215,720    

CenturyLink, Inc. 4.54%, 01/31/2025, 1 mo. USD LIBOR + 2.750%

    1,202,505  
    1,732,500    

Ciena Corp. 3.85%, 09/26/2025, 1 mo. USD LIBOR + 2.000%

    1,736,831  
    1,993,500    

Level 3 Financing, Inc. 4.04%, 02/22/2024, 1 mo. USD LIBOR + 2.250%

    1,994,995  
    735,000    

Liberty Latin America Ltd. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 5.000%(12)

    741,203  
   

Masmovil Holdphone S.A.

 
EUR     143,066    

0.00%, 05/07/2026, 1 mo. USD LIBOR + 3.250%(12)(13)

    159,562  
    894,168    

3.25%, 05/07/2026, 1 mo. USD LIBOR + 3.250%

    997,265  
   

Sprint Communications, Inc.

 

$     2,979,392    

4.31%, 02/02/2024, 1 mo. USD LIBOR + 2.500%

    2,943,401  
    540,913    

4.81%, 02/02/2024, 1 mo. USD LIBOR + 3.000%

    537,304  
    708,419    

Zayo Group LLC 4.04%, 01/19/2024, 1 mo. USD LIBOR + 2.250%

    709,078  
     

 

 

 
    12,662,156  
 

 

 

 
          Transportation - 0.1%  
    318,979    

B.C. Unlimited Liability Co. 6.10%, 04/06/2026, 1 mo. USD LIBOR + 4.000%

    319,429  
EUR     240,000    

Boluda Corp. Maritima S.L. 0.00%, 09/26/2026, 1 mo. EURIBOR + 3.500%(12)

    268,341  
$     593,301    

Dynasty Acquisition Co., Inc. 6.10%, 04/06/2026, 1 mo. USD LIBOR + 4.000%

    594,138  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 15.7%(11) - (continued)  
          Transportation - 0.1% - (continued)  
$     430,413    

Savage Enterprises LLC 5.93%, 08/01/2025, 1 mo. USD LIBOR + 4.000%

  $ 433,460  
     

 

 

 
    1,615,368  
 

 

 

 
   

Total Senior Floating Rate Interests
(cost $219,767,596)

  $ 217,931,532  
   

 

 

 
U.S. GOVERNMENT AGENCIES - 10.4%  
          Mortgage-Backed Agencies - 10.4%  
          FHLMC - 2.3%  
$     5,000,000    

1.13%, 08/12/2021

  $ 4,960,232  
    6,780,946    

1.25%, 07/15/2031

    6,654,615  
    1,893,054    

1.50%, 01/15/2027

    1,871,735  
    10,631,477    

1.57%, 07/25/2021(2)(4)

    245,347  
    3,686,213    

2.00%, 09/15/2041

    3,679,788  
    3,000,000    

2.77%, 11/25/2048, 1 mo. USD LIBOR + 0.950%(1)(3)

    3,002,343  
    5,401,003    

3.00%, 04/01/2031

    5,558,626  
    733,997    

3.50%, 04/01/2027

    765,735  
    736,640    

3.50%, 09/15/2043

    759,691  
    2,257,522    

3.75%, 05/15/2039(5)

    2,327,035  
    1,764,666    

3.82%, 05/25/2048(1)(2)

    1,770,487  
     

 

 

 
    31,595,634  
 

 

 

 
          FNMA - 6.4%  
    4,541,288    

1.50%, 08/25/2041

    4,462,375  
    14,855,480    

1.50%, 06/25/2042

    14,929,653  
    4,221,178    

1.50%, 11/25/2042

    4,155,984  
    1,552,873    

1.75%, 05/25/2040

    1,542,756  
    6,243,844    

2.00%, 04/25/2034

    6,209,887  
    2,151,495    

2.00%, 07/25/2039

    2,158,108  
    10,570,034    

2.50%, 03/25/2035

    10,583,484  
    1,655,985    

3.00%, 08/01/2027

    1,703,419  
    3,564,421    

3.00%, 12/01/2030

    3,666,211  
    1,243,710    

3.00%, 02/01/2031

    1,275,677  
    2,369,921    

3.00%, 03/01/2031

    2,437,591  
    7,665,250    

3.00%, 02/25/2043

    7,886,798  
    494,048    

3.00%, 04/25/2043

    509,819  
    3,341,081    

3.00%, 05/25/2047

    3,421,844  
    6,680,521    

3.25%, 11/25/2043

    6,948,775  
    1,286,696    

3.50%, 11/01/2026

    1,332,412  
    3,141,456    

3.50%, 12/01/2026

    3,259,879  
    465,993    

3.50%, 12/01/2028

    484,103  
    5,871,602    

3.50%, 10/25/2035

    6,194,220  
    4,339,642    

3.50%, 07/25/2045

    4,465,220  
    1,510,492    

3.50%, 05/25/2056

    1,585,218  
     

 

 

 
    89,213,433  
 

 

 

 
          GNMA - 1.3%  
    1,297,782    

1.75%, 03/20/2039

    1,291,749  
    4,166,589    

2.00%, 05/20/2046

    4,192,681  
    8,613,618    

2.50%, 10/20/2041

    8,718,364  
    3,496,634    

2.50%, 07/20/2042

    3,527,277  
    173,794    

5.00%, 08/20/2039

    189,022  
     

 

 

 
    17,919,093  
 

 

 

 
          UMBS - 0.4%  
    5,600,000    

3.50%, 11/01/2034(14)

    5,801,031  
     

 

 

 
   

Total U.S. Government Agencies
(cost $141,208,933)

  $ 144,529,191  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  120  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT SECURITIES - 1.4%  
          U.S. Treasury Securities - 1.4%  
$     20,000,000    

U.S. Treasury Note 1.63%, 11/30/2020

  $ 20,002,344  
     

 

 

 
   

Total U.S. Government Securities
(cost $19,807,897)

  $ 20,002,344  
   

 

 

 
   

Total Long-Term Investments
(cost $1,386,320,566)

  $ 1,405,378,660  
   

 

 

 
SHORT-TERM INVESTMENTS - 0.5%  
          Securities Lending Collateral - 0.5%  
    311,791    

Citibank NA DDCA, 1.80%, 11/1/2019(15)

    311,791  
    4,374,490    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(15)

    4,374,490  
    70,174    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(15)

    70,174  
    580,264    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(15)

    580,264  
    843,051    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(15)

    843,051  
    56,060    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(15)

    56,060  
     

 

 

 
    6,235,830  
 

 

 

 
   

Total Short-Term Investments
(cost $6,235,830)

  $ 6,235,830  
     

 

 

 
   

Total Investments
(cost $1,392,556,396)

    101.6    $ 1,411,614,490  
   

Other Assets and Liabilities

    (1.6 )%       (22,058,854
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $ 1,389,555,636  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $430,056,700, representing 30.9% of net assets.

 

(2) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(3) 

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(4) 

Securities disclosed are interest-only strips.

 

(5) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(6) 

This security, or a portion of this security, was purchased on a when-issued, delayed-delivery or delayed-draw basis. The cost of these securities was $5,800,000 at October 31, 2019.

 

(7) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(8) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(9) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of this security was $2,905,035, representing 0.2% of net assets.

 

(10) 

Security is a zero-coupon bond.

 

(11) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(12) 

Represents an unsettled loan commitment. The coupon rate will be determined at time of settlement.

 

(13) 

This security, or a portion of this security, has unfunded loan commitments. As of October 31, 2019, the aggregate value of the unfunded commitment was $438,037, which rounds to 0.0% of total net assets.

 

(14) 

Represents or includes a TBA transaction.

 

(15) 

Current yield as of period end.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  121  

 


The Hartford Short Duration Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

U.S. Treasury 2-Year Note Future

     1,086        12/31/2019      $ 234,143,297      $     (479,332
           

 

 

 
Short position contracts:  

U.S. Treasury 5-Year Note Future

     1,371        12/31/2019      $     163,427,484      $ 504,683  

U.S. Treasury 10-Year Note Future

     149        12/19/2019        19,414,235        203,712  

U.S. Treasury Long Bond Future

     7        12/19/2019        1,129,625        28,924  
           

 

 

 

Total

 

   $ 737,319  
           

 

 

 

Total futures contracts

 

   $ 257,987  
           

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  2,614,000      EUR      2,917,224      USD    JPM      11/05/19     $     $ (748
  2,859,625      USD      2,614,000      EUR    CBK      11/05/19             (56,851
  461,716      USD      414,000      EUR    JPM      11/29/19             (884
  14,251,315      USD      12,820,000      EUR    CBK      11/29/19             (73,637
  2,922,669      USD      2,614,000      EUR    JPM      12/04/19       607        
                

 

 

   

 

 

 
 

Total

    $     607     $     (132,120
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Assets

 

Asset & Commercial Mortgage Backed Securities

   $ 217,521,953     $     $ 217,521,953     $  

Corporate Bonds

     791,151,882             791,151,882        

Foreign Government Obligations

     6,978,877             6,978,877        

Municipal Bonds

     7,262,881             7,262,881        

Senior Floating Rate Interests

     217,931,532             217,931,532        

U.S. Government Agencies

     144,529,191             144,529,191        

U.S. Government Securities

     20,002,344             20,002,344        

Short-Term Investments

     6,235,830       6,235,830              

Foreign Currency Contracts(2)

     607             607        

Futures Contracts(2)

     737,319       737,319              
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     1,412,352,416     $     6,973,149     $     1,405,379,267     $     —  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (132,120   $     $ (132,120   $  

Futures Contracts(2)

     (479,332     (479,332            
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (611,452   $ (479,332   $ (132,120   $  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  122  

 


The Hartford Strategic Income Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 10.7%  
          Asset-Backed - Automobile - 0.4%  
$     1,475,564    

Marlette Funding Trust 2.69%, 09/17/2029(1)

  $ 1,480,441  
    1,370,000    

Westlake Automobile Receivables Trust 3.28%, 12/15/2022(1)

    1,385,471  
     

 

 

 
        2,865,912  
     

 

 

 
      Asset-Backed - Finance & Insurance - 1.9%  
    250,000    

Apidos CLO 4.97%, 01/19/2025, 3 mo. USD LIBOR + 3.000%(1)(2)

    250,595  
    63,978    

Avery Point CLO Ltd. 3.12%, 01/18/2025, 3 mo. USD LIBOR + 1.120%(1)(2)

    63,995  
 

Bayview Opportunity Master Fund Trust

 

    63,772    

3.50%, 01/28/2055(1)(3)

    65,001  
    106,647    

3.50%, 06/28/2057(1)(3)

    108,510  
    131,770    

3.50%, 01/28/2058(1)(3)

    134,523  
    59,742    

4.00%, 11/28/2053(1)(3)

    61,656  
    117,296    

4.00%, 10/28/2064(1)(3)

    121,061  
    495,000    

Bellemeade Re Ltd. 2.92%, 07/25/2029, 1 mo. USD LIBOR + 1.100%(1)(2)

    495,336  
    659,950    

Domino’s Pizza Master Issuer LLC 4.12%, 07/25/2048(1)

    688,612  
    519,526    

Eagle RE Ltd. 3.52%, 11/25/2028, 1 mo. USD LIBOR + 1.700%(1)(2)

    520,361  
    19,430    

Equity One Mortgage Pass-Through Trust 5.46%, 12/25/2033(3)

    17,245  
    1,524,874    

GSAMP Trust 1.91%, 01/25/2037, 1 mo. USD LIBOR + 0.090%(2)

    1,021,550  
    250,000    

Madison Park Funding Ltd. 3.09%, 07/23/2029, 3 mo. USD LIBOR + 1.160%(1)(2)

    250,022  
    1,792,198    

MFA Trust 3.35%, 11/25/2047(1)(4)

    1,808,436  
 

Oak Hill Advisors Residential Loan Trust

 

    2,295    

3.00%, 06/25/2057(1)(4)

    2,295  
    900,000    

5.00%, 06/25/2057(1)(4)

    896,484  
    279,138    

OneMain Financial Issuance Trust 2.37%, 09/14/2032(1)

    279,249  
    786,000    

Radnor RE Ltd. 3.07%, 02/25/2029, 1 mo. USD LIBOR + 1.250%(1)(2)

    785,583  
   

SoFi Consumer Loan Program LLC

 
    30,611    

2.50%, 05/26/2026(1)

    30,692  
    25,926    

2.77%, 05/25/2026(1)

    26,034  
    24,227    

3.05%, 12/26/2025(1)

    24,335  
    108,585    

3.09%, 10/27/2025(1)

    108,928  
    35,794    

3.28%, 01/26/2026(1)

    36,072  
   

Springleaf Funding Trust

 
    310,000    

2.68%, 07/15/2030(1)

    311,031  
    50,937    

2.90%, 11/15/2029(1)

    50,970  
   

Towd Point Mortgage Trust

 
    231,015    

2.75%, 10/25/2056(1)(3)

    233,748  
    54,725    

2.75%, 04/25/2057(1)(3)

    55,227  
    1,908,548    

2.75%, 06/25/2057(1)(3)

    1,930,948  
    122,841    

2.75%, 07/25/2057(1)(3)

    123,978  
    1,398,202    

2.75%, 10/25/2057(1)(3)

    1,409,844  
    465,000    

Vericrest Opportunity Loan Trust 5.19%, 09/25/2049(1)(4)

    464,841  
    584,588    

Wendy’s Funding LLC 3.88%, 03/15/2048(1)

    612,934  
    388,050    

Wingstop Funding LLC 4.97%, 12/05/2048(1)

    404,531  
     

 

 

 
        13,394,627  
     

 

 

 
      Asset-Backed - Home Equity - 0.9%  
 

GSAA Home Equity Trust

 
    602,367    

1.89%, 12/25/2046, 1 mo. USD LIBOR + 0.070%(2)

    291,773  
    1,000,683    

1.90%, 02/25/2037, 1 mo. USD LIBOR + 0.080%(2)

    480,213  
    1,018,153    

2.00%, 11/25/2036, 1 mo. USD LIBOR + 0.180%(2)

    443,683  
    805,908    

2.05%, 04/25/2047, 1 mo. USD LIBOR + 0.230%(2)

    521,757  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 10.7% - (continued)  
      Asset-Backed - Home Equity - 0.9% - (continued)  
$     1,465,000    

Legacy Mortgage Asset Trust 3.25%, 06/25/2059(1)(4)

  $ 1,465,747  
    2,310,321    

Morgan Stanley Mortgage Loan Trust 1.99%, 11/25/2036, 1 mo. USD LIBOR + 0.170%(2)

    1,022,704  
   

Soundview Home Loan Trust

 
    2,251,000    

2.06%, 07/25/2036, 1 mo. USD LIBOR + 0.240%(2)

    2,111,673  
    115,000    

2.07%, 11/25/2036, 1 mo. USD LIBOR + 0.250%(2)

    108,013  
     

 

 

 
        6,445,563  
     

 

 

 
          Collateralized - Mortgage Obligations - 0.4%  
    713,806    

Homeward Opportunities Fund Trust 2.70%, 09/25/2059(1)(3)

    715,277  
    1,700,000    

Natixis Commercial Mortgage Securities Trust 4.30%, 10/15/2036(1)

    1,657,482  
     

 

 

 
        2,372,759  
     

 

 

 
          Commercial Mortgage - Backed Securities - 1.8%  
    2,260,000    

CAMB Commercial Mortgage Trust 5.17%, 12/15/2037, 1 mo. USD LIBOR + 3.250%(1)(2)

    2,284,018  
    180,000    

Citigroup Commercial Mortgage Trust 4.59%, 03/10/2047(1)(3)

    179,201  
   

Commercial Mortgage Trust

 
    380,212    

1.90%, 07/10/2046(1)(3)(5)

    2,546  
    560,000    

4.59%, 10/15/2045(1)(3)

    28,000  
    981,000    

4.75%, 10/15/2045(1)(3)

    721,565  
    5,445    

Credit Suisse First Boston Mortgage Securities Corp. 4.88%, 04/15/2037

    5,289  
   

GS Mortgage Securities Trust

 
    4,069,798    

0.08%, 07/10/2046(3)(5)

    11,996  
    368,702    

1.33%, 08/10/2044(1)(3)(5)

    6,464  
    565,333    

3.67%, 04/10/2047(1)

    201,396  
    2,190,000    

4.74%, 11/10/2045(1)(3)

    2,249,527  
    175,000    

4.97%, 04/10/2047(1)(3)

    158,262  
   

JP Morgan Chase Commercial Mortgage Securities Trust

 
    860,000    

2.73%, 10/15/2045(1)(3)

    517,195  
    485,000    

4.40%, 12/15/2047(1)(3)

    459,461  
    765,000    

5.40%, 08/15/2046(1)(3)

    782,158  
   

Morgan Stanley Capital Trust

 
    465,000    

5.25%, 07/15/2049(1)(3)

    426,229  
    4,551    

5.67%, 10/12/2052(1)(3)

    1,138  
    255,000    

MTRO Commercial Mortgage Trust 3.97%, 12/15/2033, 1 mo. USD LIBOR + 2.05%(1)(2)

    254,999  
    870,000    

VNDO Mortgage Trust 3.95%, 12/13/2029(1)(3)

    877,588  
    6,596,841    

Wells Fargo Bank N.A. 0.61%, 11/15/2062(3)(5)

    336,624  
    15,000    

Wells Fargo Commercial Mortgage Trust 4.10%, 05/15/2048(3)

    15,254  
   

WF-RBS Commercial Mortgage Trust

 
    900,599    

3.02%, 11/15/2047(1)

    482,715  
    2,125,000    

4.81%, 11/15/2045(1)(3)

    1,967,740  
    215,000    

5.00%, 06/15/2044(1)(3)

    178,856  
     

 

 

 
        12,148,221  
     

 

 

 
          Other ABS - 1.1%  
    1,548,330    

Pretium Mortgage Credit Partners LLC 3.11%, 07/27/2059(1)(4)

    1,546,887  
    1,810,000    

Vericrest Opportunity Loan Trust 5.19%, 10/25/2049(1)(4)

    1,806,283  
    1,423,000    

VOLT LXII LLC 4.63%, 09/25/2047(1)(4)

    1,421,920  
    1,570,000    

VOLT LXIV LLC 4.63%, 10/25/2047(1)(4)

    1,569,037  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  123  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 10.7% - (continued)  
          Other ABS - 1.1% - (continued)  
$     1,455,000    

VOLT LXXX LLC 5.07%, 10/25/2049(1)(4)

  $ 1,458,809  
     

 

 

 
        7,802,936  
     

 

 

 
          Whole Loan Collateral CMO - 4.2%  
   

Alternative Loan Trust

 
    249,979    

2.14%, 11/25/2035, 1 mo. USD LIBOR + 0.320%(2)

    230,390  
    155,889    

2.36%, 01/25/2036, 1 mo. USD LIBOR + 0.540%(2)

    153,661  
    861,746    

5.75%, 05/25/2036

    634,092  
    793,256    

6.00%, 05/25/2036

    642,796  
    1,216,847    

Arroyo Mortgage Trust 2.96%, 10/25/2048(1)(3)

    1,226,833  
    209,982    

Banc of America Mortgage Trust 4.03%, 09/25/2035(3)

    208,009  
    234,778    

Bear Stearns Adjustable Rate Mortgage Trust 4.27%, 10/25/2035, 12 mo. USD CMT + 2.300%(2)

    242,131  
    92,219    

Bear Stearns Alt-A Trust 2.32%, 01/25/2036, 1 mo. USD LIBOR + 0.500%(2)

    105,551  
    819,083    

Bellemeade Re Ltd. 3.02%, 10/25/2028, 1 mo. USD LIBOR + 1.200%(1)(2)

    819,475  
    883,271    

Chase Mortgage Finance Trust 5.50%, 11/25/2035

    869,322  
    528,338    

CHL Mortgage Pass-Through Trust 3.79%, 09/25/2047(3)

    504,903  
    1,100,006    

COLT Mortgage Loan Trust 2.76%, 08/25/2049(1)(3)

    1,103,636  
    106,704    

CSMC Trust 3.25%, 04/25/2047(1)(3)

    107,475  
 

Deephaven Residential Mortgage Trust

 
    32,065    

2.45%, 06/25/2047(1)(3)

    32,033  
    112,531    

2.81%, 10/25/2047(1)(3)

    112,336  
    1,896,645    

2.96%, 07/25/2059(1)(3)

    1,905,915  
 

Fannie Mae Connecticut Avenue Securities

 
    2,401,000    

4.02%, 01/25/2030, 1 mo. USD LIBOR + 2.200%(2)

    2,429,259  
    525,000    

5.37%, 07/25/2029, 1 mo. USD LIBOR + 3.550%(2)

    549,612  
    1,518,000    

6.07%, 04/25/2029, 1 mo. USD LIBOR + 4.250%(2)

    1,613,325  
    968,654    

6.17%, 05/25/2029, 1 mo. USD LIBOR + 4.350%(2)

    1,016,634  
    355,576    

6.72%, 11/25/2024, 1 mo. USD LIBOR + 4.900%(2)

    387,319  
    193,533    

7.52%, 04/25/2028, 1 mo. USD LIBOR + 5.700%(2)

    211,507  
    160,483    

7.82%, 09/25/2028, 1 mo. USD LIBOR + 6.000%(2)

    174,968  
    52,475    

GMACM Mortgage Loan Trust 4.18%, 04/19/2036(3)

    49,155  
    614,941    

GSR Mortgage Loan Trust 4.36%, 01/25/2036(3)

    625,781  
    1,549,563    

HarborView Mortgage Loan Trust 2.09%, 12/19/2036, 1 mo. USD LIBOR + 0.240%(2)

    1,482,664  
    39,174    

Impac CMB Trust 4.07%, 02/25/2036, 1 mo. USD LIBOR + 2.250%(2)

    39,890  
    468,423    

IndyMac IMSC Mortgage Loan Trust 1.97%, 03/25/2047, 1 mo. USD LIBOR + 0.150%(2)

    389,146  
 

JP Morgan Mortgage Trust

 
    218,201    

3.93%, 11/25/2035(3)

    211,849  
    320,597    

4.16%, 05/25/2036(3)

    320,040  
    47,943    

4.40%, 04/25/2037(3)

    45,002  
    1,262,606    

LSTAR Securities Investment Trust 3.73%, 03/01/2024, 1 mo. USD LIBOR + 1.700%(1)(2)

    1,258,555  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 10.7% - (continued)  
          Whole Loan Collateral CMO - 4.2% - (continued)  
$     101,869    

MASTR Adjustable Rate Mortgages Trust 4.71%, 11/21/2034(3)

  $ 104,894  
    47,363    

MFA Trust 2.59%, 02/25/2057(1)(3)

    47,124  
 

New Residential Mortgage Loan Trust

 
    162,168    

3.32%, 06/25/2057, 1 mo. USD LIBOR + 1.500%(1)(2)

    164,777  
    130,155    

3.75%, 11/26/2035(1)(3)

    135,188  
    120,522    

3.75%, 11/25/2056(1)(3)

    125,706  
    1,924,016    

3.75%, 11/25/2058(1)(3)

    2,004,624  
    185,820    

4.00%, 02/25/2057(1)(3)

    195,030  
    179,218    

4.00%, 03/25/2057(1)(3)

    188,323  
    136,188    

4.00%, 04/25/2057(1)(3)

    142,242  
    155,551    

4.00%, 05/25/2057(1)(3)

    163,327  
    323,963    

Nomura Asset Acceptance Corp. Alternative Loan Trust 4.45%, 06/25/2036(3)

    286,420  
    779,689    

PMT Credit Risk Transfer Trust 4.05%, 03/27/2024, 1 mo. USD LIBOR + 2.000%(1)(2)

    777,757  
    927,244    

Residential Accredit Loans, Inc. 3.61%, 11/25/2037(3)

    870,528  
 

Structured Agency Credit Risk Trust

 

    246,406    

3.47%, 04/25/2043, 1 mo. USD LIBOR + 1.650%(1)(2)

    247,311  
    355,000    

3.92%, 09/25/2048, 1 mo. USD LIBOR + 2.100%(1)(2)

    356,265  
    1,219,712    

Structured Asset Mortgage Investments Trust 2.05%, 02/25/2036, 1 mo. USD LIBOR + 0.230%(2)

    1,123,350  
 

Towd Point Mortgage Trust

 

    94,081    

2.25%, 04/25/2056(1)(3)

    93,870  
    86,094    

2.75%, 08/25/2055(1)(3)

    86,984  
    1,685,000    

Vericrest Opportunity Loan Trust 3.28%, 11/25/2049(1)(4)

    1,684,946  
    30,607    

WaMu Mortgage Pass-Through Certificates Trust 2.24%, 06/25/2044, 1 mo. USD LIBOR + 0.420%(2)

    30,489  
    560,344    

Washington Mutual Mortgage Pass-Through Certificates WMALT Trust 2.42%, 07/25/2036, 1 mo. USD LIBOR + 0.600%(2)

    374,860  
     

 

 

 
        28,907,279  
     

 

 

 
      Whole Loan Collateral PAC - 0.0%  
    43,797    

Alternative Loan Trust 2.32%, 12/25/2035, 1 mo. USD LIBOR + 0.500%(2)

    26,344  
     

 

 

 
   

Total Asset & Commercial Mortgage Backed Securities
(cost $73,950,242)

  $ 73,963,641  
     

 

 

 
CORPORATE BONDS - 20.3%  
          Agriculture - 0.7%      
    4,650,000    

Kernel Holding S.A. 6.50%, 10/17/2024(1)

  $ 4,668,600  
     

 

 

 
          Auto Manufacturers - 0.5%      
CAD     200,000    

Daimler Canada Finance, Inc. 1.80%, 12/16/2019

    151,806  
$     250,000    

General Motors Financial Co., Inc. 2.92%, 04/13/2020, 3 mo. USD LIBOR + 0.930%(2)

    250,521  
CAD     2,105,000    

General Motors Financial of Canada Ltd. 3.08%, 05/22/2020(6)

    1,605,145  
$     1,075,000    

Volkswagen Group of America Finance LLC 2.95%, 11/13/2020, 3 mo. USD LIBOR + 0.770%(1)(2)

    1,079,419  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  124  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 20.3% - (continued)  
          Auto Manufacturers - 0.5% - (continued)      
CAD     530,000    

VW Credit Canada, Inc. 2.47%, 03/30/2020, 3 mo. CDOR + 0.500%(2)

  $ 402,886  
     

 

 

 
        3,489,777  
     

 

 

 
          Auto Parts & Equipment - 0.2%      
EUR     750,000    

Adient Global Holdings Ltd. 3.50%, 08/15/2024(6)

    702,605  
    730,000    

Panther BF Aggregator 2 L.P. / Panther Finance Co., Inc. 4.38%, 05/15/2026(6)

    820,275  
     

 

 

 
        1,522,880  
     

 

 

 
          Beverages - 0.4%      
CAD     2,525,000    

Molson Coors International L.P. 2.75%, 09/18/2020

    1,920,273  
EUR     500,000    

Sunshine Mid B.V. 6.50%, 05/15/2026(6)

    574,828  
     

 

 

 
        2,495,101  
     

 

 

 
          Chemicals - 0.6%      
$     1,350,000    

Alpek S.A.B. de C.V. 4.25%, 09/18/2029(1)

    1,374,975  
   

Braskem Netherlands Finance B.V.

 
    200,000    

4.50%, 01/10/2028(6)

    200,700  
    905,000    

4.50%, 01/31/2030(1)

    896,855  
    395,000    

5.88%, 01/31/2050(1)

    392,551  
    200,000    

OCP S.A. 4.50%, 10/22/2025(6)

    211,443  
   

Yingde Gases Investment Ltd.

 
    200,000    

6.25%, 01/19/2023(6)

    206,279  
    530,000    

6.25%, 01/19/2023(1)

    546,640  
     

 

 

 
        3,829,443  
     

 

 

 
      Commercial Banks - 4.8%  
   

Abanca Corp. Bancaria S.A.

 
EUR     400,000    

6.13%, 01/18/2029, (6.13% fixed rate until 01/18/2024; 5 year EUR Swap + 5.927% thereafter)(6)(7)

    488,684  
    400,000    

7.50%, 10/02/2023, (7.50% fixed rate until 10/02/2023; 5 year EUR Swap + 7.326% thereafter)(6)(7)(8)

    466,195  
$     1,000,000    

Banco Bilbao Vizcaya Argentaria S.A. 6.13%, 11/16/2027, (6.13% fixed rate until 11/16/2027; 5 year USD Swap + 3.870% thereafter)(7)(8)

    983,750  
EUR     450,000    

Banco BPM S.p.A. 8.75%, 06/18/2024, (8.75% fixed rate until 06/18/2024; 5 year EUR Swap + 8.921% thereafter)(6)(7)(8)

    536,612  
    400,000    

Banco Comercial Portugues S.A. 9.25%, 01/31/2024, (9.25% fixed rate until 01/31/2024; 5 year EUR Swap + 9.414% thereafter)(6)(7)(8)

    483,937  
    600,000    

Banco de Credito Social Cooperativo S.A. 7.75%, 06/07/2027, (7.75% fixed rate until 06/07/2022; 5 year EUR Swap + 7.591% thereafter)(6)(7)

    666,155  
    200,000    

Banco de Sabadell S.A. 6.13%, 11/23/2022, (6.13% fixed rate until 11/23/2022; 5 year EUR Swap + 6.051% thereafter)(6)(7)(8)

    224,465  
   

Banco do Brasil S.A.

 
$     200,000    

4.63%, 01/15/2025, 5 year EUR Swap + 7.591%(1)

    208,900  
    225,000    

4.75%, 03/20/2024, 5 year EUR Swap + 7.591%(1)

    235,688  
    365,000    

9.00%, 06/18/2024, (9.00% fixed rate until 06/18/2024; 5 year EUR Swap + 7.362% thereafter)(6)(7)(8)

    415,735  
    900,000    

Banco Mercantil del Norte S.A. 7.50%, 06/27/2029, (7.50% fixed rate until 06/27/2029; 10 year USD CMT + 5.470% thereafter)(1)(7)(8)

    938,475  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 20.3% - (continued)  
      Commercial Banks - 4.8% - (continued)  
$     485,000    

Bank of China Hong Kong Ltd. 5.55%, 02/11/2020(6)

  $ 488,388  
    420,000    

Bank of Nova Scotia 2.75%, 12/05/2019, 3 mo. USD LIBOR + 0.620%(2)

    420,327  
EUR     480,000    

Barclays plc 2.00%, 02/07/2028, (2.00% fixed rate until 02/07/2023; 5 year EUR Swap + 1.900% thereafter)(6)(7)

    539,368  
   

BBVA Bancomer S.A.

 
$     520,000    

5.13%, 01/18/2033, (5.13% fixed rate until 01/17/2028; 12 mo. USD CMT + 2.650% thereafter)(1)(7)

    506,355  
    350,000    

5.88%, 09/13/2034, (5.88% fixed rate until 09/13/2029; 5 year USD CMT + 4.308% thereafter)(1)(7)

    355,600  
EUR     400,000    

Caixa Geral de Depositos S.A. 10.75%, 03/30/2022, (10.8% fixed rate until 03/30/2022; 5 year EUR Swap + 10.925% thereafter)(6)(7)(8)

    521,378  
$     275,000    

Capital One Financial Corp. 2.94%, 05/12/2020, 3 mo. USD LIBOR + 0.760%(2)

    275,743  
    590,000    

Citigroup, Inc. 2.80%, 01/10/2020, 3 mo. USD LIBOR + 0.790%(2)

    590,499  
    495,000    

Credit Agricole S.A. 6.88%, 09/23/2024, (6.88% fixed rate until 09/23/2024; 5 year USD Swap + 4.319% thereafter)(6)(7)(8)

    538,313  
EUR     400,000    

Credit Mutuel Arkea S.A. 3.38%, 03/11/2031(6)

    518,224  
$     2,590,000    

Credit Suisse Group AG 6.25%, 12/18/2024, (6.25% fixed rate until 12/18/2024; 5 year USD Swap + 3.455% thereafter)(1)(7)(8)

    2,761,588  
    950,000    

Credit Suisse Group Funding Guernsey Ltd. 4.29%, 04/16/2021, 3 mo. USD LIBOR + 2.290%(2)

    975,128  
   

Danske Bank A/S

 
    1,065,000    

5.00%, 01/12/2022(1)

    1,122,073  
    1,665,000    

5.38%, 01/12/2024(1)

    1,834,979  
    730,000    

7.00%, 06/26/2025, (7.00% fixed rate until 06/26/2025; 12 mo. USD CMT + 4.13% thereafter)(6)(7)(8)

    775,625  
EUR     600,000    

Erste Group Bank AG 6.50%, 04/15/2024, (6.50% fixed rate until 04/15/2024; 5 year EUR Swap + 6.204% thereafter)(6)(7)(8)

    768,921  
$     200,000    

Goldman Sachs Bank USA 2.59%, 05/24/2021, 3 mo. SOFRRATE + 0.600%(2)

    200,202  
    200,000    

Grupo Aval Ltd. 4.75%, 09/26/2022(6)

    207,460  
EUR     300,000    

IKB Deutsche Industriebank AG 4.00%, 01/31/2028, (4.00% fixed rate until 01/31/2023; 5 year EUR Swap + 3.617% thereafter)(6)(7)

    319,159  
   

Industrial & Commercial Bank of China Ltd.

 
$     400,000    

2.75%, 04/16/2021, 3 mo. USD LIBOR + 0.750%(2)(6)

    400,379  
    488,000    

2.77%, 10/12/2020, 3 mo. USD LIBOR + 0.770%(2)(6)

    488,708  
    400,000    

2.85%, 06/14/2021, 3 mo. USD LIBOR + 0.730%(2)(6)

    400,523  
    200,000    

4.88%, 09/21/2025(6)

    219,186  
    475,000    

ING Groep N.V. 6.50%, 04/16/2025, (6.50% fixed rate until 04/16/2025; 5 year USD Swap + 4.446% thereafter)(7)(8)

    504,640  
    500,000    

Itau Unibanco Holding S.A. 6.13%, 12/12/2022, (6.13% fixed rate until 12/12/2022; 5 year USD CMT + 3.981% thereafter)(1)(7)(8)

    515,350  
GBP     915,000    

Metro Bank plc 5.50%, 06/26/2028, (5.50% fixed rate until 06/26/2023; GUKG5 + 4.458% thereafter)(6)(7)

    922,714  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  125  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 20.3% - (continued)  
      Commercial Banks - 4.8% - (continued)  
$     840,000    

Morgan Stanley 3.08%, 01/27/2020, 3 mo. USD LIBOR + 1.140%(2)

  $ 841,914  
   

Novo Banco S.A.

 
EUR     365,000    

3.50%, 01/23/2043

    401,996  
    570,000    

3.50%, 02/19/2043(6)

    627,774  
    775,000    

3.50%, 03/18/2043(6)

    852,180  
    300,000    

8.50%, 07/06/2028, (8.50% fixed rate until 07/06/2023; 5 year EUR Swap + 8.233% thereafter)(6)(7)

    356,084  
   

Raiffeisen Bank International AG

 
    500,000    

6.00%, 10/16/2023(6)

    670,895  
    600,000    

6.13%, 12/15/2022, (6.13% fixed rate until 12/15/2022; 12 year EUR Swap + 5.954% thereafter)(6)(7)(8)

    714,349  
$     1,100,000    

UBS Group Funding Switzerland AG 7.00%, 02/19/2025, (7.00% fixed rate until 02/19/2025; 5 year USD Swap + 4.866% thereafter)(6)(7)(8)

    1,226,500  
   

UniCredit S.p.A.

 
    520,000    

5.86%, 06/19/2032, (5.86% fixed rate until 06/19/2027; 5 year USD ICE Swap + 3.703% thereafter)(6)(7)

    540,612  
    2,970,000    

6.57%, 01/14/2022(1)

    3,197,483  
EUR     400,000    

Volksbank Wien AG 7.75%, 04/09/2024, (7.75% fixed rate until 04/09/2024; EUAMDB05 + 7.880% thereafter)(6)(7)(8)

    478,901  
$     425,000    

Westpac Banking Corp. 2.44%, 05/15/2020, 3 mo. USD LIBOR + 0.280%(2)

    425,573  
     

 

 

 
    33,153,687  
     

 

 

 
      Commercial Services - 0.8%  
GBP     470,000    

AA Bond Co., Ltd. 6.27%, 01/01/1900(6)

    631,085  
EUR     500,000    

Algeco Global Finance plc 6.50%, 02/15/2023(6)

    554,918  
$     1,520,000    

Atento Luxco 1 S.A. 6.13%, 08/10/2022(1)

    1,550,400  
IDR     4,400,000,000    

Jasa Marga Persero Tbk PT 7.50%, 12/11/2020(1)

    309,300  
EUR     1,035,000    

La Financiere Atalian SASU 4.00%, 05/15/2024(6)

    767,402  
CAD     900,000    

Penske Truck Leasing Canada, Inc. 2.95%, 06/12/2020

    686,517  
EUR     525,000    

Refinitiv U.S. Holdings, Inc. 6.88%, 11/15/2026(6)

    661,875  
     

 

 

 
    5,161,497  
     

 

 

 
      Diversified Financial Services - 0.2%  
INR     8,100,000    

International Finance Corp, 5.85%, 11/25/2022

    112,640  
EUR     495,000    

LeasePlan Corp. N.V. 7.38%, 05/29/2024, (7.38% fixed rate until 05/29/2024; EUAMDB05 + 7.556% thereafter)(6)(7)(8)

    602,235  
    440,000    

LHC3 plc 4.13%, 08/15/2024(6)(9)

    505,379  
$     240,000    

Minejesa Capital B.V. 5.63%, 08/10/2037

    263,600  
    200,000    

Unifin Financiera S.A.B. de C.V. 7.00%, 01/15/2025(6)

    200,020  
     

 

 

 
    1,683,874  
     

 

 

 
      Electric - 1.0%  
 

Abu Dhabi National Energy Co. PJSC

 
    225,000    

4.38%, 04/23/2025(6)

    241,312  
    200,000    

4.88%, 04/23/2030(1)

    226,348  
    310,000    

Emera U.S. Finance L.P. 4.75%, 06/15/2046

    363,892  
    1,200,000    

Eskom Holdings SOC Ltd. 5.75%, 01/26/2021(6)

    1,207,752  
    250,000    

Georgia Power Co. 4.75%, 09/01/2040

    289,387  
    200,000    

Instituto Costarricense de Electricidad 6.95%, 11/10/2021(6)

    203,002  
    800,000    

Israel Electric Corp. Ltd. 4.25%, 08/14/2028(1)(6)

    867,928  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 20.3% - (continued)  
      Electric - 1.0% - (continued)  
 

Mong Duong Finance Holdings B.V.

 
$     2,205,000    

5.13%, 05/07/2029(1)

  $ 2,242,474  
    300,000    

5.13%, 05/07/2029

    305,099  
    1,035,000    

Termocandelaria Power Ltd. 7.88%, 01/30/2029(1)

    1,135,923  
     

 

 

 
    7,083,117  
     

 

 

 
      Energy-Alternate Sources - 0.4%  
    2,760,000    

Adani Green Energy (UP) Ltd. 6.25%, 12/10/2024(1)

    2,925,710  
     

 

 

 
      Engineering & Construction - 1.1%  
    200,000    

Aeropuerto Internacional de Tocumen S.A. 6.00%, 11/18/2048(6)

    249,000  
    785,000    

Aeropuertos Dominicanos Siglo S.A. 6.75%, 03/30/2029(6)

    834,062  
    395,000    

Bioceanico Sovereign Certificate Ltd. 0.00%, 06/05/2034(1)(10)

    273,538  
 

IHS Netherlands Holdco B.V.

 
    420,000    

7.13%, 03/18/2025(1)

    433,734  
    1,915,000    

8.00%, 09/18/2027(1)

    2,001,558  
    2,940,000    

International Airport Finance S.A. 12.00%, 03/15/2033(1)(11)

    3,170,790  
    200,000    

Mexico City Airport Trust 4.25%, 10/31/2026(6)

    204,500  
    265,000    

SBA Tower Trust 3.17%, 04/11/2022(1)

    268,515  
     

 

 

 
    7,435,697  
     

 

 

 
      Entertainment - 0.2%  
EUR     550,000    

Scientific Games International, Inc. 5.50%, 02/15/2026(6)

    598,043  
GBP     475,000    

William Hill plc 4.75%, 05/01/2026(6)

    644,772  
     

 

 

 
    1,242,815  
     

 

 

 
      Food - 0.9%  
$     1,230,000    

BRF S.A. 4.88%, 01/24/2030(1)

    1,226,802  
    500,000    

Conagra Brands, Inc. 2.70%, 10/22/2020, 3 mo. USD LIBOR + 0.750%(2)

    500,040  
    1,330,000    

Minerva Luxembourg S.A. 6.50%, 09/20/2026(6)

    1,388,187  
    2,980,000    

NBM U.S. Holdings, Inc. 6.63%, 08/06/2029(1)

    3,103,297  
     

 

 

 
    6,218,326  
     

 

 

 
      Forest Products & Paper - 0.1%  
 

Celulosa Arauco y Constitucion S.A.

 

    200,000    

4.20%, 01/29/2030(1)

    199,600  
    200,000    

4.50%, 08/01/2024

    208,002  
    200,000    

Suzano Austria GmbH 7.00%, 03/16/2047(1)

    232,500  
     

 

 

 
    640,102  
     

 

 

 
      Healthcare-Services - 0.2%  
EUR     525,000    

Constantin Investissement SASU 5.38%, 04/15/2025(6)

    601,634  
$     400,000    

Rede D’or Finance S.a.r.l. 4.95%, 01/17/2028(1)

    404,500  
     

 

 

 
    1,006,134  
     

 

 

 
      Household Products/Wares - 0.1%  
EUR     580,000    

Diamond (BC) B.V. 5.63%, 08/15/2025(6)

    592,019  
     

 

 

 
      Housewares - 0.1%  
$     800,000    

Turkiye Sise ve Cam Fabrikalari AS 6.95%, 03/14/2026(6)

    832,000  
     

 

 

 
          Insurance - 0.3%  
EUR     43,000    

Aegon N.V. 0.23%, 01/15/2020, 10 year GNTH + 0.100%(2)(8)

    37,026  
    525,000    

Assicurazioni Generali S.p.A. 5.50%, 10/27/2047, (5.50% fixed rate until 10/27/2027; 3 mo. EURIBOR + 5.350% thereafter)(6)(7)

    704,102  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  126  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 20.3% - (continued)  
          Insurance - 0.3% - (continued)  
EUR     425,000    

AXA S.A. 3.38%, 07/06/2047, (3.38% fixed rate until 07/06/2027; 3 mo. EURIBOR + 3.750% thereafter)(6)(7)

  $ 539,979  
    700,000    

Intesa Sanpaolo Vita S.p.A. 4.75%, 12/17/2024, (4.75% fixed rate until 12/17/2024; 6 Mo. EUR LIBOR + 4.817% thereafter)(6)(7)(8)

    843,120  
     

 

 

 
    2,124,227  
     

 

 

 
      Investment Company Security - 0.4%  
$     2,930,000    

Greenko Mauritius Ltd. 6.25%, 02/21/2023(1)

    2,976,207  
     

 

 

 
          Iron/Steel - 1.4%  
   

CSN Resources S.A.

 
    350,000    

7.63%, 02/13/2023(1)

    362,600  
    1,321,000    

7.63%, 04/17/2026(1)

    1,340,815  
    1,425,000    

JSW Steel Ltd. 5.95%, 04/18/2024(6)

    1,459,077  
 

Metinvest B.V.

 
EUR     1,825,000    

5.63%, 06/17/2025(1)

    2,020,360  
$     4,730,000    

7.75%, 10/17/2029(1)

    4,676,078  
     

 

 

 
    9,858,930  
     

 

 

 
      Leisure Time - 0.0%  
GBP     220,000    

Saga plc 3.38%, 05/12/2024(6)

    244,972  
     

 

 

 
      Machinery-Diversified - 0.0%  
$     100,000    

John Deere Capital Corp. 2.22%, 01/07/2020, 3 mo. USD LIBOR + 0.180%(2)

    100,057  
     

 

 

 
          Media - 0.2%  
EUR     625,000    

Altice Luxembourg S.A. 6.25%, 02/15/2025(6)

    724,054  
$     500,000    

Discovery Communications LLC 2.80%, 06/15/2020

    502,145  
     

 

 

 
    1,226,199  
     

 

 

 
          Mining - 0.2%  
    200,000    

Corp. Nacional del Cobre de Chile 3.70%, 01/30/2050(1)

    198,182  
 

Gold Fields Orogen Holdings BVI Ltd.

 
    430,000    

5.13%, 05/15/2024(1)

    454,725  
    450,000    

6.13%, 05/15/2029(1)

    508,500  
    200,000    

MMC Norilsk Nickel OJSC Via MMC Finance DAC 3.38%, 10/28/2024(1)

    200,518  
     

 

 

 
    1,361,925  
     

 

 

 
      Multi-National - 0.0%  
INR     9,490,000    

International Finance Corp. 7.10%, 03/21/2031

    139,370  
     

 

 

 
      Oil & Gas - 2.6%  
 

Canadian Natural Resources Ltd.

 
CAD     2,605,000    

2.05%, 06/01/2020

    1,977,217  
    970,000    

2.60%, 12/03/2019

    736,768  
    430,000    

2.89%, 08/14/2020

    328,313  
$     345,000    

CNOOC Finance Ltd. 2.88%, 09/30/2029

    343,490  
    115,000    

Ecopetrol S.A. 5.88%, 09/18/2023

    127,472  
    375,000    

Frontera Energy Corp. 9.70%, 06/25/2023(1)(11)

    399,375  
 

Hunt Oil Co. of Peru LLC Sucursal Del Peru

 
    440,000    

6.38%, 06/01/2028(6)

    484,550  
    570,000    

6.38%, 06/01/2028(1)

    627,712  
    3,090,000    

Medco Oak Tree Pte Ltd. 7.38%, 05/14/2026(1)

    3,145,764  
    950,000    

Occidental Petroleum Corp. 3.14%, 02/08/2021, 3 mo. USD LIBOR + 0.950%(2)

    956,621  
    1,005,000    

Petrobras Global Finance B.V. 5.09%, 01/15/2030(1)

    1,065,049  
 

Petroleos de Venezuela S.A.

 
    290,000    

6.00%, 05/16/2024(12)

    17,400  
    125,000    

9.00%, 11/17/2021(12)

    7,500  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 20.3% - (continued)  
      Oil & Gas - 2.6% - (continued)  
 

Petroleos Mexicanos

 
$     165,000    

5.35%, 02/12/2028

  $ 162,938  
    60,000    

6.50%, 03/13/2027

    63,600  
    385,000    

6.50%, 01/23/2029

    401,555  
    1,515,000    

6.84%, 01/23/2030(1)

    1,617,262  
    1,712,000    

7.69%, 01/23/2050(1)

    1,860,328  
    600,000    

Saudi Arabian Oil Co. 2.75%, 04/16/2022(1)

    606,786  
    640,000    

Sinopec Group Overseas Development Ltd. 2.50%, 08/08/2024(1)

    637,929  
    350,000    

State Oil Co. of the Azerbaijan Republic 6.95%, 03/18/2030(6)

    420,000  
    1,500,000    

Tullow Oil plc 7.00%, 03/01/2025(1)

    1,546,875  
 

YPF S.A.

 
    470,000    

7.00%, 12/15/2047(1)

    333,705  
ARS     27,918,777    

16.50%, 05/09/2022(1)

    159,341  
     

 

 

 
    18,027,550  
     

 

 

 
          Pharmaceuticals - 0.5%  
$     430,000    

Cigna Corp. 2.49%, 03/17/2020, 3 mo. USD LIBOR + 0.350%(2)

    430,158  
 

Teva Pharmaceutical Finance Netherlands B.V.

 
EUR     750,000    

4.50%, 03/01/2025

    774,218  
$     2,570,000    

6.00%, 04/15/2024

    2,412,587  
     

 

 

 
    3,616,963  
     

 

 

 
      Pipelines - 0.2%  
CAD     305,000    

Enbridge, Inc. 4.53%, 03/09/2020

    233,438  
$     140,000    

MPLX L.P. 3.00%, 09/09/2021, 3 mo. USD LIBOR + 0.900%(2)

    140,563  
    400,000    

Peru LNG Srl 5.38%, 03/22/2030(1)

    409,600  
    200,000    

Transportadora de Gas Internacional S.A. ESP 5.55%, 11/01/2028(1)

    231,250  
     

 

 

 
    1,014,851  
     

 

 

 
      Real Estate Investment Trusts - 0.2%  
 

Trust F

 

    835,000    

4.87%, 01/15/2030(1)

    870,488  
    580,000    

6.39%, 01/15/2050(1)

    618,309  
     

 

 

 
    1,488,797  
     

 

 

 
      Retail - 0.4%  
CAD     2,130,000    

Alimentation Couche-Tard, Inc. 3.32%, 11/01/2019

    1,617,238  
 

Eurotorg LLC Via Bonitron DAC

 
$     400,000    

8.75%, 10/30/2022(6)

    430,000  
    945,000    

8.75%, 10/30/2022(1)(11)

    1,015,875  
     

 

 

 
    3,063,113  
     

 

 

 
      Telecommunications - 1.5%  
EUR     575,000    

Altice France S.A. 5.88%, 02/01/2027(6)

    706,994  
 

AT&T, Inc.

 

$     420,000    

2.65%, 01/15/2020, 3 mo. USD LIBOR + 0.650%(2)

    420,568  
    755,000    

2.89%, 06/01/2021, 3 mo. USD LIBOR + 0.750%(2)

    758,331  
    200,000    

Millicom International Cellular S.A. 5.13%, 01/15/2028(1)

    206,000  
    1,640,000    

Network i2i Ltd. 5.65%, 01/15/2025, (5.65% fixed rate until 01/15/2025; 12 mo. USD CMT + 4.278% thereafter)(1)(7)(8)

    1,544,880  
    1,270,000    

SoftBank Group Corp. 6.00%, 07/19/2023, (6.00% fixed rate until 07/19/2023; 5 year USD ICE Swap + 4.226% thereafter)(6)(7)(8)

    1,193,800  
    2,130,000    

Telecom Argentina S.A. 8.00%, 07/18/2026(1)

    1,904,241  
    1,390,000    

Telefonica Celular del Paraguay S.A. 5.88%, 04/15/2027(1)

    1,497,114  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  127  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 20.3% - (continued)  
      Telecommunications - 1.4% - (continued)  
$     536,000    

Verizon Communications, Inc. 2.70%, 05/22/2020, 3 mo. USD LIBOR + 0.550%(2)

  $ 537,477  
    1,235,000    

Vodafone Group plc 7.00%, 04/04/2079, (7.00% fixed rate until 01/04/2029; 5 year USD Swap + 4.873% thereafter)(7)

    1,430,572  
     

 

 

 
    10,199,977  
     

 

 

 
      Transportation - 0.1%  
    200,000    

Lima Metro Line 2 Finance Ltd. 4.35%, 04/05/2036(1)

    212,500  
 

Rumo Luxembourg S.a.r.l.

 
    200,000    

5.88%, 01/18/2025(6)

    212,000  
    365,000    

7.38%, 02/09/2024(6)

    393,762  
     

 

 

 
    818,262  
     

 

 

 
 

Total Corporate Bonds
(cost $138,610,452)

  $ 140,242,179  
     

 

 

 
FOREIGN GOVERNMENT OBLIGATIONS - 20.5%  
      Angola - 0.0%  
$     200,000    

Angolan Government International Bond 9.38%, 05/08/2048(6)

  $ 211,290  
     

 

 

 
      Argentina - 1.2%  
 

Argentine Republic Government International Bond

 
CHF     1,480,000    

3.38%, 10/12/2020(6)

    742,625  
EUR     100,000    

3.38%, 01/15/2023

    42,158  
    1,480,000    

3.38%, 12/31/2038

    643,751  
$     2,140,000    

3.75%, 12/31/2038

    853,860  
    30,000    

4.63%, 01/11/2023

    12,000  
EUR     820,000    

5.25%, 01/15/2028

    345,241  
$     160,000    

5.63%, 01/26/2022

    67,200  
    2,698,000    

5.88%, 01/11/2028

    1,025,267  
    962,000    

6.63%, 07/06/2028

    372,775  
    225,000    

6.88%, 04/22/2021

    101,815  
    2,605,000    

6.88%, 01/26/2027

    1,022,489  
    1,325,000    

6.88%, 01/11/2048

    516,763  
    275,000    

7.13%, 07/06/2036

    107,253  
    335,000    

7.50%, 04/22/2026

    142,043  
    134,000    

Autonomous City of Buenos Aires Argentina 8.95%, 02/19/2021(6)

    120,601  
    4,700,000    

Bonos De La Nacion Argentina En Moneda Dua 4.50%, 02/13/2020

    1,600,938  
 

Provincia de Cordoba

 
    300,000    

7.13%, 08/01/2027

    189,003  
    150,000    

7.45%, 09/01/2024(6)

    95,402  
     

 

 

 
    8,001,184  
     

 

 

 
      Armenia - 0.0%  
    250,000    

Republic of Armenia International Bond 7.15%, 03/26/2025(6)

    290,591  
     

 

 

 
      Azerbaijan - 0.3%  
 

Republic of Azerbaijan International Bond

 
    375,000    

3.50%, 09/01/2032(6)

    363,277  
    580,000    

4.75%, 03/18/2024(6)

    614,052  
    830,000    

Southern Gas Corridor CJSC 6.88%, 03/24/2026(6)

    966,950  
     

 

 

 
    1,944,279  
     

 

 

 
      Bahrain - 0.2%  
    1,635,000    

Bahrain Government International Bond 5.63%, 09/30/2031(1)

    1,715,501  
     

 

 

 
      Bermuda - 0.0%  
    200,000    

Bermuda Government International Bond 4.75%, 02/15/2029(1)

    226,000  
     

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 20.5% - (continued)  
      Brazil - 0.6%  
BRL     3,126,000    

Brazil Letras do Tesouro Nacional 0.00%, 01/01/2020(10)

  $ 773,547  
 

Brazil Notas do Tesouro Nacional

 
    1,164,000    

10.00%, 01/01/2021

    308,273  
    4,061,000    

10.00%, 01/01/2023

    1,146,245  
    826,000    

10.00%, 01/01/2029

    254,064  
 

Brazilian Government International Bond

 
$     205,000    

4.50%, 05/30/2029

    215,867  
    925,000    

4.63%, 01/13/2028

    989,759  
    255,000    

5.00%, 01/27/2045

    265,075  
     

 

 

 
    3,952,830  
     

 

 

 
      Canada - 0.2%  
   

Province of Manitoba Canada Treasury Bill

 
CAD     500,000    

0.00%, 11/20/2019(10)

    379,261  
    1,475,000    

0.00%, 01/02/2020(10)

    1,116,458  
     

 

 

 
    1,495,719  
     

 

 

 
          Colombia - 0.4%  
$     735,000    

Colombia Government International Bond 5.00%, 06/15/2045

    855,540  
 

Colombian TES

 
COP     995,700,000    

7.50%, 08/26/2026

    326,149  
    5,216,700,000    

10.00%, 07/24/2024

    1,850,852  
     

 

 

 
    3,032,541  
     

 

 

 
      Croatia - 0.0%  
$     200,000    

Croatia Government International Bond 5.50%, 04/04/2023(6)

    220,981  
     

 

 

 
      Dominican Republic - 0.4%  
   

Dominican Republic International Bond

 
    160,000    

5.50%, 01/27/2025(6)

    170,602  
    2,460,000    

6.40%, 06/05/2049(1)

    2,666,049  
     

 

 

 
    2,836,651  
     

 

 

 
      Ecuador - 0.0%  
    200,000    

Ecuador Government International Bond 9.50%, 03/27/2030(1)

    192,500  
     

 

 

 
      Egypt - 0.3%  
 

Egypt Government International Bond

 
    480,000    

5.58%, 02/21/2023(1)

    491,940  
EUR     100,000    

6.38%, 04/11/2031(1)

    115,852  
$     300,000    

6.59%, 02/21/2028(1)

    305,250  
    400,000    

7.60%, 03/01/2029(1)

    422,779  
    200,000    

7.60%, 03/01/2029(6)

    211,390  
    215,000    

7.90%, 02/21/2048(6)

    215,144  
    495,000    

8.50%, 01/31/2047(6)

    520,369  
     

 

 

 
    2,282,724  
     

 

 

 
      El Salvador - 0.1%  
    640,000    

El Salvador Republic Government Bond 7.13%, 01/20/2050(1)

    649,280  
     

 

 

 
      Ethiopia - 0.1%  
    405,000    

Ethiopia International Bond 6.63%, 12/11/2024(6)

    424,238  
     

 

 

 
      France - 0.0%  
    250,000    

Dexia Credit Local S.A. 2.45%, 09/04/2020, 3 mo. USD LIBOR +0.32%(2)(6)

    250,513  
     

 

 

 
      Gabon - 0.1%  
 

Gabon Government International Bond

 
    200,000    

6.38%, 12/12/2024(6)

    198,940  
    200,000    

6.95%, 06/16/2025(6)

    201,750  
     

 

 

 
    400,690  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  128  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 20.5% - (continued)  
      Ghana - 0.3%  
   

Ghana Government International Bond

 
$     1,140,000    

7.63%, 05/16/2029(6)

  $ 1,150,659  
    600,000    

8.13%, 01/18/2026(6)

    635,784  
     

 

 

 
    1,786,443  
     

 

 

 
      Greece - 0.1%  
EUR     380,000    

Hellenic Republic Government Bond 3.50%, 01/30/2023(6)

    467,488  
     

 

 

 
      Hungary - 0.1%  
$     526,000    

Hungary Government International Bond 5.75%, 11/22/2023

    594,275  
     

 

 

 
      India - 0.1%  
INR     27,270,000    

India Government Bond 8.15%, 11/24/2026

    415,652  
     

 

 

 
      Indonesia - 0.6%  
   

Indonesia Government International Bond

 

$     420,000    

4.63%, 04/15/2043(6)

    466,054  
    1,395,000    

4.75%, 01/08/2026(6)

    1,537,594  
    590,000    

5.13%, 01/15/2045(6)

    700,730  
    430,000    

6.63%, 02/17/2037(6)

    577,379  
IDR     8,048,000,000    

Indonesia Treasury Bond 8.38%, 09/15/2026

    626,386  
   

Perusahaan Penerbit SBSN Indonesia III

 
$     280,000    

4.15%, 03/29/2027(6)

    299,600  
    200,000    

4.33%, 05/28/2025(6)

    215,000  
     

 

 

 
    4,422,743  
     

 

 

 
          Italy - 0.4%  
   

Italy Buoni Ordinari del Tesoro BOT

 
EUR     1,085,000    

0.00%, 01/14/2020(6)(10)

    1,210,943  
    1,085,000    

0.00%, 03/13/2020(6)(10)

    1,211,304  
    140,000    

Italy Buoni Poliennali Del Tesoro 1.05%, 12/01/2019

    156,270  
     

 

 

 
    2,578,517  
     

 

 

 
          Ivory Coast - 0.4%  
   

Ivory Coast Government International Bond

 
    105,000    

5.25%, 03/22/2030(6)

    115,789  
    1,095,000    

5.88%, 10/17/2031(1)

    1,235,627  
$     200,000    

6.13%, 06/15/2033(6)

    196,040  
EUR     1,070,000    

6.63%, 03/22/2048(6)

    1,175,852  
     

 

 

 
    2,723,308  
     

 

 

 
          Jamaica - 0.0%  
$     195,000    

Jamaica Government International Bond 8.00%, 03/15/2039

    258,133  
     

 

 

 
          Japan - 5.0%  
    500,000    

Japan Bank for International Cooperation 2.62%, 06/01/2020, 3 mo. USD LIBOR + 0.480%(2)

    501,275  
   

Japan Treasury Discount Bill

 
JPY     428,200,000    

0.00%, 11/11/2019(10)

    3,965,265  
    563,800,000    

0.00%, 11/18/2019(10)

    5,221,106  
    380,900,000    

0.00%, 11/25/2019(10)

    3,527,467  
    300,000,000    

0.00%, 12/02/2019(10)

    2,778,367  
    500,000,000    

0.00%, 12/09/2019(10)

    4,630,778  
    499,750,000    

0.00%, 01/08/2020(10)

    4,629,310  
    249,500,000    

0.00%, 01/27/2020(10)

    2,311,500  
    671,050,000    

0.00%, 02/03/2020(10)

    6,217,256  
    75,000,000    

0.00%, 03/10/2020(10)

    695,026  
     

 

 

 
    34,477,350  
     

 

 

 
          Jordan - 0.0%  
$     200,000    

Jordan Government International Bond 7.38%, 10/10/2047(6)

    210,570  
     

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 20.5% - (continued)  
          Kenya - 0.1%  
   

Kenya Government International Bond

 
$     225,000    

7.00%, 05/22/2027(1)

  $ 235,749  
    265,000    

7.00%, 05/22/2027(6)

    277,659  
     

 

 

 
    513,408  
     

 

 

 
          Macedonia - 0.1%  
EUR     405,000    

Former Yugoslav Republic of Macedonia 3.98%, 07/24/2021(6)

    477,778  
     

 

 

 
          Malaysia - 0.3%  
   

Malaysia Government Bond

 
MYR     3,060,000    

3.76%, 04/20/2023

    743,647  
    1,266,000    

3.80%, 09/30/2022

    307,935  
    4,725,000    

4.05%, 09/30/2021

    1,150,227  
     

 

 

 
    2,201,809  
     

 

 

 
          Mexico - 0.7%  
   

Mexican Bonos

 

MXN     9,936,900    

7.50%, 06/03/2027

    539,779  
    6,121,800    

7.75%, 05/29/2031

    340,334  
   

Mexico Government International Bond

 
$     215,000    

3.75%, 01/11/2028

    224,138  
    200,000    

4.50%, 04/22/2029

    220,002  
    3,195,000    

4.50%, 01/31/2050

    3,395,039  
     

 

 

 
    4,719,292  
     

 

 

 
          Morocco - 0.1%  
   

Morocco Government International Bond

 
    220,000    

4.25%, 12/11/2022(6)

    230,444  
    200,000    

5.50%, 12/11/2042(6)

    240,697  
     

 

 

 
    471,141  
     

 

 

 
          Oman - 0.3%  
   

Oman Government International Bond

 
    200,000    

4.88%, 02/01/2025(6)

    200,935  
    200,000    

6.00%, 08/01/2029(1)

    199,750  
    620,000    

6.50%, 03/08/2047(6)

    573,500  
    680,000    

6.75%, 01/17/2048(6)

    637,500  
    615,000    

6.75%, 01/17/2048(1)

    576,563  
     

 

 

 
    2,188,248  
     

 

 

 
          Pakistan - 0.0%  
    200,000    

Second Pakistan International Sukuk Co., Ltd. 6.75%, 12/03/2019(6)

    200,032  
     

 

 

 
          Panama - 0.1%  
    210,000    

Panama Government International Bond 3.16%, 01/23/2030

    216,825  
    295,000    

Panama Notas del Tesoro 3.75%, 04/17/2026(1)

    307,242  
     

 

 

 
    524,067  
     

 

 

 
          Paraguay - 0.0%  
    200,000    

Paraguay Government International Bond 5.60%, 03/13/2048(1)

    230,502  
     

 

 

 
          Poland - 0.3%  
   

Republic of Poland Government Bond

 
PLN     4,613,000    

2.00%, 04/25/2021

    1,218,615  
    1,185,000    

3.25%, 07/25/2025

    333,957  
    2,270,000    

4.00%, 10/25/2023

    646,566  
     

 

 

 
    2,199,138  
     

 

 

 
          Qatar - 0.2%  
   

Qatar Government International Bond

 
$     710,000    

2.38%, 06/02/2021(6)

    711,775  
    405,000    

4.00%, 03/14/2029(1)

    449,047  
    455,000    

4.50%, 04/23/2028(6)

    519,874  
     

 

 

 
    1,680,696  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  129  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 20.5% - (continued)  
          Romania - 0.9%  
   

Romanian Government International Bond

 
EUR     255,000    

2.12%, 07/16/2031(1)

  $ 294,355  
    45,000    

2.50%, 02/08/2030(1)

    54,969  
    181,000    

2.50%, 02/08/2030(6)

    221,097  
    130,000    

3.38%, 02/08/2038(6)

    164,026  
    55,000    

3.38%, 02/08/2038(1)

    69,396  
    1,130,000    

3.88%, 10/29/2035(6)

    1,500,705  
    752,000    

4.63%, 04/03/2049(1)

    1,091,156  
    1,545,000    

4.63%, 04/03/2049(6)

    2,241,802  
$     484,000    

6.13%, 01/22/2044(6)

    628,474  
     

 

 

 
    6,265,980  
     

 

 

 
          Russia - 1.6%  
   

Russian Federal Bond - OFZ

 
RUB     15,115,000    

6.90%, 05/23/2029

    244,468  
    55,750,000    

7.00%, 08/16/2023

    897,251  
    29,007,000    

7.10%, 10/16/2024

    470,970  
    51,910,000    

7.75%, 09/16/2026

    877,951  
    18,650,000    

7.95%, 10/07/2026

    318,047  
   

Russian Foreign Bond - Eurobond

 
    400,000    

4.25%, 06/23/2027(1)

    428,605  
    1,000,000    

4.25%, 06/23/2027(6)

    1,071,512  
    600,000    

4.38%, 03/21/2029(6)

    648,898  
    600,000    

4.38%, 03/21/2029(1)

    648,898  
    2,000,000    

4.75%, 05/27/2026(6)

    2,199,192  
    600,000    

5.10%, 03/28/2035(1)

    689,917  
    1,200,000    

5.10%, 03/28/2035(6)

    1,379,834  
    1,200,000    

5.25%, 06/23/2047(6)

    1,433,160  
     

 

 

 
    11,308,703  
     

 

 

 
          Senegal - 0.2%  
   

Senegal Government International Bond

 
    200,000    

6.25%, 05/23/2033(1)

    204,155  
    1,205,000    

6.25%, 05/23/2033(6)

    1,230,030  
     

 

 

 
    1,434,185  
     

 

 

 
          South Africa - 0.4%  
   

Republic of South Africa Government Bond

 
ZAR     31,595,000    

6.25%, 03/31/2036

    1,494,078  
    8,015,000    

7.75%, 02/28/2023

    533,873  
    2,965,000    

8.25%, 03/31/2032

    177,664  
$     345,000    

Republic of South Africa Government International Bond 5.75%, 09/30/2049

    333,829  
     

 

 

 
    2,539,444  
     

 

 

 
          South Korea - 0.5%  
    1,000,000    

Export-Import Bank of Korea 2.71%, 06/01/2021, 3 mo. USD LIBOR + 0.575%(2)

    1,003,806  
   

Korea Development Bank

 
    900,000    

2.58%, 02/27/2020, 3 mo. USD LIBOR + 0.450%(2)

    900,644  
    1,500,000    

2.67%, 03/12/2021, 3 mo. USD LIBOR + 0.550%(2)

    1,503,956  
     

 

 

 
    3,408,406  
     

 

 

 
          Supranational - 0.7%  
IDR     21,407,000,000    

European Bank for Reconstruction & Development 6.45%, 12/13/2022

    1,526,109  
    300,000,000    

International Bank for Reconstruction & Development 7.45%, 08/20/2021

    21,613  
   

International Finance Corp.

 
MXN     22,900,000    

0.00%, 02/22/2038(10)

    333,491  
INR     83,250,000    

6.30%, 11/25/2024

    1,176,295  
INR     22,830,000    

6.45%, 08/10/2020

    321,941  
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 20.5% - (continued)  
          Supranational - 0.7% - (continued)  
MXN     23,210,000    

7.75%, 01/18/2030

  $ 1,274,610  
IDR     1,800,000,000    

8.00%, 10/09/2023

    133,926  
     

 

 

 
    4,787,985  
     

 

 

 
          Thailand - 0.3%  
   

Thailand Government Bond

 
THB     16,750,000    

1.88%, 06/17/2022

    561,261  
    8,590,000    

3.63%, 06/16/2023

    306,372  
    35,828,000    

3.85%, 12/12/2025

    1,353,122  
     

 

 

 
    2,220,755  
     

 

 

 
          Tunisia - 0.6%  
   

Banque Centrale de Tunisie International Bond

 
EUR     3,445,000    

6.38%, 07/15/2026(1)

    3,747,305  
    285,000    

6.75%, 10/31/2023(1)

    320,371  
     

 

 

 
    4,067,676  
     

 

 

 
          Turkey - 1.4%  
$     910,000    

Export Credit Bank of Turkey 8.25%, 01/24/2024(1)

    970,606  
   

Turkey Government Bond

 
TRY     6,595,000    

9.40%, 07/08/2020

    1,133,340  
    1,390,000    

10.70%, 02/17/2021

    239,599  
    5,194,000    

11.00%, 03/02/2022

    885,585  
   

Turkey Government International Bond

 
$     215,000    

3.25%, 03/23/2023

    203,523  
EUR     130,000    

4.63%, 03/31/2025

    149,339  
$     1,030,000    

4.88%, 04/16/2043

    818,656  
    1,271,000    

5.13%, 02/17/2028

    1,182,030  
    1,680,000    

5.75%, 03/22/2024

    1,692,539  
    1,120,000    

5.75%, 05/11/2047

    959,000  
    715,000    

6.00%, 03/25/2027

    707,421  
    835,000    

6.00%, 01/14/2041

    747,325  
    5,000    

6.88%, 03/17/2036

    4,926  
    120,000    

7.38%, 02/05/2025

    128,700  
     

 

 

 
    9,822,589  
     

 

 

 
          Ukraine - 0.5%  
   

Ukraine Government International Bond

 

    205,000    

7.38%, 09/25/2032(1)

    214,430  
    530,000    

7.38%, 09/25/2032(6)

    554,379  
    100,000    

7.75%, 09/01/2020(6)

    102,650  
    460,000    

7.75%, 09/01/2021(1)

    480,700  
    100,000    

7.75%, 09/01/2021(6)

    104,500  
    550,000    

7.75%, 09/01/2022(6)

    584,925  
    550,000    

7.75%, 09/01/2023(6)

    587,812  
    155,000    

7.75%, 09/01/2025(6)

    166,237  
    150,000    

7.75%, 09/01/2026(6)

    161,063  
    400,000    

7.75%, 09/01/2027(6)

    429,960  
     

 

 

 
    3,386,656  
     

 

 

 
          United Arab Emirates - 0.1%  
    325,000    

Abu Dhabi Government International Bond 2.13%, 09/30/2024(1)

    323,265  
    410,000    

Emirate of Dubai Government International Bonds 5.25%, 01/30/2043(6)

    470,603  
     

 

 

 
    793,868  
     

 

 

 
          Uruguay - 0.1%  
    510,000    

Uruguay Government International Bond 4.98%, 04/20/2055

    596,705  
     

 

 

 
          Venezuela - 0.1%  
   

Venezuela Government International Bond

 
    1,224,000    

7.75%, 10/13/2019(12)

    126,990  
    380,000    

9.00%, 05/07/2023(12)

    39,425  
    800,000    

9.25%, 05/07/2028(12)

    83,000  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  130  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 20.5% - (continued)  
          Venezuela - 0.1% - (continued)  
$     1,355,300    

12.75%, 08/23/2022(12)

  $ 140,612  
     

 

 

 
    390,027  
     

 

 

 
   

Total Foreign Government Obligations (cost $150,763,526)

  $ 142,491,081  
     

 

 

 
MUNICIPAL BONDS - 0.7%  
          Education - 0.3%  
    630,000    

Chicago, IL, Board of Education 5.18%, 12/01/2021

  $ 643,280  
   

Chicago, IL, Board of Education, GO

 

    800,000    

6.14%, 12/01/2039

    882,616  
    660,000    

6.32%, 11/01/2029

    737,161  
     

 

 

 
    2,263,057  
     

 

 

 
          General - 0.2%  
    665,000    

Chicago, IL, Transit Auth 6.90%, 12/01/2040

    924,928  
     

 

 

 
          General Obligation - 0.2%  
    506,000    

City of Chicago, IL, GO 7.38%, 01/01/2033

    599,408  
   

State of Illinois, GO

 
    632,727    

4.95%, 06/01/2023

    661,807  
    70,000    

5.00%, 01/01/2023

    73,904  
    150,000    

5.56%, 02/01/2021

    154,887  
     

 

 

 
        1,490,006  
     

 

 

 
 

Total Municipal Bonds
(cost $4,373,129)

  $ 4,677,991  
     

 

 

 
SENIOR FLOATING RATE INTERESTS - 24.5%(13)  
      Advertising - 0.3%  
    348,452    

Acosta Holdco, Inc. 7.00%, 09/26/2021, 1 mo. USD LIBOR + 3.250%

  $ 102,358  
    1,415,000    

Clear Channel Outdoor Holdings, Inc. 5.29%, 08/21/2026, 1 mo. USD LIBOR + 3.500%

    1,417,278  
    724,905    

Entravision Communications Corp. 4.54%, 11/29/2024, 1 mo. USD LIBOR + 2.750%

    697,721  
     

 

 

 
        2,217,357  
     

 

 

 
      Aerospace/Defense - 0.5%  
    908,554    

Circor International, Inc. 5.42%, 12/11/2024, 1 mo. USD LIBOR + 3.500%

    899,696  
    602,874    

Fly Funding S.a.r.l. 4.18%, 02/09/2023, 3 mo. USD LIBOR + 2.000%

    602,874  
 

TransDigm, Inc.

 
    348,232    

4.29%, 06/09/2023, 1 mo. USD LIBOR + 2.500%

    346,446  
    1,361,704    

4.29%, 05/30/2025, 1 mo. USD LIBOR + 2.500%

    1,350,551  
     

 

 

 
        3,199,567  
     

 

 

 
      Agriculture - 0.1%  
    913,084    

Pinnacle Operating Corp. 4.52%, 11/15/2021, 1 mo. USD LIBOR + 5.500%

    630,028  
     

 

 

 
          Airlines - 0.1%  
    925,000    

WestJet Airlines Ltd. 0.00%, 08/07/2026, 1 mo. USD LIBOR + 3.000%(14)

    928,857  
     

 

 

 
          Asset-Backed - Finance & Insurance - 0.0%  
    272,938    

Evertec Group LLC 5.29%, 11/27/2024, 1 mo. USD LIBOR + 3.500%

    273,792  
     

 

 

 
          Auto Manufacturers - 0.1%  
    995,642    

Navistar International Corp. 5.42%, 11/06/2024, 1 mo. USD LIBOR + 3.500%

    983,823  
     

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
      Auto Parts & Equipment - 0.8%  
$     653,363    

Adient U.S. LLC 6.78%, 05/06/2024, 1 mo. USD LIBOR + 4.250%

  $ 636,414  
 

AL Alpine AT Bidco GmbH

 
EUR     260,000    

3.00%, 10/31/2025, 3 mo. EURIBOR + 3.000%

    282,511  
$     203,463    

4.81%, 10/31/2025, “3 mo. USD LIBOR + 2.750% 3 mo. USD LIBOR + 2.750%

    194,307  
    1,036,442    

Altra Industrial Motion Corp. 3.79%, 10/01/2025, 1 mo. USD LIBOR + 2.000%

    1,031,260  
    157,600    

IAA, Inc. 4.06%, 06/28/2026, 1 mo. USD LIBOR + 2.250%

    158,060  
 

Panther BF Aggregator L.P.

 

EUR     1,910,000    

3.75%, 04/30/2026, 1 mo. EURIBOR + 3.750%

    2,128,050  
$     1,270,000    

5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

    1,251,483  
     

 

 

 
        5,682,085  
     

 

 

 
      Biotechnology - 0.1%  
    407,643    

Sotera Health Holdings LLC 4.93%, 05/15/2022, 1 mo. USD LIBOR + 3.000%

    400,000  
     

 

 

 
      Chemicals - 0.8%  
    697,961    

Axalta Coating Systems U.S. Holdings, Inc. 3.85%, 06/01/2024, 3 mo. USD LIBOR + 1.750%

    696,718  
    184,214    

Cabot Microelectronics Corp. 4.06%, 11/14/2025, 1 mo. ICE LIBOR + 2.250%

    184,790  
EUR     385,920    

CTC AcquiCo GmbH 2.50%, 03/07/2025, 3 mo. EURIBOR + 2.500%

    426,698  
$     628,425    

Hexion, Inc. 5.60%, 07/01/2026, 1 mo. USD LIBOR + 3.500%

    625,283  
    287,100    

LTI Holdings, Inc. 5.29%, 09/06/2025, 1 mo. USD LIBOR + 3.500%

    262,984  
    240,423    

Minerals Technologies, Inc. 4.14%, 02/14/2024, 1 mo. USD LIBOR + 2.250%

    241,325  
   

Starfruit Finco B.V.

 
EUR     100,000    

3.75%, 10/01/2025, 3 mo. EURIBOR + 3.750%

    111,226  
$     1,201,475    

5.19%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    1,170,201  
    961,949    

Tronox Finance LLC 4.66%, 09/23/2024, 3 mo. USD LIBOR + 2.750%

    952,454  
   

Univar, Inc.

 
    278,130    

4.04%, 07/01/2024, 1 mo. USD LIBOR + 2.250%

    278,825  
    138,855    

4.29%, 07/01/2024, 1 mo. ICE LIBOR + 2.500%

    139,106  
    232,650    

WR Grace & Co. 3.85%, 04/03/2025, 3 mo. USD LIBOR + 1.750%

    233,038  
     

 

 

 
    5,322,648  
     

 

 

 
      Coal - 0.1%  
    952,727    

Foresight Energy LLC 7.87%, 03/28/2022, 3 mo. USD LIBOR + 5.750%

    484,300  
     

 

 

 
      Commercial Services - 2.4%  
 

Allied Universal Holdco LLC

 
    58,013    

4.25%, 07/10/2026, 1 mo. USD LIBOR + 4.250%(15)

    57,557  
    585,927    

6.51%, 07/10/2026, 3 mo. USD LIBOR + 4.250%

    581,321  
    633,600    

APX Group, Inc. 6.79%, 04/01/2024, 2 mo. USD LIBOR + 5.000%

    622,512  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  131  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
      Commercial Services - 2.4% - (continued)  
$     235,200    

Ascend Learning LLC 4.79%, 07/12/2024, 1 mo. USD LIBOR + 3.000%

  $ 233,337  
    345,000    

Belron Finance U.S. LLC 0.00%, 11/07/2026, 1 mo. USD LIBOR + 2.500%(14)

    344,893  
    1,233,533    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    1,221,198  
    835,284    

BrightView Landscapes LLC 4.38%, 08/15/2025, 1 mo. USD LIBOR + 2.500%

    836,587  
    112,168    

Capital Automotive L.P. 7.79%, 03/24/2025, 1 mo. USD LIBOR + 6.000%

    112,168  
    721,157    

Ceridian HCM Holding, Inc. 4.80%, 04/30/2025, 3 mo. USD LIBOR +3.000%

    722,058  
    1,250,000    

DCert Buyer, Inc. 5.79%, 10/16/2026, 1 mo. USD LIBOR + 4.000%

    1,225,788  
    1,595,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    1,598,653  
    161,700    

Energizer Holdings, Inc. 4.31%, 12/17/2025, 1 mo. USD LIBOR + 2.250%

    161,430  
    375,000    

Garda World Security Corp. 0.00%, 10/17/2026, 1 mo. USD LIBOR + 4.750%(14)

    372,656  
    311,835    

Hertz Corp. 4.54%, 06/30/2023, 3 mo. USD LIBOR + 2.750%

    311,739  
    450,000    

KAR Auction Services, Inc. 0.00%, 09/19/2026, 1 mo. USD LIBOR + 2.250%(14)

    451,125  
    1,655,000    

PSAV Holdings LLC 6.49%, 09/30/2026, 1 mo. USD LIBOR + 4.500%

    1,619,831  
    1,579,701    

Quikrete Holdings, Inc. 4.54%, 11/15/2023, 1 mo. USD LIBOR + 2.750%

    1,572,293  
    522,063    

Russell Investments U.S. Inst’l Holdco, Inc. 5.04%, 06/01/2023, 3 mo. USD LIBOR + 3.250%

    506,009  
EUR     463,332    

Techem GmbH 3.50%, 07/31/2025, 3 mo. EURIBOR + 3.500%

    519,265  
$     1,498,216    

Tempo Acquisition LLC 4.79%, 05/01/2024, 1 mo. USD LIBOR + 3.000%

    1,497,902  
    876,419    

Trans Union LLC 4.04%, 06/19/2025, 1 mo. USD LIBOR + 2.000%

    877,242  
    320,000    

US Ecology, Inc. 0.00%, 08/14/2026, 1 mo. USD LIBOR + 2.500%(14)

    321,200  
EUR     305,000    

Verisure Holding AB 3.50%, 10/21/2022, 3 mo. EURIBOR + 3.500%

    340,166  
$     228,843    

Weight Watchers International, Inc. 6.86%, 11/29/2024, 3 mo. USD LIBOR + 4.750%

    228,328  
    468,500    

Xerox Business Services LLC 4.29%, 12/07/2023, 1 mo. USD LIBOR + 2.500%

    451,517  
     

 

 

 
        16,786,775  
     

 

 

 
      Construction Materials - 0.1%  
    222,857    

Advanced Drainage Systems, Inc. 4.06%, 07/31/2026, 1 mo. USD LIBOR + 2.250%

    223,693  
    261,688    

Hamilton Holdco LLC 4.11%, 07/02/2025, 1 mo. USD LIBOR + 2.000%

    262,014  
    444,375    

NCI Building Systems, Inc. 5.66%, 04/12/2025, 3 mo. USD LIBOR + 3.750%

    429,191  
     

 

 

 
    914,898  
     

 

 

 
          Distribution/Wholesale - 0.4%  
    600,000    

American Builders & Contractors Supply Co., Inc. 0.00%, 01/15/2027, 1 mo. USD LIBOR + 2.000%(14)

    598,878  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
          Distribution/Wholesale - 0.4% - (continued)  
$     1,156,480    

Beacon Roofing Supply, Inc. 4.04%, 01/02/2025, 1 mo. USD LIBOR + 2.250%

  $ 1,145,574  
    463,838    

Sage BorrowCo LLC 6.55%, 06/20/2026, 1 mo. USD LIBOR + 4.750%

    465,577  
    853,737    

SRS Distribution, Inc. 0.00%, 05/23/2025, 1 mo. USD LIBOR + 4.500%(14)

    834,242  
     

 

 

 
        3,044,271  
     

 

 

 
      Diversified Financial Services - 1.0%  
 

AlixPartners LLP

 
EUR     179,100    

3.25%, 04/04/2024, 3 mo. EURIBOR + 3.250%

    200,100  
$     1,362,866    

4.54%, 04/04/2024, 3 mo. USD LIBOR + 2.750%

    1,360,590  
    516,473    

Aretec Group, Inc. 6.04%, 10/01/2025, 3 mo. USD LIBOR + 4.250%

    482,257  
    1,314,281    

Crown Finance U.S., Inc. 4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    1,295,618  
   

Financial & Risk U.S. Holdings, Inc.

 
EUR     99,250    

4.00%, 10/01/2025, 3 mo. EURIBOR + 4.000%

    111,744  
$     337,450    

5.54%, 10/01/2025, 1 mo. USD LIBOR + 3.750%

    339,053  
    840,991    

GreenSky Holdings LLC 5.06%, 03/31/2025, 1 mo. USD LIBOR + 3.250%

    825,222  
    174,125    

Minotaur Acquisition, Inc. 6.79%, 03/27/2026, 1 mo. USD LIBOR + 5.000%

    164,223  
EUR     379,236    

Nets Holding A/S 3.25%, 02/06/2025, 3 mo. EURIBOR + 3.250%

    418,910  
$     121,563    

NFP Corp. 4.79%, 01/08/2024, 1 mo. USD LIBOR + 3.000%

    117,829  
    194,500    

RP Crown Parent LLC 4.54%, 10/12/2023, 1 mo. USD LIBOR + 2.750%

    194,062  
    303,935    

UFC Holdings LLC 5.04%, 04/29/2026, 1 mo. USD LIBOR + 3.250%

    303,555  
    870,109    

Victory Capital Holdings, Inc. 5.35%, 07/01/2026, 1 mo. USD LIBOR + 3.250%

    872,719  
     

 

 

 
        6,685,882  
     

 

 

 
      Electric - 0.0%  
    321,976    

Seadrill Partners Finco LLC 8.10%, 02/21/2021, 3 mo. USD LIBOR + 6.000%

    161,793  
     

 

 

 
          Electrical Components & Equipment - 0.3%  
    131,575    

Lumentum Holdings 4.29%, 12/10/2025, 1 mo. USD LIBOR + 2.500%

    131,575  
    1,125,000    

Virgin Media Bristol LLC 4.42%, 01/31/2028, 1 mo. USD LIBOR + 2.500%

    1,119,848  
EUR     700,000    

Virgin Media SFA Finance Ltd. 0.00%, 01/31/2029, 1 mo. EURIBOR + 2.500%(14)

    777,540  
     

 

 

 
        2,028,963  
     

 

 

 
          Energy-Alternate Sources - 0.3%  
$     755,190    

BCP Renaissance Parent LLC 5.36%, 10/31/2024, 3 mo. USD LIBOR + 3.500%

    681,091  
    1,059,962    

Medallion Midland Acquisition LLC 5.04%, 10/30/2024, 1 mo. USD LIBOR + 3.250%

    993,714  
    242,901    

TEX Operations Co. LLC 3.79%, 08/04/2023, 1 mo. USD LIBOR + 2.000%

    243,610  
     

 

 

 
    1,918,415  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  132  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
          Engineering & Construction - 0.2%  
$     1,028,116    

Brand Energy & Infrastructure Services, Inc. 6.24%, 06/21/2024, 3 mo. USD LIBOR + 4.250%

  $ 997,273  
   

DG Investment Intermediate Holdings, Inc.

 
    164,807    

4.79%, 02/03/2025, 3 mo. USD LIBOR + 3.000%

    160,069  
    100,000    

8.54%, 02/02/2026, 3 mo. USD LIBOR + 6.750%

    96,000  
    147,750    

Verra Mobility Corp. 5.54%, 02/28/2025, 1 mo. USD LIBOR + 3.750%

    147,812  
     

 

 

 
        1,401,154  
     

 

 

 
      Entertainment - 0.4%  
    694,670    

CityCenter Holdings LLC 4.04%, 04/18/2024, 1 mo. USD LIBOR + 2.250%

    694,455  
   

Merlin Entertainments plc

 
EUR     335,000    

0.00%, 10/16/2026, 1 mo. EURIBOR + 3.000%(14)

    375,318  
$     441,919    

0.00%, 10/16/2026, 1 mo. USD LIBOR + 3.250%(14)

    443,391  
    58,081    

0.00%, 10/17/2026, 1 mo. USD LIBOR + 3.250%(14)(15)

    58,274  
    1,156,847    

Scientific Games International, Inc. 4.54%, 08/14/2024, 2 mo. USD LIBOR + 2.750%

    1,142,745  
    232,650    

Wyndham Hotels & Resorts, Inc. 3.54%, 05/30/2025, 1 mo. USD LIBOR + 1.750%

    233,620  
     

 

 

 
        2,947,803  
     

 

 

 
      Environmental Control - 0.2%  
    890,481    

Advanced Disposal Services, Inc. 4.09%, 11/10/2023, 1 Week USD LIBOR + 2.250%

    891,585  
EUR     325,875    

Fluidra Finco SLU 2.75%, 07/02/2025, 1 mo. EURIBOR + 2.750%

    365,720  
     

 

 

 
        1,257,305  
 

 

 

 
          Food - 0.4%  
$     320,000    

B&G Foods, Inc. 4.48%, 10/10/2026, 1 mo. USD LIBOR + 2.500%

    321,002  
    1,159,015    

Hostess Brands LLC 4.13%, 08/03/2025, 1 mo. USD LIBOR + 2.250%

    1,152,501  
   

Post Holdings, Inc.

 
    175,000    

0.00%, 10/08/2026, 1 mo. USD LIBOR + 5.000%(14)

    174,454  
    32,648    

3.83%, 05/24/2024, 1 mo. USD LIBOR + 2.000%

    32,670  
    915,000    

U.S. Foods, Inc. 3.79%, 09/13/2026, 1 mo. USD LIBOR + 2.000%

    917,416  
     

 

 

 
        2,598,043  
     

 

 

 
      Food Service - 0.2%  
   

8th Avenue Food & Provisions, Inc.

 
    223,313    

5.69%, 10/01/2025, 3 mo. USD LIBOR + 3.750%

    223,313  
    135,000    

9.69%, 10/01/2026, 1 mo. USD LIBOR + 7.750%

    133,087  
    228,502    

Aramark Services, Inc. 3.54%, 03/11/2025, 3 mo. USD LIBOR + 1.750%

    228,692  
    699,919    

CHG PPC Parent LLC 4.54%, 03/31/2025, 1 mo. USD LIBOR + 2.750%

    696,419  
    100,000    

Welbilt, Inc. 4.29%, 10/23/2025, 1 mo. USD LIBOR + 2.500%

    99,125  
     

 

 

 
    1,380,636  
     

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
      Gas - 0.1%  
   

Messer Industries GmbH

 
EUR     100,000    

2.75%, 03/01/2026, 3 mo. EURIBOR + 2.750%

  $ 111,693  
$     646,750    

4.60%, 03/01/2026, 1 mo. USD LIBOR + 2.500%

    640,832  
     

 

 

 
    752,525  
     

 

 

 
          Healthcare-Products - 0.3%  
    136,891    

Avantor, Inc. 4.79%, 11/21/2024, 3 mo. USD LIBOR +3.000%

    137,746  
    473,750    

Lifescan Global Corp. 8.06%, 10/01/2024, 3 mo. USD LIBOR + 6.000%

    420,846  
    901,984    

Parexel International Corp. 4.54%, 09/27/2024, 1 mo. USD LIBOR + 2.750%

    860,268  
    616,875    

Sotera Health Holdings LLC 5.43%, 05/15/2022, 1 mo. USD LIBOR + 3.500%

    613,020  
     

 

 

 
        2,031,880  
     

 

 

 
      Healthcare-Services - 1.8%  
    171,000    

CDRH Parent, Inc. 6.38%, 07/01/2021, 3 mo. USD LIBOR + 4.250%

    120,483  
    205,000    

CPI Holdco LLC 0.00%, 11/04/2026, 1 mo. USD LIBOR + 4.250%(14)

    204,488  
    639,162    

DentalCorp Perfect Smile ULC 5.54%, 06/06/2025, 1 mo. USD LIBOR + 3.750%

    623,713  
   

DuPage Medical Group Ltd.

 
    476,959    

4.54%, 08/15/2024, 1 mo. USD LIBOR + 2.750%

    467,182  
    205,599    

8.79%, 08/15/2025, 1 mo. USD LIBOR + 7.000%

    198,917  
    455,000    

Emerald TopCo, Inc. 5.29%, 07/24/2026, 1 mo. USD LIBOR + 3.500%

    447,493  
    245,000    

Ensemble RCM LLC 6.00%, 08/03/2026, 1 mo. USD LIBOR + 3.750%

    244,606  
    590,538    

Envision Healthcare Corp. 5.54%, 10/10/2025, 1 mo. USD LIBOR + 3.750%

    475,843  
    408,106    

Gentiva Health Services, Inc. 5.56%, 07/02/2025, 1 mo. USD LIBOR + 3.750%

    407,086  
    488,774    

Global Medical Response, Inc. 5.10%, 04/28/2022, 1 mo. USD LIBOR + 3.250%

    437,912  
EUR     587,563    

IQVIA, Inc. 2.00%, 06/11/2025, 3 mo. EURIBOR + 2.000%

    656,127  
$     496,564    

Jaguar Holding Co. 4.29%, 08/18/2022, 3 mo. USD LIBOR + 2.500%

    495,322  
   

MED ParentCo L.P.

 
    194,614    

1.30%, 08/31/2026, 1 mo. USD LIBOR + 4.250%(15)

    191,492  
    779,378    

6.04%, 08/31/2026, 1 mo. USD LIBOR + 4.250%

    766,877  
    1,156,700    

MPH Acquisition Holdings LLC 4.85%, 06/07/2023, 3 mo. USD LIBOR + 2.750%

    1,082,174  
    249,375    

NVA Holdings, Inc. 5.29%, 02/02/2025, 1 mo. USD LIBOR + 3.500%

    249,063  
    516,570    

Ortho-Clinical Diagnostics S.A. 5.31%, 06/30/2025, 3 mo. USD LIBOR + 3.250%

    492,896  
   

Sound Inpatient Physicians

 
    251,813    

4.54%, 06/27/2025, 1 mo. USD LIBOR + 2.750%

    250,712  
    110,000    

8.54%, 06/26/2026, 1 mo. USD LIBOR + 6.750%

    109,450  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  133  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
      Healthcare-Services - 1.8% - (continued)  
$     186,200    

Surgery Center Holdings, Inc. 5.04%, 09/02/2024, 1 mo. USD LIBOR + 3.250%

  $ 179,528  
    766,310    

Syneos Health, Inc. 3.79%, 08/01/2024, 1 mo. USD LIBOR + 2.000%

    766,471  
    370,500    

Team Health Holdings, Inc. 4.54%, 02/06/2024, 1 mo. USD LIBOR + 2.750%

    284,359  
    222,750    

Verscend Holding Corp. 6.29%, 08/27/2025, 1 mo. USD LIBOR + 4.500%

    222,750  
    358,613    

Wink Holdco, Inc. 4.79%, 12/02/2024, 1 mo. USD LIBOR + 3.000%

    350,020  
    2,595,000    

Zelis Healthcare Corp. 0.00%, 09/30/2026, 1 mo. USD LIBOR + 4.750%(14)

    2,564,716  
     

 

 

 
    12,289,680  
     

 

 

 
      Household Products - 0.2%  
   

Diamond (BC) B.V.

 
EUR     147,375    

3.25%, 09/06/2024, 1 mo. EURIBOR + 3.250%

    155,238  
$     1,061,150    

4.93%, 09/06/2024, 2 mo. USD LIBOR + 3.000%

    986,339  
    208,550    

Revlon Consumer Products Corp. 5.62%, 09/07/2023, 1 mo. USD LIBOR + 3.500%

    163,278  
     

 

 

 
    1,304,855  
     

 

 

 
          Housewares - 0.0%  
    230,300    

Hayward Industries, Inc. 5.29%, 08/05/2024, 1 mo. USD LIBOR + 3.500%

    216,867  
     

 

 

 
      Insurance - 1.1%  
    994,924    

Acrisure LLC 6.35%, 11/22/2023, 1 mo. USD LIBOR + 4.250%

    975,025  
   

Asurion LLC

 
    1,183,464    

4.79%, 08/04/2022, 1 mo. USD LIBOR + 3.000%

    1,183,677  
    282,851    

4.79%, 11/03/2023, 1 mo. USD LIBOR + 3.000%

    283,153  
    520,303    

4.79%, 11/03/2024, 1 mo. USD LIBOR + 3.000%

    520,631  
    740,000    

8.29%, 08/04/2025, 1 mo. USD LIBOR + 6.500%

    742,960  
    182,225    

Genworth Holdings, Inc. 6.32%, 03/07/2023, 1 mo. USD LIBOR + 4.500%

    181,770  
   

Hub International Ltd.

 
    540,000    

0.00%, 04/25/2025, 1 mo. USD LIBOR + 4.000%(14)

    538,920  
    1,293,034    

4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    1,263,708  
   

Sedgwick Claims Management Services, Inc.

 
    1,310,100    

5.04%, 12/31/2025, 1 mo. USD LIBOR + 3.250%

    1,269,775  
    663,338    

5.79%, 09/03/2026, 1 mo. USD LIBOR + 4.000%

    657,673  
     

 

 

 
    7,617,292  
     

 

 

 
      IT Services - 0.0%  
    245,019    

NAB Holdings LLC 5.10%, 07/01/2024, 3 mo. USD LIBOR + 3.000%

    242,569  
     

 

 

 
      Leisure Time - 0.8%  
    1,173,030    

Caesars Resort Collection LLC 4.54%, 12/23/2024, 1 mo. USD LIBOR + 2.750%

    1,154,825  
    1,205,843    

Delta (LUX) S.a.r.l. 4.29%, 02/01/2024, 1 mo. USD LIBOR + 2.500%

    1,186,248  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
      Leisure Time - 0.8% - (continued)  
$     414,189    

Eldorado Resorts LLC 4.21%, 04/17/2024, 2 mo. USD LIBOR + 2.250%

  $ 413,497  
    1,164,976    

Golden Entertainment, Inc. 4.81%, 10/21/2024, 1 mo. USD LIBOR + 3.000%

    1,165,710  
    1,002,425    

Penn National Gaming, Inc. 4.04%, 10/15/2025, 3 mo. USD LIBOR + 2.250%

    1,005,432  
    808,224    

SRAM LLC 4.60%, 03/15/2024, 2 mo. USD LIBOR + 2.750%

    807,723  
     

 

 

 
        5,733,435  
     

 

 

 
      Lodging - 0.3%  
    909,098    

Boyd Gaming Corp. 3.96%, 09/15/2023, 1 week USD LIBOR + 2.250%

    909,380  
    1,044,422    

Caesars Entertainment Operating Co. 3.79%, 10/07/2024, 1 mo. USD LIBOR + 2.000%

    1,043,774  
     

 

 

 
    1,953,154  
     

 

 

 
      Machinery-Construction & Mining - 0.2%  
    786,105    

Brookfield WEC Holdings, Inc. 5.29%, 08/01/2025, 1 mo. USD LIBOR + 3.500%

    780,539  
    207,972    

Pike Corp. 5.04%, 07/24/2026, 1 mo. USD LIBOR + 3.250%

    207,812  
    264,170    

Utility One Source L.P. 7.29%, 04/18/2023, 1 mo. USD LIBOR + 5.500%

    265,491  
     

 

 

 
    1,253,842  
     

 

 

 
      Machinery-Diversified - 0.3%  
   

Gardner Denver, Inc.

 
EUR     1,009,400    

3.00%, 07/30/2024, 1 mo. EURIBOR + 3.000%

    1,129,375  
$     201,388    

4.54%, 07/30/2024, 3 mo. USD LIBOR + 2.750%

    201,682  
    359,525    

Pro Mach Group, Inc. 4.60%, 03/07/2025, 3 mo. USD LIBOR +2.750%

    339,190  
    187,625    

Zodiac Pool Solutions LLC 4.04%, 07/02/2025, 1 mo. USD LIBOR + 2.250%

    187,625  
     

 

 

 
    1,857,872  
     

 

 

 
          Media - 2.8%  
    462,354    

Advantage Sales & Marketing, Inc. 5.04%, 07/23/2021, 1 mo. USD LIBOR + 3.250%

    430,336  
 

Altice Financing S.A.

 
EUR     127,400    

2.75%, 01/31/2026, 3 mo.EURIBOR + 2.750%

    139,010  
$     788,900    

4.60%, 01/31/2026, 3 mo. USD LIBOR + 2.750%

    758,614  
    943,568    

Charter Communications Operating LLC 3.54%, 04/30/2025, 1 mo. USD LIBOR + 1.750%

    944,616  
 

CSC Holdings LLC

 
    248,724    

4.17%, 07/17/2025, 1 mo. USD LIBOR + 2.250%

    247,240  
    1,826,919    

4.33%, 04/15/2027, 1 mo. USD LIBOR + 2.500%

    1,823,017  
    417,900    

E.W. Scripps Co. 4.54%, 05/01/2026, 1 mo. USD LIBOR + 2.750%

    417,587  
    992,500    

Gray Television, Inc. 4.51%, 01/02/2026, 1 mo. ICE LIBOR + 2.500%

    994,515  
    1,270,808    

Houghton Mifflin Harcourt Publishing Co. 4.79%, 05/31/2021, 1 mo. USD LIBOR + 3.000%

    1,259,688  
    2,289,166    

ION Media Networks, Inc. 4.81%, 12/18/2024, 1 mo. USD LIBOR + 3.000%

    2,274,858  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  134  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
          Media - 2.8% - (continued)  
$     725,200    

Maxar Technologies Ltd. 4.85%, 10/04/2024, 1 mo. USD LIBOR + 2.750%

  $ 639,684  
    942,350    

MTN Infrastructure TopCo, Inc. 4.79%, 11/15/2024, 1 mo. USD LIBOR + 3.000%

    930,174  
    185,000    

NASCAR Holdings, Inc. 0.00%, 10/19/2026, 1 mo. USD LIBOR + 2.750%(14)

    185,838  
 

NEP/NCP Holdco, Inc.

 
    99,250    

5.04%, 10/20/2025, 1 mo. USD LIBOR + 3.250%

    95,125  
    210,000    

8.79%, 10/19/2026, 1 mo. USD LIBOR + 7.000%

    200,550  
    1,805,000    

Nexstar Broadcasting, Inc. 4.55%, 09/18/2026, 1 mo. USD LIBOR + 2.750%

    1,810,758  
    277,875    

Numericable Group S.A. 4.54%, 07/31/2025, 1 mo. USD LIBOR + 2.750%

    268,583  
 

PSAV Holdings LLC

 
    997,897    

5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    958,609  
    310,000    

9.50%, 09/01/2025, 3 mo. USD LIBOR + 7.250%

    289,850  
    450,000    

Shutterfly, Inc. 0.00%, 10/01/2026, 1 mo. USD LIBOR + 6.000%(14)

    428,062  
    776,786    

Sinclair Television Group, Inc. 4.43%, 09/30/2026, 1 mo. USD LIBOR + 2.500%

    777,027  
    1,000,000    

Telenet Financing USD LLC 4.17%, 08/15/2026, 1 mo. USD LIBOR + 2.250%

    998,190  
 

Web.com Group, Inc.

 
    254,429    

5.66%, 10/10/2025, 3 mo. USD LIBOR + 3.750%

    247,369  
    347,609    

9.66%, 10/09/2026, 1 mo. USD LIBOR + 7.750%

    333,490  
    379,539    

William Morris Endeavor Entertainment LLC 4.60%, 05/18/2025, 1 mo. USD LIBOR + 2.750%

    366,335  
EUR     785,000    

Ziggo B.V. 0.00%, 01/31/2029, 1 mo. EURIBOR + 3.000%(14)

    870,406  
$     725,000    

Ziggo Secured Finance Partnership 4.42%, 04/15/2025, 1 mo. USD LIBOR + 2.500%

    715,669  
     

 

 

 
    19,405,200  
     

 

 

 
          Metal Fabricate/Hardware - 0.2%  
    1,005,869    

Rexnord LLC 3.79%, 08/21/2024, 1 mo. USD LIBOR + 2.000%

    1,010,898  
     

 

 

 
      Miscellaneous Manufacturing - 0.5%  
    1,031,509    

Core & Main LP 4.81%, 08/01/2024, 6 mo. USD LIBOR + 2.750%

    1,007,011  
    455,861    

H.B. Fuller Co. 3.85%, 10/20/2024, 1 mo. USD LIBOR + 2.000%

    454,197  
    374,063    

Momentive Performance Materials Inc. 5.04%, 05/15/2024, 3 mo. USD LIBOR + 3.250%

    366,817  
    205,000    

Tamko Building Products, Inc. 5.09%, 06/01/2026, 1 mo. USD LIBOR + 3.250%

    205,000  
    1,086,459    

USI, Inc. 5.10%, 05/16/2024, 3 mo. USD LIBOR + 3.000%

    1,053,593  
    497,455    

Wilsonart LLC 5.36%, 12/19/2023, 3 mo. USD LIBOR + 3.250%

    486,263  
     

 

 

 
    3,572,881  
     

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
          Oil & Gas - 0.5%  
$     45,000    

Ascent Resources - Marcellus LLC 8.41%, 03/30/2023, 1 mo. USD LIBOR + 6.500%

  $ 42,750  
   

BCP Raptor LLC

 
    268,813    

6.04%, 06/24/2024, 2 mo. USD LIBOR + 4.250%

    235,547  
    229,425    

6.54%, 11/03/2025, 1 mo. USD LIBOR + 4.750%

    201,034  
   

California Resources Corp.

 
    250,000    

6.55%, 12/31/2022, 1 mo. USD LIBOR + 4.750%

    213,875  
    470,000    

12.18%, 12/31/2021, 1 mo. USD LIBOR + 10.375%

    310,200  
    495,000    

NorthRiver Midstream Finance L.P. 5.35%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    486,516  
    82,205    

PES Holdings LLC 5.62%, 12/31/2022, 1 mo. USD LIBOR + 6.990%(12)(14)

    24,799  
    910,634    

PowerTeam Services LLC 5.35%, 03/06/2025, 3 mo. USD LIBOR + 3.250%

    784,283  
    386,100    

Traverse Midstream Partners LLC 5.80%, 09/27/2024, 3 mo. USD LIBOR + 4.000%

    337,837  
    896,680    

Ultra Resources, Inc. 5.80%, 04/12/2024, 1 mo. USD LIBOR + 3.750%

    528,082  
     

 

 

 
    3,164,923  
     

 

 

 
          Oil & Gas Services - 0.4%  
    470,000    

Buckeye Partners L.P. 0.00%, 11/15/2026, 1 mo. USD LIBOR + 2.750%(14)

    472,059  
    359,100    

Lower Cadence Holdings LLC 5.80%, 05/22/2026, 1 mo. USD LIBOR + 4.000%

    333,065  
    1,670,813    

UGI Energy Services LLC 5.54%, 08/13/2026, 1 mo. USD LIBOR + 3.750%

    1,674,989  
     

 

 

 
    2,480,113  
     

 

 

 
          Packaging & Containers - 1.0%  
    1,378,272    

Berlin Packaging LLC 5.00%, 11/07/2025, 1 mo. USD LIBOR + 3.000%

    1,336,923  
   

Berry Global, Inc.

 
EUR     418,950    

2.50%, 07/01/2026, 3 mo. EURIBOR + 2.500%

    470,497  
$     723,174    

3.88%, 10/01/2022, 3 mo. USD LIBOR + 2.000%

    724,982  
    997,500    

4.44%, 07/01/2026, 3 mo. USD LIBOR + 2.500%

    1,000,413  
EUR     48,304    

Crown European Holdings S.A. 2.38%, 04/03/2025, 1 mo. EURIBOR + 2.375%

    54,040  
   

Flex Acquisition Co., Inc.

 
$     650,976    

5.10%, 12/29/2023, 3 mo. USD LIBOR + 3.000%

    614,118  
    702,229    

5.35%, 06/29/2025, 1 mo. USD LIBOR + 3.250%

    663,409  
    410,000    

Pregis TopCo Corp. 5.79%, 07/31/2026, 1 mo. USD LIBOR + 4.000%

    403,678  
    292,981    

Proampac PG Borrower LLC 5.53%, 11/20/2023, 1 mo. USD LIBOR + 3.500%

    275,587  
    1,265,563    

Reynolds Group Holdings, Inc. 4.54%, 02/05/2023, 1 mo. USD LIBOR + 2.750%

    1,264,867  
     

 

 

 
    6,808,514  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  135  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
          Pharmaceuticals - 0.8%  
   

Bausch Health Companies, Inc.

 
$     686,420    

4.67%, 11/27/2025, 1 mo. USD LIBOR + 2.750%

  $ 686,990  
    1,024,615    

4.92%, 06/02/2025, 1 mo. USD LIBOR + 3.000%

    1,027,925  
    318,400    

Catalent Pharma Solutions, Inc. 4.04%, 05/18/2026, 1 mo. USD LIBOR + 2.250%

    318,400  
    811,325    

Endo Luxembourg Finance Co., S.a.r.l. 6.06%, 04/29/2024, 1 mo. USD LIBOR + 4.250%

    744,796  
    534,877    

NVA Holdings, Inc. 4.54%, 02/02/2025, 3 mo. USD LIBOR + 2.750%

    534,209  
    2,175,000    

Sunshine Luxembourg S.a.r.l. 6.35%, 10/01/2026, 1 mo. USD LIBOR + 4.250%

    2,175,913  
     

 

 

 
    5,488,233  
     

 

 

 
          Real Estate - 0.2%  
    1,381,591    

VICI Properties LLC 3.85%, 12/20/2024, 1 mo. USD LIBOR + 2.000%

    1,385,667  
     

 

 

 
      Real Estate Investment Trusts - 0.1%  
    162,030    

Iron Mountain, Inc. 3.54%, 01/02/2026, 3 mo. USD LIBOR + 1.750%

    159,531  
    788,826    

MGM Growth Properties Operating Partnership L.P. 3.79%, 03/21/2025, 1 mo. USD LIBOR + 2.000%

    790,798  
     

 

 

 
    950,329  
     

 

 

 
          Retail - 1.1%  
    950,288    

B.C. Unlimited Liability Co. 4.04%, 02/16/2024, 1 mo. USD LIBOR + 2.250%

    951,001  
    847,651    

Bass Pro Group LLC 6.79%, 09/25/2024, 1 mo. USD LIBOR + 5.000%

    816,618  
    248,747    

Belron Finance U.S. LLC 4.43%, 11/13/2025, 1 mo. USD LIBOR + 2.250%

    248,436  
    319,200    

Carrols Restaurant Group, Inc. 5.06%, 04/30/2026, 1 mo. USD LIBOR + 3.250%

    312,018  
   

Coty, Inc.

 
EUR     236,505    

2.50%, 04/07/2025, 1 mo. EURIBOR + 2.500%

    258,432  
$     283,472    

4.23%, 04/07/2025, 1 mo. USD LIBOR + 2.250%

    273,551  
    558,483    

Harbor Freight Tools USA, Inc. 4.29%, 08/18/2023, 1 mo. USD LIBOR + 2.500%

    546,091  
    496,722    

J. Crew Group, Inc. 4.91%, 03/05/2021, 3 mo. USD LIBOR + 3.000%

    418,076  
    1,000,413    

Michaels Stores, Inc. 4.31%, 01/30/2023, 1 mo. USD LIBOR + 2.500%

    973,971  
    281,115    

Neiman Marcus Group Ltd. LLC 7.99%, 10/25/2023, 1 mo. USD LIBOR + 6.000%

    204,199  
    335,750    

Rodan & Fields LLC 5.92%, 06/16/2025, 1 mo. USD LIBOR + 4.000%

    272,377  
    896,378    

Staples, Inc. 7.12%, 04/16/2026, 3 mo. USD LIBOR + 5.000%

    882,673  
    1,527,614    

U.S. Foods, Inc. 3.79%, 06/27/2023, 1 mo. USD LIBOR + 2.000%

    1,531,632  
     

 

 

 
    7,689,075  
     

 

 

 
          Semiconductors - 0.0%  
    281,697    

Microchip Technology, Inc. 3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

    282,049  
     

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
          Software - 1.6%  
$     614,491    

Almonde, Inc. 5.70%, 06/13/2024, 3 mo. USD LIBOR + 3.500%

  $ 586,458  
    749,958    

Change Healthcare Holdings LLC 4.29%, 03/01/2024, 1 mo. USD LIBOR + 2.500%

    745,098  
    621,919    

Cypress Intermediate Holdings, Inc. 4.54%, 04/29/2024, 1 mo. USD LIBOR + 2.750%

    610,699  
    779,859    

Epicor Software Corp. 5.04%, 06/01/2022, 1 mo. USD LIBOR + 3.250%

    776,934  
    817,008    

EVO Payments International LLC 5.05%, 12/22/2023, 1 mo. USD LIBOR + 3.250%

    817,351  
    1,012,110    

Go Daddy Operating Co. LLC 3.54%, 02/15/2024, 1 mo. USD LIBOR + 1.750%

    1,012,687  
   

Hyland Software, Inc.

 
    236,711    

5.04%, 07/01/2024, 1 mo. USD LIBOR + 3.250%

    234,935  
    200,000    

8.79%, 07/07/2025, 1 mo. USD LIBOR + 7.000%

    200,250  
    1,006,717    

Infor U.S., Inc. 4.85%, 02/01/2022, 1 mo. USD LIBOR + 2.750%

    1,006,717  
    126,534    

MA FinanceCo. LLC 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    122,660  
    129,347    

McAfee LLC 5.56%, 09/30/2024, 1 mo. USD LIBOR + 3.750%

    129,243  
    555,000    

Navicure, Inc. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 4.000%(14)

    552,919  
    386,100    

Quest Software U.S. Holdings, Inc. 6.18%, 05/16/2025, 3 mo. USD LIBOR + 4.250%

    376,127  
    854,518    

Seattle Spinco, Inc. 4.30%, 06/21/2024, 1 mo. USD LIBOR + 2.500%

    828,353  
    487,017    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    487,830  
    1,261,313    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    1,263,785  
    385,000    

Ultimate Software Group, Inc. 5.54%, 05/04/2026, 1 mo. USD LIBOR + 3.750%

    385,589  
    1,219,304    

WEX, Inc. 4.04%, 05/15/2026, 1 mo. USD LIBOR + 2.250%

    1,223,011  
     

 

 

 
    11,360,646  
     

 

 

 
          Telecommunications - 1.1%  
    1,149,889    

Altice France S.A. 5.61%, 01/31/2026, 3 mo. USD LIBOR + 3.688%

    1,120,728  
    844,817    

CenturyLink, Inc. 4.54%, 01/31/2025, 1 mo. USD LIBOR + 2.750%

    835,634  
    700,000    

Level 3 Financing, Inc. 4.04%, 02/22/2024, 1 mo. USD LIBOR + 2.250%

    700,525  
    630,000    

Liberty Latin America Ltd. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 5.000%(14)

    635,317  
   

Masmovil Holdphone S.A.

 
EUR     95,378    

0.00%, 05/07/2026, 1 mo. USD LIBOR + 3.250%(14)(15)

    106,375  
    596,111    

3.25%, 05/07/2026, 1 mo. USD LIBOR + 3.250%

    664,843  
   

Sprint Communications, Inc.

 
$     1,311,643    

4.31%, 02/02/2024, 1 mo. USD LIBOR + 2.500%

    1,295,798  
    769,188    

4.81%, 02/02/2024, 1 mo. USD LIBOR + 3.000%

    764,057  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  136  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 24.5%(13) - (continued)  
          Telecommunications - 1.1% - (continued)  
$     841,892    

Univision Communications, Inc. 4.54%, 03/15/2024, 1 mo. USD LIBOR + 2.750%

  $ 811,053  
    292,050    

Zacapa LLC 7.10%, 07/02/2025, 1 mo. USD LIBOR + 5.000%

    292,354  
    707,410    

Zayo Group LLC 4.04%, 01/19/2024, 1 mo. USD LIBOR + 2.250%

    708,068  
     

 

 

 
    7,934,752  
     

 

 

 
          Textiles - 0.1%  
   

ASP Unifrax Holdings, Inc.

 

    845,739    

5.85%, 12/12/2025, 3 mo. USD LIBOR + 3.750%

    731,565  
    125,000    

10.63%, 12/14/2026, 3 mo. USD LIBOR + 8.500%

    106,562  
     

 

 

 
    838,127  
     

 

 

 
          Transportation - 0.2%  
    147,221    

B.C. Unlimited Liability Co. 6.10%, 04/06/2026, 1 mo. USD LIBOR + 4.000%

    147,429  
EUR     235,000    

Boluda Corp. Maritima S.L. 0.00%, 07/30/2026, 1 mo. EURIBOR + 3.500%(14)

    262,751  
$     273,831    

Dynasty Acquisition Co., Inc. 6.10%, 04/06/2026, 1 mo. USD LIBOR + 4.000%

    274,217  
    466,657    

Savage Enterprises LLC 5.93%, 08/01/2025, 1 mo. USD LIBOR + 4.000%

    469,961  
     

 

 

 
    1,154,358  
     

 

 

 
 

Total Senior Floating Rate Interests
(cost $174,032,095)

  $ 170,028,131  
     

 

 

 
U.S. GOVERNMENT AGENCIES - 12.1%  
          Mortgage-Backed Agencies - 12.1%  
          FHLMC - 1.9%  
$     5,506    

0.00%, 11/15/2036(10)(16)

  $ 5,028  
    4,423,510    

0.13%, 10/25/2020(3)(5)

    4,994  
    3,345,000    

2.01%, 09/25/2047(3)(5)

    394,705  
    4,759,080    

2.02%, 11/25/2029(3)(5)

    738,977  
    1,150,193    

2.02%, 01/25/2046(3)(5)

    185,132  
    1,890,000    

2.10%, 01/25/2030(3)(5)

    313,731  
    3,870,000    

2.15%, 05/25/2047(3)(5)

    478,281  
    674,699    

2.25%, 07/25/2029(3)(5)

    118,767  
    40,729    

3.00%, 03/15/2033(5)

    4,376  
    430,000    

3.82%, 05/25/2048(1)(3)

    418,896  
    96,264    

4.00%, 07/15/2027(5)

    6,730  
    2,382,000    

4.17%, 04/25/2030, 1 mo. USD LIBOR + 2.350%(2)

    2,413,555  
    2,345,000    

4.32%, 03/25/2030, 1 mo. USD LIBOR + 2.500%(2)

    2,391,945  
    80,569    

4.50%, 03/15/2041

    93,984  
    102,433    

4.75%, 07/15/2039

    114,017  
    2,203,000    

5.27%, 10/25/2029, 1 mo. USD LIBOR + 3.450%(2)

    2,339,143  
    9,959    

5.50%, 08/15/2033

    11,218  
    1,730,000    

5.72%, 04/25/2029, 1 mo. USD LIBOR + 3.900%(2)

    1,842,675  
    890,697    

5.82%, 08/25/2024, 1 mo. USD LIBOR + 4.000%(2)

    939,399  
    35,507    

6.50%, 07/15/2036

    40,149  
     

 

 

 
    12,855,702  
     

 

 

 
          FNMA - 0.1%  
    47,945    

0.00%, 06/25/2036(10)(16)

    43,300  
    139,481    

2.07%, 04/25/2055(3)(5)

    8,711  
    5,000    

2.44%, 01/01/2023

    5,082  
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 12.1% - (continued)  
          Mortgage-Backed Agencies - 12.1% - (continued)  
          FNMA - 0.1% - (continued)  
$     33,867    

2.50%, 06/25/2028(5)

  $ 2,210  
    214,416    

3.00%, 01/25/2028

    15,197  
    29,099    

3.16%, 12/01/2026

    31,081  
    23,627    

3.24%, 12/01/2026

    25,344  
    9,231    

3.45%, 01/01/2024

    9,782  
    9,174    

3.47%, 01/01/2024

    9,779  
    67,772    

3.50%, 05/25/2030(5)

    6,657  
    22,873    

3.67%, 08/01/2023

    24,270  
    10,000    

3.76%, 03/01/2024

    10,776  
    14,828    

3.86%, 12/01/2025

    16,330  
    5,000    

3.86%, 11/01/2023

    5,379  
    22,645    

3.87%, 10/01/2025

    24,839  
    32,954    

3.89%, 05/01/2030

    36,986  
    33,570    

3.93%, 10/01/2023

    36,066  
    9,194    

3.96%, 05/01/2034

    10,484  
    33,658    

4.00%, 03/25/2042(5)

    3,568  
    25,475    

4.50%, 07/25/2027(5)

    2,049  
    12,357    

5.47%, 05/25/2042(3)(5)

    1,195  
    73,997    

5.50%, 04/25/2035

    84,762  
    25,637    

5.50%, 04/25/2037

    29,106  
    281,349    

5.50%, 06/25/2042(5)

    62,176  
     

 

 

 
    505,129  
     

 

 

 
          GNMA - 5.1%  
    8,900,000    

3.00%, 11/01/2049(17)

    9,161,430  
    25,600,000    

3.00%, 12/01/2049(17)

    26,340,034  
    29,309    

4.00%, 05/16/2042(5)

    4,253  
    74,625    

5.00%, 10/16/2041(5)

    13,015  
     

 

 

 
    35,518,732  
     

 

 

 
          UMBS - 5.0%  
    8,900,000    

3.00%, 11/01/2049(17)

    9,043,593  
    25,500,000    

3.00%, 12/01/2049(17)

    25,884,946  
     

 

 

 
    34,928,539  
     

 

 

 
    83,808,102  
     

 

 

 
   

Total U.S. Government Agencies
(cost $83,527,381)

  $   83,808,102  
     

 

 

 
U.S. GOVERNMENT SECURITIES - 14.4%  
          U.S. Treasury Securities - 14.4%  
          U.S. Treasury Bonds - 3.2%  
$     920,000    

3.13%, 02/15/2043

  $ 1,084,342  
    4,655,000    

3.38%, 05/15/2044

    5,734,560  
    5,980,000    

3.63%, 02/15/2044(18)(19)

    7,642,720  
    4,220,000    

3.75%, 11/15/2043

    5,486,330  
    1,780,000    

6.25%, 05/15/2030(18)

    2,559,515  
     

 

 

 
        22,507,467  
     

 

 

 
          U.S. Treasury Notes - 11.2%  
    4,003,276    

0.88%, 01/15/2029(20)

    4,257,676  
    1,534,438    

1.00%, 02/15/2049(20)

    1,725,327  
    47,000,000    

1.63%, 05/15/2026(21)

    47,075,273  
    1,733,000    

2.13%, 05/15/2025(19)

    1,783,704  
    3,513,000    

2.25%, 02/15/2027(19)

    3,667,792  
    17,340,000    

2.63%, 02/15/2029

    18,747,520  
     

 

 

 
        77,257,292  
     

 

 

 
        99,764,759  
     

 

 

 
   

Total U.S. Government Securities (cost $97,631,656)

  $ 99,764,759  
     

 

 

 
CONVERTIBLE BONDS - 0.6%  
          Biotechnology - 0.1%  
    645,000    

Apellis Pharmaceuticals, Inc. 3.50%, 09/15/2026(1)

  $ 662,742  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  137  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CONVERTIBLE BONDS - 0.6% - (continued)  
          Healthcare-Products - 0.2%  
$     1,187,000    

Insulet Corp. 0.38%, 09/01/2026(1)

  $ 1,134,327  
     

 

 

 
          Internet - 0.1%  
    979,000    

Proofpoint, Inc. 0.25%, 08/15/2024(1)

    1,013,265  
     

 

 

 
          Pharmaceuticals - 0.2%  
    1,085,000    

Aerie Pharmaceuticals, Inc. 1.50%, 10/01/2024(1)

    1,209,384  
     

 

 

 
          Software - 0.0%  
   

Alteryx, Inc.

 
    135,000    

0.50%, 08/01/2024(1)

    124,504  
    162,000    

1.00%, 08/01/2026(1)

    146,044  
     

 

 

 
        270,548  
     

 

 

 
   

Total Convertible Bonds
(cost $4,178,068)

  $ 4,290,266  
     

 

 

 
COMMON STOCKS - 0.0%  
          Energy - 0.0%  
    32,328    

Ascent Resources - Marcellus LLC Class A*(22)(23)

  $ 64,656  
    83,644,001    

KCA Deutag*(22)(23)(24)

    268,247  
    713    

Paragon Offshore Ltd., Litigation*

    3,665  
    3,682    

Philadelphia Energy Solutions Class A*

    460  
    19,531    

Templar Energy LLC Class A*

     
     

 

 

 
        337,028  
     

 

 

 
   

Total Common Stocks
(cost $1,437,285)

  $ 337,028  
     

 

 

 
PREFERRED STOCKS - 0.1%  
          Health Care Equipment & Services - 0.1%  
    10,460    

Change Healthcare, Inc. , 6.00%

  $ 528,544  
     

 

 

 
   

Total Preferred Stocks
(cost $523,000)

  $ 528,544  
     

 

 

 
CONVERTIBLE PREFERRED STOCKS - 0.3%  
          Utilities - 0.3%  
    36,400    

DTE Energy Co.

  $ 1,848,392  
     

 

 

 
   

Total Convertible Preferred Stocks
(cost $1,845,550)

  $ 1,848,392  
     

 

 

 
WARRANTS - 0.0%  
          Energy - 0.0%  
    8,370    

Ascent Resources - Marcellus LLC Expires 3/30/23*(22)(23)

  $ 84  
     

 

 

 
   

Total Warrants
(cost $670)

  $ 84  
     

 

 

 
   

Total Long-Term Investments
(cost $730,873,054)

  $ 721,980,198  
     

 

 

 
SHORT-TERM INVESTMENTS - 4.5%  
          Certificates of Deposit - 0.1%  
    730,000    

Credit Agricole Corporate and Investment Bank 2.54%, 09/24/2020, 3 mo. USD LIBOR + 0.400%(2)(25)

  $ 730,956  
     

 

 

 
          Commercial Paper - 2.4%  
    250,000    

AT&T, Inc. 2.23%, 11/15/2019(25)

    249,772  
   

Bank of Montreal

 
CAD     860,000    

1.67%, 11/12/2019(25)

    652,592  
    910,000    

1.80%, 01/06/2020(25)

    688,611  
$     400,000    

Boeing Co. 2.23%, 03/04/2020(25)

    397,410  
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 4.5% - (continued)  
          Commercial Paper - 2.4% - (continued)  
CAD     155,000    

C.I.B.C. 1.80%, 01/20/2020(25)

  $ 117,207  
$     1,000,000    

China Constr Bk Corp. 1.97%, 01/08/2020(25)

    995,697  
   

CNPC Finance

 
    1,500,000    

2.25%, 01/28/2020(25)

    1,493,403  
    750,000    

2.33%, 11/14/2019(25)

    749,331  
    1,500,000    

2.33%, 11/01/2019(25)

    1,500,000  
   

Electricite de France S.A.

 
    1,375,000    

2.17%, 01/15/2020(25)

    1,368,887  
    250,000    

2.26%, 12/02/2019(25)

    249,505  
CAD     610,000    

Enbridge Pipelines, Inc 1.78%, 11/12/2019(25)

    462,868  
    200,000    

Enbridge Pipelines, Inc. 1.81%, 11/14/2019(25)

    151,743  
   

Enel Finance America

 
$     500,000    

2.19%, 11/12/2019(25)

    499,641  
    250,000    

2.29%, 01/27/2020(25)

    248,706  
    250,000    

2.38%, 01/16/2020(25)

    248,873  
    490,000    

ENI Finance USA, Inc. 1.98%, 01/08/2020(25)

    488,133  
    250,000    

General Motors Financial Co., Inc. 2.37%, 01/15/2020(25)

    248,590  
    250,000    

Gnrl Mtrs Fincl Co., Inc. 2.34%, 01/13/2020(25)

    248,629  
CAD     1,500,000    

HSBC Bank Canada 1.84%, 01/15/2020(25)

    1,134,549  
$     600,000    

Intesa Funding LLC 2.19%, 02/19/2020(25)

    596,040  
    250,000    

Korea Development Bank 2.65%, 12/02/2019(25)

    249,421  
   

Province of Alberta

 
CAD     1,525,000    

1.70%, 01/02/2020(25)

    1,154,339  
    505,000    

1.70%, 01/02/2020(25)

    382,256  
   

Province of Saskatchewan

 
    100,000    

1.57%, 11/12/2019(25)

    75,885  
    200,000    

1.64%, 11/20/2019(25)

    151,712  
   

Royal Bank of Canada

 
    1,000,000    

1.80%, 01/06/2020(25)

    756,716  
    200,000    

1.81%, 01/02/2020(25)

    151,373  
    1,520,000    

Toronto-Dominion Bank 1.56%, 11/07/2019(25)

    1,153,706  
     

 

 

 
    16,865,595  
     

 

 

 
          Other Investment Pools & Funds - 1.7%  
    11,736,944    

Fidelity Institutional Government Fund, Institutional Class, 1.70%(26)

    11,736,944  
     

 

 

 
          Securities Lending Collateral - 0.3%  
    103,475    

Citibank NA DDCA, 1.80%, 11/1/2019(26)

    103,475  
    1,451,774    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(26)

    1,451,774  
    23,289    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(26)

    23,289  
    192,574    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(26)

    192,574  
    279,786    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(26)

    279,786  
    18,605    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(26)

    18,605  
     

 

 

 
    2,069,503  
     

 

 

 
   

Total Short-Term Investments
(cost $31,356,652)

  $ 31,402,998  
   

 

 

 
   

Total Investments
(cost $762,229,706)

    108.7    $ 753,383,196  
   

Other Assets and Liabilities

    (8.7 )%       (60,360,207
     

 

 

    

 

 

 
   

Total Net Assets

    100.0%      $ 693,022,989  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  138  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity Industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $150,157,313, representing 21.7% of net assets.

 

(2) 

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(3) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(4) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(5) 

Securities disclosed are interest-only strips.

 

(6) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $77,295,406, representing 11.2% of net assets.

 

(7) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(8) 

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

(9) 

Security has the ability to pay in kind (“PIK”) or pay income in cash. When applicable, separate rates of such payments are disclosed.

 

(10) 

Security is a zero-coupon bond.

 

(11) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(12) 

Non-income producing. For long-term debt securities, items identified are in default as to payment of interest and/or principal.

(13) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(14) 

Represents an unsettled loan commitment. The coupon rate will be determined at time of settlement.

 

(15) 

This security, or a portion of this security, has unfunded loan commitments. As of October 31, 2019, the aggregate value of the unfunded commitment was $413,698, which rounds to 0.0% of total net assets.

 

(16) 

Securities disclosed are principal-only strips.

 

(17) 

Represents or includes a TBA transaction.

 

(18) 

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $2,891,807.

 

(19) 

All, or a portion of the security, was pledged as collateral in connection with OTC swap contracts. As of October 31, 2019, the market value of securities pledged was $2,763,920.

 

(20) 

The principal amount for these securities are adjusted for inflation and the interest payments equal a fixed percentage of the inflation-adjusted principal amount.

 

(21) 

All, or a portion of the security, was pledged as collateral in connection with centrally cleared swap contracts. As of October 31, 2019, the market value of securities pledged was $4,306,887.

 

(22) 

Investment valued using significant unobservable inputs.

 

(23) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $332,987, which represented 0.0% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(24) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $268,247 or 0.0% of net assets.

 

Period
Acquired
    

Security Name

   Shares/
Par Value
     Base Total
Cost
     Base
Market Value
 
  03/2011      KCA Deutag      83,644,001      $     1,133,544      $     268,247  

 

(25) 

The rate shown represents current yield to maturity.

 

(26) 

Current yield as of period end.

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

Euro-Schatz Future

     4        12/06/2019      $ 499,967      $ (2,648

U.S. Treasury 2-Year Note Future

     388        12/31/2019            83,653,406        47,283  

U.S. Treasury 5-Year Note Future

     800        12/31/2019        95,362,500            (203,486

 

The accompanying notes are an integral part of these financial statements.

 

 

  139  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Futures Contracts Outstanding at October 31, 2019 – (continued)  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts – (continued):  

U.S. Treasury 10-Year Note Future

     591        12/19/2019      $     77,005,453      $     (125,584

U.S. Treasury 10 Year Ultra Future

     38        12/19/2019        5,400,157        (73,116

U.S. Treasury Long Bond Future

     62        12/19/2019        10,005,250        18,055  

U.S. Treasury Ultra Bond Future

     14        12/19/2019        2,656,500        (15,432
           

 

 

 

Total

 

   $ (354,928
           

 

 

 
Short position contracts:  

Euro-BOBL Future

     49        12/06/2019      $ 7,356,941      $ 102,738  

Euro BUXL 30-Year Bond Future

     7        12/06/2019        1,639,178        98,892  

Euro-Bund Future

     27        12/06/2019        5,172,225        133,489  

Long Gilt Future

     1        12/27/2019        172,074        858  
           

 

 

 

Total

 

   $ 335,977  
           

 

 

 

Total futures contracts

 

   $ (18,951
           

 

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counterparty    Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

ABX.HE.AAA.07

   GSC      USD       344,616      (0.09%)      08/25/37        Monthly      $ 72,745      $     $ 8,153     $ (64,592

ABX.HE.AAA.07

   CSI      USD       984,172      (0.09%)      08/25/37        Monthly        238,874              23,283           (215,591

ABX.HE.PENAAA.06

   JPM      USD       223,819      (0.11%)      05/25/46        Monthly        24,235              13,404       (10,831

ABX.HE.PENAAA.06

   CSI      USD       351,656      (0.11%)      05/25/46        Monthly        38,164              21,060       (17,104

PrimeX.ARM.2(22)

   MSC      USD       104,548      (4.58%)      12/25/37        Monthly               (216     (500     (284
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

            $     374,018      $ (216   $ 65,400     $ (308,402
                   

 

 

    

 

 

   

 

 

   

 

 

 
Sell protection:  

ABX.HE.AAA.07

   MSC      USD       344,615      0.09%      08/25/37        Monthly      $ 3,042      $     $ (8,153   $ (11,195

ABX.HE.AAA.07

   MSC      USD       984,172      0.09%      08/25/37        Monthly        8,742              (23,283     (32,025

ABX.HE.PENAAA.06

   BCLY      USD       575,476      0.11%      05/25/46        Monthly               (14,306     (34,464     (20,158

CMBX.NA.AAA.10

   GSC      USD       662,000      0.50%      11/17/59        Monthly               (388     6,041       6,429  

CMBX.NA.AAA.12

   MSC      USD       4,895,000      0.50%      08/17/61        Monthly               (39,510     (10,477     29,033  

CMBX.NA.AAA.12

   GSC      USD       2,550,000      0.50%      08/17/61        Monthly               (19,947     (5,387     14,560  

CMBX.NA.AAA.6

   MSC      USD       1,878,844      0.50%      05/11/63        Monthly        16,126              15,743       (383

CMBX.NA.BB.6

   CSI      USD       970,000      5.00%      05/11/63        Monthly               (192,692         (149,451     43,241  

CMBX.NA.BB.6

   MSC      USD       1,491,000      5.00%      05/11/63        Monthly               (259,086     (229,428     29,658  

CMBX.NA.BB.6

   GSC      USD       1,155,000      5.00%      05/11/63        Monthly               (201,247     (177,634     23,613  

CMBX.NA.BB.6

   CSI      USD       555,000      5.00%      05/11/63        Monthly               (106,408     (85,511     20,897  

CMBX.NA.BB.6

   CSI      USD       830,000      5.00%      05/11/63        Monthly               (144,218     (127,668     16,550  

CMBX.NA.BB.6

   CSI      USD       730,000      5.00%      05/11/63        Monthly               (126,842     (112,271     14,571  

CMBX.NA.BB.6

   CSI      USD       730,000      5.00%      05/11/63        Monthly               (126,842     (112,271     14,571  

CMBX.NA.BB.6

   CSI      USD       730,000      5.00%      05/11/63        Monthly               (126,842     (112,271     14,571  

CMBX.NA.BB.6

   CSI      USD       85,000      5.00%      05/11/63        Monthly               (15,846     (13,073     2,773  

CMBX.NA.BB.6

   DEUT      USD       8,499,532      0.50%      05/11/63        Monthly        68,962              71,216       2,254  

CMBX.NA.BB.6

   CSI      USD       51,000      5.00%      05/11/63        Monthly               (8,862     (7,844     1,018  

CMBX.NA.BB.6

   JPM      USD       65,000      5.00%      05/11/63        Monthly               (9,119     (9,998     (879

CMBX.NA.BB.6

   CSI      USD       130,000      5.00%      05/11/63        Monthly               (18,237     (20,030     (1,793

CMBX.NA.BB.6

   GSC      USD       82,000      5.00%      05/11/63        Monthly               (8,990     (12,611     (3,621

CMBX.NA.BB.6

   GSC      USD       550,000      5.00%      05/11/63        Monthly               (56,822     (84,588     (27,766

CMBX.NA.BB.8

   CSI      USD       1,470,000      5.00%      10/17/57        Monthly               (385,628     (154,830     230,798  

CMBX.NA.BB.8

   CSI      USD       1,325,000      5.00%      10/17/57        Monthly               (347,590     (139,539     208,051  

CMBX.NA.BB.8

   MSC      USD       1,006,000      5.00%      10/17/57        Monthly               (263,923     (106,005     157,918  

CMBX.NA.BB.8

   GSC      USD       580,000      5.00%      10/17/57        Monthly               (165,427     (61,075     104,352  

CMBX.NA.BB.8

   GSC      USD       462,000      5.00%      10/17/57        Monthly               (108,519     (48,778     59,741  

CMBX.NA.BB.8

   DEUT      USD       365,000      5.00%      10/17/57        Monthly               (86,115     (38,537     47,578  

CMBX.NA.BB.8

   CSI      USD       34,000      5.00%      10/17/57        Monthly               (8,919     (3,580     5,339  

CMBX.NA.BBB-.6

   DEUT      USD       3,475,000      3.00%      05/11/63        Monthly               (537,779     (296,192     241,587  

CMBX.NA.BBB-.6

   MSC      USD       1,875,000      3.00%      05/11/63        Monthly               (295,714     (159,816     135,898  

 

The accompanying notes are an integral part of these financial statements.

 

 

  140  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019 – (continued)  

Reference Entity

   Counterparty    Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices – (continued):  
Sell protection – (continued):  

CMBX.NA.BBB-.6

   DEUT      USD       1,924,000      3.00%      05/11/63        Monthly      $      $ (297,102   $ (163,992   $ 133,110  

CMBX.NA.BBB-.6

   CSI      USD       2,370,000      3.00%      05/11/63        Monthly               (319,903     (201,612     118,291  

CMBX.NA.BBB-.6

   DEUT      USD       888,000      3.00%      05/11/63        Monthly               (121,068     (75,541     45,527  

CMBX.NA.BBB-.6

   MSC      USD       1,445,000      3.00%      05/11/63        Monthly               (207,066     (122,924     84,142  

CMBX.NA.BBB-.6

   DEUT      USD       1,205,000      3.00%      05/11/63        Monthly               (174,502     (102,507     71,995  

CMBX.NA.BBB-.6

   CSI      USD       850,000      3.00%      05/11/63        Monthly               (119,114     (72,308     46,806  

PrimeX.ARM.2(22)

   JPM      USD       104,548      4.58%      12/25/37        Monthly        3,743              501       (3,242
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

         $     100,615      $     (4,914,573   $     (2,990,148   $     1,823,810  
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total traded indices

         $ 474,633      $ (4,914,789   $ (2,924,748   $ 1,515,408  
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total OTC contracts

         $ 474,633      $ (4,914,789   $ (2,924,748   $ 1,515,408  
                   

 

 

    

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

Centrally Cleared Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Notional
Amount (a)
    (Pay)/Receive
Fixed Rate
    Expiration
Date
     Periodic
Payment
Frequency
     Cost Basis     Value     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

CDX.EM.32.V1

   USD      2,016,000       (1.00 %)      12/20/24        Quarterly      $ 101,528     $ 40,881     $ (60,647

CDX.NA.IG.32.V1

   USD      45,662,000       (1.00 %)      06/20/24        Quarterly        (767,794     (1,086,751     (318,957
               

 

 

   

 

 

   

 

 

 

Total

 

        $ (666,266   $     (1,045,870   $     (379,604
               

 

 

   

 

 

   

 

 

 
Credit default swaps on indices:  
Sell protection:  

CDX.EM.32.V1

   USD      9,965,000       1.00     12/20/24        Quarterly      $ (479,240   $ (464,105   $ 15,135  

CDX.NA.HY.33.V1

   USD      6,210,000       5.00     12/20/24        Quarterly        359,380     $ 440,534     $ 81,154  
               

 

 

   

 

 

   

 

 

 

Total

 

        $     (119,860   $ (23,571   $ 96,289  
               

 

 

   

 

 

   

 

 

 
Credit default swaps on single-name issues:  
Buy protection:  

Argentine Republic Government International Bond

   USD      82,000       (5.00 %)      06/20/24        Quarterly      $ 45,119     $ 49,205     $ 4,086  
               

 

 

   

 

 

   

 

 

 

Total single-name issues

 

        $ 45,119     $ 49,205     $ 4,086  
               

 

 

   

 

 

   

 

 

 

Total

 

        $ (741,007   $ (1,020,236   $ (279,229
               

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Value     Unrealized
Appreciation/
(Depreciation)
 

3 Mo. USD LIBOR

  

2.36% Fixed

   USD     6,720,000        04/09/24      Semi-Annual    $     —      $     —      $     (256,189   $     (256,189

3 Mo. USD LIBOR

  

2.36% Fixed

   USD     6,900,000        04/09/24      Semi-Annual                    (275,931     (275,931

3 Mo. USD LIBOR

  

2.35% Fixed

   USD     6,460,000        04/09/24      Semi-Annual                    (282,857     (282,857

3 Mo. USD LIBOR

  

2.35% Fixed

   USD     9,205,000        04/09/24      Semi-Annual                    (346,429     (346,429

3 Mo. USD LIBOR

  

1.86% Fixed

   USD     9,085,000        06/21/24      Semi-Annual                    (151,979     (151,979

3 Mo. USD LIBOR

  

1.71% Fixed

   USD     1,180,000        10/29/29      Semi-Annual                    (12,789     (12,789

3 Mo. USD LIBOR

  

1.72% Fixed

   USD     2,300,000        10/29/29      Semi-Annual                    (26,091     (26,091

3 Mo. USD LIBOR

  

1.72% Fixed

   USD     3,820,000        10/29/29      Semi-Annual                    (45,584     (45,584

3 Mo. USD LIBOR

  

1.77% Fixed

   USD     1,755,000        10/30/29      Semi-Annual                    7,866       7,866  

3 Mo. USD LIBOR

  

1.76% Fixed

   USD     1,910,000        10/30/29      Semi-Annual                    (18,044     (18,044

3 Mo. USD LIBOR

  

1.76% Fixed

   USD     1,730,000        10/30/29      Semi-Annual                    (26,797     (26,797

3 Mo. USD LIBOR

  

1.76% Fixed

   USD     1,910,000        10/30/29      Semi-Annual                    (30,129     (30,129

 

The accompanying notes are an integral part of these financial statements.

 

 

  141  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019 – (continued)  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Value     Unrealized
Appreciation/
(Depreciation)
 

3 Mo. USD LIBOR

  

2.75% Fixed

   USD     4,640,000        12/20/47      Semi-Annual    $     —      $ (97,707   $ (1,022,441   $ (924,734

3 Mo. USD LIBOR

  

2.25% Fixed

   USD     2,755,000        06/21/49      Semi-Annual                   (307,438     (307,438
                

 

 

    

 

 

   

 

 

   

 

 

 

Total

 

         $      $     (97,707   $     (2,794,832   $     (2,697,125
                

 

 

    

 

 

   

 

 

   

 

 

 

 

OTC Total Return Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counterparty    Notional
Amount
     Payments
received (paid)
by the Fund
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Market
Value
     Unrealized
Appreciation/
(Depreciation)
 

iBoxx USD Liquid Investment Grade Index

   MSC      USD       11,825,000      (1.00%)      12/20/19        Quarterly      $     —      $     —      $     572,824      $     572,824  
                   

 

 

    

 

 

    

 

 

    

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  1,400,000      BRL      339,293      USD    DEUT      12/03/19     $ 9,071     $  
  225,000      CHF      234,658      USD    RBS      10/13/20             (899
  420,000      CHF      446,918      USD    SGG      10/13/20             (10,569
  13,489,000      CNH      1,892,131      USD    BCLY      12/18/19       19,118        
  2,302,000      CNH      321,895      USD    BNP      12/18/19       4,274        
  565,000,000      COP      164,858      USD    UBS      12/18/19       1,996        
  271,100,000      COP      78,582      USD    JPM      12/18/19       1,478        
  3,390,000      CZK      144,655      USD    GSC      12/18/19       3,633        
  2,240,000      CZK      97,622      USD    JPM      12/18/19       362        
  13,910,000      EGP      800,089      USD    GSC      12/18/19           50,488        
  15,970,000      EGP      918,344      USD    GSC      03/18/20       36,117        
  4,098,000      EUR      4,565,512      USD    BNP      11/29/19       13,556        
  3,238,000      EUR      3,614,542      USD    SSG      11/29/19       3,569        
  569,000      EUR      630,350      USD    CBK      12/18/19       6,487        
  344,000      EUR      379,327      USD    MSC      12/18/19       5,685        
  400,000      EUR      444,272      USD    BCLY      12/18/19       3,417        
  263,000      EUR      290,954      USD    BOA      12/18/19       3,401        
  294,000      EUR      325,764      USD    UBS      12/18/19       3,287        
  111,000      EUR      123,695      USD    GSC      12/18/19       539        
  851,000      GBP      1,101,689      USD    JPM      11/29/19       1,651        
  43,400,000      HUF      144,865      USD    GSC      12/18/19       2,857        
  1,967,000,000      IDR      139,030      USD    BNP      12/18/19       416        
  1,530,000      MXN      79,186      USD    JPM      12/18/19             (247
  2,190,000      MXN      113,396      USD    BNP      12/18/19             (405
  400,000      PEN      119,349      USD    BNP      12/18/19       61        
  583,000      PEN      174,446      USD    MSC      12/18/19             (405
  570,000      PLN      145,267      USD    CBK      12/18/19       3,979        
  370,000      PLN      96,449      USD    JPM      12/18/19       430        
  8,620,000      RUB      133,789      USD    GSC      12/18/19             (272
  5,050,000      RUB      78,636      USD    BNP      12/18/19             (415
  151,221      USD      220,000      AUD    JPM      12/18/19             (637
  2,575,069      USD      3,740,000      AUD    CBA      12/18/19             (6,510
  394,395      USD      585,000      AUD    BOA      12/18/19             (9,408
  115,392      USD      484,000      BRL    SCB      12/03/19             (5,042
  761,426      USD      1,000,000      CAD    RBS      11/01/19       2,181        
  470,428      USD      620,000      CAD    BOA      11/01/19             (304
  383,273      USD      510,000      CAD    UBS      11/01/19                 (3,942
  1,145,321      USD      1,520,000      CAD    BNP      11/07/19             (8,747
  75,457      USD      100,000      CAD    BNP      11/12/19             (469
  462,627      USD      610,000      CAD    RBS      11/12/19             (523
  648,075      USD      860,000      CAD    RBC      11/12/19             (4,891
  152,351      USD      200,000      CAD    GSC      11/14/19       498        
  151,364      USD      200,000      CAD    BMO      11/20/19             (491
  376,579      USD      500,000      CAD    BNP      11/20/19             (3,058

 

The accompanying notes are an integral part of these financial statements.

 

 

  142  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  742,890      USD      970,000      CAD    NAB      12/03/19     $ 6,354     $  
  151,079      USD      200,000      CAD    BNP      12/16/19             (806
  2,583,566      USD      3,395,000      CAD    GSC      12/18/19       5,260        
  133,603      USD      175,000      CAD    UBS      12/18/19       701        
  337,774      USD      450,000      CAD    BOA      12/18/19             (3,975
  550,124      USD      725,000      CAD    MSC      01/02/20             (548
  382,782      USD      505,000      CAD    BNP      01/02/20             (790
  1,860,498      USD      2,475,000      CAD    RBS      01/02/20                 (19,382
  689,751      USD      910,000      CAD    HSBC      01/06/20             (1,444
  751,383      USD      1,000,000      CAD    RBS      01/06/20             (8,172
  1,136,668      USD      1,500,000      CAD    BNP      01/15/20             (2,691
  116,808      USD      155,000      CAD    SSG      01/21/20             (928
  232,287      USD      305,000      CAD    MSC      03/09/20       610        
  405,266      USD      530,000      CAD    HSBC      03/30/20       2,681        
  483,856      USD      635,000      CAD    MSC      05/22/20       1,549        
  355,645      USD      470,000      CAD    DEUT      05/22/20             (1,338
  752,589      USD      1,000,000      CAD    NAB      05/22/20             (6,950
  1,609,899      USD      2,105,000      CAD    BNP      06/01/20       11,118        
  375,290      USD      500,000      CAD    UBS      06/01/20             (4,468
  678,008      USD      900,000      CAD    JPM      06/12/20             (5,534
  327,196      USD      430,000      CAD    CBK      08/14/20       670        
  1,922,914      USD      2,525,000      CAD    MSC      09/18/20       5,640        
  1,052,748      USD      980,000      CHF    BNP      10/13/20       34,600        
  535,932      USD      500,000      CHF    HSBC      10/13/20       16,468        
  7,000      USD      6,265      EUR    SSG      11/29/19              
  396,495      USD      355,589      EUR    JPM      11/29/19             (838
  12,044,000      USD      10,827,467      EUR    BNP      11/29/19             (54,513
  29,609,151      USD      26,635,389      EUR    CBK      11/29/19             (152,991
  159,226      USD      140,000      EUR    JPM      12/02/19       2,754        
  36,702      USD      33,000      EUR    BMO      12/18/19             (232
  692,763      USD      628,000      EUR    SSG      12/18/19             (10,108
  1,312,483      USD      1,192,000      EUR    MSC      12/18/19             (21,629
  23,820,047      USD      21,476,051      EUR    JPM      12/18/19             (216,417
  1,203,053      USD      1,085,000      EUR    JPM      01/14/20             (13,597
  1,213,710      USD      1,085,000      EUR    MSC      03/13/20             (7,164
  1,290,122      USD      1,004,000      GBP    BCLY      11/29/19             (11,586
  459,816      USD      356,000      GBP    JPM      12/18/19             (2,121
  692,348      USD      565,000      GBP    DEUT      12/18/19             (40,781
  4,734,189      USD      3,819,000      GBP    BCLY      12/18/19                 (221,245
  145,156      USD      43,400,000      HUF    BCLY      12/18/19             (2,566
  4,065,666      USD      428,200,000      JPY    JPM      11/12/19       97,750        
  5,344,880      USD      563,800,000      JPY    MSC      11/18/19       118,641        
  2,432,910      USD      254,950,000      JPY    MSC      11/25/19       68,665        
  1,197,985      USD      125,950,000      JPY    CBK      11/25/19       30,005        
  2,836,281      USD      300,000,000      JPY    JPM      12/02/19       52,976        
  4,701,807      USD      500,000,000      JPY    JPM      12/09/19       60,029        
  4,792,973      USD      513,500,000      JPY    SCB      12/18/19       21,984        
  561,150      USD      60,000,000      JPY    BMO      12/18/19       3,683        
  4,676,023      USD      499,750,000      JPY    JPM      01/08/20       25,598        
  2,313,531      USD      249,500,000      JPY    CBK      01/27/20             (10,734
  6,216,505      USD      671,050,000      JPY    JPM      02/03/20             (36,968
  710,679      USD      75,000,000      JPY    MSC      03/10/20       10,284        
  270,975      USD      5,375,000      MXN    BCLY      12/18/19             (6,343
  231,588      USD      360,000      NZD    WEST      12/18/19       564        
  163,144      USD      255,000      NZD    UBS      12/18/19             (498
  529,664      USD      35,032,000      RUB    GSC      12/18/19             (12,956
                

 

 

   

 

 

 
 

Total

    $     757,135     $ (937,547
 

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  143  

 


The Hartford Strategic Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Foreign Cross Currency Contracts Outstanding at October 31, 2019  
Contract Amount      Counterparty      Delivery
Date
   Contract Amount     Unrealized
Depreciation
 
  EUR        32,373        SSG      11/29/19    GBP      32,413     $ (40
  EUR        1,751,549        BCLY      11/29/19    GBP      1,758,083       (6,535
                

 

 

 
  Total        $     (6,575
                

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Assets

 

Asset & Commercial Mortgage Backed Securities

   $ 73,963,641     $     $ 73,963,641     $  

Corporate Bonds

     140,242,179             140,242,179        

Foreign Government Obligations

     142,491,081             142,491,081        

Municipal Bonds

     4,677,991             4,677,991        

Senior Floating Rate Interests

     170,028,131             170,028,131        

U.S. Government Agencies

     83,808,102             83,808,102        

U.S. Government Securities

     99,764,759             99,764,759        

Convertible Bonds

     4,290,266             4,290,266        

Common Stocks

 

Energy

     337,028             4,125       332,903  

Preferred Stocks

     528,544       528,544              

Convertible Preferred Stocks

     1,848,392       1,848,392              

Warrants

     84                   84  

Short-Term Investments

     31,402,998       13,806,447       17,596,551        

Foreign Currency Contracts(2)

     757,135             757,135        

Futures Contracts(2)

     401,315       401,315              

Swaps - Credit Default(2)

     2,025,247             2,025,247        

Swaps - Interest Rate(2)

     7,866             7,866        

Swaps - Total Return(2)

     572,824             572,824        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     757,147,583     $     16,584,698     $     740,229,898     $     332,987  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (944,122   $     $ (944,122   $  

Futures Contracts(2)

     (420,266     (420,266            

Swaps - Credit Default(2)

     (789,068           (785,542     (3,526

Swaps - Interest Rate(2)

     (2,704,991           (2,704,991      
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (4,858,447   $ (420,266   $ (4,434,655   $ (3,526
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  144  

 


The Hartford Total Return Bond Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 24.6%  
      Asset-Backed - Automobile - 0.9%  
$     2,320,000    

AmeriCredit Automobile Receivables Trust 2.58%, 09/18/2025

  $ 2,323,822  
    285,161    

CIG Automobile Receivables Trust 2.71%, 05/15/2023(1)

    285,616  
    2,435,000    

Credit Acceptance Auto Loan Trust 2.65%, 06/15/2026(1)

    2,441,078  
    2,000,000    

Drive Auto Receivables Trust 2.70%, 02/16/2027

    1,997,426  
    4,600,000    

Exeter Automobile Receivables Trust 2.58%, 09/15/2025(1)

    4,584,746  
    302,462    

Skopos Auto Receivables Trust 3.19%, 09/15/2021(1)

    302,579  
 

Westlake Automobile Receivables Trust

 
    3,400,000    

2.72%, 11/15/2024(1)

    3,405,564  
    4,310,000    

3.28%, 12/15/2022(1)

    4,358,673  
     

 

 

 
    19,699,504  
     

 

 

 
      Asset-Backed - Finance & Insurance - 6.1%  
    1,540,000    

AIMCO CLO Ltd. 2.85%, 01/15/2028, 3 mo. USD LIBOR + 0.850%(1)(2)

    1,535,882  
    20,684    

Ameriquest Mortgage Securities, Inc. Asset-Backed Pass-Through Certificates 5.82%, 11/25/2035(3)

    20,568  
    3,970,000    

Apex Credit CLO Ltd. 3.41%, 04/24/2029, 3 mo. USD LIBOR + 1.470%(1)(2)

    3,971,747  
    16,671    

Apidos CLO 2.95%, 01/19/2025, 3 mo. USD LIBOR + 0.980%(1)(2)

    16,670  
    6,225,000    

Atrium 2.78%, 04/22/2027, 3 mo. USD LIBOR + 0.830%(1)(2)

    6,212,662  
 

Avery Point CLO Ltd.

 
    2,092,143    

3.04%, 04/25/2026, 3 mo. USD LIBOR + 1.100%(1)(2)

    2,093,302  
    612,635    

3.12%, 01/18/2025, 3 mo. USD LIBOR + 1.120%(1)(2)

    612,796  
    431,238    

Babson CLO Ltd. 3.12%, 07/20/2025, 3 mo. USD LIBOR + 1.150%(1)(2)

    431,382  
    4,978,462    

Bayview Koitere Fund Trust 3.50%, 07/28/2057(1)(4)

    5,091,143  
 

Bayview Opportunity Master Fund Trust

 
    2,075,477    

3.50%, 01/28/2055(1)(4)

    2,115,477  
    2,470,646    

3.50%, 06/28/2057(1)(4)

    2,513,808  
    4,791,671    

3.50%, 10/28/2057(1)(4)

    4,903,955  
    3,297,324    

3.50%, 01/28/2058(1)(4)

    3,366,213  
    1,846,027    

4.00%, 11/28/2053(1)(4)

    1,905,179  
    3,627,158    

4.00%, 10/28/2064(1)(4)

    3,743,591  
 

Bellemeade Re Ltd.

 
    1,639,912    

2.77%, 08/25/2028, 1 mo. USD LIBOR + 0.950%(1)(2)

    1,640,277  
    1,695,000    

2.92%, 07/25/2029, 1 mo. USD LIBOR + 1.100%(1)(2)

    1,696,149  
    277,500    

Cal Funding Ltd. 3.47%, 10/25/2027(1)

    278,135  
    4,154,170    

Carlyle Global Market Strategies CLO Ltd. 2.72%, 04/27/2027, 3 mo. USD LIBOR + 0.780%(1)(2)

    4,154,261  
    229,297    

CIFC Funding Ltd. 2.85%, 07/16/2030, 3 mo. USD LIBOR + 0.850%(1)(2)

    229,378  
    4,140,000    

Cirrus Funding Ltd. 4.80%, 01/25/2037(1)

    4,329,538  
    3,245,575    

Domino’s Pizza Master Issuer LLC 4.12%, 07/25/2048(1)

    3,386,530  
 

First Franklin Mortgage Loan Trust

 
    2,250,478    

2.06%, 04/25/2036, 1 mo. USD LIBOR + 0.240%(2)

    2,119,302  
    1,065,000    

2.13%, 09/25/2036, 1 mo. USD LIBOR + 0.310%(2)

    981,773  
    1,961,933    

Madison Park Funding Ltd. 3.23%, 07/20/2026, 3 mo. USD LIBOR + 1.260%(1)(2)

    1,963,163  
    4,062,648    

MFA Trust 3.35%, 11/25/2047(1)(3)

    4,099,458  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 24.6% - (continued)  
      Asset-Backed - Finance & Insurance - 6.1% - (continued)  
   

NRZ Excess Spread-Collateralized Notes

 
$     5,867,371    

3.19%, 01/25/2023(1)

  $ 5,893,601  
    2,230,111    

3.27%, 02/25/2023(1)

    2,240,218  
    34,313    

Oak Hill Advisors Residential Loan Trust 3.00%, 06/25/2057(1)(3)

    34,310  
    2,913,416    

OCP CLO Ltd. 2.85%, 04/17/2027, 3 mo. USD LIBOR + 0.850%(1)(2)

    2,914,599  
    6,884,746    

OneMain Financial Issuance Trust 2.37%, 09/14/2032(1)

    6,887,486  
    1,693,867    

Preston Ridge Partners Mortgage Trust LLC 3.35%, 07/25/2024(1)(3)

    1,696,801  
    2,781,389    

Pretium Mortgage Credit Partners LLC 3.72%, 01/25/2059(1)(3)

    2,780,909  
    988,770    

Seasoned Credit Risk Transfer Trust 3.50%, 08/25/2058

    1,054,940  
    1,086,772    

Seneca Park CLO Ltd. 3.12%, 07/17/2026, 3 mo. USD LIBOR + 1.120%(1)(2)

    1,088,496  
 

SoFi Consumer Loan Program LLC

 

    704,058    

2.50%, 05/26/2026(1)

    705,917  
    348,708    

2.77%, 05/25/2026(1)

    350,154  
    565,767    

3.05%, 12/26/2025(1)

    568,289  
    430,577    

3.09%, 10/27/2025(1)

    431,937  
    518,532    

3.28%, 01/26/2026(1)

    522,556  
    6,850,000    

Sound Point CLO Ltd. 2.86%, 01/20/2028, 3 mo. USD LIBOR + 0.890%(1)(2)

    6,832,656  
 

Springleaf Funding Trust

 

    7,215,000    

2.68%, 07/15/2030(1)

    7,239,005  
    1,216,320    

2.90%, 11/15/2029(1)

    1,217,097  
    3,950,000    

Symphony CLO Ltd. 2.95%, 07/14/2026, 3 mo. USD LIBOR + 0.950%(1)(2)

    3,949,964  
    1,472,536    

Thacher Park CLO Ltd. 3.13%, 10/20/2026, 3 mo. USD LIBOR + 1.160%(1)(2)

    1,474,628  
 

Towd Point Mortgage Trust

 

    3,640,384    

2.75%, 10/25/2056(1)(4)

    3,683,458  
    1,489,072    

2.75%, 04/25/2057(1)(4)

    1,502,735  
    2,623,585    

2.75%, 06/25/2057(1)(4)

    2,654,378  
    2,892,913    

2.75%, 07/25/2057(1)(4)

    2,919,672  
    3,520,000    

Voya CLO Ltd. 2.90%, 01/18/2029, 3 mo. USD LIBOR + 0.900%(1)(2)

    3,491,844  
    1,341,113    

Wendy’s Funding LLC 3.88%, 03/15/2048(1)

    1,406,143  
    1,681,550    

Wingstop Funding LLC 4.97%, 12/05/2048(1)

    1,752,965  
    5,625,000    

Zais CLO Ltd. 3.53%, 10/15/2028, 3 mo. USD LIBOR + 1.530%(1)(2)

    5,606,027  
     

 

 

 
    134,313,124  
     

 

 

 
      Asset-Backed - Home Equity - 1.4%  
    5,630,000    

CPT Mortgage Trust 2.87%, 11/13/2039(1)

    5,798,791  
 

GSAA Home Equity Trust

 

    23,847    

1.89%, 12/25/2046, 1 mo. USD LIBOR + 0.070%(2)

    11,551  
    2,986,121    

1.90%, 02/25/2037, 1 mo. USD LIBOR + 0.080%(2)

    1,432,995  
    927,091    

1.91%, 12/25/2036, 1 mo. USD LIBOR + 0.090%(2)

    410,853  
    1,576,437    

1.92%, 03/25/2037, 1 mo. USD LIBOR + 0.100%(2)

    725,604  
    1,382,407    

2.00%, 11/25/2036, 1 mo. USD LIBOR + 0.180%(2)

    602,414  
    1,379,749    

5.99%, 06/25/2036(4)

    615,488  
 

Legacy Mortgage Asset Trust

 

    3,598,116    

3.00%, 06/25/2059(1)(3)

    3,603,215  
    4,480,000    

3.25%, 06/25/2059(1)(3)

    4,482,285  
    7,255,919    

4.00%, 03/25/2058(1)(3)

    7,321,109  
    39,521    

Morgan Stanley Asset-Backed Securities Capital, Inc. Trust 1.97%, 06/25/2036, 1 mo. USD LIBOR + 0.150%(2)

    33,862  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  145  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 24.6% - (continued)  
      Asset-Backed - Home Equity - 1.4% - (continued)  
$     1,273,363    

Morgan Stanley Mortgage Loan Trust 1.99%, 11/25/2036, 1 mo. USD LIBOR + 0.170%(2)

  $ 563,677  
    487,240    

Renaissance Home Equity Loan Trust 5.91%, 04/25/2037(3)

    229,470  
 

Soundview Home Loan Trust

 
    2,920,501    

2.00%, 07/25/2037, 1 mo. USD LIBOR + 0.180%(2)

    2,685,999  
    830,000    

2.06%, 07/25/2036, 1 mo. USD LIBOR + 0.240%(2)

    778,626  
    1,110,000    

2.07%, 11/25/2036, 1 mo. USD LIBOR + 0.250%(2)

    1,042,556  
     

 

 

 
    30,338,495  
     

 

 

 
      Collateralized - Mortgage Obligations - 0.2%  
    328,037    

Consumer Loan Underlying Bond Credit Trust 2.61%, 01/15/2024(1)

    328,153  
    2,416,675    

Homeward Opportunities Fund Trust 2.70%, 09/25/2059(1)(4)

    2,421,658  
    2,221,497    

Structured Agency Credit Risk Trust 2.57%, 09/25/2048, 1 mo. USD LIBOR + 0.750%(1)(2)

    2,222,788  
     

 

 

 
    4,972,599  
     

 

 

 
      Commercial Mortgage - Backed Securities - 4.3%  
    30,063,111    

Banc of America Commercial Mortgage Trust 0.74%, 11/15/2050(4)(5)

    1,506,980  
 

Bank

 
    20,851,517    

0.61%, 11/15/2062(4)(5)(6)

    1,064,011  
    19,533,585    

0.84%, 09/15/2061(4)(5)

    1,333,521  
    11,642,719    

0.91%, 05/15/2062(4)(5)

    836,746  
 

BBCMS Mortgage Trust

 
    23,594,609    

1.50%, 02/15/2050(4)(5)

    1,998,673  
    7,661,000    

2.76%, 08/15/2036, 1 mo. USD LIBOR + 0.850%(1)(2)

    7,641,706  
 

Benchmark Mortgage Trust

 
    3,863,661    

0.54%, 07/15/2051(4)(5)

    136,279  
    59,702,566    

0.65%, 04/10/2051(4)(5)

    2,326,257  
    34,238,884    

0.67%, 01/15/2052(4)(5)

    1,699,361  
    8,496,127    

1.07%, 08/15/2052(4)(5)

    645,513  
    5,310,000    

BX Commercial Mortgage Trust 2.92%, 10/15/2036, 1 mo. USD LIBOR + 0.920%(1)(2)

    5,316,664  
    2,535,000    

CAMB Commercial Mortgage Trust 4.47%, 12/15/2037, 1 mo. USD LIBOR + 2.550%(1)(2)

    2,560,350  
 

Citigroup Commercial Mortgage Trust

 
    11,481,689    

0.96%, 07/10/2047(4)(5)

    461,971  
    15,465,622    

1.10%, 04/10/2048(4)(5)

    650,198  
    415,000    

4.59%, 03/10/2047(1)(4)

    413,158  
 

Commercial Mortgage Trust

 
    3,614,933    

0.67%, 08/10/2046(4)(5)

    82,354  
    2,438,081    

1.90%, 07/10/2046(1)(4)(5)

    16,323  
    380,000    

2.54%, 12/10/2045

    384,482  
    687,000    

2.77%, 12/10/2045

    699,999  
    939,511    

2.85%, 10/15/2045

    954,607  
    4,500,000    

2.90%, 10/15/2036, 1 mo. USD LIBOR + 0.900%(1)(2)

    4,500,117  
    745,000    

2.94%, 01/10/2046

    762,650  
    735,000    

3.10%, 03/10/2046

    754,973  
    801,979    

3.21%, 03/10/2046

    827,204  
    362,472    

3.33%, 06/10/2046

    374,059  
    3,050,000    

3.42%, 03/10/2031(1)

    3,190,883  
    905,000    

3.61%, 06/10/2046(4)

    947,501  
    764,052    

4.02%, 07/10/2045

    802,098  
    420,000    

4.07%, 02/10/2047(4)

    451,015  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 24.6% - (continued)  
      Commercial Mortgage - Backed Securities - 4.3% - (continued)  
$     390,000    

4.21%, 08/10/2046

  $ 417,500  
    660,000    

4.21%, 08/10/2046(4)

    710,034  
    595,000    

4.23%, 07/10/2045(4)

    636,895  
    805,000    

4.59%, 10/15/2045(1)(4)

    40,250  
    1,825,000    

4.75%, 10/15/2045(1)(4)

    1,342,360  
    40,507    

Credit Suisse First Boston Mortgage Securities Corp. 4.88%, 04/15/2037

    39,351  
 

CSAIL Commercial Mortgage Trust

 
    26,727,140    

0.77%, 06/15/2057(4)(5)

    918,751  
    1,428,616    

0.86%, 04/15/2050(4)(5)

    51,042  
    5,045,629    

1.00%, 11/15/2048(4)(5)

    199,589  
    7,933,013    

1.78%, 01/15/2049(4)(5)

    701,512  
    2,202,170    

DBUBS Mortgage Trust 0.70%, 11/10/2046(1)(4)(5)

    9,640  
    1,593,391    

Four Times Square Trust Commercial Mortgage Pass-Through Certificates 5.40%, 12/13/2028(1)

    1,640,218  
 

FREMF Mortgage Trust

 
    6,625,000    

2.14%, 02/25/2020, 1 mo. USD LIBOR + 0.320%(2)

    6,624,139  
    2,710,000    

5.28%, 09/25/2043(1)(4)

    2,745,395  
    206,764    

GE Business Loan Trust 2.91%, 05/15/2034, 1 mo. USD LIBOR + 1.000%(1)(2)

    194,915  
    2,010,000    

GS Mortgage Securities Corp. 2.95%, 11/05/2034(1)

    2,060,219  
 

GS Mortgage Securities Trust

 
    23,153,737    

0.08%, 07/10/2046(4)(5)

    68,248  
    3,072,517    

1.33%, 08/10/2044(1)(4)(5)

    53,869  
    695,000    

3.67%, 04/10/2047(1)

    247,589  
    825,000    

4.07%, 01/10/2047

    885,274  
    1,310,000    

4.97%, 04/10/2047(1)(4)

    1,184,703  
 

JP Morgan Chase Commercial Mortgage Securities Trust

 
    1,325,000    

2.73%, 10/15/2045(1)(4)

    796,842  
    830,318    

2.84%, 12/15/2047

    845,642  
    730,000    

4.40%, 12/15/2047(1)(4)

    691,559  
    970,000    

5.40%, 08/15/2046(1)(4)

    991,756  
 

JPMBB Commercial Mortgage Securities Trust

 
    11,568,874    

0.66%, 09/15/2047(4)(5)

    280,036  
    4,363,490    

0.76%, 05/15/2048(4)(5)

    106,504  
    237,306    

3.36%, 07/15/2045

    246,578  
 

Morgan Stanley Bank of America Merrill Lynch Trust

 
    6,584,084    

1.01%, 12/15/2047(4)(5)

    263,585  
    4,150,015    

1.03%, 10/15/2048(4)(5)

    199,828  
    700,000    

2.92%, 02/15/2046

    716,438  
    1,465,000    

3.13%, 12/15/2048

    1,507,968  
    880,000    

3.18%, 08/15/2045

    902,550  
    730,173    

4.26%, 10/15/2046(4)

    785,006  
    2,647,182    

Morgan Stanley Capital I Trust 1.44%, 06/15/2050(4)(5)

    199,853  
 

Morgan Stanley Capital Trust

 
    13,396,178    

0.34%, 09/15/2047(1)(4)(5)

    39,683  
    2,605,000    

3.47%, 08/11/2033(1)

    2,657,061  
    885,000    

5.25%, 07/15/2049(1)(4)

    811,211  
    37,927    

5.67%, 10/12/2052(1)(4)

    9,482  
    2,165,000    

MTRO Commercial Mortgage Trust 3.72%, 12/15/2033, 1 mo. USD LIBOR + 1.800%(1)(2)

    2,164,994  
    1,385,000    

Natixis Commercial Mortgage Securities Trust 2.91%, 10/15/2036(1)

    1,383,103  
    3,014,217    

Oaktown Re II Ltd. 3.37%, 07/25/2028, 1 mo. USD LIBOR + 1.550%(1)(2)

    3,014,932  
    5,560,552    

UBS Commercial Mortgage Trust 1.09%, 08/15/2050(4)(5)

    361,688  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  146  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 24.6% - (continued)  
      Commercial Mortgage - Backed Securities - 4.3% - (continued)  
 

UBS-Barclays Commercial Mortgage Trust

 
$     920,000    

2.85%, 12/10/2045

  $ 937,286  
    2,215,000    

3.09%, 08/10/2049

    2,265,665  
 

Wells Fargo Commercial Mortgage Trust

 
    10,807,931    

1.14%, 05/15/2048(4)(5)

    499,810  
    10,000    

3.17%, 02/15/2048

    10,440  
    255,000    

4.10%, 05/15/2048(4)

    259,313  
 

WF-RBS Commercial Mortgage Trust

 
    1,709,311    

1.22%, 03/15/2047(4)(5)

    68,978  
    802,927    

2.87%, 11/15/2045

    819,974  
    1,490,000    

3.00%, 08/15/2045

    1,520,620  
    1,545,000    

3.02%, 11/15/2047(1)

    828,109  
    740,000    

3.07%, 03/15/2045

    759,894  
    350,000    

3.35%, 05/15/2045

    362,223  
    225,000    

4.05%, 03/15/2047

    241,299  
    1,070,000    

4.15%, 08/15/2046(4)

    1,144,460  
    345,000    

5.00%, 06/15/2044(1)(4)

    287,002  
    770,000    

5.58%, 04/15/2045(1)(4)

    813,021  
     

 

 

 
    93,905,539  
     

 

 

 
          Other ABS - 1.1%      
    5,070,410    

Pretium Mortgage Credit Partners LLC 3.11%, 07/27/2059(1)(3)

    5,065,684  
    5,529,516    

Seasoned Credit Risk Transfer Trust 3.50%, 03/25/2058

    5,820,700  
   

Vericrest Opportunity Loan Trust

 
    2,094,420    

3.35%, 08/25/2049(1)(3)

    2,097,150  
    1,985,773    

3.97%, 03/25/2049(1)(3)

    1,996,660  
    2,393,885    

VOLT LXIV LLC 3.38%, 10/25/2047(1)(3)

    2,398,445  
    670,626    

VOLT LXXI LLC 3.97%, 09/25/2048(1)(3)

    674,052  
    5,200,000    

VOLT LXXX LLC 3.23%, 10/25/2049(1)(3)

    5,202,987  
     

 

 

 
        23,255,678  
     

 

 

 
          Whole Loan Collateral CMO - 10.6%  
    170,544    

Adjustable Rate Mortgage Trust 2.36%, 11/25/2035, 1 mo. USD LIBOR + 0.540%(2)

    170,169  
   

Alternative Loan Trust

 
    426,193    

2.14%, 11/25/2035, 1 mo. USD LIBOR + 0.320%(2)

    392,797  
    1,701,008    

2.36%, 01/25/2036, 1 mo. USD LIBOR + 0.540%(2)

    1,676,695  
    1,087,438    

3.74%, 08/25/2035, 12 mo. USD MTA + 1.350%(2)

    991,486  
    303,325    

5.75%, 05/25/2036

    223,193  
    235,791    

6.00%, 05/25/2036

    191,067  
    156,317    

6.00%, 12/25/2036

    104,871  
   

Angel Oak Mortgage Trust LLC

 
    6,098,168    

2.93%, 05/25/2059(1)(4)

    6,134,385  
    1,414,572    

3.63%, 03/25/2049(1)(4)

    1,429,957  
   

Banc of America Funding Trust

 
    514,750    

2.15%, 05/20/2047, 1 mo. USD LIBOR + 0.300%(2)

    509,639  
    1,753,523    

5.77%, 05/25/2037(4)

    1,734,770  
    65,636    

5.85%, 01/25/2037(3)

    65,530  
   

Bear Stearns Adjustable Rate Mortgage Trust

 
    322,900    

4.11%, 02/25/2036(4)

    287,443  
    424,633    

4.27%, 10/25/2035, 12 mo. USD CMT + 2.300%(2)

    437,932  
    1,656,207    

Bear Stearns Alt-A Trust 2.32%, 01/25/2036, 1 mo. USD LIBOR + 0.500%(2)

    1,895,654  
    559,750    

Bear Stearns Mortgage Funding Trust 2.00%, 10/25/2036, 1 mo. USD LIBOR + 0.180%(2)

    539,452  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 24.6% - (continued)  
          Whole Loan Collateral CMO - 10.6% - (continued)  
   

Bellemeade Re Ltd.

 
$     3,213,225    

3.02%, 10/25/2028, 1 mo. USD LIBOR + 1.200%(1)(2)

  $ 3,214,761  
    2,398,316    

3.12%, 03/25/2029, 1 mo. USD LIBOR + 1.300%(1)(2)

    2,400,169  
    7,495,000    

3.31%, 10/25/2029, 1 mo. USD LIBOR + 1.400%(1)(2)

    7,495,069  
    454,056    

Chase Mortgage Finance Trust 4.22%, 12/25/2035(4)

    457,476  
   

CHL Mortgage Pass-Through Trust

 
    524,037    

2.50%, 03/25/2035, 1 mo. USD LIBOR + 0.680%(2)

    491,428  
    687,423    

3.68%, 11/20/2035(4)

    632,767  
    911,126    

3.79%, 09/25/2047(4)

    870,712  
    226,292    

4.15%, 06/20/2035(4)

    232,262  
    527,279    

4.69%, 04/20/2036(4)

    428,788  
    4,558,347    

CIM Trust 3.00%, 04/25/2057(1)(4)

    4,590,188  
    1,835,000    

Citigroup Mortgage Loan Trust 3.23%, 11/25/2070(1)

    1,834,992  
    1,915,000    

Colombia Cent CLO Ltd. 3.09%, 10/25/2028, 3 mo. USD LIBOR + 1.150%(1)(2)

    1,915,643  
   

COLT Mortgage Loan Trust

 
    4,083,463    

2.58%, 11/25/2049(1)(4)

    4,089,157  
    3,639,525    

2.76%, 08/25/2049(1)(4)

    3,651,536  
    2,591,775    

3.34%, 05/25/2049(1)(4)

    2,638,052  
    811,498    

Credit Suisse First Boston Mortgage Securities Corp. 5.50%, 06/25/2035

    786,312  
   

CSMC Trust

 
    2,047,133    

3.25%, 04/25/2047(1)(4)

    2,061,936  
    2,856,491    

4.13%, 07/25/2058(1)(4)

    2,883,139  
   

Deephaven Residential Mortgage Trust

 
    742,828    

2.45%, 06/25/2047(1)(4)

    742,088  
    6,480,203    

2.96%, 07/25/2059(1)(4)

    6,511,876  
    164,683    

DSLA Mortgage Loan Trust 2.21%, 01/19/2045, 1 mo. USD LIBOR + 0.360%(2)

    160,994  
    1,590,524    

Fannie Mae Connecticut Avenue Securities 6.17%, 05/25/2029, 1 mo. USD LIBOR + 4.350%(2)

    1,669,306  
   

GMACM Mortgage Loan Trust

 
    371,223    

3.94%, 09/19/2035(4)

    372,117  
    76,737    

4.18%, 04/19/2036(4)

    71,883  
   

GSR Mortgage Loan Trust

 
    2,236,275    

2.12%, 01/25/2037, 1 mo. USD LIBOR + 0.300%(2)

    896,871  
    142,493    

4.28%, 10/25/2035(4)

    116,701  
    1,252,698    

4.36%, 01/25/2036(4)

    1,274,779  
   

HarborView Mortgage Loan Trust

 
    769,323    

2.04%, 01/19/2038, 1 mo. USD LIBOR + 0.190%(2)

    747,663  
    1,439,167    

2.09%, 12/19/2036, 1 mo. USD LIBOR + 0.240%(2)

    1,377,033  
    1,842,838    

Home Re Ltd. 3.42%, 10/25/2028, 1 mo. USD LIBOR + 1.600%(1)

    1,843,795  
   

IndyMac Index Mortgage Loan Trust

 
    467,980    

3.87%, 03/25/2036(4)

    428,314  
    1,217,277    

3.94%, 04/25/2037(4)

    939,560  
    360,478    

4.51%, 01/25/2036(4)

    362,575  
   

JP Morgan Mortgage Trust

 
    324,219    

4.16%, 05/25/2036(4)

    323,656  
    317,804    

4.33%, 09/25/2035(4)

    326,252  
    111,729    

4.40%, 04/25/2037(4)

    104,875  
    2,840,000    

LCM XX L.P. 3.01%, 10/20/2027, 3 mo. USD LIBOR + 1.040%(1)(2)

    2,845,459  
    514,421    

Lehman XS Trust 2.03%, 07/25/2046, 1 mo. USD LIBOR + 0.210%(2)

    514,410  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  147  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 24.6% - (continued)  
          Whole Loan Collateral CMO - 10.6% - (continued)  
   

LSTAR Securities Investment Ltd.

 
$     1,944,156    

3.53%, 04/01/2024, 1 mo. USD LIBOR + 1.500%(1)(2)

  $ 1,937,895  
    4,436,350    

3.53%, 05/01/2024, 1 mo. USD LIBOR + 1.500%(1)(2)

    4,430,296  
   

LSTAR Securities Investment Trust

 
    654,772    

3.53%, 04/01/2024, 1 mo. USD LIBOR + 1.500%(1)(2)

    652,624  
    3,220,864    

3.73%, 03/01/2024, 1 mo. USD LIBOR + 1.700%(1)(2)

    3,210,530  
    2,519,015    

Luminent Mortgage Trust 2.01%, 05/25/2046, 1 mo. USD LIBOR + 0.190%(2)

    2,314,428  
   

MetLife Securitization Trust

 
    1,709,100    

3.00%, 04/25/2055(1)(4)

    1,739,170  
    3,600,331    

3.75%, 03/25/2057(1)(4)

    3,765,020  
    954,363    

MFA Trust 2.59%, 02/25/2057(1)(4)

    949,539  
    3,547,397    

Mill City Mortgage Loan Trust 2.75%, 01/25/2061(1)(4)

    3,581,548  
    569,743    

Morgan Stanley Mortgage Loan Trust 4.19%, 05/25/2036(4)

    417,239  
    4,970,000    

New Residential Advance Receivables Trust 2.33%, 10/15/2051(1)

    4,974,577  
    4,686,239    

New Residential Mortgage LLC 3.79%, 07/25/2054(1)

    4,769,576  
   

New Residential Mortgage Loan Trust

 
    2,197,727    

2.49%, 09/25/2059(1)(4)

    2,196,126  
    5,197,297    

2.57%, 01/25/2048, 1 mo. USD LIBOR + 0.750%(1)(2)

    5,184,313  
    3,893,040    

3.32%, 06/25/2057, 1 mo. USD LIBOR + 1.500%(1)(2)

    3,955,672  
    3,798,155    

3.50%, 08/25/2059(1)(4)

    3,888,572  
    2,913,113    

3.75%, 11/26/2035(1)(4)

    3,025,756  
    2,841,919    

3.75%, 11/25/2056(1)(4)

    2,964,162  
    6,375,028    

3.75%, 11/25/2058(1)(4)

    6,642,117  
    5,647,076    

4.00%, 02/25/2057(1)(4)

    5,926,968  
    5,619,185    

4.00%, 03/25/2057(1)(4)

    5,904,655  
    3,796,167    

4.00%, 04/25/2057(1)(4)

    3,964,929  
    3,666,569    

4.00%, 05/25/2057(1)(4)

    3,849,856  
    4,496,305    

4.00%, 08/27/2057(1)

    4,704,760  
    622,391    

4.00%, 12/25/2057(1)

    648,759  
    5,010,000    

Oaktown Re III Ltd. 3.22%, 07/25/2029, 1 mo. USD LIBOR + 1.400%(1)(2)

    5,017,456  
    703,718    

OBX Trust 2.47%, 06/25/2057, 1 mo. USD LIBOR + 0.650%(1)(2)

    700,779  
 

OZLM Ltd.

 
    3,765,000    

2.99%, 04/30/2027, 3 mo. USD LIBOR + 1.050%(1)(2)

    3,759,319  
    1,120,000    

3.01%, 07/17/2029, 3 mo. USD LIBOR + 1.010%(1)(2)

    1,110,352  
    2,873,036    

PMT Credit Risk Transfer Trust 4.05%, 03/27/2024, 1 mo. USD LIBOR + 2.000%(1)(2)

    2,865,918  
    3,515,875    

Radnor RE Ltd. 3.02%, 06/25/2029, 1 mo. USD LIBOR + 1.200%(1)(2)

    3,513,707  
    1,035,870    

RBSGC Mortgage Loan Trust 6.25%, 01/25/2037

    1,030,474  
 

Residential Accredit Loans, Inc.

 
    1,676,318    

2.12%, 04/25/2036, 1 mo. USD LIBOR + 0.300%(2)

    1,614,866  
    1,385,537    

3.61%, 11/25/2037(4)

    1,300,789  
    1,053,615    

6.00%, 12/25/2035

    1,037,072  
    731,343    

Residential Asset Securitization Trust 5.50%, 06/25/2035

    667,207  
    501,822    

Residential Funding Mortgage Securities, Inc. 4.20%, 08/25/2035(4)

    375,779  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 24.6% - (continued)  
          Whole Loan Collateral CMO - 10.6% - (continued)  
 

Seasoned Credit Risk Transfer Trust

 
$     1,827,292    

3.50%, 11/25/2057

  $ 1,943,939  
    4,833,314    

3.50%, 07/25/2058

    5,153,100  
    5,688,939    

3.50%, 10/25/2058

    6,003,665  
    663,855    

TBW Mortgage-Backed Trust 6.00%, 07/25/2036

    465,358  
 

Towd Point Mortgage Trust

 
    2,118,777    

2.25%, 04/25/2056(1)(4)

    2,114,038  
    3,569,444    

2.42%, 02/25/2057, 1 mo. USD LIBOR + 0.600%(1)(2)

    3,561,125  
    1,870,387    

2.75%, 08/25/2055(1)(4)

    1,889,733  
    197,559    

3.00%, 03/25/2054(1)(4)

    198,438  
 

Vericrest Opportunity Loan Trust

 
    4,523,152    

3.18%, 10/25/2049(1)(3)

    4,518,832  
    5,305,000    

3.28%, 11/25/2049(1)(3)

    5,304,830  
 

Verus Securitization Trust

 
    4,897,920    

2.78%, 07/25/2059(1)(3)

    4,916,939  
    2,919,616    

3.21%, 04/25/2059(1)(4)

    2,943,379  
 

WaMu Mortgage Pass-Through Certificates Trust

 
    460,382    

3.27%, 10/25/2046, 12 mo. USD MTA + 0.880%(2)

    438,723  
    386,050    

3.37%, 07/25/2046, 12 mo. USD MTA + 0.980%(2)

    378,438  
    965,595    

3.73%, 06/25/2037(4)

    921,963  
 

Washington Mutual Mortgage Pass-Through Certificates WMALT Trust

 
    1,141,401    

2.42%, 07/25/2036, 1 mo. USD LIBOR + 0.600%(2)

    763,578  
    596,043    

3.22%, 11/25/2046, 12 mo. USD MTA + 0.830%(2)

    561,511  
    29,513,457    

Wells Fargo Commercial Mortgage Trust 1.13%, 09/15/2057(4)(5)

    1,098,081  
    217,738    

Wells Fargo Mortgage Backed Securities Trust 4.85%, 09/25/2036(4)

    221,485  
     

 

 

 
    231,079,594  
     

 

 

 
 

Total Asset & Commercial Mortgage Backed Securities
(cost $533,523,438)

  $ 537,564,533  
     

 

 

 
CORPORATE BONDS - 25.3%  
      Aerospace/Defense - 0.5%  
    1,930,000    

Boeing Co. 3.25%, 02/01/2035

  $ 2,021,951  
 

DAE Funding LLC

 
    65,000    

4.50%, 08/01/2022(1)

    66,182  
    70,000    

5.00%, 08/01/2024(1)

    73,066  
    2,105,000    

L3Harris Technologies, Inc. 3.85%, 06/15/2023(1)

    2,222,970  
    1,147,000    

Lockheed Martin Corp. 4.09%, 09/15/2052

    1,336,236  
 

United Technologies Corp.

 
    140,000    

2.80%, 05/04/2024

    144,243  
    1,255,000    

3.65%, 08/16/2023

    1,327,498  
    1,115,000    

3.95%, 08/16/2025

    1,220,190  
    1,135,000    

4.45%, 11/16/2038

    1,346,657  
    510,000    

4.63%, 11/16/2048

    643,715  
     

 

 

 
    10,402,708  
     

 

 

 
      Agriculture - 0.6%  
   

Altria Group, Inc.

 
    650,000    

2.63%, 09/16/2026

    636,818  
    976,000    

3.88%, 09/16/2046

    904,546  
    735,000    

4.40%, 02/14/2026

    792,715  
    780,000    

4.80%, 02/14/2029

    856,305  
    1,320,000    

5.38%, 01/31/2044

    1,475,777  
    1,085,000    

5.80%, 02/14/2039

    1,247,450  
    665,000    

5.95%, 02/14/2049

    782,251  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  148  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Agriculture - 0.6% - (continued)  
 

BAT Capital Corp.

 
$     2,525,000    

2.79%, 09/06/2024

  $ 2,512,119  
    3,055,000    

4.39%, 08/15/2037

    3,017,017  
     

 

 

 
    12,224,998  
     

 

 

 
      Auto Manufacturers - 0.4%  
CAD     100,000    

Daimler Canada Finance, Inc. 1.80%, 12/16/2019

    75,903  
$     315,000    

Daimler Finance North America LLC 2.68%, 05/04/2020, 3 mo. USD LIBOR + 0.390%(1)(2)

    315,181  
    465,000    

Ford Motor Co. 5.29%, 12/08/2046

    429,641  
 

Ford Motor Credit Co. LLC

 
    200,000    

3.01%, 01/09/2020, 3 mo. USD LIBOR + 1.000%(2)

    200,175  
    555,000    

3.82%, 11/02/2027

    528,163  
    500,000    

4.13%, 08/04/2025

    498,315  
    1,160,000    

4.54%, 08/01/2026

    1,168,447  
    520,000    

5.11%, 05/03/2029

    526,578  
 

General Motors Co.

 
    1,395,000    

5.20%, 04/01/2045

    1,386,043  
    750,000    

5.95%, 04/01/2049

    825,054  
    965,000    

6.25%, 10/02/2043

    1,078,194  
    720,000    

6.75%, 04/01/2046

    830,970  
    500,000    

General Motors Financial Co., Inc. 3.56%, 01/15/2020, 3 mo. USD LIBOR + 1.560%(2)

    501,127  
CAD     645,000    

General Motors Financial of Canada Ltd. 3.08%, 05/22/2020(7)

    491,838  
    600,000    

Toyota Credit Canada, Inc. 1.80%, 02/19/2020(7)

    455,318  
    100,000    

VW Credit Canada, Inc. 2.47%, 03/30/2020, 3 mo. CDOR + 0.500%(2)

    76,016  
     

 

 

 
    9,386,963  
     

 

 

 
      Auto Parts & Equipment - 0.0%  
$     250,000    

Adient Global Holdings Ltd. 4.88%, 08/15/2026(1)

    196,875  
    285,000    

Goodyear Tire & Rubber Co. 5.00%, 05/31/2026(8)

    294,619  
     

 

 

 
    491,494  
     

 

 

 
      Beverages - 0.7%  
 

Anheuser-Busch InBev Worldwide, Inc.

 
    2,008,000    

3.75%, 07/15/2042

    2,058,054  
    1,395,000    

4.60%, 04/15/2048

    1,591,828  
    1,770,000    

4.75%, 04/15/2058

    2,081,592  
    4,590,000    

5.45%, 01/23/2039

    5,779,523  
 

Constellation Brands, Inc.

 
    815,000    

2.65%, 11/07/2022

    827,475  
    415,000    

4.40%, 11/15/2025

    458,651  
    2,040,000    

Molson Coors Brewing Co. 3.00%, 07/15/2026

    2,059,148  
CAD     170,000    

Molson Coors International L.P. 2.75%, 09/18/2020

    129,286  
     

 

 

 
    14,985,557  
     

 

 

 
      Biotechnology - 0.1%  
$     1,110,000    

Amgen, Inc. 2.65%, 05/11/2022

    1,128,148  
     

 

 

 
      Chemicals - 0.7%  
    1,460,000    

Alpek S.A.B. de C.V.
4.25%, 09/18/2029(1)

    1,487,010  
    4,365,000    

Braskem Netherlands Finance B.V. 4.50%, 01/31/2030(1)(6)

    4,325,715  
    225,000    

Chemours Co. 5.38%, 05/15/2027

    199,933  
 

DuPont de Nemours, Inc.

 
    200,000    

2.87%, 11/15/2020, 3 mo. USD LIBOR + 0.710%(2)

    200,916  
    2,940,000    

4.21%, 11/15/2023

    3,149,979  
 

Methanex Corp.

 
    1,095,000    

4.25%, 12/01/2024

    1,114,562  
    609,000    

5.65%, 12/01/2044

    578,572  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Chemicals - 0.7% - (continued)  
$     285,000    

Olin Corp. 5.13%, 09/15/2027

  $ 293,222  
    1,340,000    

Sherwin-Williams Co. 2.95%, 08/15/2029

    1,354,478  
    1,810,000    

Syngenta Finance N.V. 4.89%, 04/24/2025(1)

    1,917,389  
     

 

 

 
    14,621,776  
     

 

 

 
      Commercial Banks - 7.0%  
    1,400,000    

Banco Bilbao Vizcaya Argentaria S.A. 6.13%, 11/16/2027, (6.13% fixed rate until 11/16/2027; 5 year USD Swap + 3.870% thereafter)(9)(10)

    1,377,250  
 

Bank of America Corp.

 
    2,175,000    

2.46%, 10/22/2025, (2.46% fixed rate until 10/22/2024; 3 mo. USD LIBOR + 0.870% thereafter)(10)

    2,186,716  
    3,470,000    

3.19%, 07/23/2030, (3.19% fixed rate until 07/23/2029; 3 mo. USD LIBOR + 1.180% thereafter)(10)

    3,583,187  
    5,830,000    

3.37%, 01/23/2026, (3.37% fixed rate until 01/23/2025; 3 mo. USD LIBOR + 0.810% thereafter)(10)

    6,098,531  
    3,750,000    

3.71%, 04/24/2028, (3.71% fixed rate until 04/24/2027; 3 mo. USD LIBOR + 1.512% thereafter)(10)

    4,009,816  
    1,070,000    

3.86%, 07/23/2024, (3.86% fixed rate until 07/23/2023; 3 mo. USD LIBOR + 0.940% thereafter)(10)

    1,129,795  
    1,540,000    

3.97%, 02/07/2030, (3.97% fixed rate until 02/07/2029; 3 mo. USD LIBOR + 1.210% thereafter)(10)

    1,680,530  
    885,000    

4.00%, 01/22/2025

    943,958  
    2,190,000    

4.20%, 08/26/2024

    2,357,834  
    2,485,000    

7.75%, 05/14/2038

    3,831,687  
    365,000    

Bank of China Hong Kong Ltd. 5.55%, 02/11/2020(7)

    367,550  
    805,000    

Bank of China Ltd. 2.95%, 02/14/2020, 3 mo. USD LIBOR + 0.770%(2)(7)

    805,376  
    3,440,000    

Bank of New York Mellon Corp. 2.10%, 10/24/2024

    3,453,599  
AUD     7,015,000    

BNG Bank N.V. 1.90%, 11/26/2025(7)

    4,951,494  
EUR     200,000    

Caixa Geral de Depositos S.A. 10.75%, 03/30/2022, (10.8% fixed rate until 03/30/2022; 5 year EUR Swap + 10.925% thereafter)(7)(9)(10)

    260,689  
 

Capital One Financial Corp.

 
$     200,000    

2.94%, 05/12/2020, 3 mo. USD LIBOR + 0.760%(2)

    200,540  
    1,490,000    

3.90%, 01/29/2024

    1,580,566  
    270,000    

Citibank NA 2.23%, 05/01/2020, 3 mo. USD LIBOR + 0.320%(2)

    270,331  
 

Citigroup, Inc.

 
    4,270,000    

2.31%, 11/04/2022, (2.31% fixed rate until 11/04/2021; 3 mo. SOFRRATE + 0.867% thereafter)(6)(10)

    4,282,298  
    450,000    

2.70%, 10/27/2022

    457,471  
    1,385,000    

3.20%, 10/21/2026

    1,436,408  
    2,680,000    

3.22%, 05/17/2024, 3 mo. USD LIBOR + 1.100%(2)

    2,713,086  
    2,500,000    

3.35%, 04/24/2025, (3.35% fixed rate until 04/24/2024; 3 mo. USD LIBOR + 0.897% thereafter)(10)

    2,600,899  
    1,010,000    

3.52%, 10/27/2028, (3.52% fixed rate until 10/27/2027; 3 mo. USD LIBOR + 1.151% thereafter)(10)

    1,063,222  
    4,550,000    

3.98%, 03/20/2030, (3.98% fixed rate until 03/20/2029; 3 mo. USD LIBOR + 1.338% thereafter)(10)

    4,959,971  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  149  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Commercial Banks - 7.0% - (continued)  
$     835,000    

4.08%, 04/23/2029, (4.08% fixed rate until 04/23/2028; 3 mo. USD LIBOR + 1.192% thereafter)(10)

  $ 914,702  
    880,000    

4.45%, 09/29/2027

    968,160  
    4,615,000    

Credit Suisse Group AG 6.25%, 12/18/2024, (6.25% fixed rate until 12/18/2024; 5 year USD Swap + 3.455% thereafter)(1)(9)(10)

    4,920,744  
    360,000    

Credit Suisse Group Funding Guernsey Ltd. 4.29%, 04/16/2021, 3 mo. USD LIBOR + 2.290%(2)

    369,522  
 

Danske Bank A/S

 
    1,615,000    

5.00%, 01/12/2022(1)

    1,701,548  
    1,685,000    

5.38%, 01/12/2024(1)

    1,857,021  
    1,635,000    

Fifth Third Bancorp 2.38%, 01/28/2025

    1,642,679  
    200,000    

Goldman Sachs Bank USA 2.59%, 05/24/2021, 3 mo. SOFRRATE + 0.600%(2)

    200,202  
 

Goldman Sachs Group, Inc.

 
    1,660,000    

2.88%, 10/31/2022, (2.88% fixed rate until 10/31/2021; 3 mo. USD LIBOR + 0.821% thereafter)(10)

    1,682,676  
    2,720,000    

2.91%, 07/24/2023, (2.91% fixed rate until 07/24/2022; 3 mo. USD LIBOR + 0.990% thereafter)(10)

    2,761,707  
    500,000    

2.93%, 12/13/2019, 3 mo. USD LIBOR + 0.800%(2)

    500,474  
    4,110,000    

3.81%, 04/23/2029, (3.81% fixed rate until 04/23/2028; 3 mo. USD LIBOR + 1.158% thereafter)(10)

    4,362,715  
    1,165,000    

4.02%, 10/31/2038, (4.02% fixed rate until 10/31/2037; 3 mo. USD LIBOR + 1.373% thereafter)(10)

    1,257,802  
    1,495,000    

4.22%, 05/01/2029, (4.22% fixed rate until 05/01/2028; 3 mo. USD LIBOR + 1.301% thereafter)(10)

    1,633,818  
    165,000    

6.25%, 02/01/2041

    231,163  
    1,005,000    

6.75%, 10/01/2037

    1,367,480  
CAD     500,000    

HSBC Bank Canada 2.94%, 01/14/2020

    380,339  
 

HSBC Holdings plc

 
$     1,125,000    

2.95%, 05/25/2021

    1,140,330  
    1,360,000    

3.40%, 03/08/2021

    1,383,513  
    1,125,000    

3.60%, 05/25/2023

    1,175,065  
    1,235,000    

4.58%, 06/19/2029, (4.58% fixed rate until 06/19/2028; 3 mo. USD LIBOR + 1.535% thereafter)(10)

    1,381,607  
 

Industrial & Commercial Bank of China Ltd.

 
    200,000    

2.77%, 10/12/2020, 3 mo. USD LIBOR + 0.770%(2)(7)

    200,290  
    250,000    

2.92%, 05/23/2020, 3 mo. USD LIBOR + 0.770%(2)(7)

    250,267  
 

JP Morgan Chase & Co.

 
    3,765,000    

3.22%, 03/01/2025, (3.22% fixed rate until 03/01/2024; 3 mo. USD LIBOR + 1.155% thereafter)(10)

    3,902,911  
    1,785,000    

3.51%, 01/23/2029, (3.51% fixed rate until 01/23/2028; 3 mo. USD LIBOR + 0.945% thereafter)(10)

    1,884,516  
    2,290,000    

3.70%, 05/06/2030, (3.70% fixed rate until 05/06/2029; 3 mo. USD LIBOR + 1.160% thereafter)(10)

    2,463,417  
    1,570,000    

3.80%, 07/23/2024, (3.80% fixed rate until 07/23/2023; 3 mo. USD LIBOR + 0.890% thereafter)(10)

    1,660,583  
    1,285,000    

4.01%, 04/23/2029, (4.01% fixed rate until 04/23/2028; 3 mo. USD LIBOR + 1.120% thereafter)(10)

    1,403,257  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Commercial Banks - 7.0% - (continued)  
$     4,305,000    

JP Morgan Chase & Co.. 3.96%, 01/29/2027, (3.96% fixed rate until 01/29/2026; 3 mo. USD LIBOR + 1.245% thereafter)(10)

  $ 4,660,308  
    1,745,000    

KeyCorp. 2.55%, 10/01/2029

    1,708,037  
GBP     695,000    

Metro Bank plc 5.50%, 06/26/2028, (5.50% fixed rate until 06/26/2023; GUKG5 + 4.458% thereafter)(7)(10)

    700,859  
 

Morgan Stanley

 
$     1,030,000    

2.63%, 11/17/2021

    1,041,690  
    3,135,000    

2.75%, 05/19/2022

    3,183,424  
    4,315,000    

3.59%, 07/22/2028, (3.59% fixed rate until 07/22/2027; 3 mo. USD LIBOR + 1.340% thereafter)(10)

    4,553,661  
    635,000    

3.63%, 01/20/2027

    677,149  
    1,515,000    

3.95%, 04/23/2027

    1,613,902  
    2,710,000    

4.00%, 07/23/2025

    2,939,004  
    595,000    

PNC Bank NA 2.70%, 10/22/2029

    597,145  
    2,725,000    

PNC Financial Services Group, Inc. 2.20%, 11/01/2024(6)

    2,738,834  
    2,090,000    

Royal Bank of Canada 2.55%, 07/16/2024

    2,122,190  
    1,375,000    

Santander Holdings USA, Inc. 3.70%, 03/28/2022

    1,413,496  
    2,145,000    

State Street Corp. 2.35%, 11/01/2025, (2.35% fixed rate until 11/01/2024; 3 mo. SOFR + 0.940% thereafter)(6)(10)

    2,159,168  
    1,620,000    

UBS Group Funding Switzerland AG 2.65%, 02/01/2022(1)

    1,639,625  
    2,275,000    

UniCredit S.p.A. 6.57%, 01/14/2022(1)

    2,449,251  
 

Wells Fargo & Co.

 
    5,390,000    

2.41%, 10/30/2025, (2.41% fixed rate until 10/30/2024; 3 mo. USD LIBOR + 0.825% thereafter)(10)

    5,394,559  
    1,615,000    

2.63%, 07/22/2022

    1,636,838  
    1,190,000    

3.00%, 04/22/2026

    1,223,544  
    955,000    

3.00%, 10/23/2026

    981,318  
    2,805,000    

3.07%, 01/24/2023

    2,860,036  
    2,975,000    

3.58%, 05/22/2028, (3.58% fixed rate until 05/22/2027; 3 mo. USD LIBOR + 1.310% thereafter)(10)

    3,153,374  
    2,715,000    

3.75%, 01/24/2024

    2,872,928  
    580,000    

4.90%, 11/17/2045

    701,795  
    410,000    

5.61%, 01/15/2044

    536,769  
     

 

 

 
    153,760,216  
     

 

 

 
      Commercial Services - 0.3%  
    210,000    

Ashtead Capital, Inc. 4.13%, 08/15/2025(1)

    214,200  
    610,000    

Global Payments, Inc. 3.20%, 08/15/2029

    620,827  
    4,410,000    

IHS Markit Ltd. 4.13%, 08/01/2023

    4,658,415  
    470,000    

Service Corp. International 5.13%, 06/01/2029

    500,550  
    265,000    

United Rentals North America, Inc. 5.50%, 07/15/2025

    275,256  
     

 

 

 
    6,269,248  
     

 

 

 
      Construction Materials - 0.0%  
   

Standard Industries, Inc.

 
    145,000    

5.00%, 02/15/2027(1)

    151,344  
    255,000    

5.38%, 11/15/2024(1)

    262,344  
    435,000    

6.00%, 10/15/2025(1)

    456,750  
     

 

 

 
    870,438  
     

 

 

 
      Diversified Financial Services - 0.0%  
 

Navient Corp.

 
    100,000    

5.88%, 03/25/2021

    103,752  
    70,000    

5.88%, 10/25/2024

    72,100  
    275,000    

6.63%, 07/26/2021

    290,469  
    270,000    

7.25%, 01/25/2022

    292,869  
    90,000    

7.25%, 09/25/2023

    98,323  
     

 

 

 
    857,513  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  150  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
    Electric - 1.8%      
$     417,000    

AES Corp. 4.88%, 05/15/2023

  $ 423,672  
    950,000    

Berkshire Hathaway Energy Co. 3.25%, 04/15/2028

    1,007,361  
   

Cleco Corporate Holdings LLC

 
    1,105,000    

3.38%, 09/15/2029(1)

    1,103,308  
    70,000    

4.97%, 05/01/2046

    79,773  
   

Commonwealth Edison Co.

 
    1,335,000    

3.65%, 06/15/2046

    1,457,022  
    360,000    

4.00%, 03/01/2048

    414,845  
    365,000    

Connecticut Light & Power Co. 4.00%, 04/01/2048

    429,087  
    400,000    

Dominion Energy South Carolina, Inc. 5.10%, 06/01/2065

    531,923  
    575,000    

Duke Energy Carolinas LLC 4.25%, 12/15/2041

    664,193  
    1,595,000    

Duke Energy Florida LLC 3.40%, 10/01/2046

    1,642,014  
    1,215,000    

Duke Energy Indiana LLC 3.25%, 10/01/2049

    1,222,612  
    1,435,000    

Duke Energy Progress LLC 4.38%, 03/30/2044

    1,695,484  
   

Evergy, Inc.

 
    710,000    

2.45%, 09/15/2024

    714,192  
    1,010,000    

2.90%, 09/15/2029

    1,015,589  
   

Exelon Corp.

 
    370,000    

2.45%, 04/15/2021

    372,412  
    1,880,000    

2.85%, 06/15/2020

    1,888,471  
    2,095,000    

3.95%, 06/15/2025

    2,269,177  
    350,000    

Florida Power & Light Co. 3.99%, 03/01/2049

    411,016  
    520,000    

Fortis, Inc. 2.10%, 10/04/2021

    519,624  
   

Georgia Power Co.

 
    3,407,000    

2.00%, 09/08/2020

    3,409,765  
    1,590,000    

4.30%, 03/15/2042

    1,746,505  
    1,230,000    

IPALCO Enterprises, Inc. 3.70%, 09/01/2024

    1,277,241  
   

MidAmerican Energy Co.

 
    900,000    

3.15%, 04/15/2050

    924,602  
    370,000    

3.65%, 08/01/2048

    410,834  
    2,390,000    

NextEra Energy Capital Holdings, Inc. 3.15%, 04/01/2024

    2,484,146  
    385,000    

Northern States Power Co. 2.90%, 03/01/2050

    374,501  
    725,000    

Oglethorpe Power Corp. 5.05%, 10/01/2048

    877,529  
   

Oncor Electric Delivery Co. LLC

 
    350,000    

3.10%, 09/15/2049(1)

    351,042  
    495,000    

5.75%, 03/15/2029

    628,583  
    350,000    

PacifiCorp. 4.15%, 02/15/2050

    414,740  
    385,000    

Public Service Electric & Gas Co. 3.80%, 03/01/2046

    435,619  
    1,630,000    

Public Service Enterprise Group, Inc. 2.88%, 06/15/2024

    1,672,902  
    1,925,000    

Puget Energy, Inc. 3.65%, 05/15/2025

    2,002,967  
    155,000    

Sempra Energy 4.00%, 02/01/2048

    162,315  
 

Southern California Edison Co.

 
    1,320,000    

2.85%, 08/01/2029(8)

    1,322,563  
    506,000    

4.00%, 04/01/2047

    531,934  
    299,000    

4.13%, 03/01/2048

    319,916  
 

Southern Co.

 
    490,000    

2.95%, 07/01/2023

    501,973  
    1,520,000    

3.25%, 07/01/2026

    1,586,695  
    30,000    

4.40%, 07/01/2046

    33,827  
    370,000    

Union Electric Co. 4.00%, 04/01/2048

    423,560  
     

 

 

 
    39,755,534  
     

 

 

 
      Engineering & Construction - 0.6%  
    2,095,000    

Fluor Corp. 4.25%, 09/15/2028

    2,073,768  
    3,620,000    

International Airport Finance S.A. 12.00%, 03/15/2033(1)(8)

    3,904,170  
 

SBA Tower Trust

 
    4,130,000    

3.17%, 04/09/2047(1)

    4,184,784  
    2,040,000    

3.45%, 03/15/2048(1)

    2,104,198  
     

 

 

 
    12,266,920  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Entertainment - 0.1%  
$     1,080,000    

GLP Capital L.P. / GLP Financing II, Inc. 5.30%, 01/15/2029

  $ 1,194,037  
 

WMG Acquisition Corp.

 
    425,000    

4.88%, 11/01/2024(1)

    439,875  
    185,000    

5.00%, 08/01/2023(1)

    189,625  
     

 

 

 
    1,823,537  
     

 

 

 
      Environmental Control - 0.1%  
 

Clean Harbors, Inc.

 
    123,000    

4.88%, 07/15/2027(1)

    128,220  
    105,000    

5.13%, 07/15/2029(1)

    111,825  
 

Waste Management, Inc.

 
    1,035,000    

3.20%, 06/15/2026

    1,097,928  
    410,000    

3.45%, 06/15/2029

    443,977  
    280,000    

4.15%, 07/15/2049

    324,974  
     

 

 

 
    2,106,924  
     

 

 

 
      Food - 0.3%  
 

Conagra Brands, Inc.

 
    635,000    

2.70%, 10/22/2020, 3 mo. USD LIBOR + 0.750%(2)

    635,051  
    655,000    

4.30%, 05/01/2024

    702,752  
    240,000    

4.60%, 11/01/2025

    266,314  
    4,710,000    

NBM U.S. Holdings, Inc. 7.00%, 05/14/2026(1)

    4,994,955  
    285,000    

TreeHouse Foods, Inc. 6.00%, 02/15/2024(1)

    295,687  
     

 

 

 
    6,894,759  
     

 

 

 
      Food Service - 0.0%  
    580,000    

Aramark Services, Inc. 5.00%, 02/01/2028(1)

    606,100  
     

 

 

 
      Forest Products & Paper - 0.2%  
    3,690,000    

Suzano Austria GmbH 5.00%, 01/15/2030

    3,798,855  
     

 

 

 
      Gas - 0.1%  
 

AmeriGas Partners L.P. / AmeriGas Finance Corp.

 
    40,000    

5.63%, 05/20/2024

    43,100  
    365,000    

5.88%, 08/20/2026

    404,238  
 

Sempra Energy

 
    1,260,000    

2.40%, 02/01/2020

    1,260,604  
    1,340,000    

3.40%, 02/01/2028

    1,371,362  
     

 

 

 
    3,079,304  
     

 

 

 
          Healthcare - Products - 0.3%      
    1,120,000    

Alcon Finance Corp. 3.00%, 09/23/2029(1)

    1,143,025  
    3,425,000    

Becton Dickinson and Co. 3.36%, 06/06/2024

    3,587,522  
    1,315,000    

Boston Scientific Corp. 4.00%, 03/01/2028

    1,465,877  
    125,000    

Hill-Rom Holdings, Inc. 4.38%, 09/15/2027(1)

    128,750  
    190,000    

Thermo Fisher Scientific, Inc. 3.00%, 04/15/2023

    196,079  
     

 

 

 
        6,521,253  
     

 

 

 
          Healthcare - Services - 0.7%  
    590,000    

Aetna, Inc. 2.80%, 06/15/2023

    599,103  
   

Anthem, Inc.

 
    1,800,000    

2.88%, 09/15/2029

    1,782,851  
    1,895,000    

3.50%, 08/15/2024

    1,993,237  
    355,000    

4.38%, 12/01/2047

    380,589  
    320,000    

4.63%, 05/15/2042

    352,937  
   

CHS/Community Health Systems, Inc.

 
    480,000    

5.13%, 08/01/2021

    478,800  
    75,000    

6.25%, 03/31/2023

    73,078  
    1,130,000    

CommonSpirit Health 3.35%, 10/01/2029

    1,138,769  
    2,075,000    

HCA, Inc. 4.13%, 06/15/2029

    2,198,265  
   

UnitedHealth Group, Inc.

 
    1,335,000    

2.38%, 08/15/2024

    1,353,093  
    1,280,000    

2.88%, 08/15/2029

    1,315,811  
    790,000    

3.50%, 08/15/2039

    825,757  
    780,000    

3.70%, 12/15/2025

    846,011  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  151  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
          Healthcare - Services - 0.7% - (continued)  
$     330,000    

3.70%, 08/15/2049

  $ 347,335  
    187,000    

3.75%, 07/15/2025

    202,765  
    535,000    

4.75%, 07/15/2045

    653,569  
     

 

 

 
        14,541,970  
     

 

 

 
          Home Builders - 0.1%  
    530,000    

Lennar Corp. 4.75%, 11/29/2027

    572,400  
    285,000    

PulteGroup, Inc. 5.50%, 03/01/2026

    319,271  
    475,000    

Toll Brothers Finance Corp. 4.88%, 11/15/2025

    513,000  
     

 

 

 
        1,404,671  
     

 

 

 
          Insurance - 0.4%  
    660,000    

CNO Financial Group, Inc. 5.25%, 05/30/2025

    722,700  
   

Genworth Holdings, Inc.

 
    10,000    

4.80%, 02/15/2024

    9,275  
    350,000    

4.90%, 08/15/2023

    329,525  
    15,000    

7.63%, 09/24/2021

    15,562  
   

Marsh & McLennan Cos., Inc.

 
    1,275,000    

3.88%, 03/15/2024

    1,361,315  
    815,000    

4.38%, 03/15/2029

    929,907  
    1,025,000    

4.75%, 03/15/2039

    1,243,893  
    282,000    

Massachusetts Mutual Life Insurance Co. 3.73%, 10/15/2070(1)

    279,150  
    380,000    

MGIC Investment Corp. 5.75%, 08/15/2023

    417,525  
   

Unum Group

 
    595,000    

4.00%, 06/15/2029

    625,457  
    595,000    

4.50%, 12/15/2049

    574,021  
   

Willis North America, Inc.

 
    720,000    

2.95%, 09/15/2029

    716,451  
    795,000    

3.60%, 05/15/2024

    832,032  
     

 

 

 
    8,056,813  
     

 

 

 
          Internet - 0.5%  
   

Alibaba Group Holding Ltd.

 
    2,680,000    

3.40%, 12/06/2027

    2,783,613  
    815,000    

4.00%, 12/06/2037

    879,632  
    640,000    

4.20%, 12/06/2047

    723,905  
    2,030,000    

Amazon.com, Inc. 3.88%, 08/22/2037

    2,308,231  
    140,000    

Symantec Corp. 5.00%, 04/15/2025(1)

    143,567  
   

Tencent Holdings Ltd.

 
    1,105,000    

3.60%, 01/19/2028(1)

    1,151,372  
    2,665,000    

3.98%, 04/11/2029(1)

    2,868,125  
     

 

 

 
      10,858,445  
     

 

 

 
          Iron/Steel - 0.2%  
    285,000    

Commercial Metals Co. 5.38%, 07/15/2027

    292,482  
   

Metinvest B.V.

 
EUR     1,985,000    

5.63%, 06/17/2025(1)

    2,197,487  
$     2,505,000    

7.75%, 10/17/2029(1)

    2,476,443  
    200,000    

Steel Dynamics, Inc. 5.50%, 10/01/2024

    206,056  
     

 

 

 
      5,172,468  
     

 

 

 
          IT Services - 0.7%  
   

Apple, Inc.

 
    5,325,000    

2.20%, 09/11/2029

    5,237,357  
    505,000    

3.45%, 02/09/2045

    535,596  
    355,000    

4.38%, 05/13/2045

    429,616  
    175,000    

Hewlett Packard Enterprise Co. 6.35%, 10/15/2045

    207,951  
    250,000    

IBM Credit LLC 2.59%, 11/30/2020, 3 mo. USD LIBOR + 0.47%(2)

    251,056  
   

International Business Machines Corp.

 
    1,800,000    

3.00%, 05/15/2024

    1,869,346  
    3,275,000    

3.30%, 05/15/2026

    3,464,910  
    2,900,000    

3.50%, 05/15/2029

    3,117,355  
     

 

 

 
      15,113,187  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
          Leisure Time - 0.0%  
$     135,000    

VOC Escrow Ltd. 5.00%, 02/15/2028(1)

  $ 140,400  
     

 

 

 
          Lodging - 0.1%  
    230,000    

Hilton Domestic Operating Co., Inc. 5.13%, 05/01/2026

    241,500  
    910,000    

Las Vegas Sands Corp. 3.50%, 08/18/2026

    927,497  
   

Wynn Las Vegas LLC / Wynn Las Vegas Capital Corp.

 
    50,000    

5.25%, 05/15/2027(1)

    52,125  
    75,000    

5.50%, 03/01/2025(1)

    79,687  
     

 

 

 
      1,300,809  
     

 

 

 
          Machinery - Construction & Mining - 0.0%  
    145,000    

BWX Technologies, Inc. 5.38%, 07/15/2026(1)

    153,562  
     

 

 

 
          Media - 1.5%  
   

CBS Corp.

 
    865,000    

3.70%, 06/01/2028

    905,651  
    960,000    

4.20%, 06/01/2029

    1,041,677  
   

CCO Holdings LLC / CCO Holdings Capital Corp.

 
    30,000    

5.13%, 05/01/2027(1)

    31,613  
    170,000    

5.75%, 02/15/2026(1)

    179,520  
 

Charter Communications Operating LLC / Charter Communications Operating Capital

 
    665,000    

4.80%, 03/01/2050

    680,726  
    1,225,000    

5.13%, 07/01/2049

    1,308,654  
    465,000    

5.75%, 04/01/2048

    534,444  
    1,395,000    

6.48%, 10/23/2045

    1,715,471  
 

Comcast Corp.

 
    600,000    

2.35%, 01/15/2027

    601,666  
    545,000    

3.20%, 07/15/2036

    553,732  
    2,055,000    

3.25%, 11/01/2039(6)

    2,083,392  
    570,000    

3.95%, 10/15/2025

    624,839  
    40,000    

4.05%, 11/01/2052

    44,510  
    650,000    

4.15%, 10/15/2028

    734,228  
    860,000    

4.25%, 10/15/2030

    987,714  
    630,000    

4.60%, 10/15/2038

    748,578  
    280,000    

4.65%, 07/15/2042

    334,276  
    430,000    

4.95%, 10/15/2058

    555,446  
 

Cox Communications, Inc.

 
    4,245,000    

3.15%, 08/15/2024(1)

    4,390,027  
    462,000    

4.80%, 02/01/2035(1)

    504,255  
    310,000    

CSC Holdings LLC 5.50%, 04/15/2027(1)

    328,603  
 

Discovery Communications LLC

 
    250,000    

2.80%, 06/15/2020

    251,073  
    948,000    

3.80%, 03/13/2024

    995,849  
    2,000    

3.95%, 06/15/2025

    2,115  
    1,065,000    

5.00%, 09/20/2037

    1,156,537  
    1,570,000    

6.35%, 06/01/2040

    1,915,505  
    505,000    

DISH DBS Corp. 5.88%, 11/15/2024

    506,262  
    2,230,000    

Fox Corp. 4.03%, 01/25/2024(1)

    2,383,153  
    1,104,000    

NBCUniversal Media LLC 5.95%, 04/01/2041

    1,521,799  
    1,287,000    

Time Warner Cable LLC 4.50%, 09/15/2042

    1,288,072  
    1,910,000    

Time Warner Entertainment Co. L.P. 8.38%, 07/15/2033

    2,650,565  
 

Viacom, Inc.

 
    1,480,000    

4.25%, 09/01/2023

    1,573,723  
    45,000    

5.88%, 02/28/2057, (5.88% fixed rate until 02/28/2022; 3 mo. USD LIBOR + 3.895% thereafter)(10)

    46,744  
    50,000    

6.25%, 02/28/2057, (6.25% fixed rate until 02/28/2027; 3 mo. USD LIBOR + 3.899% thereafter)(10)

    54,500  
 

Videotron Ltd.

 
    70,000    

5.13%, 04/15/2027(1)

    74,375  
    480,000    

5.38%, 06/15/2024(1)

    521,400  
     

 

 

 
    33,830,694  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  152  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Mining - 0.2%  
 

Anglo American Capital plc

 
$     680,000    

4.50%, 03/15/2028(1)(8)

  $ 724,002  
    970,000    

4.75%, 04/10/2027(1)

    1,053,007  
    1,710,000    

4.88%, 05/14/2025(1)

    1,857,181  
    460,000    

Kaiser Aluminum Corp. 5.88%, 05/15/2024

    478,400  
     

 

 

 
    4,112,590  
     

 

 

 
      Miscellaneous Manufacturing - 0.0%  
    810,000    

Ingersoll-Rand Global Holding Co., Ltd. 2.90%, 02/21/2021

    817,760  
     

 

 

 
      Office/Business Equipment - 0.0%  
    85,000    

CDW LLC / CDW Finance Corp. 4.25%, 04/01/2028

    87,984  
     

 

 

 
      Oil & Gas - 1.4%  
    150,000    

Aker BP ASA 5.88%, 03/31/2025(1)

    158,625  
 

Canadian Natural Resources Ltd.

 
CAD     450,000    

2.05%, 06/01/2020

    341,554  
    1,000,000    

2.60%, 12/03/2019

    759,555  
    520,000    

2.89%, 08/14/2020

    397,030  
$     955,000    

Cimarex Energy Co. 4.38%, 03/15/2029

    995,398  
    1,775,000    

Continental Resources, Inc. 4.38%, 01/15/2028

    1,829,026  
    800,000    

EnCana Corp. 3.90%, 11/15/2021

    821,103  
 

Hess Corp.

 
    180,000    

5.60%, 02/15/2041

    201,770  
    76,000    

6.00%, 01/15/2040

    86,538  
    2,121,000    

7.13%, 03/15/2033

    2,621,726  
    1,010,000    

7.30%, 08/15/2031

    1,272,581  
    1,117,000    

Marathon Oil Corp. 3.85%, 06/01/2025

    1,173,186  
    2,075,000    

Medco Oak Tree Pte Ltd. 7.38%, 05/14/2026(1)

    2,112,447  
    290,000    

MEG Energy Corp. 6.50%, 01/15/2025(1)

    301,600  
    140,000    

Nabors Industries, Inc. 4.63%, 09/15/2021

    129,850  
    1,670,000    

Noble Energy, Inc. 5.05%, 11/15/2044

    1,766,607  
 

Occidental Petroleum Corp.

 
    895,000    

3.50%, 08/15/2029

    906,877  
    1,445,000    

6.95%, 07/01/2024

    1,701,009  
 

Petroleos Mexicanos

 
    1,465,000    

6.63%, 06/15/2035

    1,492,176  
    3,860,000    

6.84%, 01/23/2030(1)

    4,120,550  
    395,000    

7.69%, 01/23/2050(1)

    429,223  
    285,000    

QEP Resources, Inc. 5.25%, 05/01/2023

    270,750  
    1,929,000    

Saudi Arabian Oil Co. 2.88%, 04/16/2024(1)

    1,958,463  
 

SM Energy Co.

 
    130,000    

6.13%, 11/15/2022

    123,825  
    140,000    

6.75%, 09/15/2026

    120,050  
    290,000    

Sunoco L.P. / Sunoco Finance Corp. 5.50%, 02/15/2026

    299,816  
    1,870,000    

Tullow Oil plc 7.00%, 03/01/2025(1)

    1,928,437  
 

Valero Energy Corp.

 
    720,000    

4.00%, 04/01/2029

    769,522  
    400,000    

4.35%, 06/01/2028

    435,488  
    455,000    

WPX Energy, Inc. 5.25%, 09/15/2024

    459,550  
ARS     81,010,352    

YPF S.A. 16.50%, 05/09/2022(1)

    462,352  
     

 

 

 
    30,446,684  
     

 

 

 
      Packaging & Containers - 0.1%  
$     200,000    

Ardagh Packaging Finance plc / Ardagh Holdings USA, Inc. 4.13%, 08/15/2026(1)

    202,190  
    620,000    

Owens-Brockway Glass Container, Inc. 5.88%, 08/15/2023(1)

    654,875  
    265,000    

Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC / Reynolds Group Issuer Lu 5.13%, 07/15/2023(1)

    271,877  
     

 

 

 
    1,128,942  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Pharmaceuticals - 1.1%  
$     1,020,000    

Allergan Finance LLC 4.63%, 10/01/2042

  $ 1,065,923  
   

Bausch Health Cos., Inc.

 
    245,000    

6.50%, 03/15/2022(1)

    252,044  
    95,000    

7.00%, 03/15/2024(1)

    99,387  
    77,000    

Baxalta, Inc. 3.60%, 06/23/2022

    79,115  
    2,580,000    

Bayer U.S. Finance LLC 4.25%, 12/15/2025(1)

    2,774,832  
    1,255,000    

Bristol-Myers Squibb Co. 3.40%, 07/26/2029(1)

    1,349,861  
 

Cigna Corp.

 
    450,000    

2.49%, 03/17/2020, 3 mo. USD LIBOR + 0.350%(2)

    450,165  
    5,230,000    

4.38%, 10/15/2028

    5,743,928  
 

CVS Health Corp.

 
    1,860,000    

5.05%, 03/25/2048

    2,143,894  
    1,420,000    

5.13%, 07/20/2045

    1,636,776  
    2,315,000    

GlaxoSmithKline Capital, Inc. 3.63%, 05/15/2025

    2,498,608  
    145,000    

Mylan N.V. 5.25%, 06/15/2046

    155,492  
    1,170,000    

Mylan, Inc. 4.55%, 04/15/2028

    1,253,207  
    1,450,000    

Shire Acquisitions Investments Ireland DAC 2.40%, 09/23/2021

    1,459,027  
    2,820,000    

Teva Pharmaceutical Finance Netherlands B.V. 3.15%, 10/01/2026

    2,122,050  
     

 

 

 
    23,084,309  
     

 

 

 
      Pipelines - 1.1%  
    270,000    

Cheniere Corpus Christi Holdings LLC 5.88%, 03/31/2025

    299,387  
    55,000    

Cheniere Energy Partners L.P. 4.50%, 10/01/2029(1)

    56,031  
 

DCP Midstream Operating L.P.

 
    100,000    

3.88%, 03/15/2023

    101,000  
    200,000    

4.95%, 04/01/2022

    206,520  
    70,000    

5.60%, 04/01/2044

    66,171  
CAD     760,000    

Enbridge, Inc. 4.53%, 03/09/2020

    581,682  
 

Energy Transfer Operating L.P.

 
$     855,000    

4.50%, 04/15/2024

    912,799  
    1,420,000    

5.25%, 04/15/2029

    1,597,197  
    350,000    

5.50%, 06/01/2027

    392,954  
    330,000    

6.25%, 04/15/2049

    394,111  
    1,395,000    

Enterprise Products Operating LLC 3.13%, 07/31/2029

    1,432,219  
 

EQM Midstream Partners L.P.

 
    1,174,000    

4.13%, 12/01/2026

    1,071,131  
    110,000    

4.75%, 07/15/2023

    108,848  
    1,185,000    

5.50%, 07/15/2028

    1,155,777  
 

MPLX L.P.

 
    70,000    

3.00%, 09/09/2021, 3 mo. USD LIBOR + 0.900%(2)

    70,281  
    1,240,000    

4.25%, 12/01/2027(1)

    1,303,944  
    955,000    

4.70%, 04/15/2048

    972,868  
    265,000    

5.20%, 03/01/2047

    284,322  
    230,000    

5.20%, 12/01/2047(1)

    245,852  
    155,000    

6.25%, 10/15/2022(1)

    157,791  
    790,000    

ONEOK, Inc. 3.40%, 09/01/2029

    786,148  
    610,000    

Phillips 66 Partners L.P. 3.15%, 12/15/2029

    602,619  
 

Sabine Pass Liquefaction LLC

 
    595,000    

4.20%, 03/15/2028

    627,709  
    290,000    

5.63%, 03/01/2025

    325,411  
 

Sunoco Logistics Partners Operations L.P.

 
    1,205,000    

4.00%, 10/01/2027

    1,246,918  
    165,000    

5.30%, 04/01/2044

    175,062  
    665,000    

Texas Eastern Transmission L.P. 3.50%, 01/15/2028(1)

    692,046  
 

TransCanada PipeLines Ltd.

 
    1,670,000    

4.63%, 03/01/2034

    1,906,351  
    445,000    

4.75%, 05/15/2038

    503,808  
    180,000    

6.10%, 06/01/2040

    232,478  
    1,585,000    

Valero Energy Partners L.P. 4.50%, 03/15/2028

    1,737,209  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  153  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Pipelines - 1.1% - (continued)  
 

Western Midstream Operating L.P.

 
$     2,240,000    

4.50%, 03/01/2028

  $ 2,137,138  
    1,040,000    

4.75%, 08/15/2028

    1,008,651  
    1,095,000    

Williams Cos., Inc. 5.10%, 09/15/2045

    1,201,216  
     

 

 

 
    24,593,649  
     

 

 

 
      Real Estate Investment Trusts - 0.1%  
 

Equinix, Inc.

 
    95,000    

5.38%, 04/01/2023

    97,038  
    290,000    

5.88%, 01/15/2026

    308,038  
    2,245,000    

SBA Tower Trust 2.84%, 01/15/2025(1)

    2,267,318  
     

 

 

 
    2,672,394  
     

 

 

 
      Retail - 0.3%  
    150,000    

1011778 BC ULC / New Red Finance, Inc. 4.25%, 05/15/2024(1)

    153,937  
CAD     170,000    

Alimentation Couche-Tard, Inc. 3.32%, 11/01/2019

    129,075  
$     265,000    

Dollar Tree, Inc. 2.70%, 04/17/2020, 3 mo. USD LIBOR + 0.700%(2)

    265,040  
 

Lowe’s Cos., Inc.

 
    2,660,000    

3.38%, 09/15/2025

    2,818,286  
    210,000    

3.70%, 04/15/2046

    212,565  
    1,495,000    

McDonald’s Corp. 3.35%, 04/01/2023

    1,562,548  
    285,000    

Suburban Propane Partners L.P. / Suburban Energy Finance Corp. 5.88%, 03/01/2027

    294,975  
    435,000    

United Rentals North America, Inc. 4.88%, 01/15/2028

    449,137  
    195,000    

William Carter Co. 5.63%, 03/15/2027(1)

    208,650  
     

 

 

 
    6,094,213  
     

 

 

 
      Semiconductors - 0.6%  
    4,960,000    

Broadcom Corp. / Broadcom Cayman Finance Ltd. 3.88%, 01/15/2027

    5,008,594  
    1,500,000    

Broadcom, Inc. 4.75%, 04/15/2029(1)

    1,589,981  
    250,000    

Entegris, Inc. 4.63%, 02/10/2026(1)

    257,382  
    840,000    

Intel Corp. 4.10%, 05/19/2046

    978,774  
    1,415,000    

Micron Technology, Inc. 4.98%, 02/06/2026

    1,537,853  
    2,695,000    

NXP B.V. / NXP Funding LLC 4.88%, 03/01/2024(1)

    2,928,501  
    230,000    

Qorvo, Inc. 5.50%, 07/15/2026

    245,520  
    300,000    

Sensata Technologies B.V. 5.00%, 10/01/2025(1)

    323,310  
    211,000    

Sensata Technologies UK Financing Co. plc 6.25%, 02/15/2026(1)

    225,638  
     

 

 

 
    13,095,553  
     

 

 

 
      Software - 0.3%  
 

CDK Global, Inc.

 
    150,000    

4.88%, 06/01/2027

    158,063  
    30,000    

5.88%, 06/15/2026

    32,100  
    490,000    

Fidelity National Information Services, Inc. 4.25%, 05/15/2028

    545,807  
    1,560,000    

Fiserv, Inc. 3.20%, 07/01/2026

    1,629,919  
 

Microsoft Corp.

 
    145,000    

3.30%, 02/06/2027

    156,958  
    830,000    

3.70%, 08/08/2046

    944,503  
    1,025,000    

3.95%, 08/08/2056

    1,213,292  
 

MSCI, Inc.

 
    360,000    

5.25%, 11/15/2024(1)

    369,900  
    65,000    

5.75%, 08/15/2025(1)

    68,169  
    255,000    

Open Text Corp. 5.88%, 06/01/2026(1)

    271,894  
    740,000    

Oracle Corp. 4.00%, 11/15/2047

    829,463  
    250,000    

Western Digital Corp. 4.75%, 02/15/2026

    255,475  
     

 

 

 
    6,475,543  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 25.3% - (continued)  
      Telecommunications - 1.8%  
 

AT&T, Inc.

 
$     335,000    

2.65%, 01/15/2020, 3 mo. USD LIBOR + 0.650%(2)

  $ 335,453  
    185,000    

2.89%, 06/01/2021, 3 mo. USD LIBOR + 0.750%(2)

    185,816  
    1,760,000    

3.80%, 02/15/2027

    1,887,738  
    3,121,000    

4.30%, 02/15/2030

    3,432,633  
    1,845,000    

4.35%, 03/01/2029

    2,039,928  
    600,000    

4.35%, 06/15/2045

    635,514  
    1,160,000    

4.50%, 05/15/2035

    1,279,647  
    4,500,000    

GTP Acquisition Partners LLC 3.48%, 06/15/2050(1)

    4,677,271  
 

Nokia Oyj

 
    10,000    

4.38%, 06/12/2027

    10,185  
    455,000    

6.63%, 05/15/2039

    519,838  
CAD     500,000    

Rogers Communications, Inc. 5.38%, 11/04/2019

    379,637  
$     1,555,000    

SoftBank Group Corp. 6.00%, 07/19/2023, (6.00% fixed rate until 07/19/2023; 5 year USD ICE Swap + 4.226% thereafter)(7)(9)(10)

    1,461,700  
    325,000    

Sprint Corp. 7.13%, 06/15/2024

    352,625  
    2,315,000    

Sprint Spectrum Co. LLC / Sprint Spectrum Co. II LLC / Sprint Spectrum Co. III LLC 5.15%, 09/20/2029(1)

    2,520,317  
 

Telecom Italia Capital S.A.

 
    145,000    

6.00%, 09/30/2034

    154,788  
    215,000    

7.72%, 06/04/2038

    263,375  
    2,045,000    

Telefonica Celular del Paraguay S.A. 5.88%, 04/15/2027(1)

    2,202,588  
 

Telefonica Emisiones S.A.

 
    525,000    

4.67%, 03/06/2038

    574,073  
    1,035,000    

4.90%, 03/06/2048

    1,158,453  
    775,000    

5.21%, 03/08/2047

    901,284  
    840,000    

5.52%, 03/01/2049

    1,022,405  
 

Verizon Communications, Inc.

 
    665,000    

2.70%, 05/22/2020, 3 mo. USD LIBOR + 0.550%(2)

    666,833  
    855,000    

3.88%, 02/08/2029

    945,558  
    985,000    

4.02%, 12/03/2029

    1,102,502  
    1,971,000    

4.27%, 01/15/2036

    2,230,381  
    465,000    

4.40%, 11/01/2034

    536,798  
    1,525,000    

4.50%, 08/10/2033

    1,780,390  
    2,020,000    

4.81%, 03/15/2039

    2,456,437  
    845,000    

5.01%, 08/21/2054

    1,094,135  
    735,000    

5.25%, 03/16/2037

    925,790  
    805,000    

Vodafone Group plc 4.25%, 09/17/2050

    825,537  
     

 

 

 
    38,559,629  
     

 

 

 
      Transportation - 0.3%  
 

CSX Corp.

 
    1,035,000    

2.40%, 02/15/2030

    1,015,071  
    1,370,000    

3.25%, 06/01/2027

    1,444,532  
    405,000    

3.35%, 09/15/2049

    400,312  
    395,000    

4.30%, 03/01/2048

    445,564  
    210,000    

4.50%, 03/15/2049

    247,523  
    400,000    

Norfolk Southern Corp. 3.40%, 11/01/2049(6)

    400,542  
 

Union Pacific Corp.

 
    2,495,000    

4.38%, 09/10/2038

    2,880,421  
    325,000    

4.80%, 09/10/2058

    401,516  
     

 

 

 
    7,235,481  
     

 

 

 
      Water - 0.0%  
    840,000    

American Water Capital Corp. 4.15%, 06/01/2049

    975,700  
     

 

 

 
 

Total Corporate Bonds
(cost $527,790,010)

  $ 551,805,695  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  154  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 3.8%  
      Argentina - 0.0%  
EUR     1,665,000    

Argentine Republic Government International Bond 5.25%, 01/15/2028

  $ 701,008  
     

 

 

 
      Canada - 0.1%  
CAD     900,000    

City of Montreal Canada 5.45%, 12/01/2019

    685,110  
 

Province of Manitoba Canada Treasury Bill

 
    750,000    

1.69%, 11/20/2019(11)

    568,892  
    775,000    

1.70%, 01/02/2020(11)

    586,613  
    120,000    

Province of Ontario Canada Generic Coupon Strip 0.00%, 11/03/2019(12)

    91,096  
     

 

 

 
    1,931,711  
     

 

 

 
      Dominican Republic - 0.2%  
$     4,445,000    

Dominican Republic International Bond 6.40%, 06/05/2049(1)

    4,817,313  
     

 

 

 
      Egypt - 0.0%  
    725,000    

Egypt Government International Bond 8.50%, 01/31/2047(7)

    762,156  
     

 

 

 
      Ghana - 0.1%  
    2,080,000    

Ghana Government International Bond 7.63%, 05/16/2029(7)

    2,099,448  
     

 

 

 
      Hungary - 0.0%  
    580,000    

Hungary Government International Bond 6.38%, 03/29/2021

    614,220  
     

 

 

 
      Italy - 0.1%  
 

Italy Buoni Ordinari del Tesoro BOT

 
EUR     165,000    

0.28%, 03/13/2020(7)(11)

    184,207  
    170,000    

0.29%, 01/31/2020(7)(11)

    189,765  
    550,000    

0.34%, 01/14/2020(7)(11)

    613,842  
    165,000    

Italy Certificati di Credito del Tesoro 0.97%, 11/15/2019, 6 mo. EURIBOR + 1.200%(2)

    184,054  
     

 

 

 
    1,171,868  
     

 

 

 
      Japan - 0.7%  
JPY     100,000,000    

Deposit Insurance Corp. of Japan 0.10%, 01/17/2020

    926,667  
$     400,000    

Japan Bank for International Cooperation 2.36%, 07/21/2020, 3 mo. USD LIBOR + 0.390%(2)

    400,896  
 

Japan Treasury Discount Bill

 
JPY     20,750,000    

0.11%, 11/05/2019(11)

    192,148  
    479,250,000    

0.11%, 11/11/2019(11)

    4,438,004  
    328,000,000    

0.12%, 11/18/2019(11)

    3,037,465  
    150,100,000    

0.14%, 12/16/2019(11)

    1,390,214  
    399,250,000    

0.16%, 11/25/2019(11)

    3,697,404  
    29,950,000    

0.16%, 12/09/2019(11)

    277,383  
    25,000,000    

0.17%, 12/02/2019(11)

    231,531  
    23,850,000    

0.19%, 02/03/2020(11)

    220,969  
    82,150,000    

0.24%, 01/27/2020(11)

    761,081  
    24,350,000    

0.27%, 01/08/2020(11)

    225,560  
    35,000,000    

0.29%, 03/10/2020(11)

    324,346  
     

 

 

 
    16,123,668  
     

 

 

 
      Romania - 0.5%  
 

Romanian Government International Bond

 
EUR     1,305,000    

3.88%, 10/29/2035(7)

    1,733,115  
    1,079,000    

4.63%, 04/03/2049(1)

    1,565,634  
    4,130,000    

4.63%, 04/03/2049(7)

    5,992,650  
$     980,000    

6.13%, 01/22/2044(7)

    1,272,530  
     

 

 

 
    10,563,929  
     

 

 

 
      Senegal - 0.1%  
    2,000,000    

Senegal Government International Bond 6.25%, 05/23/2033(7)

    2,041,544  
     

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 3.8% - (continued)  
      South Korea - 0.0%  
 

Korea Development Bank

 
$     200,000    

2.58%, 02/27/2020, 3 mo. USD LIBOR + 0.450%(2)

  $ 200,143  
    200,000    

2.67%, 03/12/2021, 3 mo. USD LIBOR + 0.550%(2)

    200,528  
     

 

 

 
    400,671  
     

 

 

 
      Supranational - 1.7%  
NZD     15,160,000    

Asian Development Bank 3.00%, 01/17/2023

    10,209,581  
 

Inter-American Development Bank

 
CAD     14,070,000    

1.70%, 10/10/2024

    10,644,530  
AUD     13,340,000    

2.75%, 10/30/2025(7)

    9,890,187  
CAD     7,015,000    

International Finance Corp. 1.38%, 09/13/2024

    5,227,190  
     

 

 

 
    35,971,488  
     

 

 

 
      Tunisia - 0.2%  
 

Banque Centrale de Tunisie International Bond

 
EUR     1,320,000    

6.38%, 07/15/2026(1)

    1,435,833  
    1,685,000    

6.75%, 10/31/2023(1)

    1,894,126  
     

 

 

 
    3,329,959  
     

 

 

 
      United Arab Emirates - 0.1%  
$     2,595,000    

Abu Dhabi Government International Bond 3.13%, 09/30/2049(1)

    2,497,117  
     

 

 

 
      Uruguay - 0.0%  
    205,000    

Uruguay Government International Bond 4.98%, 04/20/2055

    239,852  
     

 

 

 
 

Total Foreign Government Obligations
(cost $83,688,222)

  $ 83,265,952  
     

 

 

 
MUNICIPAL BONDS - 1.0%  
      Development - 0.1%  
 

California State, GO Taxable

 
    235,000    

7.30%, 10/01/2039

  $ 363,543  
    120,000    

7.60%, 11/01/2040

    202,476  
    185,000    

7.63%, 03/01/2040

    301,306  
     

 

 

 
    867,325  
     

 

 

 
      Education - 0.1%  
 

Chicago, IL, Board of Education, GO

 
    800,000    

6.14%, 12/01/2039

    882,616  
    1,660,000    

6.32%, 11/01/2029

    1,854,071  
     

 

 

 
    2,736,687  
     

 

 

 
      General - 0.3%  
    5,345,000    

Philadelphia Auth for Industrial Dev 6.55%, 10/15/2028

    6,794,724  
     

 

 

 
      General Obligation - 0.4%  
 

California State, GO Taxable

 
    125,000    

7.35%, 11/01/2039

    194,984  
    1,340,000    

7.55%, 04/01/2039

    2,197,801  
    1,205,000    

City of Chicago, IL, GO 7.38%, 01/01/2033

    1,427,443  
 

State of Illinois, GO

 
    3,063,273    

4.95%, 06/01/2023(8)

    3,204,061  
    210,000    

5.00%, 01/01/2023

    221,712  
    520,000    

5.56%, 02/01/2021

    536,941  
    840,000    

6.88%, 07/01/2025

    956,667  
     

 

 

 
    8,739,609  
     

 

 

 
      Utility - Electric - 0.1%  
    1,593,000    

Municipal Electric Auth, GA 6.64%, 04/01/2057

    2,232,207  
     

 

 

 
 

Total Municipal Bonds
(cost $20,192,350)

  $ 21,370,552  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  155  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 2.3%(13)  
      Advertising - 0.0%  
$     462,066    

Acosta Holdco, Inc. 7.00%, 09/26/2021, 1 mo. USD LIBOR + 3.250%

  $ 135,732  
    300,000    

Clear Channel Outdoor Holdings, Inc. 5.29%, 08/21/2026, 1 mo. USD LIBOR + 3.500%

    300,483  
     

 

 

 
    436,215  
     

 

 

 
      Aerospace/Defense - 0.0%  
    299,855    

Circor International, Inc. 5.42%, 12/11/2024, 1 mo. USD LIBOR + 3.500%

    296,931  
    440,762    

TransDigm, Inc. 4.29%, 05/30/2025, 1 mo. USD LIBOR + 2.500%

    437,152  
     

 

 

 
    734,083  
     

 

 

 
      Agriculture - 0.0%  
    298,004    

Pinnacle Operating Corp. 7.29%, 11/15/2021, 1 mo. USD LIBOR + 5.500%

    205,623  
     

 

 

 
      Airlines - 0.0%  
    390,000    

WestJet Airlines Ltd. 0.00%, 08/07/2026, 1 mo. USD LIBOR + 3.000%(14)

    391,626  
     

 

 

 
      Auto Manufacturers - 0.0%  
    196,500    

Navistar International Corp. 5.42%, 11/06/2024, 1 mo. USD LIBOR + 3.500%

    194,168  
     

 

 

 
      Auto Parts & Equipment - 0.1%  
    224,438    

Adient U.S. LLC 6.78%, 05/06/2024, 1 mo. USD LIBOR + 4.250%

    218,616  
    214,832    

Altra Industrial Motion Corp. 3.79%, 10/01/2025, 1 mo. USD LIBOR + 2.000%

    213,758  
 

Panther BF Aggregator L.P.

 
EUR     635,000    

3.75%, 04/30/2026, 1 mo. EURIBOR + 3.750%

    707,493  
$     415,000    

5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

    408,949  
     

 

 

 
    1,548,816  
     

 

 

 
      Biotechnology - 0.0%  
    324,852    

Sotera Health Holdings LLC 4.93%, 05/15/2022, 1 mo. USD LIBOR + 3.000%

    318,761  
     

 

 

 
      Chemicals - 0.1%  
    98,846    

Cabot Microelectronics Corp. 4.06%, 11/14/2025, 1 mo. ICE LIBOR + 2.250%

    99,156  
EUR     195,285    

CTC AcquiCo GmbH 2.50%, 03/07/2025, 3 mo. EURIBOR + 2.500%

    215,920  
$     224,438    

Hexion, Inc. 5.60%, 07/01/2026, 1 mo. USD LIBOR + 3.500%

    223,315  
    123,750    

LTI Holdings, Inc. 5.29%, 09/06/2025, 1 mo. USD LIBOR + 3.500%

    113,355  
 

Starfruit Finco B.V.

 
EUR     100,000    

3.75%, 10/01/2025, 3 mo. EURIBOR + 3.750%

    111,225  
$     215,300    

5.19%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    209,696  
    400,044    

Univar, Inc. 4.04%, 07/01/2024, 1 mo. USD LIBOR + 2.250%

    401,044  
     

 

 

 
    1,373,711  
     

 

 

 
      Coal - 0.0%  
    623,840    

Foresight Energy LLC 7.87%, 03/28/2022, 3 mo. USD LIBOR + 5.750%

    317,117  
     

 

 

 
      Commercial Services - 0.2%  
 

Allied Universal Holdco LLC

 
    34,125    

4.25%, 07/10/2026, 1 mo. USD LIBOR + 4.250%(15)

    33,856  
    344,663    

6.51%, 07/10/2026, 3 mo. USD LIBOR + 4.250%

    341,954  
    287,100    

APX Group, Inc. 6.79%, 04/01/2024, 2 mo. USD LIBOR + 5.000%

    282,076  
    210,700    

Ascend Learning LLC 4.79%, 07/12/2024, 1 mo. USD LIBOR + 3.000%

    209,031  
    110,000    

Belron Finance U.S. LLC 0.00%, 11/07/2026, 1 mo. USD LIBOR + 2.500%(14)

    109,966  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 2.3%(13) - (continued)  
      Commercial Services - 0.2% - (continued)  
$     336,370    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

  $ 333,007  
    112,168    

Capital Automotive L.P. 7.79%, 03/24/2025, 1 mo. USD LIBOR + 6.000%

    112,168  
    325,000    

DCert Buyer, Inc. 5.79%, 10/16/2026, 1 mo. USD LIBOR + 4.000%

    318,705  
    450,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    451,031  
    98,000    

Energizer Holdings, Inc. 4.31%, 12/17/2025, 1 mo. USD LIBOR + 2.250%

    97,836  
    105,000    

Garda World Security Corp. 0.00%, 10/30/2026, 1 mo. USD LIBOR + 4.750%(14)

    104,344  
    681,731    

Quikrete Holdings, Inc. 4.54%, 11/15/2023, 1 mo. USD LIBOR + 2.750%

    678,533  
EUR     211,950    

Techem GmbH 3.50%, 07/31/2025, 3 mo. EURIBOR + 3.500%

    237,536  
$     869,975    

Tempo Acquisition LLC 4.79%, 05/01/2024, 1 mo. USD LIBOR + 3.000%

    869,792  
EUR     115,000    

Verisure Holding AB 3.50%, 10/21/2022, 3 mo. EURIBOR + 3.500%

    128,260  
$     105,946    

Weight Watchers International, Inc. 6.86%, 11/29/2024, 3 mo. USD LIBOR + 4.750%

    105,707  
    289,000    

Xerox Business Services LLC 4.29%, 12/07/2023, 1 mo. USD LIBOR + 2.500%

    278,524  
     

 

 

 
    4,692,326  
     

 

 

 
      Construction Materials - 0.0%  
    92,857    

Advanced Drainage Systems, Inc. 4.06%, 07/31/2026, 1 mo. USD LIBOR + 2.250%

    93,205  
    143,188    

Hamilton Holdco LLC 4.11%, 07/02/2025, 1 mo. USD LIBOR + 2.000%

    143,367  
    266,625    

NCI Building Systems, Inc. 5.66%, 04/12/2025, 3 mo. USD LIBOR + 3.750%

    257,514  
     

 

 

 
    494,086  
     

 

 

 
      Distribution/Wholesale - 0.1%  
    980,000    

American Builders & Contractors Supply Co., Inc. 0.00%, 01/15/2027, 1 mo. USD LIBOR + 2.000%(14)

    978,167  
    195,000    

SRS Distribution, Inc. 0.00%, 05/23/2025, 1 mo. USD LIBOR + 4.500%(14)

    193,538  
     

 

 

 
    1,171,705  
     

 

 

 
      Diversified Financial Services - 0.1%  
 

AlixPartners LLP

 
EUR     99,500    

3.25%, 04/04/2024, 3 mo. EURIBOR + 3.250%

    111,166  
$     359,146    

4.54%, 04/04/2024, 3 mo. USD LIBOR + 2.750%

    358,546  
    163,763    

Aretec Group, Inc. 6.04%, 10/01/2025, 3 mo. USD LIBOR + 4.250%

    152,913  
 

Crown Finance U.S., Inc.

 
EUR     31,684    

2.38%, 02/28/2025, 1 mo. EURIBOR + 2.375%

    35,367  
$     184,407    

4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    181,788  
    253,088    

Financial & Risk U.S. Holdings, Inc. 5.54%, 10/01/2025, 1 mo. USD LIBOR + 3.750%

    254,290  
    139,300    

Minotaur Acquisition, Inc. 6.79%, 03/27/2026, 1 mo. USD LIBOR + 5.000%

    131,378  
EUR     194,028    

Nets Holding A/S 3.25%, 02/06/2025, 3 mo. EURIBOR + 3.250%

    214,326  
$     257,713    

RP Crown Parent LLC 4.54%, 10/12/2023, 1 mo. USD LIBOR + 2.750%

    257,133  
    99,743    

UFC Holdings LLC 5.04%, 04/29/2026, 1 mo. USD LIBOR + 3.250%

    99,618  
    312,695    

Victory Capital Holdings, Inc. 5.35%, 07/01/2026, 1 mo. USD LIBOR + 3.250%

    313,634  
     

 

 

 
    2,110,159  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  156  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 2.3%(13) - (continued)  
      Electric - 0.0%  
$     274,242    

Seadrill Partners Finco LLC 8.10%, 02/21/2021, 3 mo. USD LIBOR + 6.000%

  $ 137,807  
     

 

 

 
      Energy-Alternate Sources - 0.0%  
    241,938    

BCP Renaissance Parent LLC 5.36%, 10/31/2024, 3 mo. USD LIBOR + 3.500%

    218,199  
    98,250    

Medallion Midland Acquisition LLC 5.04%, 10/30/2024, 1 mo. USD LIBOR + 3.250%

    92,109  
     

 

 

 
    310,308  
     

 

 

 
      Engineering & Construction - 0.0%  
    507,016    

Brand Energy & Infrastructure Services, Inc. 6.24%, 06/21/2024, 3 mo. USD LIBOR + 4.250%

    491,806  
    98,500    

Verra Mobility Corp. 5.54%, 02/28/2025, 1 mo. USD LIBOR + 3.750%

    98,541  
     

 

 

 
    590,347  
     

 

 

 
      Entertainment - 0.0%  
    595,495    

Scientific Games International, Inc. 4.54%, 08/14/2024, 2 mo. USD LIBOR + 2.750%

    588,236  
    108,900    

Wyndham Hotels & Resorts, Inc. 3.54%, 05/30/2025, 1 mo. USD LIBOR + 1.750%

    109,354  
     

 

 

 
    697,590  
     

 

 

 
      Food - 0.1%  
    105,000    

B&G Foods, Inc. 4.48%, 10/10/2026, 1 mo. USD LIBOR + 2.500%

    105,329  
    417,293    

Hostess Brands LLC 4.13%, 08/03/2025, 1 mo. USD LIBOR + 2.250%

    414,948  
    16,005    

Post Holdings, Inc. 3.83%, 05/24/2024, 1 mo. USD LIBOR + 2.000%

    16,016  
    390,000    

U.S. Foods, Inc. 3.79%, 09/13/2026, 1 mo. USD LIBOR + 2.000%

    391,030  
     

 

 

 
    927,323  
     

 

 

 
      Food Service - 0.0%  
    99,250    

8th Avenue Food & Provisions, Inc. 5.69%, 10/01/2025, 3 mo. USD LIBOR + 3.750%

    99,250  
    107,256    

Aramark Services, Inc. 3.54%, 03/11/2025, 3 mo. USD LIBOR + 1.750%

    107,345  
    98,750    

CHG PPC Parent LLC 4.54%, 03/31/2025, 1 mo. USD LIBOR + 2.750%

    98,256  
     

 

 

 
    304,851  
     

 

 

 
      Gas - 0.0%  
    109,450    

Messer Industries GmbH 4.60%, 03/01/2026, 1 mo. USD LIBOR + 2.500%

    108,449  
     

 

 

 
      Healthcare - Products - 0.0%  
    213,188    

Lifescan Global Corp. 8.06%, 10/01/2024, 3 mo. USD LIBOR + 6.000%

    189,381  
    211,955    

Parexel International Corp. 4.54%, 09/27/2024, 1 mo. USD LIBOR + 2.750%

    202,152  
     

 

 

 
    391,533  
     

 

 

 
      Healthcare - Services - 0.2%  
    180,500    

CDRH Parent, Inc. 6.38%, 07/01/2021, 3 mo. USD LIBOR + 4.250%

    127,176  
    100,000    

CPI Holdco LLC 0.00%, 10/01/2027, 1 mo. USD LIBOR + 4.250%(14)

    99,750  
    130,542    

DentalCorp Perfect Smile ULC 5.54%, 06/06/2025, 1 mo. USD LIBOR + 3.750%

    127,387  
    272,938    

Envision Healthcare Corp. 5.54%, 10/10/2025, 1 mo. USD LIBOR + 3.750%

    219,928  
    288,130    

Global Medical Response, Inc. 5.10%, 04/28/2022, 1 mo. USD LIBOR + 3.250%

    258,147  
EUR     335,750    

IQVIA, Inc. 2.00%, 06/11/2025, 3 mo. EURIBOR + 2.000%

    374,930  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 2.3%(13) - (continued)  
      Healthcare - Services - 0.2% - (continued)  
$     334,676    

Jaguar Holding Co. 4.29%, 08/18/2022, 3 mo. USD LIBOR + 2.500%

  $ 333,839  
 

MED ParentCo L.P.

 
    57,239    

1.30%, 08/31/2026, 1 mo. USD LIBOR + 4.250%(15)

    56,321  
    229,229    

6.04%, 08/31/2026, 1 mo. USD LIBOR + 4.250%

    225,552  
    464,601    

MPH Acquisition Holdings LLC 4.85%, 06/07/2023, 3 mo. USD LIBOR + 2.750%

    434,667  
    239,901    

Syneos Health, Inc. 3.79%, 08/01/2024, 1 mo. USD LIBOR + 2.000%

    239,951  
    900,000    

Zelis Healthcare Corp. 0.00%, 09/30/2026, 1 mo. USD LIBOR + 4.750%(14)

    889,497  
     

 

 

 
    3,387,145  
     

 

 

 
      Household Products - 0.0%  
    259,721    

Diamond (BC) B.V. 4.93%, 09/06/2024, 2 mo. USD LIBOR + 3.000%

    241,411  
    218,250    

Revlon Consumer Products Corp. 5.62%, 09/07/2023, 1 mo. USD LIBOR + 3.500%

    170,872  
     

 

 

 
    412,283  
     

 

 

 
      Insurance - 0.1%  
 

Asurion LLC

 
    603,827    

4.79%, 08/04/2022, 1 mo. USD LIBOR + 3.000%

    603,936  
    370,000    

8.29%, 08/04/2025, 1 mo. USD LIBOR + 6.500%

    371,480  
 

Hub International Ltd.

 
    135,000    

0.00%, 04/25/2025, 1 mo. USD LIBOR + 4.000%(14)

    134,730  
    227,125    

4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    221,974  
 

Sedgwick Claims Management Services, Inc.

 
    352,338    

5.04%, 12/31/2025, 1 mo. USD LIBOR + 3.250%

    341,493  
    563,588    

5.79%, 09/03/2026, 1 mo. USD LIBOR + 4.000%

    558,774  
     

 

 

 
    2,232,387  
     

 

 

 
      Leisure Time - 0.1%  
    290,780    

Caesars Resort Collection LLC 4.54%, 12/23/2024, 1 mo. USD LIBOR + 2.750%

    286,267  
    663,717    

Delta (LUX) S.a.r.l. 4.29%, 02/01/2024, 1 mo. USD LIBOR + 2.500%

    652,931  
    714,100    

Golden Entertainment, Inc. 4.81%, 10/21/2024, 1 mo. USD LIBOR + 3.000%

    714,550  
    148,875    

Penn National Gaming, Inc. 4.04%, 10/15/2025, 3 mo. USD LIBOR + 2.250%

    149,322  
     

 

 

 
    1,803,070  
     

 

 

 
          Lodging - 0.1%  
    398,666    

Boyd Gaming Corp. 3.96%, 09/15/2023, 1 week USD LIBOR + 2.250%

    398,789  
    498,678    

Caesars Entertainment Operating Co. 3.79%, 10/07/2024, 1 mo. USD LIBOR + 2.000%

    498,369  
     

 

 

 
    897,158  
     

 

 

 
          Machinery - Construction & Mining - 0.0%  
    420,318    

Brookfield WEC Holdings, Inc. 5.29%, 08/01/2025, 1 mo. USD LIBOR + 3.500%

    417,342  
    101,864    

Pike Corp. 5.04%, 07/24/2026, 1 mo. USD LIBOR + 3.250%

    101,786  
     

 

 

 
    519,128  
     

 

 

 
          Machinery - Diversified - 0.0%  
    225,096    

Gates Global LLC 4.54%, 04/01/2024, 3 mo. USD LIBOR + 2.750%

    220,183  
     

 

 

 
          Media - 0.3%  
    181,300    

Altice Financing S.A. 4.60%, 01/31/2026, 3 mo. USD LIBOR + 2.750%

    174,340  
    913,126    

Charter Communications Operating LLC 3.54%, 04/30/2025, 1 mo. USD LIBOR + 1.750%

    914,139  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  157  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 2.3%(13) - (continued)  
          Media - 0.3% - (continued)  
$     576,688    

CSC Holdings LLC 4.33%, 04/15/2027, 1 mo. USD LIBOR + 2.500%

  $ 575,431  
    173,688    

Gray Television, Inc. 4.51%, 01/02/2026, 1 mo. ICE LIBOR + 2.500%

    174,040  
    348,189    

Houghton Mifflin Harcourt Publishing Co. 4.79%, 05/31/2021, 1 mo. USD LIBOR + 3.000%

    345,142  
    815,668    

ION Media Networks, Inc. 4.81%, 12/18/2024, 1 mo. USD LIBOR + 3.000%

    810,570  
    283,300    

MTN Infrastructure TopCo, Inc. 4.79%, 11/15/2024, 1 mo. USD LIBOR + 3.000%

    279,640  
    100,000    

NASCAR Holdings, Inc. 0.00%, 10/19/2026, 1 mo. USD LIBOR + 2.750%(14)

    100,453  
    500,000    

Nexstar Broadcasting, Inc. 4.55%, 09/18/2026, 1 mo. USD LIBOR + 2.750%

    501,595  
    627,462    

PSAV Holdings LLC 5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    602,759  
    275,000    

Shutterfly, Inc. 0.00%, 10/01/2026, 1 mo. USD LIBOR + 6.000%(14)

    261,594  
    312,500    

Sinclair Television Group, Inc. 4.43%, 09/30/2026, 1 mo. USD LIBOR + 2.500%

    312,597  
    395,000    

Telenet Financing USD LLC 4.17%, 08/15/2026, 1 mo. USD LIBOR + 2.250%

    394,285  
    113,584    

Web.com Group, Inc. 5.66%, 10/10/2025, 3 mo. USD LIBOR + 3.750%

    110,433  
    199,737    

William Morris Endeavor Entertainment LLC 4.60%, 05/18/2025, 1 mo. USD LIBOR + 2.750%

    192,788  
     

 

 

 
    5,749,806  
     

 

 

 
          Metal Fabricate/Hardware - 0.0%  
    245,941    

Rexnord LLC 3.79%, 08/21/2024, 1 mo. USD LIBOR + 2.000%

    247,171  
     

 

 

 
          Miscellaneous Manufacturing - 0.0%  
    133,258    

H.B. Fuller Co. 3.85%, 10/20/2024, 1 mo. USD LIBOR + 2.000%

    132,772  
    100,000    

Tamko Building Products, Inc. 5.09%, 06/01/2026, 1 mo. USD LIBOR + 3.250%

    100,000  
    420,903    

USI, Inc. 5.10%, 05/16/2024, 3 mo. USD LIBOR + 3.000%

    408,170  
     

 

 

 
    640,942  
     

 

 

 
          Oil & Gas - 0.1%  
    54,167    

Ascent Resources - Marcellus LLC 8.41%, 03/30/2023, 1 mo. USD LIBOR + 6.500%

    51,458  
   

BCP Raptor LLC

 
    210,163    

6.04%, 06/24/2024, 2 mo. USD LIBOR + 4.250%

    184,155  
    114,713    

6.54%, 11/03/2025, 1 mo. USD LIBOR + 4.750%

    100,517  
    485,000    

California Resources Corp. 12.18%, 12/31/2021, 1 mo. USD LIBOR + 10.375%

    320,100  
    646,774    

Fieldwood Energy LLC 7.18%, 04/11/2022, 1 mo. USD LIBOR + 5.250%

    516,773  
    222,750    

NorthRiver Midstream Finance L.P. 5.35%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    218,932  
    304,157    

PES Holdings LLC 0.00%, 12/31/2022, 1 mo. USD LIBOR + 6.990%(14)(16)

    91,755  
    108,900    

Traverse Midstream Partners LLC 5.80%, 09/27/2024, 3 mo. USD LIBOR + 4.000%

    95,287  
     

 

 

 
    1,578,977  
     

 

 

 
          Oil & Gas Services - 0.1%  
    129,675    

Lower Cadence Holdings LLC 5.80%, 05/22/2026, 1 mo. USD LIBOR + 4.000%

    120,274  
    778,050    

UGI Energy Services LLC 5.54%, 08/13/2026, 1 mo. USD LIBOR + 3.750%

    779,995  
     

 

 

 
    900,269  
     

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 2.3%(13) - (continued)  
          Packaging & Containers - 0.1%  
   

Berry Global, Inc.

 
EUR     124,688    

2.50%, 07/01/2026, 3 mo. EURIBOR + 2.500%

  $ 140,029  
$     366,827    

3.88%, 10/01/2022, 3 mo. USD LIBOR + 2.000%

    367,744  
    279,300    

4.44%, 07/01/2026, 3 mo. USD LIBOR + 2.500%

    280,115  
   

Flex Acquisition Co., Inc.

 
    342,577    

5.10%, 12/29/2023, 3 mo. USD LIBOR + 3.000%

    323,180  
    97,852    

5.35%, 06/29/2025, 1 mo. USD LIBOR + 3.250%

    92,443  
    141,013    

Proampac PG Borrower LLC 5.53%, 11/20/2023, 1 mo. USD LIBOR + 3.500%

    132,641  
    630,166    

Reynolds Group Holdings, Inc. 4.54%, 02/05/2023, 1 mo. USD LIBOR + 2.750%

    629,820  
     

 

 

 
    1,965,972  
     

 

 

 
          Pharmaceuticals - 0.1%  
    251,101    

Bausch Health Companies, Inc. 4.92%, 06/02/2025, 1 mo. USD LIBOR + 3.000%

    251,912  
    139,300    

Catalent Pharma Solutions, Inc. 4.04%, 05/18/2026, 1 mo. USD LIBOR + 2.250%

    139,300  
    540,657    

Endo Luxembourg Finance Co., S.a.r.l. 6.06%, 04/29/2024, 1 mo. USD LIBOR + 4.250%

    496,323  
    725,000    

Sunshine Luxembourg S.a.r.l. 6.35%, 10/01/2026, 1 mo. USD LIBOR + 4.250%

    725,304  
     

 

 

 
    1,612,839  
     

 

 

 
          Real Estate - 0.0%  
    375,682    

VICI Properties LLC 3.85%, 12/20/2024, 1 mo. USD LIBOR + 2.000%

    376,790  
     

 

 

 
          Retail - 0.1%  
    583,100    

Bass Pro Group LLC 6.79%, 09/25/2024, 1 mo. USD LIBOR + 5.000%

    561,753  
    365,015    

Coty, Inc. 4.23%, 04/07/2025, 1 mo. USD LIBOR + 2.250%

    352,240  
    351,246    

Harbor Freight Tools USA, Inc. 4.29%, 08/18/2023, 1 mo. USD LIBOR + 2.500%

    343,451  
    341,106    

Neiman Marcus Group Ltd. LLC 7.99%, 10/25/2023, 1 mo. USD LIBOR + 6.000%

    247,776  
    158,000    

Rodan & Fields LLC 5.92%, 06/16/2025, 1 mo. USD LIBOR + 4.000%

    128,178  
    358,569    

Staples, Inc. 7.12%, 04/16/2026, 3 mo. USD LIBOR + 5.000%

    353,086  
    306,524    

U.S. Foods, Inc. 3.79%, 06/27/2023, 1 mo. USD LIBOR + 2.000%

    307,330  
     

 

 

 
    2,293,814  
     

 

 

 
          Semiconductors - 0.0%  
    169,593    

Microchip Technology, Inc. 3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

    169,805  
     

 

 

 
          Software - 0.2%  
    451,557    

Almonde, Inc. 5.70%, 06/13/2024, 3 mo. USD LIBOR + 3.500%

    430,957  
    597,635    

Change Healthcare Holdings LLC 4.29%, 03/01/2024, 1 mo. USD LIBOR + 2.500%

    593,763  
    152,138    

Epicor Software Corp. 5.04%, 06/01/2022, 1 mo. USD LIBOR + 3.250%

    151,567  
    220,185    

Hyland Software, Inc. 5.04%, 07/01/2024, 1 mo. USD LIBOR + 3.250%

    218,534  
    324,476    

Infor U.S., Inc. 4.85%, 02/01/2022, 1 mo. USD LIBOR + 2.750%

    324,476  
    247,500    

Quest Software U.S. Holdings, Inc. 6.18%, 05/16/2025, 3 mo. USD LIBOR + 4.250%

    241,107  
    61,763    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    61,866  
    515,316    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    516,475  
    130,000    

Ultimate Software Group, Inc. 5.54%, 05/04/2026, 1 mo. USD LIBOR + 3.750%

    130,199  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  158  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 2.3%(13) - (continued)  
          Software - 0.2% - (continued)  
$     1,083,791    

WEX, Inc. 4.04%, 05/15/2026, 1 mo. USD LIBOR + 2.250%

  $ 1,087,086  
     

 

 

 
    3,756,030  
     

 

 

 
          Telecommunications - 0.1%  
    531,067    

Altice France S.A. 5.61%, 01/31/2026, 3 mo. USD LIBOR + 3.688%

    517,599  
    198,485    

CenturyLink, Inc. 4.54%, 01/31/2025, 1 mo. USD LIBOR + 2.750%

    196,327  
    290,000    

Level 3 Financing, Inc. 4.04%, 02/22/2024, 1 mo. USD LIBOR + 2.250%

    290,217  
    190,000    

Liberty Latin America Ltd. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 5.000%(14)

    191,604  
   

Sprint Communications, Inc.

 
    727,229    

4.31%, 02/02/2024, 1 mo. USD LIBOR + 2.500%

    718,444  
    99,250    

4.81%, 02/02/2024, 1 mo. USD LIBOR + 3.000%

    98,588  
    524,659    

Univision Communications, Inc. 4.54%, 03/15/2024, 1 mo. USD LIBOR + 2.750%

    505,440  
    158,400    

Zacapa LLC 7.10%, 07/02/2025, 1 mo. USD LIBOR + 5.000%

    158,565  
    318,158    

Zayo Group LLC 4.04%, 01/19/2024, 1 mo. USD LIBOR + 2.250%

    318,454  
     

 

 

 
    2,995,238  
     

 

 

 
          Transportation - 0.0%  
EUR     100,000    

Boluda Corp. Maritima S.L. 0.00%, 09/26/2026, 1 mo. EURIBOR + 3.500%(14)

    111,809  
$     291,852    

Savage Enterprises LLC 5.93%, 08/01/2025, 1 mo. USD LIBOR + 4.000%

    293,918  
     

 

 

 
    405,727  
     

 

 

 
   

Total Senior Floating Rate Interests (cost $51,687,567)

  $ 49,621,338  
     

 

 

 
U.S. GOVERNMENT AGENCIES - 46.3%  
          Mortgage-Backed Agencies - 46.3%  
          FHLMC - 5.6%  
    81,723    

0.00%, 11/15/2036(17)

  $ 74,635  
    22,652,624    

0.13%, 10/25/2020(4)(5)

    25,573  
    10,125,950    

0.48%, 01/25/2034(4)(5)

    538,211  
    18,184,066    

0.61%, 03/25/2027(4)(5)

    718,087  
    1,982,263    

1.75%, 10/15/2042

    1,956,204  
    829,180    

2.50%, 12/15/2026(5)

    36,160  
    428,352    

2.50%, 03/15/2028(5)

    26,421  
    393,455    

2.50%, 03/15/2028

    25,352  
    639,257    

2.50%, 05/15/2028(5)

    44,894  
    1,665,736    

3.00%, 03/15/2028(5)

    116,495  
    1,001,253    

3.00%, 08/01/2029

    1,034,424  
    791,165    

3.00%, 05/15/2032(5)

    45,761  
    523,371    

3.00%, 03/15/2033(5)

    56,225  
    5,383,134    

3.00%, 04/01/2033

    5,530,688  
    4,152,547    

3.00%, 11/01/2036

    4,261,408  
    3,718,653    

3.00%, 01/01/2037

    3,816,124  
    4,050,000    

3.00%, 08/15/2043

    4,155,655  
    6,545,917    

3.00%, 11/01/2046

    6,723,934  
    19,138,340    

3.00%, 12/01/2046

    19,652,929  
    275,000    

3.00%, 05/01/2049

    279,816  
    1,071,408    

3.25%, 11/15/2041

    1,118,387  
    848,339    

3.50%, 06/15/2026(5)

    38,476  
    329,057    

3.50%, 09/15/2026(5)

    26,179  
    533,358    

3.50%, 03/15/2027

    36,914  
    2,210,660    

3.50%, 08/01/2034

    2,301,935  
    2,611,624    

3.50%, 03/15/2041(5)

    216,265  
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 46.3% - (continued)  
          Mortgage-Backed Agencies - 46.3% - (continued)  
          FHLMC - 5.6% - (continued)  
$     3,344,808    

3.50%, 01/15/2043(5)

  $ 570,926  
    987,481    

3.50%, 06/01/2046

    1,028,937  
    5,369,327    

3.50%, 10/01/2047

    5,562,874  
    8,407,406    

3.50%, 01/01/2048

    8,705,791  
    2,957,286    

3.50%, 03/01/2048

    3,112,119  
    579,147    

3.50%, 04/01/2048

    598,932  
    10,333,895    

3.50%, 08/01/2048

    10,614,121  
    1,672,386    

4.00%, 08/01/2025

    1,744,212  
    312,807    

4.00%, 08/15/2026(5)

    22,485  
    1,731,706    

4.00%, 07/15/2027(5)

    126,997  
    2,254,972    

4.00%, 03/15/2028(5)

    173,508  
    540,967    

4.00%, 06/15/2028(5)

    44,750  
    1,440,033    

4.00%, 07/15/2030

    145,412  
    881,616    

4.00%, 11/15/2040

    971,005  
    2,170,441    

4.00%, 05/01/2042

    2,323,266  
    586,406    

4.00%, 08/01/2042

    626,384  
    809,775    

4.00%, 09/01/2042

    864,777  
    184,937    

4.00%, 07/01/2044

    193,534  
    1,035,612    

4.00%, 02/01/2046

    1,094,332  
    534,855    

4.00%, 09/01/2048

    557,784  
    361,414    

4.50%, 02/01/2039

    391,141  
    3,814,992    

4.50%, 05/01/2042

    4,137,106  
    553,234    

4.50%, 09/01/2044

    594,362  
    1,525,179    

4.75%, 07/15/2039

    1,697,653  
    100,224    

5.00%, 03/01/2024

    106,987  
    114,716    

5.00%, 02/01/2028

    122,519  
    114,518    

5.00%, 04/01/2028

    122,342  
    233,797    

5.00%, 01/01/2030

    250,033  
    7,911    

5.00%, 09/01/2031

    8,452  
    825,181    

5.00%, 09/15/2033(5)

    124,488  
    8,758    

5.00%, 07/01/2035

    9,680  
    180,386    

5.00%, 04/01/2038

    199,044  
    324,812    

5.00%, 09/01/2039

    359,019  
    540,896    

5.00%, 01/01/2040

    597,868  
    172,978    

5.00%, 08/01/2040

    191,094  
    9,766    

5.00%, 02/01/2041

    10,780  
    330,888    

5.00%, 04/01/2044

    365,307  
    1,441,168    

5.00%, 03/01/2047

    1,550,939  
    665,775    

5.00%, 04/01/2047

    713,607  
    507,035    

5.00%, 06/01/2047

    543,017  
    76,660    

5.00%, 11/01/2047

    84,382  
    1,217,186    

5.00%, 02/15/2048(5)

    236,964  
    1,108,901    

5.00%, 09/01/2048

    1,185,719  
    573,938    

5.00%, 10/01/2048

    613,778  
    1,308,379    

5.00%, 03/01/2049

    1,398,658  
    8,204,643    

5.00%, 10/01/2049(18)

    8,790,762  
    716,985    

5.50%, 04/15/2036(5)

    136,501  
    7,877    

5.50%, 11/01/2037

    8,858  
    909    

5.50%, 02/01/2038

    1,021  
    37,089    

5.50%, 04/01/2038

    41,709  
    34,714    

5.50%, 06/01/2038

    38,959  
    1,939,600    

5.50%, 08/01/2038

    2,180,847  
    99,512    

5.50%, 05/01/2040

    111,832  
    405,229    

5.50%, 08/01/2040

    455,072  
    401,190    

5.50%, 06/01/2041

    450,481  
    1,477,465    

5.50%, 12/15/2046(5)

    250,703  
    97,304    

6.00%, 01/01/2023

    101,020  
    33,266    

6.00%, 11/01/2032

    37,256  
    103,954    

6.00%, 11/01/2033

    119,671  
    78,181    

6.00%, 02/01/2034

    89,940  
    115,436    

6.00%, 07/01/2034

    132,894  
    38,160    

6.00%, 08/01/2034

    43,931  
    51,386    

6.00%, 09/01/2034

    58,747  
    28,345    

6.00%, 01/01/2035

    31,580  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  159  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 46.3% - (continued)  
          Mortgage-Backed Agencies - 46.3% - (continued)  
          FHLMC - 5.6% - (continued)  
$     31,670    

6.00%, 03/01/2035

  $ 36,445  
    21,639    

6.00%, 05/01/2038

    23,981  
    118,783    

6.00%, 06/01/2038

    132,281  
    507,033    

6.00%, 05/15/2039

    574,776  
    527,587    

6.50%, 07/15/2036

    596,553  
     

 

 

 
    122,000,057  
     

 

 

 
          FNMA - 7.4%  
    88,110    

0.00%, 03/25/2036

    76,528  
    717,727    

0.00%, 06/25/2036(17)

    648,193  
    11,604,000    

1.57%, 05/25/2029(4)(5)(19)(20)

    1,241,991  
    2,159,332    

1.75%, 12/25/2042

    2,129,388  
    2,211,196    

1.93%, 05/25/2046(4)(5)

    117,910  
    1,470,416    

2.00%, 09/25/2039

    1,465,888  
    1,112,008    

2.00%, 08/25/2043

    1,098,688  
    1,643,431    

2.05%, 06/25/2055(4)(5)

    96,994  
    2,031,518    

2.07%, 04/25/2055(4)(5)

    126,873  
    2,063,536    

2.23%, 08/25/2044(4)(5)

    116,426  
    525,876    

2.50%, 06/25/2028(5)

    34,310  
    378,603    

2.50%, 01/01/2043

    377,061  
    2,082,314    

2.50%, 02/01/2043

    2,083,486  
    1,765,266    

2.50%, 03/01/2043

    1,766,263  
    958,384    

2.50%, 04/01/2043

    958,922  
    409,959    

2.50%, 06/01/2043

    410,127  
    674,685    

2.50%, 08/01/2043

    675,066  
    1,486,869    

3.00%, 02/25/2027(5)

    88,867  
    504,062    

3.00%, 09/25/2027

    37,184  
    3,056,052    

3.00%, 01/25/2028

    216,606  
    757,765    

3.00%, 01/01/2030

    779,371  
    3,579,299    

3.00%, 03/01/2037

    3,680,872  
    1,606,283    

3.00%, 05/25/2047

    1,645,111  
    5,852,290    

3.00%, 09/25/2047

    6,024,595  
    4,951,156    

3.00%, 06/25/2048

    5,090,210  
    4,342,761    

3.00%, 10/25/2048

    4,505,513  
    4,202,872    

3.00%, 08/25/2049

    4,345,630  
    4,400,000    

3.13%, 01/01/2030

    4,699,216  
    248,646    

3.24%, 12/01/2026

    266,713  
    639,921    

3.30%, 12/01/2026

    687,947  
    536,483    

3.41%, 11/01/2024

    572,682  
    1,531,483    

3.50%, 05/25/2027(5)

    123,499  
    924,828    

3.50%, 10/25/2027

    76,708  
    888,041    

3.50%, 05/25/2030(5)

    87,237  
    319,888    

3.50%, 08/25/2030(5)

    29,815  
    741,501    

3.50%, 02/25/2031(5)

    54,558  
    658,016    

3.50%, 09/25/2035(5)

    80,176  
    1,394,892    

3.50%, 10/01/2044

    1,472,182  
    1,514,282    

3.50%, 02/01/2045

    1,578,995  
    3,005,171    

3.50%, 09/01/2046

    3,125,794  
    1,375,886    

3.50%, 10/01/2046

    1,431,399  
    683,942    

3.50%, 10/25/2046(5)

    131,301  
    1,023,831    

3.50%, 11/01/2046

    1,080,623  
    1,310,243    

3.50%, 09/01/2047

    1,370,197  
    4,741,351    

3.50%, 11/25/2047

    5,017,080  
    933,725    

3.50%, 12/01/2047

    977,366  
    5,544,560    

3.50%, 01/01/2048

    5,739,706  
    1,054,545    

3.50%, 02/01/2048

    1,101,153  
    1,488,612    

3.50%, 02/25/2048

    1,540,951  
    8,180,658    

3.50%, 09/01/2057

    8,611,277  
    4,296,237    

3.50%, 05/01/2058

    4,522,384  
    4,682,797    

3.50%, 12/25/2058

    4,927,288  
    496,146    

4.00%, 06/01/2025

    516,940  
    1,997,031    

4.00%, 05/25/2027(5)

    157,674  
    1,733,617    

4.00%, 01/25/2038(5)

    253,136  
    2,634,335    

4.00%, 10/01/2040

    2,819,192  
    1,162,253    

4.00%, 11/01/2040

    1,243,300  
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 46.3% - (continued)  
          Mortgage-Backed Agencies - 46.3% - (continued)  
          FNMA - 7.4% - (continued)  
$     856,684    

4.00%, 12/01/2040

  $ 916,396  
    416,103    

4.00%, 02/01/2041

    445,261  
    976,918    

4.00%, 03/01/2041

    1,045,511  
    3,064,732    

4.00%, 06/01/2041

    3,255,609  
    400,533    

4.00%, 03/25/2042(5)

    42,462  
    2,659,193    

4.00%, 05/25/2042(5)

    323,092  
    375,970    

4.00%, 08/01/2042

    401,262  
    845,014    

4.00%, 09/01/2042

    902,288  
    224,951    

4.00%, 11/25/2042(5)

    32,155  
    198,165    

4.00%, 03/01/2045

    209,490  
    1,010,902    

4.00%, 07/01/2045

    1,083,196  
    436,622    

4.00%, 05/01/2046

    460,006  
    1,085,879    

4.00%, 06/01/2046

    1,145,414  
    1,171,252    

4.00%, 04/01/2047

    1,254,750  
    7,992,073    

4.00%, 07/01/2048

    8,324,446  
    3,636,346    

4.00%, 09/01/2048

    3,785,321  
    9,244,830    

4.00%, 11/01/2048

    9,597,395  
    4,179,306    

4.00%, 02/01/2049

    4,351,275  
    282,367    

4.50%, 08/01/2024

    294,073  
    19,274    

4.50%, 04/01/2025

    20,213  
    394,767    

4.50%, 07/25/2027(5)

    31,749  
    709,855    

4.50%, 09/01/2035

    768,018  
    190,470    

4.50%, 08/01/2040

    206,918  
    2,187,134    

4.50%, 10/01/2040

    2,370,675  
    952,589    

4.50%, 10/01/2041

    1,032,356  
    894,780    

4.50%, 09/01/2043

    969,682  
    5,826,906    

4.50%, 01/01/2051

    6,237,927  
    364    

5.00%, 12/01/2019

    375  
    94,929    

5.00%, 01/01/2022

    97,774  
    214,676    

5.00%, 04/25/2038

    232,204  
    6,924,999    

5.00%, 12/01/2048

    7,394,081  
    3,240,002    

5.00%, 02/01/2049

    3,462,685  
    1,300,837    

5.00%, 03/01/2049

    1,392,556  
    84,551    

5.00%, 04/01/2049

    90,329  
    1,000,100    

5.00%, 08/01/2049

    1,067,585  
    189,942    

5.47%, 05/25/2042(4)(5)

    18,374  
    1,240    

5.50%, 05/01/2020

    1,244  
    172,334    

5.50%, 06/01/2022

    176,437  
    131,476    

5.50%, 06/01/2033

    146,742  
    526,420    

5.50%, 07/01/2033

    587,464  
    36,012    

5.50%, 08/01/2033

    39,451  
    1,865,759    

5.50%, 11/01/2035

    2,101,842  
    443,747    

5.50%, 04/01/2036

    499,590  
    386,127    

5.50%, 04/25/2037

    438,386  
    707,127    

5.50%, 11/01/2037

    793,944  
    984,297    

5.50%, 06/25/2042(5)

    217,523  
    1,553,529    

5.50%, 09/25/2044(5)

    335,281  
    1,039,360    

5.50%, 07/25/2045

    222,257  
    9,430    

6.00%, 11/01/2031

    10,420  
    137,858    

6.00%, 12/01/2032

    155,073  
    178,744    

6.00%, 03/01/2033

    205,573  
    402,568    

6.00%, 02/01/2037

    461,379  
    246,280    

6.00%, 12/01/2037

    282,476  
    143,063    

6.00%, 03/01/2038

    164,634  
    105,276    

6.00%, 10/01/2038

    120,633  
    2,331,686    

6.00%, 01/25/2042(5)

    398,889  
    1,446,600    

6.00%, 09/25/2047(5)

    340,004  
    2,111    

7.50%, 12/01/2029

    2,202  
    11,361    

7.50%, 03/01/2030

    13,415  
    11,634    

7.50%, 09/01/2031

    11,860  
     

 

 

 
    165,124,184  
     

 

 

 
          GNMA - 13.7%  
    1,653,568    

1.75%, 09/20/2043

    1,633,251  
    1,650,143    

2.00%, 01/20/2042

    1,642,221  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  160  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 46.3% - (continued)  
          Mortgage-Backed Agencies - 46.3% - (continued)  
          GNMA - 13.7% - (continued)  
$     1,419,753    

2.50%, 12/16/2039

  $ 1,451,428  
    2,428,848    

2.50%, 07/20/2041

    2,483,240  
    694,908    

3.00%, 09/20/2028(5)

    53,256  
    164,185    

3.00%, 11/15/2042

    169,649  
    475,815    

3.00%, 02/16/2043(5)

    68,372  
    151,174    

3.00%, 06/15/2043

    156,161  
    125,007    

3.00%, 07/15/2043

    128,707  
    168,360    

3.00%, 10/15/2044

    173,532  
    213,987    

3.00%, 02/15/2045

    220,696  
    109,077    

3.00%, 03/15/2045

    112,487  
    613,479    

3.00%, 04/15/2045

    632,674  
    133,083    

3.00%, 06/15/2045

    137,046  
    4,959,837    

3.00%, 07/15/2045

    5,108,323  
    1,282,636    

3.00%, 10/20/2047

    1,313,596  
    36,200,000    

3.00%, 11/01/2049(21)

    37,263,344  
    93,700,000    

3.00%, 12/01/2049(21)

    96,408,642  
    288,182    

3.50%, 02/16/2027(5)

    23,027  
    710,047    

3.50%, 03/20/2027(5)

    62,187  
    743,485    

3.50%, 07/20/2040(5)

    59,619  
    1,050,851    

3.50%, 02/20/2041

    88,541  
    1,852,278    

3.50%, 04/20/2042

    174,534  
    413,371    

3.50%, 05/15/2042

    437,465  
    2,822,360    

3.50%, 10/20/2042(5)

    500,338  
    1,188,314    

3.50%, 12/15/2042

    1,253,537  
    1,107,075    

3.50%, 03/15/2043

    1,167,832  
    917,450    

3.50%, 04/15/2043

    967,939  
    3,086,441    

3.50%, 05/15/2043

    3,248,558  
    365,528    

3.50%, 05/20/2043(5)

    70,410  
    1,395,866    

3.50%, 07/20/2043(5)

    175,535  
    8,911,661    

3.50%, 08/20/2047

    9,282,537  
    34,812,000    

3.50%, 11/01/2049(21)

    36,128,329  
    204,072    

4.00%, 12/16/2026

    17,365  
    2,797,080    

4.00%, 05/20/2029(5)

    245,537  
    2,108,510    

4.00%, 09/20/2040

    2,245,520  
    268,746    

4.00%, 10/20/2040

    285,336  
    575,038    

4.00%, 12/20/2040

    622,769  
    249,130    

4.00%, 05/16/2042(5)

    36,150  
    540,639    

4.00%, 03/20/2043(5)

    85,872  
    187,900    

4.00%, 01/20/2044(5)

    39,464  
    1,917,880    

4.00%, 03/20/2047(5)

    292,815  
    2,963,279    

4.00%, 07/20/2047(5)

    454,695  
    1,073,570    

4.00%, 11/20/2047

    1,138,307  
    4,498,107    

4.00%, 03/20/2048

    4,721,420  
    4,769,707    

4.00%, 04/20/2049

    4,963,196  
    58,015,000    

4.00%, 11/01/2049(21)

    60,326,535  
    32,143    

4.50%, 07/15/2033

    34,554  
    90,346    

4.50%, 05/15/2040

    98,863  
    463,804    

4.50%, 06/15/2041

    504,255  
    1,315,663    

4.50%, 06/20/2044

    1,413,309  
    1,104,401    

4.50%, 10/20/2044

    1,184,168  
    801,237    

4.50%, 04/20/2045

    168,020  
    1,007,223    

4.50%, 01/20/2046

    1,076,169  
    935,000    

4.50%, 11/01/2049(21)

    978,828  
    2,246,929    

5.00%, 02/16/2040(5)

    442,156  
    727,573    

5.00%, 06/15/2041

    816,114  
    895,504    

5.00%, 10/16/2041(5)

    156,180  
    1,142,472    

5.00%, 03/15/2044

    1,280,601  
    1,633,792    

5.00%, 06/20/2046(5)

    261,432  
    542,277    

5.00%, 01/16/2047(5)

    118,158  
    5,200,000    

5.00%, 12/01/2049(21)

    5,564,609  
    434,211    

5.50%, 05/15/2033

    485,454  
    37,520    

5.50%, 06/15/2035

    42,126  
    44,952    

5.50%, 04/15/2038

    48,427  
    1,645,803    

5.50%, 03/20/2039(5)

    326,425  
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 46.3% - (continued)  
          Mortgage-Backed Agencies - 46.3% - (continued)  
          GNMA - 13.7% - (continued)  
$     1,522,030    

5.50%, 02/16/2047(5)

  $ 358,926  
    921,437    

5.50%, 02/20/2047(5)

    167,401  
    1,000,000    

5.50%, 11/01/2049(21)

    1,073,138  
    1,729,743    

5.85%, 07/20/2039(4)(5)

    358,665  
    65,595    

6.00%, 02/15/2029

    72,497  
    109,628    

6.00%, 11/15/2032

    125,438  
    117,274    

6.00%, 02/15/2033

    129,613  
    23,776    

6.00%, 07/15/2033

    26,338  
    36,768    

6.00%, 10/15/2034

    40,636  
    234,506    

6.00%, 03/15/2036

    261,667  
    4,398    

6.00%, 05/15/2036

    5,045  
    102,198    

6.00%, 10/15/2036

    116,572  
    56,672    

6.00%, 01/15/2037

    64,825  
    114,742    

6.00%, 02/15/2037

    131,653  
    198,244    

6.00%, 06/15/2037

    226,906  
    72,826    

6.00%, 11/15/2037

    81,075  
    60,170    

6.00%, 06/15/2038

    67,478  
    100,628    

6.00%, 08/15/2038

    113,700  
    201,329    

6.00%, 10/15/2038

    226,924  
    136,498    

6.00%, 11/15/2038

    153,073  
    80,323    

6.00%, 12/15/2038

    90,064  
    66,191    

6.00%, 01/15/2039

    74,518  
    2,700    

6.00%, 03/15/2039

    2,984  
    153,479    

6.00%, 04/15/2039

    169,628  
    241,767    

6.00%, 08/15/2039

    267,205  
    5,851    

6.00%, 09/15/2039

    6,467  
    34,640    

6.00%, 11/15/2039

    39,093  
    28,334    

6.00%, 06/15/2040

    31,319  
    1,983,417    

6.00%, 09/20/2040(5)

    409,172  
    138,106    

6.00%, 12/15/2040

    158,598  
    449,999    

6.00%, 06/15/2041

    516,166  
    1,439,613    

6.00%, 02/20/2046(5)

    350,448  
    13,246    

6.50%, 09/15/2028

    14,669  
    2,111    

6.50%, 10/15/2028

    2,338  
    4,460    

6.50%, 12/15/2028

    4,939  
    39,041    

6.50%, 05/15/2029

    44,327  
    64,175    

6.50%, 08/15/2031

    71,071  
    3,606    

6.50%, 09/15/2031

    3,993  
    37,249    

6.50%, 10/15/2031

    41,251  
    124,937    

6.50%, 11/15/2031

    138,362  
    25,303    

6.50%, 01/15/2032

    28,021  
    18,784    

6.50%, 03/15/2032

    20,802  
    6,328    

6.50%, 04/15/2032

    7,008  
     

 

 

 
    299,565,855  
     

 

 

 
          UMBS - 19.6%      
    41,705,000    

2.50%, 11/01/2034(21)

    42,153,003  
    9,560,000    

3.00%, 11/01/2034(21)

    9,788,917  
    106,507,000    

3.00%, 11/01/2049(21)

    108,225,385  
    121,900,000    

3.00%, 12/01/2049(21)

    123,740,191  
    49,205,000    

3.50%, 11/01/2049(21)

    50,519,696  
    35,395,000    

3.50%, 12/01/2049(21)

    36,347,625  
    19,317,500    

4.00%, 11/01/2049(21)

    20,046,434  
    28,455,000    

4.50%, 12/01/2049(21)

    29,953,930  
    3,836,500    

5.00%, 12/01/2049(21)

    4,105,954  
     

 

 

 
        424,881,135  
     

 

 

 
   

Total U.S. Government Agencies (cost $1,002,941,691)

  $ 1,011,571,231  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  161  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT SECURITIES - 25.2%  
          U.S. Treasury Securities - 25.2%  
          U.S. Treasury Bonds - 10.4%  
$     5,060,000    

2.25%, 08/15/2046(18)

  $ 5,130,761  
    18,100,000    

2.50%, 02/15/2046(18)(22)

    19,270,844  
    23,034,000    

2.88%, 11/15/2046(18)(23)

    26,346,037  
    10,575,000    

3.13%, 02/15/2043

    12,464,042  
    55,100,000    

3.13%, 08/15/2044

    65,289,196  
    16,140,000    

3.13%, 05/15/2048

    19,395,110  
    53,695,000    

3.38%, 05/15/2044

    66,147,626  
    10,330,000    

3.63%, 02/15/2044

    13,202,224  
     

 

 

 
    227,245,840  
     

 

 

 
          U.S. Treasury Notes - 14.8%  
    28,302,138    

0.38%, 07/15/2027(24)

    28,811,965  
    14,333,549    

0.63%, 01/15/2026(24)

    14,719,780  
    9,774,497    

0.88%, 01/15/2029(24)

    10,395,647  
    3,502,189    

1.00%, 02/15/2049(24)

    3,937,872  
    25,270,000    

1.63%, 02/15/2026

    25,313,433  
    78,645,000    

2.38%, 08/15/2024

    81,655,629  
    14,430,000    

2.38%, 05/15/2029

    15,304,819  
    36,165,000    

2.63%, 02/15/2029

    39,100,581  
    34,130,000    

2.75%, 08/31/2025

    36,345,784  
    30,700,000    

2.88%, 08/15/2028(18)

    33,724,429  
    30,325,000    

3.13%, 11/15/2028

    34,005,460  
     

 

 

 
    323,315,399  
     

 

 

 
    550,561,239  
     

 

 

 
   

Total U.S. Government Securities (cost $523,904,171)

  $ 550,561,239  
     

 

 

 
COMMON STOCKS - 0.0%  
          Energy - 0.0%  
    38,914    

Ascent Resources - Marcellus LLC Class A*(19)(20)

  $ 77,828  
    13,623    

Philadelphia Energy Solutions Class A*

    1,703  
    8,492    

Templar Energy LLC Class A*

     
     

 

 

 
    79,531  
     

 

 

 
   

Total Common Stocks
(cost $312,530)

  $ 79,531  
     

 

 

 
PREFERRED STOCKS - 0.0%  
          Banks - 0.0%  
    469    

U.S. Bancorp Series A, 3.50%(2)(9)

  $ 397,414  
     

 

 

 
   

Total Preferred Stocks
(cost $332,990)

  $ 397,414  
     

 

 

 
WARRANTS - 0.0%  
          Energy - 0.0%  
    10,075    

Ascent Resources - Marcellus LLC Expires 3/30/23*(19)(20)

  $ 101  
     

 

 

 
   

Total Warrants
(cost $806)

  $ 101  
   

 

 

 
   

Total Long-Term Investments (cost $2,744,373,775)

  $ 2,806,237,586  
     

 

 

 
SHORT-TERM INVESTMENTS - 3.6%  
          Commercial Paper - 0.3%  
CAD     300,000    

Bank of Montreal 1.80%, 01/06/2020(11)

  $ 227,015  
$     250,000    

Boeing Co. 2.23%, 03/04/2020(11)

    248,381  
   

CNPC Finance

 
    250,000    

0.00%, 11/01/2019(11)

    250,000  
    250,000    

2.25%, 01/28/2020(11)

    248,900  
    700,000    

Electricite de France S.A. 2.17%, 01/15/2020(11)

    696,888  
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 3.6% - (continued)  
          Commercial Paper - 0.3% - (continued)  
CAD     490,000    

Enbridge Pipelines, Inc 1.78%, 11/12/2019(11)

  $ 371,812  
    100,000    

Enbridge Pipelines, Inc. 1.81%, 11/14/2019(11)

    75,872  
   

Enel Finance America

 
$     750,000    

2.19%, 11/12/2019(11)

    749,461  
    250,000    

2.38%, 01/16/2020(11)

    248,873  
    250,000    

2.41%, 01/16/2020(11)

    248,873  
    250,000    

ENI Finance USA, Inc. 2.19%, 02/03/2020(11)

    248,654  
    500,000    

Ford Motor Credit Co. 3.23%, 04/20/2020(11)

    493,134  
    250,000    

General Motors Financial Co., Inc. 2.37%, 01/15/2020(11)

    248,590  
    250,000    

Korea Development Bank 2.65%, 12/02/2019(11)

    249,421  
   

Province of Alberta

 
CAD     500,000    

1.70%, 01/02/2020(11)

    378,472  
    500,000    

1.70%, 01/02/2020(11)

    378,472  
    200,000    

Province of Saskatchewan 1.64%, 11/20/2019(11)

    151,712  
    215,000    

Royal Bank of Canada 1.80%, 01/06/2020(11)

    162,694  
     

 

 

 
    5,677,224  
     

 

 

 
          Foreign Government Obligations - 0.0%  
$     440,000    

Credit Agricole Corporate and Investment Bank 2.54%, 09/24/2020, 3 mo. USD LIBOR + 0.400%(2)

    440,577  
CAD     400,000    

Newfoundland Treasury Bill 1.73%, 01/09/2020(11)

    302,665  
     

 

 

 
    743,242  
     

 

 

 
          Other Investment Pools & Funds - 3.0%  
    65,741,625    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(25)

    65,741,625  
     

 

 

 
          Securities Lending Collateral - 0.3%  
    356,842    

Citibank NA DDCA, 1.80%, 11/1/2019(25)

    356,842  
    5,006,560    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(25)

    5,006,560  
    80,314    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(25)

    80,314  
    664,106    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(25)

    664,106  
    964,863    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(25)

    964,863  
    64,160    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(25)

    64,160  
     

 

 

 
    7,136,845  
     

 

 

 
   

Total Short-Term Investments (cost $79,289,469)

  $ 79,298,936  
   

 

 

 
   

Total Investments Excluding Purchased Options
(cost $2,823,663,244)

    132.1    $ 2,885,536,522  
   

Total Purchased Options
(cost $2,433,115)

    0.1    $ 2,486,282  
     

 

 

    

 

 

 
   

Total Investments
(cost $2,826,096,359)

    132.2    $ 2,888,022,804  
   

Other Assets and Liabilities

    (32.2 )%       (703,153,658
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $     2,184,869,146  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  162  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

  Fund management. Industry classifications may not be identical across all security types.

 

    

Equity Industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $533,678,494, representing 24.4% of net assets.

 

(2) 

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(3) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(4) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(5) 

Securities disclosed are interest-only strips.

 

(6) 

This security, or a portion of this security, was purchased on a when-issued, delayed-delivery or delayed-draw basis. The cost of these securities was $16,981,812 at October 31, 2019.

 

(7) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $34,724,825, representing 1.6% of net assets.

 

(8) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(9) 

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

(10) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(11) 

The rate shown represents current yield to maturity.

(12) 

Security is a zero-coupon bond.

 

(13) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(14) 

Represents an unsettled loan commitment. The coupon rate will be determined at time of settlement.

 

(15) 

This security, or a portion of this security, has unfunded loan commitments. As of October 31, 2019, the aggregate value of the unfunded commitment was $90,177, which rounds to 0.0% of total net assets.

 

(16) 

Non-income producing. For long-term debt securities, items identified are in default as to payment of interest and/or principal.

 

(17) 

Securities disclosed are principal-only strips.

 

(18) 

All, or a portion of the security, was pledged as collateral in connection with OTC swap contracts. As of October 31, 2019, the market value of securities pledged was $1,404,109.

 

(19) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $1,319,920, which represented 0.1% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(20) 

Investment valued using significant unobservable inputs.

 

(21) 

Represents or includes a TBA transaction.

 

(22) 

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $2,714,953.

 

(23) 

All, or a portion of the security, was pledged as collateral in connection with centrally cleared swap contracts. As of October 31, 2019, the market value of securities pledged was $17,976,933.

 

(24) 

The principal amount for these securities are adjusted for inflation and the interest payments equal a fixed percentage of the inflation-adjusted principal amount.

 

(25) 

Current yield as of period end.

 
OTC Swaption Contracts Outstanding at October 31, 2019  

Description

 

Counter-
party

 

Exercise Price/
FX Rate/ Rate

  Pay/
Receive
Floating
Rate
    Expiration
Date
   

Notional
Amount

    Number of
Contracts
    Market
Value
    Premiums
Paid
(Received)
by Fund
    Unrealized
Appreciation/
(Depreciation)
 
Purchased swaption contracts:  
Calls  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 07/20/48*

  CITI   2.91%     Pay       07/18/28     USD     3,250,000       3,250,000     $ 693,875     $     379,925     $ 313,950  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  BCLY   2.45%     Pay       08/02/27     USD     1,650,000       1,650,000       364,980       237,911       127,069  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  JPM   2.45%     Receive       08/02/27     USD     2,500,000       2,500,000       553,000       256,750       296,250  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 09/24/59*

  DEUT   1.85%     Pay       09/20/29     USD     1,100,000       1,100,000       174,460       179,850       (5,390
               

 

 

   

 

 

   

 

 

 

Total Calls

 

    $     1,786,315     $ 1,054,436     $     731,879  
               

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  163  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

OTC Swaption Contracts Outstanding at October 31, 2019 – (continued)  

Description

 

Counter-
party

 

Exercise Price/
FX Rate/ Rate

  Pay/
Receive
Floating
Rate
    Expiration
Date
   

Notional
Amount

    Number of
Contracts
    Market
Value
    Premiums
Paid
(Received)
by Fund
    Unrealized
Appreciation/
(Depreciation)
 
Purchased swaption contracts – (continued):  
Puts  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 07/20/48*

  CITI   2.91%     Receive       07/18/28     USD     3,250,000       3,250,000     $ 160,095     $ 379,925     $ (219,830

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  BCLY   2.45%     Receive       08/02/27     USD     1,650,000       1,650,000       144,672       324,904       (180,232

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  JPM   2.45%     Pay       08/02/27     USD     2,500,000       2,500,000       219,200       494,000       (274,800

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 09/24/59*

  DEUT   1.85%     Receive       09/20/29     USD     1,100,000       1,100,000       176,000       179,850       (3,850
               

 

 

   

 

 

   

 

 

 

Total Puts

 

    $ 699,967     $ 1,378,679     $ (678,712
               

 

 

   

 

 

   

 

 

 

Total purchased swaption contracts

            $     2,486,282     $     2,433,115     $     53,167  
               

 

 

   

 

 

   

 

 

 

 

*

Swaptions with forward premiums.

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

U.S. Treasury 2-Year Note Future

     510        12/31/2019      $     109,956,796      $ 168,241  

U.S. Treasury 5-Year Note Future

     576        12/31/2019        68,661,000        224,000  

U.S. Treasury Long Bond Future

     21        12/19/2019        3,388,875        55,098  

U.S. Treasury Ultra Bond Future

     14        12/19/2019        2,656,500        (21,995
           

 

 

 

Total

 

   $     425,344  
           

 

 

 
Short position contracts:  

Euro BUXL 30-Year Bond Future

     10        12/06/2019      $ 2,341,683      $ 141,275  

U.S. Treasury 10-Year Note Future

     41        12/19/2019        5,342,172        503  

U.S. Treasury 10-Year Ultra Future

     734        12/19/2019            104,308,281        1,409,329  
           

 

 

 

Total

 

   $ 1,551,107  
           

 

 

 

Total futures contracts

 

   $     1,976,451  
           

 

 

 

 

TBA Sale Commitments Outstanding at October 31, 2019  

Description

   Principal
Amount
     Maturity
Date
     Market
Value
    Unrealized
Appreciation/
(Depreciation)
 

UMBS, 3.00%

   $     12,995,000        11/01/2034      $ (13,306,169   $ 13,706  

UMBS, 3.00%

     11,293,000        11/01/2049        (11,475,201     (895

UMBS, 4.00%

     15,100,000        11/01/2049        (15,669,789     3,538  

UMBS, 5.50%

     5,650,000        11/01/2049        (6,090,598     13,168  
        

 

 

   

 

 

 

Total (proceeds receivable $46,571,274)

 

   $     (46,541,757   $     29,517  
        

 

 

   

 

 

 

At October 31, 2019, the aggregate market value of TBA Sale Commitments represents (2.1)% of total net assets.

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counterparty    Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Market
Value
     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

ABX.HE.AAA.06

   CSI      USD       2,039      (0.18%)      07/25/45        Monthly      $ 31      $      $ 36      $ 5  

ABX.HE.AAA.07

   GSC      USD       679,917      (0.09%)      08/25/37        Monthly        143,524               16,085        (127,439

ABX.HE.AAA.07

   CSI      USD       1,474,706      (0.09%)      08/25/37        Monthly            357,934            —            34,887            (323,047

 

The accompanying notes are an integral part of these financial statements.

 

 

  164  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019 – (continued)  

Reference Entity

   Counterparty    Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices – (continued):  
Buy protection – (continued):  

ABX.HE.AAA.07-1

   GSC      USD       155,232      (0.09%)      08/25/37        Monthly      $ 32,600      $     $ 3,672     $ (28,928

ABX.HE.PENAAA.06

   MSC      USD       208,848      (0.11%)      05/25/46        Monthly        22,668              12,508       (10,160

ABX.HE.PENAAA.06

   JPM      USD       690,145      (0.11%)      05/25/46        Monthly        74,728              41,330       (33,398

ABX.HE.PENAAA.06

   GSC      USD       563,698      (0.11%)      05/25/46        Monthly        138,826              33,758       (105,068

PrimeX.ARM.2(20)

   MSC      USD       119,381      (4.58%)      12/25/37        Monthly               (247     (571     (324
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

         $     770,311      $ (247   $ 141,705     $     (628,359
                   

 

 

    

 

 

   

 

 

   

 

 

 
Sell protection:  

ABX.HE.AAA.06

   MSC      USD       2,003      0.18%      07/25/45        Monthly      $      $     $ (35   $ (35

ABX.HE.AAA.07

   MSC      USD       679,917      0.09%      08/25/37        Monthly        6,002              (16,085     (22,087

ABX.HE.AAA.07

   MSC      USD       1,474,705      0.09%      08/25/37        Monthly        13,099              (34,887     (47,986

ABX.HE.AAA.07-1

   MSC      USD       155,232      0.09%      08/25/37        Monthly        1,379              (3,672     (5,051

ABX.HE.PENAAA.06

   BCLY      USD       1,455,784      0.11%      05/25/46        Monthly               (36,189     (87,185     (50,996

CMBX.NA.AAA.12

   MSC      USD       13,105,000      0.50%      08/17/61        Monthly               (105,778     (28,050     77,728  

CMBX.NA.BB.6

   CSI      USD       2,680,000      5.00%      05/11/63        Monthly               (532,387     (412,917     119,470  

CMBX.NA.BB.6

   CSI      USD       1,835,000      5.00%      05/11/63        Monthly               (318,844     (282,215     36,629  

CMBX.NA.BB.6

   CSI      USD       1,830,000      5.00%      05/11/63        Monthly               (317,975     (281,446     36,529  

CMBX.NA.BB.6

   CSI      USD       1,830,000      5.00%      05/11/63        Monthly               (317,975     (281,446     36,529  

CMBX.NA.BB.6

   CSI      USD       1,830,000      5.00%      05/11/63        Monthly               (317,975     (281,446     36,529  

CMBX.NA.BB.6

   GSC      USD       243,000      5.00%      05/11/63        Monthly               (42,340     (37,372     4,968  

CMBX.NA.BB.8

   MSC      USD       3,099,000      5.00%      10/17/57        Monthly               (813,020     (326,332     486,688  

CMBX.NA.BB.8

   GSC      USD       2,890,000      5.00%      10/17/57        Monthly               (678,829     (305,127     373,702  

CMBX.NA.BB.8

   GSC      USD       1,625,000      5.00%      10/17/57        Monthly               (424,364     (171,116     253,248  

CMBX.NA.BB.8

   MSC      USD       1,485,000      5.00%      10/17/57        Monthly               (400,554     (156,374     244,180  

CMBX.NA.BB.8

   MSC      USD       1,270,000      5.00%      10/17/57        Monthly               (342,062     (133,734     208,328  

CMBX.NA.BB.8

   GSC      USD       890,000      5.00%      10/17/57        Monthly               (246,682     (93,719     152,963  

CMBX.NA.BB.8

   CSI      USD       530,000      5.00%      10/17/57        Monthly                   (139,036         (55,810     83,226  

CMBX.NA.BBB-.6

   MSC      USD       360,000      3.00%      05/11/63        Monthly               (29,955     (30,625     (670

CMBX.NA.BBB-.6

   MSC      USD       3,725,000      3.00%      05/11/63        Monthly               (533,787     (316,880     216,907  

CMBX.NA.BBB-.6

   DEUT      USD       1,270,000      3.00%      05/11/63        Monthly               (183,915     (108,037     75,878  

CMBX.NA.BBB-.6

   GSC      USD       2,790,000      3.00%      05/11/63        Monthly               (300,147     (237,573     62,574  

CMBX.NA.BBB-.6

   CSI      USD       815,000      3.00%      05/11/63        Monthly               (110,170     (69,467     40,703  

PrimeX.ARM.2*

   JPM      USD       119,381      4.58%      12/25/37        Monthly        4,274              571       (3,703
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

         $ 24,754      $ (6,191,984   $ (3,750,979   $ 2,416,251  
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total traded indices

         $ 795,065      $ (6,192,231   $ (3,609,274   $ 1,787,892  
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total OTC contracts

         $     795,065      $     (6,192,231   $     (3,609,274   $     1,787,892  
                   

 

 

    

 

 

   

 

 

   

 

 

 

 

*

See Note 20 following the schedule of investments.

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

Centrally Cleared Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Notional
Amount(a)
    (Pay)/Receive
Fixed Rate
    Expiration
Date
     Periodic
Payment
Frequency
     Cost Basis     Value     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

CDX.NA.IG.32.V1

   USD      44,952,000       (1.00 %)      06/20/24        Quarterly      $ (818,531   $ (1,087,499   $     (268,968
               

 

 

   

 

 

   

 

 

 
Credit default swaps on indices:  
Sell protection:  

CDX.EM.32.V1

   USD      42,925,000       1.00     12/20/24        Quarterly      $ (2,132,734   $ (1,943,392   $ 189,342  

CDX.NA.HY.33.V1

   USD      17,505,000       5.00     12/20/24        Quarterly        1,012,993       1,345,947       332,954  
               

 

 

   

 

 

   

 

 

 

Total

 

        $     (1,119,741   $ (597,445   $ 522,296  
               

 

 

   

 

 

   

 

 

 

Total

 

        $ (1,938,272   $     (1,684,944   $ 253,328  
               

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

The accompanying notes are an integral part of these financial statements.

 

 

  165  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Value     Unrealized
Appreciation/
(Depreciation)
 

12 Mo. Federal Funds Rate

  

1.00% Fixed

   USD     6,875,000        09/29/26      Annual    $     144,094      $     —     $ 127,054     $ (17,040

12 Mo. Federal Funds Rate

  

1.63% Fixed

   USD     10,705,000        11/14/26      Annual                   (188,000     (188,000

1.72% Fixed

  

3 Mo. USD LIBOR

   USD     3,750,000        10/29/29      Semi-Annual                   (40,724     (40,724

1.72% Fixed

  

3 Mo. USD LIBOR

   USD     7,275,000        10/29/29      Semi-Annual                   (82,406     (82,406

1.73% Fixed

  

3 Mo. USD LIBOR

   USD     12,100,000        10/29/29      Semi-Annual                       (143,849         (143,849

1.76% Fixed

  

3 Mo. USD LIBOR

   USD     6,050,000        10/30/29      Semi-Annual                   (93,317     (93,317

1.77% Fixed

  

3 Mo. USD LIBOR

   USD     5,480,000        10/30/29      Semi-Annual                   (85,038     (85,038

1.77% Fixed

  

3 Mo. USD LIBOR

   USD     5,550,000        10/30/29      Semi-Annual                   (88,460     (88,460

1.77% Fixed

  

3 Mo. USD LIBOR

   USD     6,050,000        10/30/29      Semi-Annual                   (95,864     (95,864

2.36% Fixed

  

3 Mo. USD LIBOR

   USD     23,590,000        04/09/24      Semi-Annual                   (891,295     (891,295

2.36% Fixed

  

3 Mo. USD LIBOR

   USD     24,530,000        04/09/24      Semi-Annual                   (930,556     (930,556

3 Mo. USD LIBOR

  

2.00% Fixed

   USD     12,225,000        03/21/23      Semi-Annual          39,020              (198,072     (237,092

3 Mo. USD LIBOR

  

1.51% Fixed

   USD     13,805,000        04/09/24      Semi-Annual                   (12,266     (12,266

3 Mo. USD LIBOR

  

2.36% Fixed

   USD     25,205,000        04/09/24      Semi-Annual                   (953,413     (953,413

3 Mo. USD LIBOR

  

2.36% Fixed

   USD     33,610,000        04/09/24      Semi-Annual                   (1,268,411     (1,268,411

3 Mo. USD LIBOR

  

1.86% Fixed

   USD     15,090,000        06/21/24      Semi-Annual                   (318,708     (318,708

3 Mo. USD LIBOR

  

2.75% Fixed

   USD     15,675,000        12/20/47      Semi-Annual             (330,077     (3,567,885     (3,237,808

3 Mo. USD LIBOR

  

2.88% Fixed

   USD     1,200,000        12/31/48      Semi-Annual                   (319,124     (319,124

3 Mo. USD LIBOR

  

2.87% Fixed

   USD     600,000        01/28/49      Semi-Annual                   (157,933     (157,933

3 Mo. USD LIBOR

  

2.39% Fixed

   USD     1,350,000        05/31/49      Semi-Annual                   (200,520     (200,520

3 Mo. USD LIBOR

  

2.26% Fixed

   USD     4,575,000        06/21/49      Semi-Annual                   (537,292     (537,292

3 Mo. USD LIBOR

  

1.79% Fixed

   USD     490,000        09/24/49      Semi-Annual                   459       459  
                

 

 

    

 

 

   

 

 

   

 

 

 

Total

 

         $ 183,114      $     (330,077   $     (10,045,620   $     (9,898,657
                

 

 

    

 

 

   

 

 

   

 

 

 

 

OTC Total Return Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counterparty    Notional
Amount
     Payments
received (paid)
by the Fund
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Market
Value
     Unrealized
Appreciation/
(Depreciation)
 

iBoxx USD Liquid Investment Grade Index

   MSC      USD       19,630,000      (1.00%)      12/20/19        Quarterly      $     —      $     —      $     950,912      $     950,912  
                   

 

 

    

 

 

    

 

 

    

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  51,660,000      EGP      2,970,673      USD    GSC      03/18/20     $     116,831     $  
  5,156,000      EUR      5,744,282      USD    BNP      11/29/19       16,986        
  4,188,000      EUR      4,675,037      USD    SSG      11/29/19       4,596        
  753,000      EUR      834,189      USD    CBK      12/18/19       8,585        
  8,000      GBP      10,280      USD    BCLY      11/29/19       92        
  14,709,113      USD      21,436,000      AUD    SSG      01/31/20                 (101,447
  128,988      USD      170,000      CAD    BOA      11/01/19             (84
  382,566      USD      500,000      CAD    BNP      11/04/19       2,941        
  91,084      USD      120,000      CAD    CBK      11/04/19             (26
  5,269,673      USD      6,952,000      CAD    RBS      11/05/19             (8,647
  371,618      USD      490,000      CAD    RBS      11/12/19             (421
  76,175      USD      100,000      CAD    GSC      11/14/19       248        
  151,364      USD      200,000      CAD    BMO      11/20/19             (491
  564,869      USD      750,000      CAD    BNP      11/20/19             (4,587
  686,954      USD      900,000      CAD    GSC      12/02/19       3,578        
  761,533      USD      1,000,000      CAD    RBC      12/03/19       2,218        
  75,539      USD      100,000      CAD    BNP      12/16/19             (404
  208,668      USD      275,000      CAD    MSC      01/02/20             (208
  378,992      USD      500,000      CAD    BNP      01/02/20             (782
  752,053      USD      1,000,000      CAD    JPM      01/02/20             (7,495
  227,390      USD      300,000      CAD    HSBC      01/06/20             (477
  161,547      USD      215,000      CAD    RBS      01/06/20             (1,757
  305,812      USD      400,000      CAD    MSC      01/09/20       1,988        
  380,831      USD      500,000      CAD    CBK      01/14/20       1,046        

 

The accompanying notes are an integral part of these financial statements.

 

 

  166  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  10,769,259      USD      14,045,000      CAD    SSG      01/31/20     $     100,658     $  
  459,633      USD      600,000      CAD    MSC      02/19/20       3,874        
  201,823      USD      265,000      CAD    MSC      03/09/20       530        
  371,469      USD      495,000      CAD    SSG      03/09/20             (4,531
  76,465      USD      100,000      CAD    HSBC      03/30/20       506        
  174,039      USD      230,000      CAD    DEUT      05/22/20             (655
  312,325      USD      415,000      CAD    NAB      05/22/20             (2,884
  338,389      USD      450,000      CAD    HSBC      06/01/20             (3,393
  167,403      USD      220,000      CAD    CBK      08/14/20       343        
  226,199      USD      300,000      CAD    MSC      08/14/20             (1,610
  129,296      USD      170,000      CAD    MSC      09/18/20       212        
  189,058      USD      165,000      EUR    MSC      11/15/19       4,847        
  13,158,566      USD      11,837,000      EUR    CBK      11/29/19                 (67,990
  1,784,845      USD      1,621,000      EUR    MSC      12/18/19             (29,414
  15,332,473      USD      13,826,000      EUR    JPM      12/18/19             (141,888
  609,843      USD      550,000      EUR    JPM      01/14/20             (6,892
  188,111      USD      170,000      EUR    MSC      01/31/20             (2,699
  184,573      USD      165,000      EUR    MSC      03/13/20             (1,090
  10,307      USD      8,000      GBP    SSG      11/29/19             (65
  294,035      USD      227,000      GBP    JPM      12/18/19             (514
  431,871      USD      335,000      GBP    BMO      12/18/19             (2,816
  195,004      USD      20,750,000      JPY    BCLY      11/05/19       2,801        
  3,809,782      USD      401,250,000      JPY    JPM      11/12/19       91,598        
  740,834      USD      78,000,000      JPY    CBK      11/12/19       18,047        
  3,109,473      USD      328,000,000      JPY    MSC      11/18/19       69,022        
  3,809,921      USD      399,250,000      JPY    MSC      11/25/19       107,530        
  236,357      USD      25,000,000      JPY    JPM      12/02/19       4,415        
  281,638      USD      29,950,000      JPY    JPM      12/09/19       3,596        
  1,396,139      USD      150,100,000      JPY    JPM      12/16/19       1,795        
  227,836      USD      24,350,000      JPY    JPM      01/08/20       1,247        
  935,356      USD      100,000,000      JPY    CBK      01/17/20       4,323        
  761,750      USD      82,150,000      JPY    CBK      01/27/20             (3,534
  220,943      USD      23,850,000      JPY    JPM      02/03/20             (1,314
  331,650      USD      35,000,000      JPY    MSC      03/10/20       4,799        
  10,142,468      USD      16,144,000      NZD    JPM      11/29/19             (213,869
                

 

 

   

 

 

 
 

Total

    $     579,252     $     (611,984
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Asset & Commercial Mortgage Backed Securities

   $ 537,564,533      $      $ 537,564,533      $  

Corporate Bonds

     551,805,695               551,805,695         

Foreign Government Obligations

     83,265,952               83,265,952         

Municipal Bonds

     21,370,552               21,370,552         

Senior Floating Rate Interests

     49,621,338               49,621,338         

U.S. Government Agencies

     1,011,571,231               1,010,329,240        1,241,991  

U.S. Government Securities

     550,561,239               550,561,239         

Common Stocks

 

Energy

     79,531               1,703        77,828  

Preferred Stocks

     397,414        397,414                

Warrants

     101                      101  

Short-Term Investments

     79,298,936        72,878,470        6,420,466         

Purchased Options

     2,486,282               2,486,282         

Foreign Currency Contracts(2)

     579,252               579,252         

Futures Contracts(2)

     1,998,446        1,998,446                

Swaps - Credit Default(2)

     3,069,080               3,069,080         

Swaps - Interest Rate(2)

     459               459         

Swaps - Total Return(2)

     950,912               950,912         
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     2,894,620,953      $     75,274,330      $     2,818,026,703      $     1,319,920  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  167  

 


The Hartford Total Return Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Liabilities

 

Foreign Currency Contracts(2)

   $ (611,984   $     $ (611,984   $  

Futures Contracts(2)

     (21,995     (21,995            

Swaps - Credit Default(2)

     (1,027,860           (1,023,833     (4,027

Swaps - Interest Rate(2)

     (9,899,116           (9,899,116      

TBA Sale Commitments

     (46,541,757           (46,541,757      
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     (58,102,712   $     (21,995   $     (58,076,690   $     (4,027
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1)

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2)

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  168  

 


The Hartford World Bond Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 7.8%  
          Bermuda - 0.1%  
$     2,976,000    

Bellemeade Re Ltd. 3.82%, 04/25/2029, 1 mo. USD LIBOR + 2.000%(1)(2)

  $ 2,969,057  
    1,550,000    

Radnor RE Ltd. 3.07%, 02/25/2029, 1 mo. USD LIBOR + 1.250%(1)(2)

    1,549,178  
     

 

 

 
    4,518,235  
 

 

 

 
          Canada - 0.1%  
    785,000    

Canadian Pacer Auto Receivables Trust 3.63%, 01/19/2024(1)

    808,923  
   

Master Credit Card Trust

 
    175,000    

3.74%, 07/21/2024(1)

    179,687  
    3,278,000    

3.80%, 01/21/2022(1)

    3,303,367  
    1,499,000    

4.02%, 07/21/2022(1)

    1,517,928  
     

 

 

 
    5,809,905  
 

 

 

 
          Cayman Islands - 1.4%  
    2,960,000    

ALM XVIII Ltd. 3.65%, 01/15/2028, 3 mo. USD LIBOR + 1.650%(1)(2)

    2,953,287  
    3,030,000    

Apidos CLO 3.45%, 07/18/2027, 3 mo. USD LIBOR + 1.450%(1)(2)

    3,010,232  
    3,250,000    

Atrium XII 3.60%, 04/22/2027, 3 mo. USD LIBOR + 1.650%(1)(2)

    3,186,563  
    1,330,000    

Bain Capital Credit CLO 3.74%, 07/25/2030, 3 mo. USD LIBOR + 1.800%(1)(2)

    1,326,287  
    1,335,000    

BlueMountain CLO Ltd. 4.14%, 11/20/2028, 1 mo. USD LIBOR + 2.000%(1)(2)

    1,286,088  
    2,350,000    

BSPRT Issuer Ltd. 2.96%, 09/15/2035, 3 mo. USD LIBOR + 1.050%(1)(2)

    2,349,974  
    2,000,000    

Carbone CLO Ltd. 3.77%, 01/20/2031, 3 mo. USD LIBOR + 1.800%(1)(2)

    1,895,554  
    2,500,000    

Carlyle Global Market Strategies CLO Ltd. 3.40%, 04/17/2031, 3 mo. USD LIBOR + 1.400%(1)(2)

    2,457,817  
    2,350,000    

Carlyle U.S. CLO Ltd. 3.40%, 01/15/2030, 3 mo. USD LIBOR + 1.400%(1)(2)

    2,305,921  
    1,850,000    

Cent CLO Ltd. 4.29%, 07/27/2030, 3 mo. USD LIBOR + 2.350%(1)(2)

    1,807,448  
    1,015,000    

Covenant Credit Partners CLO Ltd. 3.85%, 10/15/2029, 3 mo. USD LIBOR + 1.850%(1)(2)

    1,010,310  
    1,000,000    

Dryden CLO Ltd. 4.40%, 07/15/2030, 3 mo. USD LIBOR + 2.400%(1)(2)

    985,089  
    2,285,000    

Falcon Aerospace Ltd. 3.60%, 09/15/2039(1)

    2,284,914  
    2,937,500    

Highbridge Loan Management Ltd. 3.74%, 02/05/2031, 3 mo. USD LIBOR + 1.450%(1)(2)

    2,889,205  
   

LCM L.P.

 
    1,040,000    

3.37%, 04/20/2028, 3 mo. USD LIBOR + 1.400%(1)(2)

    1,025,365  
    2,240,000    

3.92%, 10/20/2027, 3 mo. USD LIBOR + 1.950%(1)(2)

    2,180,609  
   

LCM XXV Ltd.

 
    3,010,000    

3.18%, 07/20/2030, 3 mo. USD LIBOR + 1.210%(1)(2)

    3,005,157  
    3,948,000    

3.62%, 07/20/2030, 3 mo. USD LIBOR + 1.650%(1)(2)

    3,899,688  
    900,000    

Mach I 3.47%, 10/15/2039(1)

    895,358  
   

Madison Park Funding Ltd.

 
    3,940,000    

2.92%, 04/19/2030, 3 mo. USD LIBOR + 0.950%(1)(2)

    3,924,335  
    1,000,000    

3.57%, 10/21/2030, 3 mo. USD LIBOR + 1.600%(1)(2)

    982,631  
    1,750,000    

3.87%, 04/20/2026, 3 mo. USD LIBOR + 1.900%(1)(2)

    1,750,180  
    3,000,000    

3.87%, 04/19/2030, 3 mo. USD LIBOR + 1.900%(1)(2)

    2,906,133  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 7.8% - (continued)  
          Cayman Islands - 1.4% - (continued)  
$     2,935,000    

Northwoods Capital Ltd. 3.46%, 06/20/2029, 3 mo. USD LIBOR + 1.300%(1)(2)

  $ 2,921,012  
   

Octagon Investment Partners Ltd.

 
    2,140,000    

3.85%, 01/22/2030, 3 mo. USD LIBOR + 1.900%(1)(2)

    2,027,485  
    2,765,000    

4.19%, 10/24/2030, 3 mo. USD LIBOR + 2.250%(1)(2)

    2,679,050  
    3,250,000    

Octagon Loan Funding Ltd. 3.82%, 11/18/2031, 3 mo. USD LIBOR + 1.700%(1)(2)

    3,220,093  
    1,500,000    

OZLM Ltd. 3.84%, 04/15/2031(1)

    1,426,380  
    1,000,000    

Stewart Park CLO Ltd. 3.80%, 01/15/2030, 3 mo. USD LIBOR + 1.800%(1)(2)

    959,931  
    941,071    

Thunderbolt Aircraft Lease 4.15%, 09/15/2038(1)(3)

    967,943  
   

Voya CLO Ltd.

 
    3,692,000    

3.25%, 04/17/2030, 3 mo. USD LIBOR + 1.250%(1)(2)

    3,680,954  
    2,390,000    

4.20%, 10/15/2031, 3 mo. USD LIBOR + 2.200%(1)(2)

    2,313,178  
    1,295,000    

4.25%, 10/18/2031, 3 mo. USD LIBOR + 2.250%(1)(2)

    1,244,152  
    1,015,000    

Westcott Park CLO Ltd. 4.22%, 07/20/2028, 3 mo. USD LIBOR + 2.250%(1)(2)

    999,404  
    3,975,000    

Zais CLO Ltd. 3.53%, 10/15/2028, 3 mo. USD LIBOR + 1.530%(1)(2)

    3,961,592  
     

 

 

 
    76,719,319  
 

 

 

 
          United States - 6.2%  
    1,669,244    

Aaset Trust 3.84%, 05/15/2039(1)

    1,686,631  
    1,034,811    

Ajax Mortgage Loan Trust 3.16%, 09/25/2056(1)(4)

    1,038,793  
    1,231    

Alternative Loan Trust 6.00%, 05/25/2036

    997  
   

Angel Oak Mortgage Trust LLC

 
    205,001    

2.71%, 11/25/2047(1)(4)

    204,591  
    3,374,000    

2.92%, 10/25/2049(1)(4)

    3,377,996  
    3,589,026    

2.93%, 05/25/2059(1)(4)

    3,610,341  
    2,703,157    

2.99%, 07/26/2049(1)(4)

    2,722,930  
    430,935    

3.26%, 04/27/2048(1)(4)

    432,515  
    947,626    

3.50%, 07/25/2046(1)(3)

    951,338  
    610,000    

BAMLL Commercial Mortgage Securities Trust 3.62%, 09/15/2034, 1 mo. USD LIBOR + 1.700%(1)(2)

    611,908  
    2,263,000    

Banc of America Commercial Mortgage Trust 4.91%, 07/15/2049(4)

    2,469,586  
    1,115,000    

BBCMS Mortgage Trust 2.64%, 03/15/2037, 1 mo. USD LIBOR + 0.722%(1)(2)

    1,112,476  
   

Bellemeade Re Ltd.

 
    1,789,431    

3.12%, 03/25/2029, 1 mo. USD LIBOR + 1.300%(1)(2)

    1,790,813  
    5,470,000    

3.77%, 07/25/2029, 1 mo. USD LIBOR + 1.950%(1)(2)

    5,466,726  
   

Benchmark Mortgage Trust

 
    21,283,975    

0.54%, 07/15/2051(4)(5)

    750,731  
    2,775,218    

1.05%, 03/15/2052(4)(5)

    224,051  
    2,450,000    

BF NYT Mortgage Trust 4.41%, 11/15/2035, 1 mo. USD LIBOR + 2.500%(1)(2)

    2,465,310  
   

BX Commercial Mortgage Trust

 
    1,405,649    

3.71%, 11/15/2035, 1 mo. USD LIBOR + 1.800%(1)(2)

    1,410,057  
    3,975,000    

4.00%, 10/15/2036, 1 mo. USD LIBOR + 2.000%(1)(2)

    3,979,982  
   

CAMB Commercial Mortgage Trust

 
    895,000    

3.67%, 12/15/2037, 1 mo. USD LIBOR + 1.750%(1)(2)

    900,593  
    1,880,000    

4.07%, 12/15/2037, 1 mo. USD LIBOR + 2.150%(1)(2)

    1,896,493  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  169  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 7.8% - (continued)  
          United States - 6.2% - (continued)  
$     7,107,238    

Cantor Commercial Real Estate 1.14%, 05/15/2052

  $ 604,851  
    1,994,000    

CarMax Auto Owner Trust 3.46%, 10/16/2023

    2,025,796  
   

Citigroup Commercial Mortgage Trust

 
    1,120,000    

4.68%, 01/10/2036(1)

    1,201,651  
    1,865,000    

4.75%, 01/10/2036(1)(4)

    1,985,780  
    2,107,250    

Citigroup Mortgage Loan Trust 3.23%, 11/25/2070(1)

    2,107,241  
   

COLT Mortgage Loan Trust

 
    2,815,673    

2.58%, 11/25/2049(1)(4)

    2,819,599  
    223,825    

2.93%, 02/25/2048(1)(4)

    223,992  
    489,232    

3.87%, 10/26/2048(1)(4)

    492,642  
    1,750,000    

COMM Mortgage Trust 2.82%, 06/15/2034, 1 mo. USD LIBOR + 0.900%(1)(2)

    1,750,546  
    25,350,575    

Commercial Mortgage Trust 0.62%, 02/10/2047(4)(5)

    575,428  
   

Connecticut Avenue Securities Trust

 
    2,275,000    

3.92%, 10/25/2039, 1 mo. USD LIBOR + 2.100%(1)(2)(6)

    2,274,599  
    3,700,000    

3.97%, 09/25/2031, 1 mo. USD LIBOR + 2.150%(1)(2)

    3,712,180  
    4,445,000    

4.12%, 08/25/2031, 1 mo. USD LIBOR + 2.300%(1)(2)

    4,471,923  
    3,660,000    

4.27%, 07/25/2031, 1 mo. USD LIBOR + 2.450%(1)(2)

    3,688,805  
   

CSAIL Commercial Mortgage Trust

 
    11,387,039    

0.62%, 08/15/2051(4)(5)

    503,889  
    49,672,352    

0.77%, 06/15/2057(4)(5)

    1,707,497  
    14,141,434    

0.86%, 04/15/2050(4)(5)

    505,254  
    748,000    

4.89%, 11/15/2051(4)

    836,537  
   

CSMC Trust

 
    960,335    

3.25%, 04/25/2047(1)(4)

    967,279  
    1,606,997    

3.50%, 08/25/2043(1)(4)

    1,639,288  
    586,664    

DBUBS Mortgage Trust 0.70%, 11/10/2046(1)(4)(5)

    2,568  
   

Deephaven Residential Mortgage Trust

 
    386,463    

2.98%, 12/25/2057(1)(4)

    386,659  
    1,470,472    

3.56%, 04/25/2059(1)(4)

    1,482,198  
    2,020,245    

4.08%, 10/25/2058(1)(4)

    2,042,784  
    2,450,000    

Domino’s Pizza Master Issuer LLC 3.08%, 07/25/2047(1)

    2,458,967  
   

Eagle RE Ltd.

 
    1,445,781    

3.52%, 11/25/2028, 1 mo. USD LIBOR + 1.700%(1)(2)

    1,448,105  
    875,000    

3.62%, 04/25/2029, 1 mo. USD LIBOR + 1.800%(1)(2)

    877,140  
    1,315,000    

ExteNet LLC 3.20%, 07/26/2049(1)

    1,327,703  
   

Fannie Mae Connecticut Avenue Securities

 
    3,250,000    

3.82%, 03/25/2031, 1 mo. USD LIBOR + 2.000%(2)

    3,255,718  
    2,375,000    

3.92%, 06/25/2039, 1 mo. USD LIBOR + 2.100%(1)

    2,382,063  
    2,820,000    

3.97%, 10/25/2030, 1 mo. USD LIBOR + 2.150%(2)

    2,835,211  
    3,000,000    

4.02%, 08/25/2030, 1 mo. USD LIBOR + 2.200%(2)

    3,023,157  
    3,310,000    

4.07%, 07/25/2030, 1 mo. USD LIBOR + 2.250%(2)

    3,342,132  
    3,105,000    

4.17%, 01/25/2031, 1 mo. USD LIBOR + 2.350%(2)

    3,135,774  
    3,000,000    

4.37%, 12/25/2030, 1 mo. USD LIBOR + 2.550%(2)

    3,043,166  
    4,770,000    

4.62%, 02/25/2030, 1 mo. USD LIBOR + 2.800%(2)

    4,865,209  
    764,485    

4.72%, 07/25/2024, 1 mo. USD LIBOR + 2.900%(2)

    794,548  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 7.8% - (continued)  
          United States - 6.2% - (continued)  
$     1,730,000    

4.82%, 10/25/2029, 1 mo. USD LIBOR + 3.000%(2)

  $ 1,800,351  
    245,000    

5.37%, 07/25/2029, 1 mo. USD LIBOR + 3.550%(2)

    256,486  
    3,636,000    

6.07%, 01/25/2029, 1 mo. USD LIBOR + 4.250%(2)

    3,838,147  
    4,400,967    

6.12%, 02/25/2025, 1 mo. USD LIBOR + 4.300%(2)

    4,657,389  
    3,131,231    

6.17%, 05/25/2029, 1 mo. USD LIBOR + 4.350%(2)

    3,286,328  
    1,028,323    

6.22%, 01/25/2024, 1 mo. USD LIBOR + 4.400%(2)

    1,115,464  
    657,424    

6.37%, 02/25/2025, 1 mo. USD LIBOR + 4.550%(2)

    679,305  
    1,875,000    

6.67%, 10/25/2029, 1 mo. USD LIBOR + 4.850%(2)

    2,117,336  
    745,115    

6.72%, 11/25/2024, 1 mo. USD LIBOR + 4.900%(2)

    811,633  
    2,300,042    

6.82%, 11/25/2024, 1 mo. USD LIBOR + 5.000%(2)

    2,451,165  
    2,264,534    

6.82%, 07/25/2025, 1 mo. USD LIBOR + 5.000%(2)

    2,406,130  
    903,357    

7.07%, 10/25/2023, 1 mo. USD LIBOR + 5.250%(2)

    995,235  
    1,945,000    

7.32%, 09/25/2029, 1 mo. USD LIBOR + 5.500%(2)

    2,269,784  
    4,046,756    

7.37%, 04/25/2028, 1 mo. USD LIBOR + 5.550%(2)

    4,312,099  
    1,800,818    

7.52%, 04/25/2028, 1 mo. USD LIBOR + 5.700%(2)

    1,968,064  
    4,028,787    

7.72%, 10/25/2028, 1 mo. USD LIBOR + 5.900%(2)

    4,347,428  
    1,894,554    

8.77%, 08/25/2028, 1 mo. USD LIBOR + 6.950%(2)

    2,055,488  
    1,483,817    

FCI Funding LLC 3.63%, 02/18/2031(1)

    1,494,018  
    2,039,588    

Five Guys Funding LLC 4.60%, 07/25/2047(1)

    2,147,136  
    1,507,113    

Freddie Mac Strips 5.00%, 09/15/2036(5)

    264,371  
   

FREMF Mortgage Trust

 

    2,753,000    

3.49%, 11/25/2023(1)(4)

    2,802,763  
    3,500,000    

3.72%, 10/25/2048(1)(4)

    3,599,429  
    1,855,000    

3.76%, 07/25/2026(1)(4)

    1,891,485  
    830,000    

3.86%, 10/25/2052(1)(4)

    845,848  
    2,000,000    

3.88%, 02/25/2050(1)(4)

    2,085,267  
    3,309,000    

3.94%, 06/25/2049(1)(4)

    3,450,238  
    880,000    

3.97%, 07/25/2052(1)(4)

    915,714  
    920,000    

3.98%, 04/25/2051(1)(4)

    956,218  
    2,200,000    

3.98%, 05/25/2050(1)(4)

    2,304,186  
    2,175,000    

4.04%, 07/25/2027(1)(4)

    2,288,065  
    1,546,000    

4.05%, 06/25/2029(1)

    1,599,230  
    2,180,000    

4.08%, 09/25/2025(1)(4)

    2,261,570  
    385,000    

4.31%, 02/25/2052(1)(4)

    411,435  
    762,000    

4.38%, 02/25/2052(1)(4)

    818,601  
    1,818,065    

GCAT LLC 2.99%, 02/25/2059(1)(3)

    1,826,930  
    3,155,000    

GM Financial Automobile Leasing Trust 3.95%, 05/22/2023

    3,210,655  
 

GS Mortgage Securities Corp. Trust

 

    1,923,795    

3.36%, 07/15/2025, 1 mo. USD LIBOR + 1.450%(1)(2)

    1,924,989  
    3,125,000    

3.37%, 09/15/2031, 1 mo. USD LIBOR + 1.450%(1)(2)

    3,114,231  
 

GS Mortgage Securities Trust

 

    3,603,531    

0.97%, 02/10/2052(4)(5)

    269,915  
    9,660,156    

1.04%, 05/10/2050(4)(5)

    657,180  
    673,000    

2.80%, 09/01/2052(1)

    599,169  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  170  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 7.8% - (continued)  
          United States - 6.2% - (continued)  
 

Hertz Vehicle Financing II L.P.

 

$     840,000    

3.29%, 02/25/2024(1)

  $ 861,600  
    2,990,000    

3.42%, 05/25/2025(1)

    3,099,482  
    2,940,000    

3.71%, 03/25/2023(1)

    3,030,801  
    1,435,516    

Home Re Ltd. 3.42%, 10/25/2028, 1 mo. USD LIBOR + 1.600%(1)

    1,436,261  
 

Horizon Aircraft Finance Ltd.

 

    1,890,000    

3.43%, 11/15/2039(1)

    1,889,955  
    1,601,161    

4.46%, 12/15/2038(1)

    1,654,809  
    447,262    

JP Morgan Mortgage Trust 3.00%, 09/25/2044(1)(4)

    447,221  
 

JPMBB Commercial Mortgage Securities Trust

 

    52,741,224    

0.66%, 09/15/2047(4)(5)

    1,276,654  
    3,655,000    

4.20%, 09/15/2047(4)

    3,944,377  
    1,651,000    

KNSQ Mortgage Trust 3.72%, 05/15/2036, 1 mo. USD LIBOR + 1.800%(1)(2)

    1,651,012  
    4,150,000    

Legacy Mortgage Asset Trust 3.25%, 06/25/2059(1)(3)

    4,152,117  
 

LSTAR Securities Investment Ltd.

 

    2,438,277    

3.53%, 04/01/2024, 1 mo. USD LIBOR + 1.500%(1)(2)

    2,430,424  
    3,295,708    

3.53%, 05/01/2024, 1 mo. USD LIBOR + 1.500%(1)(2)

    3,291,211  
 

LSTAR Securities Investment Trust

 

    364,854    

3.53%, 04/01/2024, 1 mo. USD LIBOR + 1.500%(1)(2)

    363,657  
    1,224,346    

3.73%, 03/01/2024, 1 mo. USD LIBOR + 1.700%(1)(2)

    1,220,417  
    2,430,583    

MFA Trust 3.35%, 11/25/2047(1)(3)

    2,452,606  
    12,464,082    

Morgan Stanley Bank of America Merrill Lynch Trust 1.03%, 10/15/2048(4)(5)

    600,159  
    8,928,714    

Morgan Stanley Capital I Trust 1.44%, 06/15/2050(4)(5)

    674,087  
    840,000    

Mosaic Solar Loans LLC 2.88%, 09/20/2040(1)

    839,713  
    1,305,000    

MSCG Trust 3.10%, 10/15/2037, 1 mo. USD LIBOR + 1.180%(1)(2)

    1,307,447  
    1,615,000    

MTRO Commercial Mortgage Trust 3.72%, 12/15/2033, 1 mo. USD LIBOR + 1.800%(1)(2)

    1,614,996  
    809,388    

Nationstar HECM Loan Trust 2.65%, 06/25/2029(1)(4)

    809,457  
   

Natixis Commercial Mortgage Securities Trust

 
    800,000    

4.32%, 01/15/2043(1)(4)

    835,011  
    2,637,500    

4.77%, 06/17/2038(1)(4)

    2,828,098  
    1,025,226    

New Residential Mortgage LLC 4.09%, 07/25/2054(1)

    1,042,908  
   

New Residential Mortgage Loan Trust

 
    3,759,664    

2.80%, 07/25/2049(1)(4)

    3,772,250  
    380,188    

3.25%, 09/25/2056(1)(4)

    389,262  
    1,449,741    

3.60%, 04/25/2049(1)

    1,469,187  
    1,325,218    

3.75%, 11/26/2035(1)(4)

    1,376,461  
    714,611    

3.75%, 05/28/2052(1)(4)

    742,473  
    1,362,317    

4.00%, 02/25/2057(1)(4)

    1,429,839  
    1,585,393    

4.00%, 03/25/2057(1)(4)

    1,665,935  
    1,444,406    

4.00%, 05/25/2057(1)(4)

    1,516,610  
   

NRZ Excess Spread-Collateralized Notes

 
    609,881    

3.19%, 01/25/2023(1)

    612,608  
    273,075    

3.27%, 02/25/2023(1)

    274,312  
    615,000    

OneMain Financial Issuance Trust 4.57%, 02/20/2029(1)

    621,076  
    1,678,050    

Planet Fitness Master Issuer LLC 4.26%, 09/05/2048(1)

    1,713,172  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 7.8% - (continued)  
          United States - 6.2% - (continued)  
   

PMT Credit Risk Transfer Trust

 
$     2,216,207    

4.05%, 03/27/2024, 1 mo. USD LIBOR + 2.000%(1)(2)

  $ 2,210,716  
    1,125,000    

4.16%, 08/27/2024, 1 mo. USD LIBOR + 2.700%(1)(2)

    1,125,018  
   

Preston Ridge Partners Mortgage Trust LLC

 
    1,669,738    

3.35%, 07/25/2024(1)(3)

    1,672,630  
    1,409,322    

4.00%, 08/25/2023(1)(4)

    1,417,249  
    1,246,939    

4.48%, 10/25/2023(1)(4)

    1,261,270  
    3,437,985    

Pretium Mortgage Credit Partners LLC 3.11%, 07/27/2059(1)(3)

    3,434,781  
    3,505,000    

Santander Retail Auto Lease Trust 3.66%, 05/20/2024(1)

    3,559,286  
    1,833,042    

Sonic Capital LLC 4.03%, 02/20/2048(1)

    1,903,137  
    1,903,635    

Starwood Mortgage Residential Trust 4.38%, 10/25/2048(1)

    1,944,787  
    1,116,446    

Store Master Funding LLC 3.96%, 10/20/2048(1)

    1,180,666  
   

Structured Agency Credit Risk Trust

 
    1,310,000    

3.07%, 02/25/2047, 1 mo. USD LIBOR + 1.250%(1)(2)

    1,312,167  
    930,000    

3.92%, 09/25/2048, 1 mo. USD LIBOR + 2.100%(1)(2)

    933,314  
   

Towd Point Mortgage Trust

 
    1,069,265    

3.25%, 07/25/2058(1)(4)

    1,102,509  
    590,631    

3.75%, 05/25/2058(1)(4)

    613,547  
    710,372    

3.75%, 11/25/2058(1)(4)

    716,222  
    1,195,000    

Toyota Auto Loan Extended Note Trust 2.56%, 11/25/2031(1)

    1,223,428  
    1,560,000    

US Mortgage Trust 4.49%, 05/13/2038(1)(4)

    1,655,607  
   

Vantage Data Centers Issuer LLC

 
    1,068,217    

3.19%, 07/15/2044(1)

    1,083,897  
    1,878,167    

4.07%, 02/16/2043(1)

    1,951,075  
   

Vericrest Opportunity Loan Trust

 
    3,005,450    

3.18%, 10/25/2049(1)(3)

    3,002,579  
    4,980,000    

3.28%, 11/25/2049(1)(3)

    4,979,840  
    1,669,875    

3.35%, 08/25/2049(1)(3)

    1,672,052  
    3,433,818    

3.35%, 09/25/2049(1)(3)

    3,436,984  
    1,822,705    

3.97%, 02/25/2049(1)(3)

    1,828,330  
   

Verus Securitization Trust

 
    206,672    

2.93%, 02/25/2048(1)(4)

    206,873  
    3,145,000    

3.00%, 11/25/2059(1)(3)

    3,147,002  
    3,773,000    

Visio Trust 2.72%, 11/25/2054(1)(4)

    3,784,502  
    2,446,128    

VOLT LXXII LLC 4.21%, 10/26/2048(1)(3)

    2,447,858  
    4,970,000    

VOLT LXXX LLC 3.23%, 10/25/2049(1)(3)

    4,972,855  
    2,122,190    

Wave USA 3.60%, 09/15/2044(1)

    2,120,690  
   

Wells Fargo Bank N.A.

 
    7,787,443    

0.84%, 09/15/2061(4)(5)

    531,634  
    3,715,072    

0.97%, 02/15/2052(4)(5)

    267,013  
    10,385,462    

1.04%, 04/15/2052(4)(5)

    850,135  
    348,000    

2.50%, 09/15/2061(1)

    286,812  
    1,440,000    

4.65%, 11/15/2061(4)

    1,595,708  
   

Wells Fargo Commercial Mortgage Trust

 
    2,000,000    

3.07%, 08/15/2049(4)

    1,969,963  
    1,550,000    

3.60%, 12/15/2048(4)

    1,574,231  
   

Westlake Automobile Receivables Trust

 
    975,000    

3.28%, 12/15/2022(1)

    986,011  
    2,250,000    

4.00%, 01/16/2024(1)

    2,313,093  
    3,790,000    

4.53%, 05/15/2023(1)

    3,878,967  
    11,698,551    

WF-RBS Commercial Mortgage Trust 1.22%, 03/15/2047(4)(5)

    472,086  
    1,348,225    

Wingstop Funding LLC 4.97%, 12/05/2048(1)

    1,405,484  
     

 

 

 
    326,378,885  
     

 

 

 
 

Total Asset & Commercial Mortgage Backed Securities
(cost $410,844,546)

  $ 413,426,344  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  171  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.4%  
          Canada - 0.4%      
$     2,600,000    

1011778 BC ULC / New Red Finance, Inc. 5.00%, 10/15/2025(1)

  $ 2,665,000  
   

Bausch Health Cos., Inc.

 
    1,310,000    

5.88%, 05/15/2023(1)

    1,329,650  
    3,570,000    

6.13%, 04/15/2025(1)

    3,706,106  
    250,000    

7.00%, 03/15/2024(1)

    261,544  
   

Bombardier, Inc.

 
    1,045,000    

6.13%, 01/15/2023(1)

    1,016,263  
    2,120,000    

7.88%, 04/15/2027(1)

    1,998,100  
    2,790,000    

goeasy Ltd. 7.88%, 11/01/2022(1)

    2,898,112  
   

MEG Energy Corp.

 
    1,130,000    

6.38%, 01/30/2023(1)

    1,067,850  
    1,160,000    

6.50%, 01/15/2025(1)

    1,206,400  
    4,110,000    

Tervita Corp. 7.63%, 12/01/2021(1)

    4,058,625  
     

 

 

 
    20,207,650  
     

 

 

 
          Cayman Islands - 0.1%  
    1,560,000    

Noble Holding International Ltd. 7.88%, 02/01/2026(1)

    1,029,600  
    3,950,000    

Park Aerospace Holdings Ltd. 5.25%, 08/15/2022(1)

    4,206,553  
    3,585,000    

Transocean, Inc. 6.80%, 03/15/2038

    2,209,256  
     

 

 

 
    7,445,409  
     

 

 

 
          France - 0.4%  
   

Altice France S.A.

 

EUR     5,610,000    

2.50%, 01/15/2025(1)

    6,277,792  
    4,555,000    

3.38%, 01/15/2028(1)

    5,089,588  
$     4,585,000    

5.50%, 01/15/2028(1)

    4,670,969  
 

La Financiere Atalian SASU

 
EUR     1,430,000    

4.00%, 05/15/2024(1)

    1,060,275  
    1,325,000    

4.00%, 05/15/2024(7)

    982,423  
     

 

 

 
    18,081,047  
     

 

 

 
          Ireland - 0.1%  
   

Ardagh Packaging Finance plc / Ardagh Holdings USA, Inc.

 
$     685,000    

5.25%, 08/15/2027(1)

    702,125  
EUR     2,450,000    

6.75%, 05/15/2024(7)

    2,869,218  
    520,000    

LCPR Senior Secured Financing DAC 6.75%, 10/15/2027(1)

    533,650  
     

 

 

 
    4,104,993  
     

 

 

 
      Jersey - 0.0%  
EUR     1,605,000    

Adient Global Holdings Ltd. 3.50%, 08/15/2024(7)

    1,503,575  
     

 

 

 
      Luxembourg - 0.7%      
$     3,970,000    

Altice Financing S.A. 7.50%, 05/15/2026(1)

    4,218,125  
EUR     1,045,000    

Altice Luxembourg S.A. 8.00%, 05/15/2027(7)

    1,277,818  
    2,790,000    

ARD Finance S.A. (6.63% Cash, 7.38% PIK) 6.63%, 09/15/2023(8)

    3,220,751  
 

Medtronic Global Holdings SCA

 

    17,480,000    

0.00%, 03/07/2021(9)

    19,541,447  
    7,880,000    

1.00%, 07/02/2031

    9,084,912  
    1,203,000    

Rossini S.a.r.l. 3.88%, 10/30/2025, 3 mo. EURIBOR + 3.875%(1)(2)

    1,357,383  
     

 

 

 
    38,700,436  
 

 

 

 
      Mult - 0.1%  
$     1,645,000    

Ardagh Packaging Finance plc / Ardagh Holdings USA, Inc. 4.13%, 08/15/2026(1)

    1,663,013  
 

Panther BF Aggregator 2 L.P. / Panther Finance Co., Inc.

 
EUR     1,115,000    

4.38%, 05/15/2026(1)

    1,252,886  
$     2,110,000    

8.50%, 05/15/2027(1)

    2,125,825  
     

 

 

 
    5,041,724  
 

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.4% - (continued)  
      Netherlands - 0.2%  
$     1,415,000    

Constellium SE 5.88%, 02/15/2026(1)

  $ 1,475,137  
EUR     2,090,000    

Diamond (BC) B.V. 5.63%, 08/15/2025(7)

    2,133,310  
    2,565,000    

LKQ European Holdings B.V. 3.63%, 04/01/2026(7)

    2,978,749  
   

Teva Pharmaceutical Finance Netherlands B.V.

 

$     3,430,000    

2.80%, 07/21/2023

    2,966,950  
    1,970,000    

6.75%, 03/01/2028(10)

    1,767,321  
EUR     510,000    

Trivium Packaging Finance B.V. 3.75%, 08/15/2026(1)

    590,759  
     

 

 

 
    11,912,226  
 

 

 

 
      Spain - 0.2%  
$     1,600,000    

Banco Bilbao Vizcaya Argentaria S.A. 6.13%, 11/16/2027, (6.13% fixed rate until 11/16/2027; 5 year USD Swap + 3.870% thereafter)(11)(12)

    1,574,000  
EUR     1,600,000    

Banco de Sabadell S.A. 6.13%, 11/23/2022, (6.13% fixed rate until 11/23/2022; 5 year EUR Swap + 6.051% thereafter)(7)(11)(12)

    1,795,722  
    4,155,000    

Banco Santander S.A. 1.00%, 12/15/2024(4)(11)

    4,118,530  
     

 

 

 
    7,488,252  
 

 

 

 
      Switzerland - 0.0%  
$     1,995,000    

Credit Suisse Group AG 6.25%, 12/18/2024, (6.25% fixed rate until 12/18/2024; 5 year USD Swap + 3.455% thereafter)(7)(11)(12)

    2,127,169  
     

 

 

 
      United States - 4.2%  
 

Acrisure LLC / Acrisure Finance, Inc.

 

    1,600,000    

7.00%, 11/15/2025(1)

    1,464,000  
    6,090,000    

8.13%, 02/15/2024(1)

    6,461,185  
    1,050,000    

10.13%, 08/01/2026(1)

    1,086,750  
    485,000    

Adient U.S. LLC 7.00%, 05/15/2026(1)

    510,463  
    805,000    

Advanced Drainage Systems, Inc. 5.00%, 09/30/2027(1)

    823,113  
 

American Axle & Manufacturing, Inc.

 

    305,000    

6.25%, 04/01/2025

    293,944  
    820,000    

6.50%, 04/01/2027(10)

    776,950  
    680,000    

American Builders & Contractors Supply Co., Inc. 5.75%, 12/15/2023(1)

    699,380  
   

AmeriGas Partners L.P. / AmeriGas Finance Corp.

 
    342,000    

5.50%, 05/20/2025

    366,829  
    411,000    

5.75%, 05/20/2027

    450,045  
    3,177,000    

5.88%, 08/20/2026

    3,518,527  
   

APX Group, Inc.

 
    1,405,000    

7.63%, 09/01/2023(10)

    1,236,400  
    2,815,000    

7.88%, 12/01/2022

    2,811,481  
    1,050,000    

8.75%, 12/01/2020(10)

    1,034,250  
    2,760,000    

Berry Global, Inc. 4.88%, 07/15/2026(1)

    2,901,450  
    3,620,000    

Blue Racer Midstream LLC / Blue Racer Finance Corp. 6.13%, 11/15/2022(1)

    3,556,650  
    2,930,000    

Boyd Gaming Corp. 6.38%, 04/01/2026

    3,113,125  
    1,285,000    

Brand Industrial Services, Inc. 8.50%, 07/15/2025(1)

    1,246,450  
    410,000    

Caesars Entertainment Corp. 5.00%, 10/01/2024

    725,803  
    265,000    

California Resources Corp. 8.00%, 12/15/2022(1)

    82,150  
    1,025,000    

Cardtronics, Inc. / Cardtronics USA, Inc. 5.50%, 05/01/2025(1)

    1,058,313  
    460,000    

Catalent Pharma Solutions, Inc. 4.88%, 01/15/2026(1)

    474,950  
    4,110,000    

Change Healthcare Holdings LLC / Change Healthcare Finance, Inc. 5.75%, 03/01/2025(1)

    4,205,352  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  172  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.4% - (continued)  
      United States - 4.2% - (continued)  
$     990,000    

Charles River Laboratories International, Inc. 4.25%, 05/01/2028(1)

  $ 1,008,662  
   

Chesapeake Energy Corp.

 
    3,170,000    

7.00%, 10/01/2024

    2,139,750  
    1,065,000    

7.50%, 10/01/2026

    681,600  
    643,000    

Cloud Crane LLC 10.13%, 08/01/2024(1)

    679,169  
    1,910,000    

CNH Industrial Capital LLC 4.38%, 11/06/2020(10)

    1,948,658  
    1,500,000    

Coty, Inc. 6.50%, 04/15/2026(1)(10)

    1,536,870  
    1,424,000    

CSC Holdings LLC 10.88%, 10/15/2025(1)

    1,606,927  
    7,270,000    

CVS Health Corp. 2.82%, 03/09/2021, 3 mo. USD LIBOR + 0.720%(2)

    7,310,130  
   

Eldorado Resorts, Inc.

 
    1,480,000    

6.00%, 04/01/2025

    1,555,850  
    535,000    

6.00%, 09/15/2026

    586,494  
    2,570,000    

Energy Transfer Operating L.P. 4.25%, 03/15/2023

    2,693,935  
    3,190,000    

FelCor Lodging L.P. 6.00%, 06/01/2025

    3,329,562  
   

Ferrellgas L.P. / Ferrellgas Finance Corp.

 
    1,336,000    

6.50%, 05/01/2021(10)

    1,122,240  
    865,000    

6.75%, 01/15/2022(10)

    724,438  
    2,025,000    

Foresight Energy LLC / Foresight Energy Finance Corp. 11.50%, 04/01/2023(1)

    177,188  
    2,260,000    

Freedom Mortgage Corp. 8.13%, 11/15/2024(1)

    2,118,750  
    9,695,000    

Freeport-McMoRan, Inc. 3.88%, 03/15/2023

    9,840,425  
   

Genworth Holdings, Inc.

 
    210,000    

4.80%, 02/15/2024

    194,775  
    1,425,000    

4.90%, 08/15/2023

    1,341,638  
    1,475,000    

7.63%, 09/24/2021

    1,530,312  
   

Gray Television, Inc.

 
    1,785,000    

5.13%, 10/15/2024(1)

    1,849,706  
    220,000    

5.88%, 07/15/2026(1)

    231,279  
    1,800,000    

HCA Healthcare, Inc. 6.25%, 02/15/2021

    1,885,500  
   

HCA, Inc.

 
    3,450,000    

5.38%, 09/01/2026

    3,760,500  
    2,530,000    

7.50%, 11/15/2095

    2,827,275  
    2,025,000    

Hill-Rom Holdings, Inc. 4.38%, 09/15/2027(1)

    2,085,750  
    1,545,000    

iHeartCommunications, Inc. 5.25%, 08/15/2027(1)

    1,593,976  
    1,730,000    

Infor U.S., Inc. 6.50%, 05/15/2022

    1,753,787  
EUR     2,755,000    

IQVIA, Inc. 2.25%, 01/15/2028(1)

    3,138,713  
$     1,490,000    

Jack Ohio Finance LLC / Jack Ohio Finance Corp. 6.75%, 11/15/2021(1)

    1,521,662  
    2,835,000    

Jacobs Entertainment, Inc. 7.88%, 02/01/2024(1)

    3,012,187  
    1,500,000    

Kaiser Aluminum Corp. 5.88%, 05/15/2024

    1,560,000  
    4,110,000    

L Brands, Inc. 5.63%, 02/15/2022

    4,325,775  
    17,660,000    

Las Vegas Sands Corp. 3.20%, 08/08/2024

    18,069,800  
    1,255,000    

Lithia Motors, Inc. 5.25%, 08/01/2025(1)

    1,314,613  
    1,025,000    

MGIC Investment Corp. 5.75%, 08/15/2023

    1,126,219  
    7,680,000    

Microchip Technology, Inc. 3.92%, 06/01/2021

    7,860,597  
    1,085,000    

Micron Technology, Inc. 4.64%, 02/06/2024

    1,166,667  
   

Navient Corp.

 
    1,300,000    

5.88%, 03/25/2021

    1,348,776  
    6,435,000    

6.63%, 07/26/2021

    6,796,969  
    4,160,000    

7.25%, 01/25/2022

    4,512,352  
    2,880,000    

NextEra Energy Operating Partners L.P. 4.25%, 07/15/2024(1)

    2,958,336  
   

Novelis Corp.

 
    615,000    

5.88%, 09/30/2026(1)

    645,812  
    1,700,000    

6.25%, 08/15/2024(1)

    1,780,750  
    1,190,000    

Penske Automotive Group, Inc. 3.75%, 08/15/2020

    1,195,950  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.4% - (continued)  
      United States - 4.2% - (continued)  
   

QEP Resources, Inc.

 
$     2,965,000    

5.25%, 05/01/2023

  $ 2,816,750  
    1,800,000    

5.63%, 03/01/2026(10)

    1,611,000  
    865,000    

Radian Group, Inc. 4.50%, 10/01/2024

    905,006  
    3,070,000    

Revlon Consumer Products Corp. 6.25%, 08/01/2024

    1,535,000  
   

Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC / Reynolds Group Issuer Lu

 
    1,660,000    

5.13%, 07/15/2023(1)

    1,703,077  
    645,000    

7.00%, 07/15/2024(1)

    667,575  
    1,665,000    

SBA Tower Trust 2.84%, 01/15/2025(1)

    1,681,552  
   

Sinclair Television Group, Inc.

 
    1,055,000    

5.13%, 02/15/2027(1)(10)

    1,068,188  
    3,090,000    

5.63%, 08/01/2024(1)

    3,182,700  
   

SM Energy Co.

 
    1,310,000    

5.00%, 01/15/2024

    1,159,350  
    265,000    

6.13%, 11/15/2022

    252,413  
    1,740,000    

Springleaf Finance Corp. 7.75%, 10/01/2021

    1,896,635  
    1,775,000    

Sprint Capital Corp. 8.75%, 03/15/2032

    2,164,399  
   

Sprint Spectrum Co. LLC / Sprint Spectrum Co. II LLC / Sprint Spectrum Co. III LLC

 
    3,660,000    

4.74%, 03/20/2025(1)

    3,902,512  
    4,660,000    

5.15%, 03/20/2028(1)

    5,073,295  
    2,670,000    

SS&C Technologies, Inc. 5.50%, 09/30/2027(1)

    2,856,900  
    3,990,000    

Starwood Property Trust, Inc. 3.63%, 02/01/2021

    4,019,925  
    1,410,000    

Sugarhouse HSP Gaming Prop Mezz L.P. / Sugarhouse HSP Gaming Finance Corp. 5.88%, 05/15/2025(1)

    1,395,900  
    4,150,000    

Symantec Corp. 5.00%, 04/15/2025(1)

    4,255,738  
    3,160,000    

Tempo Acquisition LLC / Tempo Acquisition Finance Corp. 6.75%, 06/01/2025(1)

    3,250,850  
    3,405,000    

TransDigm, Inc. 5.50%, 11/15/2027(1)(6)

    3,393,729  
    410,000    

TriMas Corp. 4.88%, 10/15/2025(1)

    417,175  
    6,190,000    

United Rentals North America, Inc. 4.63%, 10/15/2025

    6,329,275  
    1,820,000    

Vine Oil & Gas L.P. / Vine Oil & Gas Finance Corp. 8.75%, 04/15/2023(1)

    691,600  
    1,050,000    

Weight Watchers International, Inc. 8.63%, 12/01/2025(1)(10)

    1,081,500  
    2,050,000    

West Street Merger Sub, Inc. 6.38%, 09/01/2025(1)

    1,952,625  
    245,000    

Western Digital Corp. 4.75%, 02/15/2026

    250,366  
    1,126,000    

WMG Acquisition Corp. 5.50%, 04/15/2026(1)

    1,182,300  
    3,270,000    

Xerox Corp. 4.13%, 03/15/2023

    3,339,487  
     

 

 

 
    223,384,706  
 

 

 

 
   

Total Corporate Bonds
(cost $340,198,607)

  $ 339,997,187  
   

 

 

 
ESCROWS - 0.0%  
          United States - 0.0%  
    915,000    

Berry Global, Inc.*(1)

  $ 963,038  
     

 

 

 
   

Total Escrows
(cost $915,000)

  $ 963,038  
   

 

 

 
FOREIGN GOVERNMENT OBLIGATIONS - 65.2%  
      Australia - 3.0%  
   

Australia Government Bond

 
AUD     34,408,000    

2.75%, 11/21/2027(7)

  $ 26,752,527  
    69,317,000    

3.00%, 03/21/2047(7)

    61,196,653  
    21,903,000    

4.75%, 04/21/2027(7)

    19,105,548  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  173  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 65.2% - (continued)  
      Australia - 3.0% - (continued)  
$     73,019,000    

New South Wales Treasury Corp. 1.00%, 02/08/2024

  $ 50,091,292  
     

 

 

 
    157,146,020  
 

 

 

 
          Austria - 0.9%  
EUR     32,668,000    

Republic of Austria Government Bond 2.40%, 05/23/2034(1)(7)

    48,566,461  
     

 

 

 
          Canada - 22.6%  
CAD     23,415,000    

Billets A Terme Du Quebec Zero 0.01%, 03/26/2020

    17,651,116  
   

Canadian Government Bond

 
    303,019,000    

0.75%, 03/01/2021

    227,539,178  
    86,021,000    

0.75%, 09/01/2021

    64,384,149  
    241,722,000    

1.50%, 06/01/2026

    184,494,945  
    207,525,000    

2.25%, 03/01/2024

    162,859,305  
    59,734,000    

2.25%, 06/01/2029

    48,726,907  
    139,794,000    

3.50%, 06/01/2020

    107,244,743  
   

Canadian T-Bill - When Issued

 

    132,430,000    

1.58%, 01/23/2020(13)

    100,162,567  
    222,960,000    

1.60%, 01/09/2020(13)

    168,737,604  
   

Ontario T-Bill

 

    9,365,000    

1.57%, 08/26/2020(13)

    7,005,441  
    35,122,000    

1.62%, 02/26/2020(13)

    26,514,963  
    20,925,000    

Province of Manitoba Canada T-Bill 1.65%, 11/27/2019(13)

    15,866,523  
    18,732,000    

Province of Saskatchewan 0.01%, 03/03/2020

    14,137,675  
 

Quebec T-Bill

 

    21,073,000    

1.61%, 02/14/2020(13)

    15,918,267  
    44,860,000    

1.62%, 02/21/2020(13)

    33,874,733  
    9,366,000    

1.62%, 02/28/2020(13)

    7,070,047  
     

 

 

 
    1,202,188,163  
 

 

 

 
          Denmark - 15.8%  
   

Denmark Government Bond

 
DKK     3,519,786,000    

0.25%, 11/15/2020

    531,104,749  
    1,344,491,000    

4.00%, 11/15/2019

    200,977,199  
    723,788,000    

Denmark Treasury Bill 0.76%, 12/02/2019(1)(7)(13)

    108,110,982  
     

 

 

 
    840,192,930  
 

 

 

 
          Japan - 3.9%  
   

Japan Treasury Discount Bill

 
JPY     9,114,000,000    

0.29%, 01/08/2020(13)

    84,425,269  
    13,499,600,000    

0.30%, 01/20/2020(13)

    125,060,901  
     

 

 

 
    209,486,170  
 

 

 

 
          New Zealand - 7.0%  
   

New Zealand Government Bond

 

NZD     174,139,000    

2.75%, 04/15/2025(7)

    121,803,749  
NZD     54,167,000    

2.75%, 04/15/2037(7)

    40,263,623  
    135,528,000    

3.00%, 04/20/2029

    99,840,108  
    146,250,000    

5.50%, 04/15/2023(7)

    108,319,164  
     

 

 

 
    370,226,644  
 

 

 

 
          Singapore - 2.1%  
   

Singapore Government Bond

 
SGD     82,960,000    

1.75%, 04/01/2022

    61,144,469  
    67,543,000    

2.25%, 06/01/2021

    50,129,124  
     

 

 

 
    111,273,593  
 

 

 

 
          South Korea - 5.7%  
   

Korea Treasury Bond

 
KRW     106,177,800,000    

1.38%, 09/10/2024

    90,263,574  
    126,083,280,000    

2.25%, 06/10/2025

    111,668,219  
    114,591,800,000    

2.25%, 12/10/2025

    101,664,681  
     

 

 

 
    303,596,474  
 

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 65.2% - (continued)  
          Sweden - 4.2%  
SEK     789,850,000    

Kommuninvest I Sverige AB 1.00%, 11/13/2023(7)

  $ 84,521,785  
    1,225,990,000    

Sweden Government Bond 0.75%, 11/12/2029(1)(7)

    138,081,794  
     

 

 

 
    222,603,579  
 

 

 

 
   

Total Foreign Government Obligations (cost $3,438,823,619)

  $ 3,465,280,034  
   

 

 

 
SENIOR FLOATING RATE INTERESTS - 3.1%(14)  
          Canada - 0.1%  
$     3,976,041    

B.C. Unlimited Liability Co. 4.04%, 02/16/2024, 1 mo. USD LIBOR + 2.250%

  $ 3,979,023  
     

 

 

 
          Denmark - 0.0%  
EUR     2,332,742    

Nets Holding A/S 3.25%, 02/06/2025, 3 mo. EURIBOR + 3.250%

    2,576,782  
     

 

 

 
          France - 0.1%  
$     4,388,747    

Numericable Group S.A. 0.00%, 07/31/2025, 1 mo. USD LIBOR + 2.750%(9)

    4,241,987  
     

 

 

 
          Luxembourg - 0.1%  
    3,697,059    

Almonde, Inc. 5.70%, 06/13/2024, 3 mo. USD LIBOR + 3.500%

    3,528,399  
     

 

 

 
          Netherlands - 0.1%  
    5,375,762    

Jacobs Douwe Egberts International B.V. 3.81%, 11/01/2025, 3 mo. USD LIBOR + 1.750%

    5,374,418  
     

 

 

 
          United Kingdom - 0.1%  
    5,127,907    

Crown Finance U.S., Inc. 4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    5,055,091  
     

 

 

 
          United States - 2.6%  
    571,071    

Advanced Drainage Systems, Inc. 4.06%, 07/31/2026, 1 mo. USD LIBOR + 2.250%

    573,213  
   

Asurion LLC

 
    2,886,162    

4.79%, 11/03/2023, 1 mo. USD LIBOR + 3.000%

    2,889,250  
    2,611,938    

4.79%, 11/03/2024, 1 mo. USD LIBOR + 3.000%

    2,613,583  
    765,000    

8.29%, 08/04/2025, 1 mo. USD LIBOR + 6.500%

    768,060  
    1,210,000    

B&G Foods, Inc. 4.48%, 10/10/2026, 1 mo. USD LIBOR + 2.500%

    1,213,787  
    2,225,000    

Bass Pro Group LLC 0.00%, 09/25/2024, 1 mo. USD LIBOR + 5.000%(9)

    2,143,543  
   

BCP Raptor LLC

 
    3,192,976    

6.04%, 06/24/2024, 2 mo. USD LIBOR + 4.250%

    2,797,846  
    3,216,938    

6.54%, 11/03/2025, 1 mo. USD LIBOR + 4.750%

    2,818,841  
    1,215,000    

Belron Finance U.S. LLC 0.00%, 11/07/2026, 1 mo. USD LIBOR + 2.500%(9)

    1,214,623  
    2,957,563    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    2,927,987  
    2,250,000    

Brand Energy & Infrastructure Services, Inc. 0.00%, 06/21/2024, 3 mo. USD LIBOR + 4.250%(9)

    2,182,500  
    3,419,907    

Caesars Entertainment Operating Co. 3.79%, 10/07/2024, 1 mo. USD LIBOR + 2.000%

    3,417,787  
    4,318,750    

Caesars Resort Collection LLC 4.54%, 12/23/2024, 1 mo. USD LIBOR + 2.750%

    4,251,723  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  174  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 3.1%(14) - (continued)  
          United States - 2.6% - (continued)  
$     2,472,575    

Catalent Pharma Solutions, Inc. 4.04%, 05/18/2026, 1 mo. USD LIBOR + 2.250%

  $ 2,472,575  
    943,063    

CHG PPC Parent LLC 4.54%, 03/31/2025, 1 mo. USD LIBOR + 2.750%

    938,347  
    2,588,982    

Clark Equipment Co. 4.10%, 05/18/2024, 3 mo. USD LIBOR + 2.000%

    2,586,833  
    6,474,763    

Core & Main LP 4.81%, 08/01/2024, 6 mo. USD LIBOR + 2.750%

    6,320,987  
    571,511    

Crown Americas LLC 4.00%, 04/03/2025, 1 Week USD LIBOR + 2.000%

    573,797  
    1,762,688    

CSC Holdings LLC 4.33%, 04/15/2027, 1 mo. USD LIBOR + 2.500%

    1,759,532  
    2,245,050    

Diamond (BC) B.V. 4.93%, 09/06/2024, 2 mo. USD LIBOR + 3.000%

    2,086,774  
    3,485,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    3,492,981  
    4,332,995    

EVO Payments International LLC 5.05%, 12/22/2023, 1 mo. USD LIBOR + 3.250%

    4,334,815  
    3,410,136    

Flex Acquisition Co., Inc. 5.35%, 06/29/2025, 1 mo. USD LIBOR + 3.250%

    3,221,624  
    246,250    

Genworth Holdings, Inc. 6.32%, 03/07/2023, 1 mo. USD LIBOR + 4.500%

    245,634  
    3,831,050    

Golden Entertainment, Inc. 4.81%, 10/21/2024, 1 mo. USD LIBOR + 3.000%

    3,833,464  
    3,433,735    

Hostess Brands LLC 4.13%, 08/03/2025, 1 mo. USD LIBOR + 2.250%

    3,414,437  
    4,352,273    

Houghton Mifflin Harcourt Publishing Co. 4.79%, 05/31/2021, 1 mo. USD LIBOR + 3.000%

    4,314,190  
    6,461,563    

Hub International Ltd. 4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    6,315,014  
    2,570,283    

Hyland Software, Inc. 5.04%, 07/01/2024, 1 mo. USD LIBOR + 3.250%

    2,551,006  
    2,723,525    

Lamar Media Corp. 3.56%, 03/14/2025, 1 mo. USD LIBOR + 1.750%

    2,729,490  
    4,075,000    

Level 3 Financing, Inc. 4.04%, 02/22/2024, 1 mo. USD LIBOR + 2.250%

    4,078,056  
    1,840,388    

Lower Cadence Holdings LLC 5.80%, 05/22/2026, 1 mo. USD LIBOR + 4.000%

    1,706,959  
    4,242,614    

Medallion Midland Acquisition LLC 5.04%, 10/30/2024, 1 mo. USD LIBOR + 3.250%

    3,977,450  
    845,750    

Messer Industries GmbH 4.60%, 03/01/2026, 1 mo. USD LIBOR + 2.500%

    838,011  
    1,391,238    

Microchip Technology, Inc. 3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

    1,392,977  
 

Post Holdings, Inc.

 

    2,235,000    

0.00%, 10/08/2026, 1 mo. USD LIBOR + 5.000%(9)

    2,228,027  
    126,174    

3.83%, 05/24/2024, 1 mo. USD LIBOR + 2.000%

    126,261  
 

PSAV Holdings LLC

 

    6,038,050    

5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    5,800,332  
    2,930,000    

6.49%, 09/30/2026, 1 mo. USD LIBOR + 4.500%

    2,867,738  
    5,076,923    

Quikrete Holdings, Inc. 4.54%, 11/15/2023, 1 mo. USD LIBOR + 2.750%

    5,053,112  
    1,026,154    

Rexnord LLC 3.79%, 08/21/2024, 1 mo. USD LIBOR + 2.000%

    1,031,285  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 3.1%(14) - (continued)  
          United States - 2.6% - (continued)  
$     4,118,240    

Reynolds Group Holdings, Inc. 4.54%, 02/05/2023, 1 mo. USD LIBOR + 2.750%

  $ 4,115,975  
    4,162,540    

Sotera Health Holdings LLC 4.93%, 05/15/2022, 1 mo. USD LIBOR + 3.000%

    4,084,492  
    4,325,000    

Sprint Communications, Inc. 0.00%, 02/02/2024, 1 mo. USD LIBOR + 2.500%(9)

    4,272,754  
    576,689    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    577,652  
    4,979,851    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    4,991,077  
    2,177,975    

Syneos Health, Inc. 3.79%, 08/01/2024, 1 mo. USD LIBOR + 2.000%

    2,178,432  
    1,635,000    

Tamko Building Products, Inc. 5.09%, 06/01/2026, 1 mo. USD LIBOR + 3.250%

    1,635,000  
    2,498,375    

Trans Union LLC 4.04%, 06/19/2025, 1 mo. USD LIBOR + 2.000%

    2,500,723  
    3,719,100    

USI, Inc. 5.10%, 05/16/2024, 3 mo. USD LIBOR + 3.000%

    3,606,597  
    2,716,446    

Weight Watchers International, Inc. 6.86%, 11/29/2024, 3 mo. USD LIBOR + 4.750%

    2,710,334  
     

 

 

 
    140,777,487  
 

 

 

 
 

Total Senior Floating Rate Interests (cost $167,498,093)

  $ 165,533,187  
   

 

 

 
U.S. GOVERNMENT AGENCIES - 3.2%  
      United States - 3.2%  
      FHLMC - 1.1%  
    31,919,110    

0.29%, 11/25/2027(4)(5)

  $ 680,452  
    3,690,853    

1.72%, 09/25/2041(4)(5)

    224,805  
    6,340,248    

2.00%, 10/25/2044(4)(5)

    856,671  
    11,435,000    

2.01%, 02/25/2041(4)(5)

    315,214  
    5,823,080    

2.02%, 11/25/2029(4)(5)

    904,192  
    1,479,915    

2.02%, 01/25/2046(4)(5)

    238,203  
    2,075,000    

2.10%, 01/25/2030(4)(5)

    344,440  
    7,245,592    

2.11%, 06/25/2044(4)(5)

    887,457  
    6,087,872    

2.21%, 01/25/2042(4)(5)

    513,671  
    1,070,000    

2.32%, 01/25/2051(4)(5)

    185,141  
    2,535,000    

3.22%, 02/25/2049(1)

    2,534,997  
    4,610,064    

3.50%, 01/15/2033(5)

    559,035  
    1,982,964    

3.50%, 05/15/2036(5)

    266,779  
    2,915,000    

3.67%, 09/25/2049, 1 mo. USD LIBOR + 1.850%(1)(2)

    2,910,775  
    885,000    

3.87%, 04/25/2049, 1 mo. USD LIBOR + 2.050%(1)(2)

    887,314  
    1,565,000    

3.87%, 07/25/2049(1)

    1,567,451  
    1,465,000    

3.97%, 11/25/2048, 1 mo. USD LIBOR + 2.150%(1)(2)

    1,466,489  
    3,000,000    

4.12%, 09/25/2030, 1 mo. USD LIBOR + 2.300%(2)

    3,021,979  
    1,130,000    

4.12%, 10/25/2048, 1 mo. USD LIBOR + 2.300%(1)(2)

    1,138,839  
    4,460,000    

4.17%, 04/25/2030, 1 mo. USD LIBOR + 2.350%(2)

    4,519,083  
    2,490,000    

4.17%, 02/25/2049, 1 mo. USD LIBOR + 2.350%(1)(2)

    2,506,349  
    853,512    

4.27%, 12/25/2042, 1 mo. USD LIBOR + 2.450%(2)

    862,968  
    1,960,000    

4.27%, 03/25/2049, 1 mo. USD LIBOR + 2.450%(1)(2)

    1,974,135  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  175  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 3.2% - (continued)  
      United States - 3.2% - (continued)  
      FHLMC - 1.1% - (continued)  
$     3,120,000    

4.32%, 03/25/2030, 1 mo. USD LIBOR + 2.500%(2)

  $ 3,182,459  
    2,737,000    

4.47%, 12/25/2029, 1 mo. USD LIBOR + 2.650%(2)

    2,809,347  
    1,885,000    

4.47%, 01/25/2049, 1 mo. USD LIBOR + 2.650%(1)(2)

    1,909,483  
    1,010,801    

5.00%, 02/15/2048(5)

    196,784  
    1,835,000    

5.12%, 10/25/2027, 1 mo. USD LIBOR + 3.300%(2)

    1,950,592  
    256,935    

5.62%, 03/25/2025, 1 mo. USD LIBOR + 3.800%(2)

    263,867  
    1,267,517    

6.47%, 10/25/2028, 1 mo. USD LIBOR + 4.650%(2)

    1,358,259  
    3,454,816    

6.52%, 03/25/2028, 1 mo. USD LIBOR + 4.700%(2)

    3,654,798  
    2,775,000    

6.57%, 12/25/2029, 1 mo. USD LIBOR + 4.750%(2)

    3,122,464  
    1,650,000    

6.77%, 07/25/2029, 1 mo. USD LIBOR + 4.950%(2)

    1,866,658  
    3,065,000    

6.97%, 11/25/2028, 1 mo. USD LIBOR + 5.150%(2)

    3,358,466  
    1,675,000    

6.97%, 10/25/2029, 1 mo. USD LIBOR + 5.150%(2)

    1,922,640  
     

 

 

 
        54,962,256  
     

 

 

 
          FNMA - 0.2%  
    6,263,785    

3.00%, 01/25/2028

    473,951  
    5,797,928    

3.50%, 04/25/2028(5)

    474,441  
    1,995,000    

3.82%, 07/25/2039, 1 mo. USD LIBOR + 2.000%(1)(2)

    1,998,673  
    1,990,000    

3.92%, 09/25/2039, 1 mo. USD LIBOR + 2.100%(1)(2)

    1,993,397  
    4,955,601    

4.00%, 01/25/2028(5)

    450,979  
    1,739,482    

4.00%, 04/25/2032(5)

    222,006  
    4,475,000    

4.22%, 04/25/2031, 1 mo. USD LIBOR + 2.400%(1)(2)

    4,511,145  
    2,661,895    

5.50%, 09/25/2044(5)

    574,488  
    1,217,679    

5.50%, 06/25/2048

    237,107  
    550,000    

5.57%, 09/25/2039, 1 mo. USD LIBOR + 3.750%(1)(2)

    554,493  
    4,003,185    

6.50%, 03/25/2045(5)

    1,072,950  
     

 

 

 
        12,563,630  
     

 

 

 
          GNMA - 0.3%  
    3,645,000    

3.00%, 11/01/2049(15)

    3,752,069  
    3,500,000    

3.00%, 12/01/2049(15)

    3,601,177  
    5,194,347    

3.50%, 10/20/2029(5)

    495,590  
    4,625,329    

3.50%, 01/20/2030(5)

    470,052  
    5,098,371    

3.50%, 11/20/2031(5)

    547,385  
    1,372,880    

4.00%, 01/16/2046

    275,890  
    5,724,304    

4.50%, 12/16/2039(5)

    1,236,190  
    336,591    

4.50%, 04/20/2045(5)

    53,840  
    1,625,389    

5.00%, 05/16/2044

    328,308  
    501,524    

5.00%, 07/16/2044

    105,982  
    1,170,367    

5.00%, 07/16/2044(5)

    220,279  
    1,613,718    

5.00%, 12/16/2045

    328,007  
    2,757,996    

5.00%, 07/16/2047(5)

    611,737  
    1,296,912    

5.00%, 09/20/2047(5)

    250,128  
    1,371,420    

5.00%, 11/16/2047(5)

    232,467  
    2,840,209    

5.00%, 06/20/2048(5)

    625,033  
    5,208,488    

5.50%, 11/16/2046(5)

    1,021,846  
    1,105,680    

5.50%, 02/20/2047(5)

    241,694  
    2,041,332    

5.85%, 07/20/2039(4)(5)

    423,274  
    2,318,650    

6.00%, 09/20/2045(5)

    477,694  
     

 

 

 
        15,298,642  
     

 

 

 
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 3.2% - (continued)  
      United States - 3.2% - (continued)  
          UMBS - 1.5%  
$     10,375,000    

2.50%, 11/01/2034(15)

  $ 10,486,450  
    14,175,000    

3.00%, 11/01/2034(15)

    14,514,425  
    12,350,000    

3.00%, 11/01/2049(15)

    12,549,255  
    12,300,000    

3.00%, 12/01/2049(15)

    12,485,680  
    795,000    

3.50%, 11/01/2049(15)

    816,241  
    600,000    

3.50%, 12/01/2049(15)

    616,148  
    11,710,000    

4.00%, 11/01/2049(15)

    12,151,869  
    13,900,000    

5.00%, 12/01/2049(15)

    14,876,258  
     

 

 

 
        78,496,326  
     

 

 

 
    161,320,854  
 

 

 

 
          SLM Student Loan Trust - 0.0%  
    859,270    

SLC Student Loan Trust 3.02%, 06/15/2021, 3 mo. USD LIBOR + 0.900%(2)

    844,479  
     

 

 

 
          SLM Student Loan Trust - 0.1%  
    373,014    

2.47%, 05/26/2026, 1 mo. USD LIBOR + 0.650%(2)

    362,986  
    1,622,918    

2.69%, 04/25/2023, 3 mo. USD LIBOR + 0.750%(2)

    1,603,837  
    1,686,670    

3.44%, 04/25/2023, 3 mo. USD LIBOR + 1.500%(2)

    1,695,834  
    2,522,547    

3.64%, 07/25/2023, 3 mo. USD LIBOR + 1.700%(2)

    2,547,590  
     

 

 

 
        6,210,247  
     

 

 

 
    7,054,726  
     

 

 

 
   

Total U.S. Government Agencies (cost $168,865,845)

  $ 168,375,580  
   

 

 

 
U.S. GOVERNMENT SECURITIES - 11.7%  
          United States - 11.7%  
          U.S. Treasury Bonds - 0.8%  
    18,429,000    

2.25%, 08/15/2049

  $ 18,721,272  
    19,284,000    

3.00%, 02/15/2047

    22,590,905  
     

 

 

 
    41,312,177  
 

 

 

 
          U.S. Treasury Notes - 10.9%  
    132,797,106    

0.13%, 04/15/2022(16)

    131,772,096  
    116,435,000    

1.38%, 04/30/2020(17)

    116,298,552  
    91,100,000    

1.75%, 04/30/2022(18)(19)

    91,591,086  
    74,488,000    

2.00%, 05/31/2024(17)

    76,070,870  
    159,800,000    

2.13%, 07/31/2024

    164,063,414  
     

 

 

 
    579,796,018  
 

 

 

 
    621,108,195  
 

 

 

 
   

Total U.S. Government Securities (cost $612,362,082)

  $ 621,108,195  
   

 

 

 
COMMON STOCKS - 0.0%  
          United States - 0.0%  
    47,282    

Homer City Holdings LLC

  $ 212,769  
     

 

 

 
   

Total Common Stocks
(cost $2,698,660)

  $ 212,769  
   

 

 

 
CONVERTIBLE BONDS - 0.1%  
          Commercial Services - 0.0%  
    1,600,000    

Cardtronics, Inc. 1.00%, 12/01/2020

  $ 1,588,849  
     

 

 

 
          Software - 0.1%  
    1,959,000    

Western Digital Corp. 1.50%, 02/01/2024

    1,857,775  
     

 

 

 
 

Total Convertible Bonds
(cost $3,633,962)

  $ 3,446,624  
   

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  176  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
PREFERRED STOCKS - 0.0%  
          United States - 0.0%  
$     21,100    

GMAC Capital Trust Series 2, 7.94%(2)

  $ 557,251  
     

 

 

 
   

Total Preferred Stocks
(cost $552,899)

  $ 557,251  
   

 

 

 
CONVERTIBLE PREFERRED STOCKS - 0.0%  
          United States - 0.0%  
    27,708    

DTE Energy Co.

  $ 1,407,012  
     

 

 

 
   

Total Convertible Preferred Stocks (cost $1,385,400)

  $ 1,407,012  
   

 

 

 
   

Total Long-Term Investments (cost $5,147,778,713)

  $ 5,180,307,221  
   

 

 

 
SHORT-TERM INVESTMENTS - 2.3%  
          Other Investment Pools & Funds - 2.1%  
    113,129,715    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(20)

  $ 113,129,715  
     

 

 

 
          Securities Lending Collateral - 0.2%  
    364,761    

Citibank NA DDCA,
1.80%, 11/1/2019(20)

    364,761  
    5,117,660    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(20)

    5,117,660  
    82,096    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(20)

    82,096  
    678,843    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(20)

    678,843  
    986,274    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(20)

    986,274  
    65,584    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(20)

    65,584  
     

 

 

 
        7,295,218  
     

 

 

 
   

Total Short-Term Investments
(cost $120,424,933)

  $ 120,424,933  
     

 

 

 
   
                                                                    
   

Total Investments Excluding Purchased Options
(cost $5,268,203,646)

    99.8    $ 5,300,732,154  
   

Total Purchased Options
(cost $4,992,878)

    0.1    $ 6,912,699  
     

 

 

    

 

 

 
   

Total Investments
(cost $5,273,196,524)

    99.9    $ 5,307,644,853  
   

Other Assets and Liabilities

    0.1      3,483,436  
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $ 5,311,128,289  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity Industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $789,125,729, representing 14.9% of net assets.

 

(2) 

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(3) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(4) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(5) 

Securities disclosed are interest-only strips.

 

(6) 

This security, or a portion of this security, was purchased on a when-issued, delayed-delivery or delayed-draw basis. The cost of these securities was $5,676,235 at October 31, 2019.

 

(7) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $772,390,270, representing 14.5% of net assets.

 

(8) 

Security has the ability to pay in kind (“PIK”) or pay income in cash. When applicable, separate rates of such payments are disclosed.

 

(9) 

Represents an unsettled loan commitment. The coupon rate will be determined at time of settlement.

 

(10) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(11) 

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

(12) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(13) 

The rate shown represents current yield to maturity.

 

(14) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(15) 

Represents or includes a TBA transaction.

 

(16) 

The principal amount for this security is adjusted for inflation and the interest payments equal a fixed percentage of the inflation-adjusted principal amount.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  177  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

(17) 

All, or a portion of the security, was pledged as collateral in connection with OTC swap contracts. As of October 31, 2019, the market value of securities pledged was $11,436,903.

 

(18) 

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $21,118,230.

(19) 

All, or a portion of the security, was pledged as collateral in connection with centrally cleared swap contracts. As of October 31, 2019, the market value of securities pledged was $26,642,851.

 

(20) 

Current yield as of period end.

 
OTC Swaption Contracts Outstanding at October 31, 2019  

Description

 

Counter-
party

 

Exercise
Price/
FX Rate/ Rate

  Pay/
Receive
Floating
Rate
    Expiration
Date
   

Notional
Amount

    Number of
Contracts
    Market
Value
    Premiums
Paid
(Received)
by Fund
    Unrealized
Appreciation/
(Depreciation)
 
Purchased swaption contracts:  
Calls                                                  

3 Month USD-LIBOR-BBA Interest Rate Swap Expiring 05/06/57*

  JPM   2.38%     Receive       05/04/27     USD     6,000,000       6,000,000     $ 1,252,800     $ 636,000     $ 616,800  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  BOA   2.45%     Receive       08/02/27     USD     1,195,000       1,195,000       264,334       102,770       161,564  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  JPM   2.45%     Receive       08/02/27     USD     3,200,000       3,200,000       707,840       328,640       379,200  

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 09/24/59*

  DEUT   1.85%     Pay       09/20/29     USD     2,345,000       2,345,000       371,917       383,407       (11,490
               

 

 

   

 

 

   

 

 

 

Total Calls

 

    $ 2,596,891     $ 1,450,817     $ 1,146,074  
   

 

 

   

 

 

   

 

 

 
Puts                                                  

3 Month USD-LIBOR-BBA Interest Rate Swap Expiring 05/06/57*

  JPM   2.38%     Pay       05/04/27     USD     6,000,000       6,000,000     $ 548,220     $ 1,248,000     $ (699,780

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  BOA   2.45%     Pay       08/02/27     USD     1,195,000       1,195,000       104,778       273,655       (168,877

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 08/04/57*

  JPM   2.45%     Pay       08/02/27     USD     3,200,000       3,200,000       280,576       632,320       (351,744

3 Month USD-LIBOR-BBA-Interest Rate Swap Expiring 09/24/59*

  DEUT   1.85%     Receive       09/20/29     USD     2,345,000       2,345,000       375,200       383,408       (8,208
               

 

 

   

 

 

   

 

 

 

Total Puts

 

    $ 1,308,774     $ 2,537,383     $     (1,228,609
               

 

 

   

 

 

   

 

 

 

Total purchased swaption contracts

 

    $     3,905,665     $     3,988,200     $ (82,535
           

 

 

   

 

 

   

 

 

 

 

*

Swaptions with forward premiums.

 

Exchange-Traded Option Contracts Outstanding at October 31, 2019  

Description

   Exercise Price/
FX Rate/ Rate
     Expiration
Date
     Number of
Contracts
     Notional
Amount
    Market
Value
     Premiums
Paid
(Received)
by Fund
     Unrealized
Appreciation/
(Depreciation)
 
Purchased option contracts:  
Calls  

U.S. Treasury 5-Year Futures Options

     119.50    USD        11/22/19        2,322        USD        277,479,000     $ 507,937      $ 167,794      $ 340,143  

U.S. Treasury 5-Year Futures Options

     119.00    USD        11/22/19        5,612        USD        667,828,000       2,499,097        836,884        1,662,213  
                

 

 

    

 

 

    

 

 

 

Total Calls

 

        $ 3,007,034      $ 1,004,678      $ 2,002,356  
                

 

 

    

 

 

    

 

 

 

Total purchased option contracts

                 $     3,007,034      $     1,004,678      $     2,002,356  
                

 

 

    

 

 

    

 

 

 

 

Exchange-Traded Options Contracts Outstanding at October 31, 2019  

Description

   Exercise
Price/ FX
Rate/ Rate
     Expiration
Date
     Number of
Contracts
    Notional
Amount
    Market
Value
    Premiums
Paid
(Received)
by Fund
    Unrealized
Appreciation/
(Depreciation)
 
Written option contracts:  
Calls  

U.S. Treasury 5-Year Futures Options

     120.00    USD        11/22/19        (7,934     USD       (952,080,000   $ (743,813   $ (670,463   $ (73,350
              

 

 

   

 

 

   

 

 

 

Total written option contracts

 

    $     (743,813   $     (670,463   $     (73,350
              

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  178  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

Australian 3-Year Bond Future

     3,479        12/16/2019      $ 276,680,582      $ (210,279

Australian 10-Year Bond Future

     335        12/16/2019        33,671,991        (121,275

Canadian Government 10-Year Bond Future

     1,219        12/18/2019        131,460,603        1,506,215  

Euro-BTP Future

     223        12/06/2019        35,931,398        (230,215

U.S. Treasury 2-Year Note Future

     1,247        12/31/2019        268,855,148        392,315  

U.S. Treasury 5-Year Note Future

     11,754        12/31/2019            1,401,113,531        (3,479,715

U.S. Treasury 10 Year Ultra Future

     14        12/19/2019        1,989,531        (26,932

U.S. Treasury 10-Year Note Future

     2,980        12/19/2019        388,284,688        956,181  
           

 

 

 

Total

 

   $ (1,213,705
           

 

 

 

Short position contracts:

 

Euro-BOBL Future

     13        12/06/2019      $ 1,951,841      $ 712  

Euro-Bund Future

     242        12/06/2019        46,358,457        293,389  

Euro-Schatz Future

     415        12/06/2019        51,871,529        71,579  

Long Gilt Future

     2,672        12/27/2019        459,782,589        (2,572,678

U.S. Treasury Long Bond Future

     74        12/19/2019        11,941,750        (92,575

U.S. Treasury Ultra Bond Future

     1,189        12/19/2019        225,612,750        699,013  
           

 

 

 

Total

 

   $ (1,600,560
           

 

 

 

Total futures contracts

 

   $     (2,814,265
           

 

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

  Counterparty   Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

CMBX.NA.BBB-.11

  MSC     USD       3,750,000      (3.00%)      11/18/54        Monthly      $ 183,687      $     —     $ 114,399     $ (69,288

CMBX.NA.BBB-.7

  MSC     USD       970,000      (3.00%)      01/17/47        Monthly        11,436              4,126       (7,310

CMBX.NA.BBB-.9

  BCLY     USD       3,700,000      (3.00%)      09/17/58        Monthly        145,294              74,220       (71,074
                 

 

 

    

 

 

   

 

 

   

 

 

 

Total

        $ 340,417      $     $ 192,745     $ (147,672
                 

 

 

    

 

 

   

 

 

   

 

 

 

Total traded indices

        $     340,417      $     $ 192,745     $     (147,672
                 

 

 

    

 

 

   

 

 

   

 

 

 
Credit default swaps on single-name issues:  
Buy protection:  

Algeco Global Finance plc

  GSC     EUR       920,000      (5.00%)      12/20/24        Quarterly      $      $ (19,844   $ (38,636   $ (18,792

Banco Santander S.A.

  BNP     EUR       4,370,000      (1.00%)      06/20/23        Quarterly               (56,189     (86,292     (30,103

Banco Santander S.A.

  BNP     EUR       6,880,000      (1.00%)      06/20/23        Quarterly               (88,462     (135,855     (47,393

Deutsche Bank AG

  MSC     EUR       5,470,000      (1.00%)      12/20/24        Quarterly        720,936              649,103       (71,833

Ineos Group Holdings S.A.

  BOA     EUR       6,800,000      (5.00%)      12/20/24        Quarterly               (1,040,358     (1,071,007     (30,649

Loxam S.A.S.

  GSC     EUR       970,000      (5.00%)      12/20/24        Quarterly        18,878              10,798       (8,080

MDC Holdings, Inc.

  JPM     USD       3,075,000      (1.00%)      03/20/20        Quarterly        8,352              (14,526     (22,878

Naturgy Energy Group S.A.

  GSC     EUR       14,200,000      (1.00%)      12/20/23        Quarterly               (162,264     (461,700     (299,436

Tesco plc

  BCLY     EUR       15,550,000      (1.00%)      06/20/23        Quarterly               (32,774     (238,048     (205,274
                 

 

 

    

 

 

   

 

 

   

 

 

 

Total

        $ 748,166      $     (1,399,891   $     (1,386,163   $ (734,438
       

 

 

    

 

 

   

 

 

   

 

 

 

Credit default swaps on single-name issues:

 

Sell protection:  

Liberty Interactive LLC

  GSC     USD       1,425,000      5.00%      03/20/20        Quarterly      $ 12,695      $     $ 34,888     $ 22,193  

Liberty Interactive LLC

  BCLY     USD       850,000      5.00%      03/20/20        Quarterly        6,523              20,810       14,287  
                 

 

 

    

 

 

   

 

 

   

 

 

 

Total

        $ 19,218      $     $ 55,698     $ 36,480  
                 

 

 

    

 

 

   

 

 

   

 

 

 

Total single-name issues

      $ 767,384      $ (1,399,891   $ (1,330,465   $ (697,958
                 

 

 

    

 

 

   

 

 

   

 

 

 

Total OTC contracts

        $     1,107,801      $     (1,399,891   $     (1,137,720   $     (845,630
                 

 

 

    

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

The accompanying notes are an integral part of these financial statements.

 

 

  179  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Centrally Cleared Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Notional
Amount (a)
    (Pay)/Receive
Fixed Rate
    Expiration
Date
     Periodic
Payment
Frequency
     Cost Basis     Value     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

ITRAXX.FIN.SEN.32.V1

   EUR      103,225,000       (1.00 %)      12/20/24        Quarterly      $ (1,805,309   $ (2,483,138   $ (677,829

ITRAXX.SUB.FIN.16

   EUR      820,000       (5.00 %)      12/20/24        Quarterly        (163,559     (183,526     (19,967
               

 

 

   

 

 

   

 

 

 

Total

 

        $ (1,968,868   $ (2,666,664   $ (697,796
               

 

 

   

 

 

   

 

 

 
Credit default swaps on indices:  
Sell protection:  

CDX.NA.HY.33.V1

   USD      16,785,000       5.00     12/20/24        Quarterly      $ 1,087,250     $ 1,291,051     $ 203,801  

ITRAXX.EUR.32.V1

   EUR      10,167,500       1.00     12/20/24        Quarterly        267,409       294,705       27,296  
               

 

 

   

 

 

   

 

 

 

Total

 

        $ 1,354,659     $ 1,585,756     $ 231,097  
               

 

 

   

 

 

   

 

 

 
Credit default swaps on single-name issues:  
Buy protection:  

BMW AG

   EUR      9,150,000       (1.00 %)      12/20/24        Quarterly      $ (245,091   $ (226,414   $ 18,677  

Dillard’s, Inc.

   USD      3,670,000       (5.00 %)      12/20/24        Quarterly        (573,006     (653,026     (80,020

Kohl’s Corp.

   USD      4,080,000       (1.00 %)      12/20/24        Quarterly        91,821       83,101       (8,720

Tenet Healthcare Corp.

   USD      8,240,000       (5.00 %)      12/20/24        Quarterly        (276,238     (513,948     (237,710
               

 

 

   

 

 

   

 

 

 

Total

 

        $ (1,002,514   $ (1,310,287   $ (307,773
               

 

 

   

 

 

   

 

 

 

Total single-name issues

 

        $ (1,002,514   $ (1,310,287   $ (307,773
               

 

 

   

 

 

   

 

 

 

Total

 

        $     (1,616,723   $     (2,391,195   $     (774,472
               

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Value     Unrealized
Appreciation/
(Depreciation)
 

1 Mo. MXIBTIIE

  

6.72% Fixed

   MXN     1,631,887,000        12/05/29      Lunar    $     166,576      $     $ (619,550   $ (786,126

12 Mo. SONIA

  

0.50% Fixed

   GBP     423,931,000        12/16/21      Annual      141,833              61,492       (80,341

12 Mo. SONIA

  

0.41% Fixed

   GBP     105,989,000        10/22/28      Annual                 (880,125         (1,551,917         (671,792

3 Mo. CAD CDOR

  

2.09% Fixed

   CAD     35,851,000        09/15/24      Semi-Annual             (7,541     (279,947     (272,406

3 Mo. CAD CDOR

  

2.06% Fixed

   CAD     47,560,000        09/18/24      Semi-Annual      4,274              (506,855     (511,129

3 Mo. CAD CDOR

  

1.78% Fixed

   CAD     11,572,000        03/18/30      Semi-Annual      18,716              50,814       32,098  

3 Mo. NZD NZDBBR FRA

  

1.77% Fixed

   NZD     105,105,000        06/16/23      Semi-Annual                   938,409       938,409  

3 Mo. NZD NZDBBR FRA

  

1.80% Fixed

   NZD     78,665,000        06/16/23      Semi-Annual                   728,303       728,303  

3 Mo. NZD NZDBBR FRA

  

1.77% Fixed

   NZD     17,890,000        06/16/23      Semi-Annual                   158,942       158,942  

3 Mo. NZD NZDBBR FRA

  

1.39% Fixed

   NZD     102,266,930        09/15/23      Semi-Annual                   391,891       391,891  

3 Mo. NZD NZDBBR FRA

  

1.40% Fixed

   NZD     52,714,620        09/15/23      Semi-Annual                   209,708       209,708  

3 Mo. NZD NZDBBR FRA

  

1.39% Fixed

   NZD     52,100,450        09/15/23      Semi-Annual                   202,371       202,371  

3 Mo. NZD NZDBBR FRA

  

1.07% Fixed

   NZD     48,855,000        12/15/23      Semi-Annual                   (24,151     (24,151

3 Mo. NZD NZDBBR FRA

  

1.07% Fixed

   NZD     73,965,000        12/15/23      Semi-Annual                   (37,027     (37,027

3 Mo. NZD NZDBBR FRA

  

1.00% Fixed

   NZD     49,595,000        12/15/23      Semi-Annual                   (64,490     (64,490

3 Mo. NZD NZDBBR FRA

  

1.00% Fixed

   NZD     107,865,000        12/15/23      Semi-Annual                   (146,327     (146,327

3 Mo. NZD NZDBBR FRA

  

0.96% Fixed

   NZD     83,457,000        12/15/23      Semi-Annual                   (149,195     (149,195

3 Mo. NZD NZDBBR FRA

  

0.98% Fixed

   NZD     97,682,000        12/15/23      Semi-Annual                   (152,959     (152,959

3 Mo. NZD NZDBBR FRA

  

2.19% Fixed

   NZD     39,109,000        09/15/24      Semi-Annual      25,166              761,386       736,220  

3 Mo. NZD NZDBBR FRA

  

1.13% Fixed

   NZD     29,036,000        03/18/25      Semi-Annual             (17,325     (8,903     8,422  

3 Mo. NZD NZDBBR FRA

  

2.97% Fixed

   NZD     27,960,000        06/19/29      Semi-Annual      2,091              1,056,313       1,054,222  

3 Mo. NZD NZDBBR FRA

  

1.44% Fixed

   NZD     13,400,000        03/18/30      Semi-Annual             (10,946     (16,147     (5,201

3 Mo. SEK STIBOR

  

0.72% Fixed

   SEK     235,927,000        09/15/24      Annual             (1,239     365,728       366,967  

3 Mo. SEK STIBOR

  

0.50% Fixed

   SEK     166,067,000        09/18/24      Annual             (630     273,054       273,684  

3 Mo. SEK STIBOR

  

0.06% Fixed

   SEK     805,396,000        12/18/24      Annual             (167,052     (606,808     (439,756

3 Mo. SEK STIBOR

  

0.09% Fixed

   SEK     2,113,614,000        12/18/24      Annual      279,800              (1,262,775     (1,542,575

3 Mo. SEK STIBOR

  

1.72% Fixed

   SEK     142,216,000        03/20/29      Annual             (1,627     806,328       807,955  

3 Mo. SEK STIBOR

  

0.50% Fixed

   SEK     406,376,000        12/18/29      Annual      124,935              214,672       89,737  

3 Mo. SEK STIBOR

  

0.34% Fixed

   SEK     78,379,000        03/18/30      Annual             (86,659     (102,915     (16,256

3 Mo. USD LIBOR

  

1.78% Fixed

   USD     27,995,000        12/15/24      Semi-Annual      23,052              (275,001     (298,053

3 Mo. USD LIBOR

  

1.53% Fixed

   USD     38,139,000        03/18/25      Semi-Annual      96,981              (147,845     (244,826

 

The accompanying notes are an integral part of these financial statements.

 

 

  180  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019 – (continued)  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Value     Unrealized
Appreciation/
(Depreciation)
 

3 Mo. USD LIBOR

  

2.79% Fixed

   USD     33,942,000        09/30/25      Semi-Annual    $      $     $ (2,507,799   $ (2,507,799

3 Mo. USD LIBOR

  

2.69% Fixed

   USD     8,555,000        09/18/29      Semi-Annual             (38,946     (865,496     (826,550

3 Mo. USD LIBOR

  

2.88% Fixed

   USD     1,475,000        12/31/48      Semi-Annual                   (392,256     (392,256

3 Mo. USD LIBOR

  

2.87% Fixed

   USD     737,500        01/28/49      Semi-Annual                   (194,126     (194,126

3 Mo. USD LIBOR

  

2.39% Fixed

   USD     1,450,000        05/31/49      Semi-Annual                   (215,374     (215,374

3 Mo. USD LIBOR

  

1.79% Fixed

   USD     1,635,000        09/24/49      Semi-Annual                   1,530       1,530  

3 Mo. ZAR JIBAR

  

7.53% Fixed

   ZAR     1,414,394,000        12/18/29      Quarterly      129,287              1,993,573       1,864,286  

6 Mo. AUD BBSW

  

1.84% Fixed

   AUD     37,316,000        09/15/24      Semi-Annual                   607,265       607,265  

6 Mo. AUD BBSW

  

1.41% Fixed

   AUD     26,234,000        12/18/24      Semi-Annual      205,024              345,766       140,742  

6 Mo. AUD BBSW

  

2.25% Fixed

   AUD     27,325,000        09/18/29      Semi-Annual      25,293              597,783       572,490  

6 Mo. AUD BBSW

  

1.34% Fixed

   AUD     12,368,000        03/18/30      Semi-Annual             (31,939     26,874       58,813  

6 Mo. EUR EURIBOR

  

0.41% Fixed

   EUR     21,843,000        09/15/24      Annual      29,950              463,215       433,265  

6 Mo. EUR EURIBOR

  

0.00% Fixed

   EUR     16,206,000        03/18/25      Annual             (9,516     (90,685     (81,169

6 Mo. EUR EURIBOR

  

1.16% Fixed

   EUR     14,858,000        09/18/29      Annual      896              731,852       730,956  

6 Mo. EUR EURIBOR

  

0.00% Fixed

   EUR     7,155,000        03/18/30      Annual             (106,540     (147,010     (40,470

6 Mo. GBP LIBOR

  

0.81% Fixed

   GBP     30,449,000        03/18/25      Semi-Annual      4,679              (139,919     (144,598

6 Mo. GBP LIBOR

  

0.72% Fixed

   GBP     6,887,000        12/18/29      Semi-Annual             (11,252     86,402       97,654  

6 Mo. HUF BUBOR

  

3.06% Fixed

   HUF     7,023,427,000        03/20/29      Annual      52,452                  (1,532,543     (1,584,995

6 Mo. JPY LIBOR

  

0.00% Fixed

   JPY     2,811,383,000        12/15/24      Semi-Annual      10,161              13,012       2,851  

6 Mo. NOK NIBOR

  

1.91% Fixed

   NOK     233,760,000        09/15/24      Annual             (851     (98,877     (98,026

6 Mo. NOK NIBOR

  

1.72% Fixed

   NOK     348,391,000        03/18/25      Annual      61,358              183,672       122,314  

6 Mo. NOK NIBOR

  

1.91% Fixed

   NOK     77,415,000        12/18/29      Annual             (38,061     (46,771     (8,710

6 Mo. PLN WIBOR

  

1.78% Fixed

   PLN     234,808,000        12/18/29      Annual      225,633              99,651       (125,982
                

 

 

    

 

 

   

 

 

   

 

 

 

Total

                 $     1,628,157      $     (1,410,249   $     (813,662   $     (1,031,570
                

 

 

    

 

 

   

 

 

   

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  216,790,000      AUD      146,541,352      USD    JPM      11/05/19     $     2,927,601     $  
  357,442,000      AUD      245,800,437      USD    DEUT      11/05/19       643,039        
  17,722,000      AUD      11,895,427      USD    UBS      11/05/19       323,258        
  8,525,000      AUD      5,758,540      USD    MSC      11/05/19       119,144        
  4,725,000      AUD      3,165,419      USD    ANZ      11/05/19       92,299        
  3,655,000      AUD      2,470,146      USD    BCLY      11/05/19       49,845        
  4,537,000      AUD      3,105,708      USD    DEUT      11/29/19       24,378        
  115,766,000      AUD      79,768,562      USD    DEUT      12/04/19       109,503        
  3,820,000      AUD      2,633,837      USD    CIBC      12/04/19       1,948        
  25,235,000      BRL      6,117,576      USD    DEUT      11/04/19       172,999        
  69,720,000      BRL      17,433,280      USD    JPM      11/04/19                 (53,495
  180,168,000      CAD      136,097,541      USD    RBC      11/05/19       731,447       (36,070
  11,565,000      CAD      8,721,219      USD    BCLY      11/05/19       63,338       (3,808
  15,105,000      CAD      11,411,530      USD    JPM      11/05/19       70,155       (13,182
  8,260,000      CAD      6,247,254      USD    RBS      11/05/19       24,168        
  706,000      CAD      535,508      USD    CBK      11/05/19       524        
  125,379,000      CHF      125,742,705      USD    CBK      11/05/19           1,404,550        
  144,690,000      CHF      145,604,682      USD    BOA      11/05/19       1,125,922        
  165,517,000      CHF      167,382,329      USD    MSC      11/05/19       469,002        
  31,203,000      CHF      31,365,411      USD    JPM      11/05/19       277,655        
  8,207,000      CHF      8,247,338      USD    BCLY      11/05/19       75,407        
  346,145,000      CHF      351,483,686      USD    UBS      12/04/19       313,284        
  7,854,300,000      CLP      10,711,099      USD    CBK      11/05/19                 (118,754
  8,429,000,000      CLP      11,583,070      USD    HSBC      11/05/19             (215,681
  52,177,000      CNH      7,354,019      USD    HSBC      12/18/19       38,909        
  75,914,000      CNH      10,722,577      USD    GSC      12/18/19       33,634        
  50,346,000      CNH      7,111,496      USD    DEUT      12/18/19       22,001        
  34,204,232,000      COP      10,118,099      USD    CBK      11/05/19             (224
  12,754,200,000      COP      3,757,867      USD    CBK      12/04/19       10,993        
  559,557,000      DKK      83,376,056      USD    BCLY      11/05/19       188,645        
  6,602,876,000      DKK      987,567,454      USD    CBK      11/05/19             (1,488,536
  900,943,000      DKK      134,442,387      USD    HSBC      12/04/19       394,306        
  281,867,000      EUR      311,593,227      USD    CBK      11/05/19       2,889,705        

 

The accompanying notes are an integral part of these financial statements.

 

 

  181  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  60,317,000      EUR      66,682,856      USD    SSG      11/05/19     $ 613,659     $  
  60,316,000      EUR      66,681,932      USD    RBS      11/05/19       613,468        
  119,296,000      EUR      132,678,446      USD    DEUT      11/05/19       421,760        
  14,941,000      EUR      16,402,529      USD    BOA      11/05/19       267,353        
  7,471,000      EUR      8,214,902      USD    BCLY      11/05/19       120,596        
  60,007,000      EUR      66,876,119      USD    JPM      11/05/19       88,932       (14,405
  1,061,000      EUR      1,176,063      USD    MSC      11/05/19       7,709        
  2,361,000      EUR      2,630,240      USD    BNP      11/29/19       7,920        
  1,037,000      EUR      1,152,778      USD    CBK      11/29/19       5,956        
  3,420,000      EUR      3,817,688      USD    SSG      11/29/19       3,789        
  479,858,000      EUR      535,603,104      USD    SSG      12/04/19       806,541        
  8,047,000      EUR      8,962,536      USD    JPM      12/04/19       32,810        
  1,987,000      EUR      2,221,152      USD    CIBC      12/04/19       17        
  51,371,000      GBP      63,296,670      USD    CBK      11/05/19       3,258,506        
  57,083,000      GBP      72,895,191      USD    JPM      11/05/19       1,060,329        
  20,911,000      GBP      26,759,071      USD    GSC      11/05/19       332,777        
  39,160,000      GBP      50,633,880      USD    TDB      11/05/19       100,985        
  2,712,000      GBP      3,445,952      USD    BCLY      11/05/19       67,657        
  981,000      GBP      1,210,897      USD    MSC      11/05/19       60,065        
  1,281,000      GBP      1,646,062      USD    BCLY      11/29/19       14,782        
  51,023,000      GBP      66,032,793      USD    TDB      12/04/19       133,083        
  1,585,547,000      HUF      5,172,115      USD    SCB      11/05/19       211,138        
  1,875,300,000      HUF      6,350,276      USD    BCLY      11/05/19       16,746        
  1,585,547,000      HUF      5,376,432      USD    BCLY      12/04/19       14,784        
  102,065,000,000      IDR      7,171,515      USD    CBK      11/05/19       95,466        
  59,699,000,000      IDR      4,244,508      USD    CSFB      11/05/19       6,033        
  161,764,000,000      IDR      11,492,104      USD    BNP      12/04/19             (7,384
  13,020,000      ILS      3,696,134      USD    CBK      11/05/19             (929
  27,840,000      ILS      8,002,530      USD    BNP      11/05/19             (101,263
  636,370,000      INR      8,983,952      USD    CBK      11/05/19             (16,958
  1,780,929,000      INR      25,124,512      USD    SCB      11/05/19       20,793       (50,501
  993,229,000      INR      13,962,592      USD    HSBC      12/04/19             (4,791
  993,230,000      INR      13,980,294      USD    DEUT      12/04/19             (22,479
  107,887,196,000      JPY      997,760,746      USD    MSC      11/05/19       1,576,133        
  14,632,100,000      JPY      135,139,155      USD    BCLY      11/05/19       394,974        
  458,300,000      JPY      4,225,353      USD    BOA      11/05/19       19,785        
  14,114,330,000      JPY      131,249,574      USD    JPM      11/05/19       236,988       (748,432
  108,325,398,000      JPY      996,190,882      USD    MSC      12/04/19       8,999,603        
  360,933,277,000      KRW      309,269,809      USD    JPM      11/05/19       993,102        
  17,251,292,000      KRW      14,406,691      USD    HSBC      11/05/19       422,743        
  2,912,540,000      KRW      2,430,966      USD    GSC      11/05/19       72,691        
  3,712,550,000      KRW      3,161,770      USD    SCB      11/05/19       29,586        
  3,369,450,000      KRW      2,873,976      USD    BCLY      11/05/19       22,446        
  245,113,000      MXN      12,358,971      USD    CBK      11/05/19       371,999        
  92,560,000      MXN      4,843,537      USD    DEUT      11/05/19             (36,046
  10,435,000      NOK      1,135,146      USD    MSC      11/05/19             (379
  4,743,000      NOK      519,857      USD    CBK      11/05/19             (4,074
  117,573,000      NOK      12,805,352      USD    JPM      11/05/19       19,209       (38,943
  31,760,000      NOK      3,481,163      USD    CSFB      11/05/19             (27,382
  209,853,000      NOK      22,969,709      USD    SSG      11/05/19                 (148,987
  587,521,000      NOK      64,098,917      USD    BCLY      11/05/19       5,868       (214,093
  197,839,000      NOK      21,824,050      USD    BNP      11/05/19             (309,805
  178,416,000      NOK      19,423,551      USD    MSC      12/04/19             (18,710
  62,869,000      NZD      39,167,746      USD    DEUT      11/05/19           1,143,867        
  45,371,000      NZD      28,598,066      USD    JPM      11/05/19       493,829        
  4,515,000      NZD      2,831,397      USD    GSC      11/05/19       63,622        
  6,396,000      NZD      4,054,077      USD    BCLY      11/05/19       47,040        
  3,503,000      NZD      2,222,067      USD    MSC      11/05/19       24,058        
  881,000      NZD      554,427      USD    CBK      11/05/19       10,471        
  10,225,000      NZD      6,562,906      USD    WEST      11/05/19             (6,634
  14,125,000      PEN      4,224,932      USD    CBK      11/05/19             (2,509
  8,213,000      PEN      2,459,645      USD    CBK      12/04/19             (6,687
  139,534,000      PLN      34,767,100      USD    UBS      11/05/19       1,754,867        
  64,860,000      PLN      16,169,358      USD    JPM      11/05/19       807,255        

 

The accompanying notes are an integral part of these financial statements.

 

 

  182  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  9,814,000      PLN      2,570,732      USD    SSG      12/04/19     $     $ (1,501
  301,093,000      RUB      4,611,943      USD    JPM      11/05/19       80,501        
  381,982,000      RUB      5,941,546      USD    BOA      11/05/19       11,528        
  168,290,000      RUB      2,622,565      USD    DEUT      11/05/19       184        
  219,480,000      RUB      3,423,785      USD    CBK      11/05/19             (3,255
  151,829,000      SEK      15,486,372      USD    JPM      11/05/19       242,697        
  71,870,000      SEK      7,330,747      USD    MSC      11/05/19       114,788        
  37,800,000      SEK      3,843,954      USD    CBK      11/05/19       72,023        
  70,219,000      SEK      7,220,807      USD    BCLY      11/05/19       60,662       (6,973
  2,347,948,000      SEK      243,474,672      USD    BOA      11/05/19             (233,676
  18,605,000      SGD      13,534,630      USD    HSBC      11/05/19       141,567        
  9,560,000      SGD      6,900,136      USD    MSC      11/05/19       127,246        
  152,510,000      SGD      112,024,387      USD    BOA      11/05/19       82,935        
  13,411,000      SGD      9,791,112      USD    JPM      11/05/19       67,070        
  2,234,000      SGD      1,640,190      USD    CBK      11/05/19       1,982        
  19,020,000      SGD      13,975,265      USD    BOA      12/04/19       10,262        
  4,675,000      SGD      3,435,669      USD    JPM      12/04/19       1,889        
  437,208,000      THB      14,293,448      USD    HSBC      11/05/19       186,549        
  202,510,000      THB      6,651,885      USD    JPM      11/05/19       55,092        
  559,948,000      THB      18,520,474      USD    JPM      12/04/19       29,716        
  271,347,000      TRY      45,760,732      USD    CBK      11/05/19       1,639,494        
  634,961,000      TRY      109,924,557      USD    GSC      11/05/19       1,000,721       (7,172
  67,042,000      TRY      11,591,336      USD    BCLY      11/05/19       119,889        
  46,859,000      TRY      8,199,157      USD    JPM      11/05/19             (13,596
  42,215,000      TRY      7,315,230      USD    GSC      12/04/19       322        
  348,516,000      TWD      11,278,621      USD    MSC      11/05/19       173,262        
  137,180,000      TWD      4,517,701      USD    DEUT      12/04/19             (4,603
  128,106,000      TWD      4,270,485      USD    MSC      12/04/19             (55,912
  525,142      USD      776,000      AUD    CBK      11/05/19             (9,883
  2,152,939      USD      3,188,000      AUD    BCLY      11/05/19             (45,073
  3,129,677      USD      4,635,000      AUD    CIBC      11/05/19             (65,990
  4,554,259      USD      6,718,000      AUD    MSC      11/05/19             (77,561
  79,704,890      USD      115,766,000      AUD    DEUT      11/05/19             (111,626
  124,605,897      USD      184,260,000      AUD    JPM      11/05/19       1,744       (2,436,527
  112,354,426      USD      163,057,000      AUD    DEUT      12/04/19             (154,236
  50,020,662      USD      72,823,000      AUD    JPM      12/04/19             (226,909
  6,302,290      USD      25,235,000      BRL    DEUT      11/04/19       11,715        
  16,751,964      USD      69,720,000      BRL    JPM      11/04/19             (627,821
  11,110,972      USD      44,485,000      BRL    JPM      12/03/19       41,706        
  6,851,921      USD      27,555,000      BRL    DEUT      12/03/19             (4,629
  18,978,394      USD      24,987,000      CAD    JPM      11/05/19       56,392       (49,427
  1,183,686      USD      1,553,000      CAD    CBK      11/05/19       5,406       (839
  3,222,426      USD      4,244,000      CAD    BCLY      11/05/19       9,802       (9,641
  530,274      USD      706,000      CAD    MSC      11/05/19             (5,758
  1,050,313,539      USD      1,391,030,000      CAD    RBC      11/05/19                 (5,828,810
  133,433,216      USD      174,558,000      CAD    JPM      12/04/19           887,183        
  3,800,644      USD      4,995,000      CAD    BNP      12/04/19       7,822        
  167,689,783      USD      222,960,000      CAD    RBS      01/09/20             (1,661,932
  1,104,561      USD      1,096,000      CHF    MSC      11/05/19             (6,897
  2,212,257      USD      2,192,000      CHF    BCLY      11/05/19       196       (10,854
  15,915,989      USD      15,785,000      CHF    BOA      11/05/19             (91,632
  33,993,562      USD      33,675,000      CHF    CBK      11/05/19             (156,366
  350,739,690      USD      346,145,000      CHF    UBS      11/05/19             (287,090
  75,543,070      USD      74,897,000      CHF    JPM      11/05/19             (410,223
  10,829,942      USD      7,854,300,000      CLP    CBK      11/05/19       237,595        
  11,511,920      USD      8,429,000,000      CLP    HSBC      11/05/19       144,531        
  11,589,918      USD      8,429,000,000      CLP    HSBC      12/04/19       214,008        
  21,626,736      USD      154,177,000      CNH    BCLY      12/18/19             (218,514
  9,863,722      USD      34,204,232,000      COP    CBK      11/05/19             (254,152
  10,109,785      USD      34,204,232,000      COP    CBK      12/04/19       2,450        
  1,049,340,795      USD      7,162,433,000      DKK    MSC      11/05/19             (20,302,824
  989,628,564      USD      6,602,876,000      DKK    CBK      12/04/19       1,430,689        
  1,633,778      USD      1,480,000      EUR    BCLY      11/05/19             (17,479
  3,398,847      USD      3,070,000      EUR    MSC      11/05/19       525       (26,919

 

The accompanying notes are an integral part of these financial statements.

 

 

  183  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  90,903,035      USD      81,787,000      EUR    BOA      11/05/19     $     $ (347,859
  73,762,672      USD      66,739,000      EUR    JPM      11/05/19             (698,955
  146,593,971      USD      133,678,000      EUR    CBK      11/05/19             (2,552,435
  87,980,600      USD      79,144,369      EUR    CBK      11/29/19             (454,597
  56,296,597      USD      50,351,000      EUR    JPM      12/04/19       11,692        
  180,078,403      USD      161,336,000      EUR    SSG      12/04/19             (271,172
  1,103,894      USD      892,000      GBP    MSC      11/05/19             (51,762
  9,062,315      USD      7,040,000      GBP    GSC      11/05/19             (58,559
  65,972,739      USD      51,023,000      GBP    TDB      11/05/19             (131,576
  5,727,209      USD      4,556,000      GBP    BCLY      11/05/19       2,558       (178,005
  35,294,757      USD      27,416,000      GBP    BOA      11/05/19             (224,830
  32,007,551      USD      24,974,000      GBP    CBK      11/05/19             (348,233
  56,722,692      USD      44,453,000      GBP    JPM      11/05/19             (869,673
  2,730,587      USD      2,125,000      GBP    BCLY      11/29/19             (24,521
  50,679,971      USD      39,160,000      GBP    TDB      12/04/19             (102,141
  10,904,872      USD      3,220,747,000      HUF    BCLY      11/05/19             (30,214
  783,215      USD      240,100,000      HUF    SCB      11/05/19             (31,973
  6,358,956      USD      1,875,300,000      HUF    BCLY      12/04/19             (17,486
  11,518,371      USD      161,764,000,000      IDR    BNP      11/05/19       849        
  3,691,884      USD      13,015,000      ILS    HSBC      11/05/19             (1,901
  7,887,716      USD      27,845,000      ILS    GSC      11/05/19       825       (15,795
  3,701,256      USD      13,020,000      ILS    CBK      12/04/19       763        
  14,008,886      USD      993,230,000      INR    DEUT      11/05/19       13,430        
  14,000,973      USD      993,229,000      INR    HSBC      11/05/19       5,531        
  6,003,065      USD      430,840,000      INR    SCB      11/05/19             (67,837
  16,406,192      USD      1,748,001,000      JPY    BOA      11/05/19       214,819        
  20,932,692      USD      2,248,619,000      JPY    JPM      11/05/19       142,484       (38,286
  526,281      USD      56,463,000      JPY    BCLY      11/05/19       3,276        
  84,093,716      USD      9,119,432,000      JPY    CBK      11/05/19             (377,705
  1,006,058,050      USD      109,573,798,000      JPY    MSC      11/05/19             (8,901,476
  87,707,992      USD      9,537,332,000      JPY    MSC      12/04/19             (792,355
  125,846,928      USD      13,499,600,000      JPY    JPM      01/21/20       132,289        
  4,475,891      USD      5,250,220,000      KRW    CBK      11/05/19             (37,266
  88,885,794      USD      106,602,511,000      KRW    JPM      11/05/19             (2,751,102
  230,854,890      USD      276,326,378,000      KRW    BNP      11/05/19             (6,678,837
  309,456,739      USD      360,933,277,000      KRW    JPM      12/04/19             (999,464
  36,003,356      USD      690,220,000      MXN    DEUT      11/05/19       153,890        
  17,128,050      USD      327,472,000      MXN    CBK      11/05/19       130,867       (11,446
  3,904,954      USD      75,350,000      MXN    DEUT      12/04/19       8,810        
  84,820,464      USD      768,913,000      NOK    BNP      11/05/19       1,204,077        
  13,535,596      USD      123,564,000      NOK    JPM      11/05/19       104,162       (5,685
  3,548,018      USD      32,324,000      NOK    BCLY      11/05/19       32,906        
  19,420,697      USD      178,416,000      NOK    MSC      11/05/19       18,630        
  1,091,567      USD      9,918,000      NOK    SSG      11/05/19       13,022        
  2,892,772      USD      26,640,000      NOK    CBK      11/05/19             (4,227
  3,950,388      USD      36,420,000      NOK    CBK      12/04/19             (10,716
  24,744,638      USD      38,577,000      NZD    UBS      11/05/19       9,059        
  1,057,468      USD      1,666,000      NZD    CBK      11/05/19       1,903       (12,674
  2,623,088      USD      4,180,000      NZD    CIBC      11/05/19             (57,129
  4,654,104      USD      7,398,000      NZD    BCLY      11/05/19             (89,494
  17,746,264      USD      27,953,000      NZD    JPM      11/05/19       5,769       (182,974
  393,868,502      USD      627,869,000      NZD    MSC      11/05/19             (8,721,207
  4,204,803      USD      14,125,000      PEN    CBK      11/05/19       6,797       (24,416
  3,017,647      USD      12,111,000      PLN    UBS      11/05/19             (152,316
  8,221,747      USD      32,430,000      PLN    BCLY      11/05/19             (266,559
  16,369,954      USD      64,860,000      PLN    BOA      11/05/19             (606,659
  27,554,540      USD      108,555,000      PLN    CBK      11/05/19             (858,908
  6,123,235      USD      23,376,000      PLN    SSG      12/04/19       3,575        
  2,190,043      USD      143,404,000      RUB    GSC      11/05/19             (44,865
  3,412,231      USD      223,740,000      RUB    DEUT      11/05/19             (74,689
  3,277,556      USD      215,106,000      RUB    CBK      11/05/19             (74,806
  4,958,359      USD      319,120,000      RUB    DEUT      12/04/19       4,902        
  6,847,358      USD      66,370,000      SEK    CBK      11/05/19             (28,393
  4,212,050      USD      41,048,000      SEK    BCLY      11/05/19             (40,411

 

The accompanying notes are an integral part of these financial statements.

 

 

  184  

 


The Hartford World Bond Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  18,126,805      USD      176,734,000      SEK    JPM      11/05/19     $ 25,425     $ (207,780
  42,251,770      USD      410,070,000      SEK    SSG      11/05/19             (230,362
  204,051,709      USD      1,996,674,000      SEK    MSC      11/05/19             (2,798,261
  243,853,342      USD      2,347,948,000      SEK    BOA      12/04/19       219,355        
  13,970,912      USD      19,020,000      SGD    BOA      11/05/19             (10,343
  4,460,978      USD      6,185,000      SGD    JPM      11/05/19             (85,503
  123,505,933      USD      171,115,000      SGD    MSC      11/05/19             (2,277,585
  112,059,287      USD      152,510,000      SGD    BOA      12/04/19             (82,288
  21,146,998      USD      639,718,000      THB    JPM      11/05/19             (39,977
  122,303,812      USD      699,219,000      TRY    JPM      11/05/19       189,518       (28,716
  15,263,036      USD      90,250,000      TRY    CBK      11/05/19             (502,277
  27,656,033      USD      161,344,000      TRY    BCLY      11/05/19             (528,329
  102,734,379      USD      597,108,000      TRY    GSC      11/05/19             (1,571,379
  4,250,365      USD      128,106,000      TWD    MSC      11/05/19       40,931        
  7,095,123      USD      220,410,000      TWD    UBS      11/05/19             (147,327
  16,082,799      USD      240,474,000      ZAR    HSBC      11/05/19       279,977       (99,364
  71,594,492      USD      1,082,103,000      ZAR    GSC      11/05/19       280,827       (244,191
  7,944,396      USD      119,587,000      ZAR    JPM      11/05/19       36,287        
  7,889,406      USD      120,887,000      ZAR    MSC      11/05/19             (104,671
  93,595,591      USD      1,430,632,000      ZAR    SSG      11/05/19             (1,009,967
  104,613,407      USD      1,586,682,000      ZAR    GSC      12/04/19       91,384        
  15,162,548      USD      230,174,000      ZAR    JPM      12/04/19       16,196       (16,266
  2,993,683,000      ZAR      198,529,362      USD    GSC      11/05/19       629,393       (1,190,969
  319,664,000      ZAR      21,023,484      USD    GSC      12/04/19       50,646       (16,396
                

 

 

   

 

 

 
 

Total

    $     49,850,416     $     (86,652,981
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Assets

 

Common Stocks

 

United States

   $ 212,769     $     $ 212,769     $  

Asset & Commercial Mortgage Backed Securities

     413,426,344             413,426,344        

Corporate Bonds

     339,997,187             339,997,187        

Escrows

     963,038             963,038        

Foreign Government Obligations

     3,465,280,034             3,465,280,034        

Senior Floating Rate Interests

     165,533,187             165,533,187        

U.S. Government Agencies

     168,375,580             168,375,580        

U.S. Government Securities

     621,108,195             621,108,195        

Convertible Bonds

     3,446,624             3,446,624        

Preferred Stocks

     557,251       557,251              

Convertible Preferred Stocks

     1,407,012       1,407,012              

Short-Term Investments

     120,424,933       120,424,933              

Purchased Options

     6,912,699       3,007,034       3,905,665        

Foreign Currency Contracts(2)

     49,850,416             49,850,416        

Futures Contracts(2)

     3,919,404       3,919,404              

Swaps - Credit Default(2)

     286,254             286,254        

Swaps - Interest Rate(2)

     10,631,095             10,631,095        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     5,372,332,022     $     129,315,634     $     5,243,016,388     $  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (86,652,981   $     $ (86,652,981   $  

Futures Contracts(2)

     (6,733,669     (6,733,669            

Swaps - Credit Default(2)

     (1,906,356           (1,906,356      

Swaps - Interest Rate(2)

     (11,662,665           (11,662,665      

Written Options

     (743,813     (743,813            
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (107,699,484   $ (7,477,482   $ (100,222,002   $     —  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  185  

 


Hartford Fixed Income Funds

GLOSSARY: (abbreviations used in preceding Schedule of Investments)

 

 

 

Counterparty Abbreviations:

ANZ

   Australia and New Zealand Banking Group

BCLY

   Barclays

BMO

   Bank of Montreal

BNP

   BNP Paribas Securities Services

BOA

   Banc of America Securities LLC

CBA

   Commonwealth Bank of Australia

CBK

   Citibank NA

CIBC

   Canadian Imperial Bank of Commerce

CITI

   Citigroup Global Markets, Inc.

CSFB

   Credit Suisse First Boston Corp.

CSI

   Credit Suisse International

DEUT

   Deutsche Bank Securities, Inc.

GSC

   Goldman Sachs & Co.

HSBC

   HSBC Bank USA

JPM

   JP Morgan Chase & Co.

MSC

   Morgan Stanley

NAB

   National Australia Bank Limited

RBC

   RBC Dominion Securities, Inc.

RBS

   RBS Greenwich Capital

SCB

   Standard Chartered Bank

SGG

   Societe Generale Group

SSG

   State Street Global Markets LLC

TDB

   Toronto-Dominion Bank

UBS

   UBS AG

WEST

   Westpac International
Currency Abbreviations:

ARS

   Argentine Peso

AUD

   Australian Dollar

BRL

   Brazilian Real

CAD

   Canadian Dollar

CHF

   Swiss Franc

CLP

   Chilean Peso

CNH

   Chinese Renminbi

COP

   Colombian Peso

CZK

   Czech Koruna

DKK

   Danish Krone

DOP

   Dominican Peso

EGP

   Egyptian Pound

EUR

   Euro

GBP

   British Pound

HKD

   Hong Kong Dollar

HUF

   Hungarian Forint

IDR

   Indonesian Rupiah

ILS

   Israeli Shekel

INR

   Indian Rupee

JPY

   Japanese Yen

KRW

   South Korean Won

KZT

   Kazakhstani Tenge

MXN

   Mexican Peso

MYR

   Malaysian Ringgit

NOK

   Norwegian Krone

NZD

   New Zealand Dollar

PEN

   Peruvian Sol

PHP

   Philippine Peso

PLN

   Polish Zloty

RON

   New Romanian Leu

RUB

   Russian Ruble

SEK

   Swedish Krona

SGD

   Singapore Dollar

THB

   Thai Baht

TRY

   Turkish Lira

TWD

   Taiwanese Dollar

USD

   United States Dollar

UYU

   Uruguayan Peso

ZAR

   South African Rand
Index Abbreviations:

ABX.HE

   Markit Asset Backed Security Home Equity

ABX.HE.PEN

   Markit Asset Backed Security Home Equity Penultimate
Index Abbreviations: – (continued)

BADLAR

   Buenos Aires Deposits of Large Amount Rate

CDX.EM

   Credit Derivatives Emerging Markets

CDX.NA.HY

   Credit Derivatives North American High Yield

CDX.NA.IG

   Credit Derivatives North American Investment Grade

CMBX.NA

   Markit Commercial Mortgage Backed North American

CMT

   Constant Maturity Treasury Index

CPI

   Consumer Price Index

CPURNSA

   Consumer Price All Urban Non-Seasonally Adjusted

iBoxx

   Markit iBoxx Indices - Euro, Sterling, Asian, US Dollar and European High-Yield Bond Markets

ICE

   Intercontinental Exchange, Inc.

ITRAXX.EUR

   Markit iTraxx - Europe

MSCI

   Morgan Stanley Capital International

MTA

   Monthly Treasury Average Index

PrimeX.ARM

   Markit PrimeX Adjustable Rate Mortgage Backed Security

SONIA

   Sterling Overnight Index Average
Municipal Abbreviations:

Auth

   Authority

Dev

   Development

Dist

   District

Facs

   Facilities

GO

   General Obligation

PA

   Port Authority

Redev

   Redevelpoment

Rev

   Revenue

VA

   Veterans Administration
Other Abbreviations:

BBA

   British Bankers’ Association

BBSW

   Bank Bill Swap Reference Rate

BOBL

   Bundesobligation (Federal Government Bond)

BUBOR

   Budapest Interbank Offered Rate

BUXL

   German Bond

BZDIOVRA

   Brazil Cetip Interbank Deposit Rate

CDOR

   Canadian Dollar Offered Rate

CJSC

   Closed Joint Stock Company

CLICP

   Sinacofi Chile Interbank Offered Rate

CLO

   Collateralized Loan Obligation

CMO

   Collateralized Mortgage Obligation

DDCA

   Dollars on Deposit in Custody Account

EM

   Emerging Markets

EUAMDB

   Euribor ICE Swap Rate

EURIBOR

   Euro Interbank Offered Rate

FHLMC

   Federal Home Loan Mortgage Corp.

FNMA

   Federal National Mortgage Association

GNMA

   Government National Mortgage Association

GNTH

   Netherlands Government 10 Year Bond

GUKG5

   UK Government Bonds 5 Year Note Generic Bid Yield

JIBAR

   Johannesburg Interbank Agreed Rate

LIBOR

   London Interbank Offered Rate

MSCI

   Morgan Stanley Capital International

MUNIPSA

   Municipal Swap Index Yield

MXIBTIIE

   Mexico Interbank Equilibrium Interest Rate

NIBOR

   Norwegian Interbank Offered Rate

NZDBBR

   New Zealand Bank Bill Rate

OJSC

   Open Joint Stock Company

OTC

   Over-the-Counter

PAC

   Planned Amortization Class

PIK

   Payment-in-kind

PJSC

   Private Joint Stock Company

PT

   Perseroan Terbatas

SOFR

   Secured Overnight Financing Rate

STIBOR

   Stockholm Interbank Offered Rate

TBA

   To Be Announced

THBFIX

   Thai Baht Interest Rate Fixing

TIIE

   Interbank Equilibrium Interest Rate

UMBS

   Uniform Mortgage-Backed Securities

WIBOR

   Warsaw Interbank Offered Rate
 

 

 

  186  

 


Hartford Fixed Income Funds

Statements of Assets and Liabilities

October 31, 2019

 

 

 

    The Hartford
Emerging
Markets Local
Debt Fund
    The Hartford
Floating Rate
Fund
    The Hartford
Floating Rate
High Income
Fund
    The Hartford
High Yield
Fund
    The Hartford
Inflation
Plus Fund
    Hartford
Municipal
Income Fund
    The Hartford
Municipal
Opportunities
Fund
 

Assets:

             

Investments in securities, at market value(1)

  $ 136,296,054     $ 3,085,097,928     $ 410,592,625     $ 355,148,278     $ 569,341,056     $ 35,997,957     $ 1,082,029,271  

Cash

                      336,578                    

Due from custodian

          4,677,436       25,972                          

Cash collateral due from broker on futures contracts

    55,615                                      

Cash collateral due from broker on swap contracts

    325,000       260,000                   320,000              

Foreign currency

    528,426       26,901,080       10,521,754             67,126              

Unrealized appreciation on OTC swap contracts

    516,193       12,279       10,055             169,200              

Unrealized appreciation on foreign currency contracts

    3,657,409       9,310       1,145       2,965       27,791              

Unrealized appreciation on bond forward contracts

                            237,666              

Receivables:

             

Investment securities sold

    4,392,990       79,677,203       32,293,696       3,165,613       38,061,638       57,717       1,731,510  

Fund shares sold

    159,155       1,353,338       244,772       346,064       138,154       376,167       1,819,359  

Dividends and interest

    2,010,601       12,801,933       2,483,558       5,169,224       891,521       412,101       12,399,778  

Securities lending income

    758                                      

Variation margin on futures contracts

                            463,025              

Variation margin on centrally cleared swap contracts

    17,415                   223,513                    

Tax reclaims

    66,575                   1,231                    

Other assets

    187,298       82,141       74,077       78,327       76,235       33,876       73,429  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total assets

    148,213,489       3,210,872,648       456,247,654       364,471,793       609,793,412       36,877,818       1,098,053,347  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities:

             

Unrealized depreciation on foreign currency contracts

    2,193,386       1,220,858       270,769       39,357       150,202              

Due to custodian

    107,928       3,202,850       664,686             10              

Obligation to return securities lending collateral

    899,910                                      

Unrealized depreciation on OTC swap contracts

    548,915                         1,049,425              

Cash collateral due to broker on futures contracts

                            303,570              

Cash collateral due to broker on swap contracts

    260,000                                      

Unfunded loan commitments

          6,063,838       1,667,845                          

Payables:

             

Investment securities purchased

    1,803,910       178,110,756       39,181,540       4,983,041       101,540,096       563,502       5,538,031  

Fund shares redeemed

    840,625       7,582,219       1,284,062       561,483       1,540,604       27,218       1,510,335  

Investment management fees

    101,739       1,565,978       248,375       196,450       214,941       10,527       296,665  

Transfer agent fees

    40,024       631,949       100,059       117,734       143,274       5,004       161,537  

Accounting services fees

    2,154       46,480       6,387       5,440       7,748       421       12,887  

Board of Directors’ fees

    706       17,406       2,389       1,510       2,503       154       3,755  

Variation margin on futures contracts

    5,605                                      

Variation margin on centrally cleared swap contracts

                            410,631              

Foreign taxes

    41,094                                      

Distribution fees

    417       71,140       8,651       9,938       11,100       778       17,981  

Distributions payable

          2,766,330       12,569       25,583             162       282,068  

Written options

    179,767                                      

Accrued expenses

    65,480       181,514       68,223       57,441       62,257       31,674       57,982  

OTC swap contracts premiums received

          34,909       50,306             14,126              
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities

    7,091,660       201,496,227       43,565,861       5,997,977       105,450,487       639,440       7,881,241  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net assets

  $ 141,121,829     $ 3,009,376,421     $ 412,681,793     $ 358,473,816     $ 504,342,925     $ 36,238,378     $ 1,090,172,106  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Summary of Net Assets:

             

Capital stock and paid-in-capital

  $     212,129,443     $     3,427,138,593     $     466,513,607     $     373,830,829     $ 576,393,347     $ 34,303,881     $ 1,047,313,255  

Distributable earnings (loss)

    (71,007,614     (417,762,172     (53,831,814     (15,357,013     (72,050,422     1,934,497       42,858,851  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net assets

  $ 141,121,829     $ 3,009,376,421     $ 412,681,793     $ 358,473,816     $ 504,342,925     $ 36,238,378     $     1,090,172,106  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Shares authorized

    610,000,000       3,360,000,000       610,000,000       610,000,000           6,355,000,000           350,000,000       870,000,000  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Par value

  $ 0.0010     $ 0.0010     $ 0.0010     $ 0.0010     $ 0.0010     $ 0.0010     $ 0.0010  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Class A:  Net asset value per share

  $ 5.86     $ 8.37     $ 9.64     $ 7.36     $ 10.54     $ 10.78     $ 8.88  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Maximum offering price per share

  $ 6.14     $ 8.63     $ 9.94     $ 7.71     $ 11.04     $ 11.29     $ 9.30  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Shares outstanding

    971,245       91,044,041       9,035,896       31,218,167       17,578,066       2,106,564       44,419,328  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Net Assets

  $ 5,690,681     $ 762,131,998     $ 87,122,345     $ 229,614,662     $ 185,300,527     $ 22,713,255     $ 394,518,126  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Class C:  Net asset value per share

  $ 5.86     $ 8.45     $ 9.72     $ 7.33     $ 10.11     $ 10.79     $ 8.89  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Shares outstanding

    425,664       54,282,033       5,848,685       4,465,119       3,368,337       251,608       7,512,537  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Net Assets

  $ 2,495,455     $ 458,640,694     $ 56,859,346     $ 32,745,543     $ 34,059,999     $ 2,713,780     $ 66,792,162  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  187  

 


Hartford Fixed Income Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

    The Hartford
Emerging
Markets Local
Debt Fund
    The Hartford
Floating Rate
Fund
    The Hartford
Floating Rate
High Income
Fund
    The Hartford
High Yield
Fund
    The Hartford
Inflation
Plus Fund
    Hartford
Municipal
Income Fund
    The Hartford
Municipal
Opportunities
Fund
 

Class I:  Net asset value per share

  $ 5.84     $ 8.36     $ 9.62     $ 7.38     $ 10.75     $ 10.75     $ 8.88  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Shares outstanding

    7,075,827       157,448,345       22,921,774       2,788,940       4,855,129       672,257       58,129,392  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Net Assets

  $ 41,299,852     $ 1,316,223,900     $ 220,436,118     $ 20,575,252     $ 52,182,393     $ 7,226,939     $ 516,298,555  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Class R3:  Net asset value per share

  $ 5.84     $ 8.42     $ 9.66     $ 7.36     $ 10.33     $     $  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Shares outstanding

    2,111       796,523       23,507       204,005       3,912,324              
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Net Assets

  $ 12,321     $ 6,707,704     $ 226,991     $ 1,500,826     $ 40,395,174     $     $  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Class R4:  Net asset value per share

  $ 5.83     $ 8.36     $ 9.61     $ 7.37     $ 10.54     $     $  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Shares outstanding

    8,438       335,856       35,947       137,013       743,055              
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Net Assets

  $ 49,222     $ 2,807,464     $ 345,584     $ 1,009,396     $ 7,831,459     $     $  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Class R5:  Net asset value per share

  $ 5.60     $ 8.35     $ 9.58     $ 7.33     $ 10.71     $     $  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Shares outstanding

    2,027       142,838       1,149,366       108,185       184,291              
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Net Assets

  $ 11,356     $ 1,193,031     $ 11,015,103     $ 792,917     $ 1,974,542     $     $  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Class Y:  Net asset value per share

  $ 5.80     $ 8.33     $ 9.59     $ 7.30     $ 10.77     $     $ 8.88  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Shares outstanding

    15,083,194       7,634,530       1,540,725       1,595,113       2,290,778             1,620,695  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Net Assets

  $ 87,413,233     $ 63,586,379     $ 14,773,182     $ 11,646,885     $ 24,677,893     $     $ 14,390,837  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Class F:  Net asset value per share

  $ 5.84     $ 8.36     $ 9.61     $ 7.37     $ 10.75     $ 10.75     $ 8.87  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Shares outstanding

    710,754       47,613,558       2,278,332       8,225,606       14,690,587       333,305       11,061,861  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

         Net Assets

  $ 4,149,709     $ 398,085,251     $ 21,903,124     $ 60,588,335     $ 157,920,938     $ 3,584,404     $ 98,172,426  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Cost of investments

  $     135,703,652     $     3,195,493,865     $     425,898,051     $     352,825,513     $     562,938,005     $     34,316,395     $     1,034,481,841  

Cost of foreign currency

  $ 529,249     $ 26,909,544     $ 10,525,041     $     $ 67,244     $     $  

Proceeds of written option contracts

  $ 251,083     $     $     $     $     $     $  

(1) Includes Investment in securities on loan, at market value

  $ 867,793     $     $     $     $     $     $  

 

The accompanying notes are an integral part of these financial statements.

 

 

  188  

 


Hartford Fixed Income Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     Hartford
Municipal
Short Duration
Fund
     The Hartford
Quality Bond
Fund
     The Hartford
Short Duration
Fund
     The Hartford
Strategic Income
Fund
    The Hartford
Total Return
Bond Fund
     The Hartford
World
Bond Fund
 

Assets:

                

Investments in securities, at market value(1)

   $ 21,440,353      $ 161,953,334      $ 1,411,614,490      $ 753,383,196     $ 2,888,022,804      $ 5,307,644,853  

Cash

            15,142                            101,740  

Due from custodian

                          1,268,494               

Cash collateral due from broker on futures contracts

            573,598        1,126,078        2,156,970       924,429         

Cash collateral due from broker on swap contracts

            1,010,000                     1,850,000         

Foreign currency

            5,926,289        3,029,225        3,498,759       475,399        17,894,625  

Unrealized appreciation on OTC swap contracts

                          2,497,696       3,497,696        36,480  

Unrealized appreciation on foreign currency contracts

            72,599        607        757,135       579,252        49,850,416  

Unrealized appreciation on bond forward contracts

                                        

Receivables:

                

Investment securities sold

            37,297,383        5,793,784        65,075,603       734,170,170        200,231,009  

Fund shares sold

     3,924        41,992        5,167,414        2,398,128       6,288,851        25,116,748  

Dividends and interest

     240,253        358,851        7,701,421        5,339,550       12,116,308        27,523,211  

Securities lending income

                   1,933        902       2,774        4,476  

Variation margin on futures contracts

                                       1,832,319  

Variation margin on centrally cleared swap contracts

                                        

Tax reclaims

                          27,316       10,232        2,978  

OTC swap contracts premiums paid

                          474,633       795,065        1,107,801  

Other assets

     31,887        78,805        170,542        172,646       435,321        393,630  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Total assets

     21,716,417        207,327,993        1,434,605,494        837,051,028       3,649,168,301        5,631,740,286  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Liabilities:

                

Unrealized depreciation on foreign currency contracts

                   132,120        944,122       611,984        86,652,981  

Due to custodian

                   4,146,477        937,296       132,539         

Obligation to return securities lending collateral

                   6,235,830        2,069,503       7,136,845        7,295,218  

Unrealized depreciation on OTC swap contracts

                          409,464       758,892        882,110  

Cash collateral due to broker on swap contracts

                                320,000        1,206,000  

TBA sale commitments, at market value

            15,228,545                     46,541,757         

Unfunded loan commitments

                   367,433        305,238       58,559         

Payables:

                

Investment securities purchased

     250,000        58,550,520        30,639,399        132,103,335       1,396,333,340        210,915,026  

Fund shares redeemed

     9,122        8,823        1,878,736        276,966       1,677,582        6,327,981  

Investment management fees

     6,310        44,992        444,940        308,651       528,473        2,586,988  

Transfer agent fees

     2,734        7,365        296,856        128,021       378,994        801,541  

Accounting services fees

     252        2,025        20,895        12,646       40,046        92,624  

Board of Directors’ fees

     147        572        5,079        2,084       8,368        21,946  

Variation margin on centrally cleared swap contracts

            210,796               571,702       2,124,350        1,013,740  

Variation margin on futures contracts

            244,305        503,731        922,071       1,156,835         

Foreign taxes

                          3,581               

Distribution fees

     481        1,467        25,416        10,799       28,818        20,626  

Interest on reverse repurchase agreements

            843                             

Distributions payable

            41        260,616        28       93,414         

Written options

                                       743,813  

Accrued expenses

     31,474        33,649        92,330        107,743       176,128        651,512  

OTC swap contracts premiums received

                          4,914,789       6,192,231        1,399,891  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Total liabilities

     300,520        74,333,943        45,049,858        144,028,039       1,464,299,155        320,611,997  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Net assets

   $ 21,415,897      $ 132,994,050      $ 1,389,555,636      $ 693,022,989     $ 2,184,869,146      $ 5,311,128,289  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Summary of Net Assets:

                

Capital stock and paid-in-capital

   $ 20,980,163      $ 132,667,699      $ 1,376,815,769      $ 718,545,968     $ 2,151,878,230      $ 5,162,275,776  

Distributable earnings (loss)

     435,734        326,351        12,739,867        (25,522,979     32,990,916        148,852,513  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Net assets

   $ 21,415,897      $     132,994,050      $     1,389,555,636      $ 693,022,989     $ 2,184,869,146      $ 5,311,128,289  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Shares authorized

         350,000,000        560,000,000        760,000,000            1,100,000,000           1,150,000,000            1,550,000,000  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Par value

   $ 0.0010      $ 0.0010      $ 0.0010      $ 0.0010     $ 0.0010      $ 0.0010  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Class A:  Net asset value per share

   $ 10.16      $ 10.19      $ 9.92      $ 8.64     $ 10.66      $ 10.75  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

         Maximum offering price per share

   $ 10.64      $ 10.67      $ 10.12      $ 9.05     $ 11.16      $ 11.26  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

         Shares outstanding

     1,589,089        1,518,336        65,832,209        22,402,779       88,271,991        39,044,847  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

         Net Assets

   $ 16,141,068      $ 15,478,486      $ 653,304,303      $ 193,608,049     $ 940,594,414      $ 419,891,367  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Class C:  Net asset value per share

   $ 10.15      $ 10.13      $ 9.92      $ 8.69     $ 10.77      $ 10.54  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

         Shares outstanding

     134,180        947,301        8,111,559        5,842,503       2,536,965        7,749,752  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

         Net Assets

   $ 1,362,177      $ 9,593,776      $ 80,498,246      $ 50,793,026     $ 27,333,710      $ 81,693,892  
  

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  189  

 


Hartford Fixed Income Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     Hartford
Municipal
Short Duration
Fund
     The Hartford
Quality Bond
Fund
     The Hartford
Short Duration
Fund
     The Hartford
Strategic Income
Fund
     The Hartford
Total Return
Bond Fund
     The Hartford
World
Bond Fund
 

Class I:  Net asset value per share

   $ 10.15      $ 10.17      $ 9.92      $ 8.67      $ 10.65      $ 10.83  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     217,986        517,498        40,842,240        30,509,435        10,196,379        205,256,919  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 2,212,402      $ 5,260,915      $ 404,973,955      $ 264,536,928      $ 108,633,432      $ 2,223,706,078  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R3:  Net asset value per share

   $      $ 10.18      $ 9.90      $ 8.63      $ 10.95      $ 10.68  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

            12,524        169,269        73,537        435,667        182,205  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $      $ 127,508      $ 1,676,162      $ 634,333      $ 4,769,454      $ 1,946,342  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R4:  Net asset value per share

   $      $ 10.18      $ 9.91      $ 8.64      $ 10.85      $ 10.76  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

            1,191        783,628        24,141        1,057,559        990,169  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $      $ 12,129      $ 7,764,335      $ 208,538      $ 11,476,004      $ 10,651,169  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R5:  Net asset value per share

   $      $ 10.18      $ 9.89      $ 8.63      $ 10.81      $ 10.84  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

            3,170        142,772        959,119        97,009        591,023  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $      $ 32,271      $ 1,412,007      $ 8,280,267      $ 1,048,647      $ 6,404,318  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R6:  Net asset value per share

   $      $      $ 9.87      $ 8.63      $ 10.74      $ 10.88  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

                   1,091        193,727        3,757,203        1,584,336  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $      $      $ 10,769      $ 1,672,666      $ 40,367,888      $ 17,229,700  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class Y:  Net asset value per share

   $      $ 10.26      $ 9.87      $ 8.63      $ 10.76      $ 10.87  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

            3,331        1,198,666        559,146        45,389,662        48,037,839  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $      $ 34,179      $ 11,831,383      $ 4,824,013      $ 488,227,583      $ 522,050,147  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class F:  Net asset value per share

   $ 10.16      $ 10.16      $ 9.91      $ 8.67      $ 10.59      $ 10.85  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     167,394        10,083,143        23,004,778        19,440,417        53,085,166        186,886,773  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 1,700,250      $ 102,454,786      $ 228,084,476      $ 168,465,169      $ 562,418,014      $ 2,027,555,276  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cost of investments

   $     21,065,815      $     158,593,215      $     1,392,556,396      $     762,229,706      $     2,826,096,359      $     5,273,196,524  

Cost of foreign currency

   $      $ 5,928,485      $ 3,030,178      $ 3,499,843      $ 475,688      $ 18,102,968  

Proceeds of TBA sale commitments

   $      $ 15,213,446      $      $      $ 46,571,274      $  

Proceeds of written option contracts

   $      $      $      $      $      $ 670,463  

(1) Includes Investment in securities on loan, at market value

   $      $      $ 6,088,562      $ 1,419,390      $ 5,704,212      $ 7,006,224  

 

The accompanying notes are an integral part of these financial statements.

 

 

  190  

 


Hartford Fixed Income Funds

Statements of Operations

For the Year Ended October 31, 2019

 

 

 

    The Hartford
Emerging
Markets Local
Debt Fund
    The Hartford
Floating Rate
Fund
    The Hartford
Floating Rate
High Income
Fund
    The Hartford
High Yield
Fund
    The Hartford
Inflation Plus
Fund
    Hartford
Municipal
Income Fund
    The Hartford
Municipal
Opportunities
Fund
 

Investment Income:

             

Dividends

  $     $ 235,366     $ 57,059     $ 73,690     $     $     $  

Interest

    9,993,261       189,429,515       27,174,642       20,194,153       13,396,767       1,020,535       29,551,060  

Securities lending

    2,640                         2,091              

Less: Foreign tax withheld

    (63,548                                    
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total investment income, net

    9,932,353       189,664,881       27,231,701       20,267,843       13,398,858       1,020,535       29,551,060  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expenses:

             

Investment management fees

    1,330,779       20,447,244       3,299,475       2,177,325       2,600,211       114,239       3,046,746  

Transfer agent fees

             

Class A

    10,071       796,619       103,672       395,499       326,465       10,518       236,670  

Class C

    4,340       536,840       70,845       44,872       65,657       1,554       50,168  

Class I

    46,199       1,035,479       224,882       19,257       52,017       3,297       302,274  

Class R3

    25       14,232       580       3,937       90,669              

Class R4

    81       6,368       908       1,955       14,958              

Class R5

    13       1,603       12,357       763       3,114              

Class Y

    67,815       212,209       12,516       1,934       22,523             11,235  

Class F

    103       861       137       633       238       27       102  

Distribution fees

             

Class A

    14,468       1,959,815       238,233       545,097       465,742       50,642       888,826  

Class C

    26,357       6,140,457       683,142       352,553       488,987       32,359       714,588  

Class R3

    59       39,092       1,315       8,909       211,329              

Class R4

    118       10,090       1,333       2,890       22,057              

Custodian fees

    50,850       63,579       11,984       8,944       13,154       4,629       11,044  

Registration and filing fees

    124,828       175,326       138,523       115,815       111,706       60,275       160,469  

Accounting services fees

    28,181       605,956       84,949       60,295       94,008       4,570       130,590  

Board of Directors’ fees

    5,084       111,775       15,693       10,637       16,909       1,058       28,935  

Audit fees

    34,760       45,025       43,468       29,844       35,860       29,692       30,243  

Other expenses

    26,454       319,579       67,416       68,854       61,053       10,804       72,217  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses (before waivers, reimbursement and fees paid indirectly)

    1,770,585       32,522,149       5,011,428       3,850,013       4,696,657       323,664       5,684,107  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expense waivers

    (266,571     (8,011     (336,010     (313,636     (406,415     (97,826     (3,835

Transfer agent fee waivers

          (5,361                              

Distribution fee reimbursements

    (191     (6,376     (637     (4,559     (5,385     (22,667     (2,756
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total waivers, reimbursement and fees paid indirectly

    (266,762     (19,748     (336,647     (318,195     (411,800     (120,493     (6,591
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses, net

    1,503,823       32,502,401       4,674,781       3,531,818       4,284,857       203,171       5,677,516  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Investment Income (Loss)

    8,428,530       157,162,480       22,556,920       16,736,025       9,114,001       817,364       23,873,544  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions:

             

Net realized gain (loss) on investments

    (3,444,126     (81,444,211     (13,562,859     (5,410,212     (626,525     347,522       (73,735

Less: Foreign taxes paid on realized capital gains

    (32,312                                    

Net realized gain (loss) on purchased options contracts

    (1,238,671                       (329,817            

Net realized gain (loss) on futures contracts

    (567,767                       1,229,019              

Net realized gain (loss) on written options contracts

    805,061                         (331,484            

Net realized gain (loss) on swap contracts

    142,148       471,878       75,125       (60,124     (362,400            

Net realized gain (loss) on bond forward contracts

                            3,060,935              

Net realized gain (loss) on foreign currency contracts

    592,048       8,992,369       2,484,950       299,086       (1,121,443            

Net realized gain (loss) on other foreign currency transactions

    (335,601     509,075       93,778       2,508       (49,422            
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

    (4,079,220     (71,470,889     (10,909,006     (5,168,742     1,468,863       347,522       (73,735
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions:

             

Net unrealized appreciation (depreciation) of investments

    16,746,976       (30,838,580     (2,301,001     14,859,861       23,587,178       1,964,849       53,221,667  

Net unrealized appreciation (depreciation) of purchased options contracts

    44,581                         (94,345            

Net unrealized appreciation (depreciation) of futures contracts

    (37,905                       269,906              

Net unrealized appreciation (depreciation) of written options contracts

    (210,878                                    

Net unrealized appreciation (depreciation) of swap contracts

    (248,500     (323,313     (15,767     13,631       (5,566,476            

Net unrealized appreciation (depreciation) of bond forward contracts

                            457,143              

Net unrealized appreciation (depreciation) of foreign currency contracts

    436,486       (1,657,569     (374,759     (45,439     725,494              

Net unrealized appreciation (depreciation) of translation of other assets and liabilities in foreign

    59,502       (221,280     (7,782     2,409       (6,466            
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments

    16,790,262       (33,040,742     (2,699,309     14,830,462       19,372,434       1,964,849       53,221,667  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

    12,711,042           (104,511,631         (13,608,315     9,661,720       20,841,297       2,312,371       53,147,932  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

  $     21,139,572     $     52,650,849     $     8,948,605     $     26,397,745     $     29,955,298     $     3,129,735     $     77,021,476  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  191  

 


Hartford Fixed Income Funds

Statements of Operations – (continued)

For the Year Ended October 31, 2019

 

 

 

    Hartford
Municipal
Short Duration
Fund
    The Hartford
Quality Bond
Fund
    The Hartford
Short Duration
Fund
    The Hartford
Strategic Income
Fund
    The Hartford
Total Return
Bond Fund
    The Hartford
World
Bond Fund
 

Investment Income:

           

Dividends

  $     $     $     $ 22,758     $ 17,142     $ 45,089  

Interest

    609,436       4,021,915       41,910,522       25,803,488       70,294,835       102,877,840  

Securities lending

                15,391       21,892       52,705       73,413  

Less: Foreign tax withheld

                1,587       (16,463     (14,675     (141,283
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total investment income, net

    609,436       4,021,915       41,927,500       25,831,675       70,350,007       102,855,059  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expenses:

           

Investment management fees

    87,969       507,192       4,651,868       2,964,825       5,933,415       29,752,107  

Transfer agent fees

           

Class A

    7,530       17,789       873,247       263,417       1,116,829       482,807  

Class C

    877       5,913       88,077       56,320       52,990       90,359  

Class I

    988       2,156       231,229       161,656       39,881       2,112,604  

Class R3

          398       2,657       1,047       10,930       3,644  

Class R4

          20       1,220       453       17,498       1,372  

Class R5

          37       1,386       5,965       1,589       6,712  

Class R6

                      29       88       594  

Class Y

                8,673       2,775       214,849       611,815  

Class F

    16       208       821       244       1,715       7,508  

Distribution fees

           

Class A

    40,025       31,150       1,501,456       436,658       2,100,237       933,233  

Class C

    25,110       49,176       795,980       464,360       294,867       833,717  

Class R3

          904       6,065       2,396       24,762       8,346  

Class R4

          30       6,102       663       28,426       5,191  

Custodian fees

    4,559       6,744       15,422       56,455       45,298       421,034  

Registration and filing fees

    61,318       107,921       239,905       128,342       171,372       350,918  

Accounting services fees

    3,519       22,824       217,079       119,711       424,908       1,065,672  

Board of Directors’ fees

    872       4,024       38,210       16,613       59,978       164,879  

Audit fees

    29,690       29,736       36,079       49,025       47,142       40,251  

Other expenses

    10,223       17,066       159,459       68,292       292,414       1,085,002  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses (before waivers, reimbursement and fees paid indirectly)

    272,696       803,288       8,874,935       4,799,246       10,879,188       37,977,765  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expense waivers

    (100,027     (137,519     (46,795     (249,219     (61,117      

Transfer agent fee waivers

                                  (169,476

Distribution fee reimbursements

    (21,421     (655     (132,512     (1,263     (11,137     (1,605
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total waivers, reimbursement and fees paid indirectly

    (121,448     (138,174     (179,307     (250,482     (72,254     (171,081
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses, net

    151,248       665,114       8,695,628       4,548,764       10,806,934       37,806,684  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Investment Income (Loss)

    458,188       3,356,801       33,231,872       21,282,911       59,543,073       65,048,375  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions:

           

Net realized gain (loss) on investments

    119,839       1,049,112       94,497       5,629,288       27,196,098       (27,490,960

Less: Foreign taxes paid on realized capital gains

                      (303            

Net realized gain (loss) on purchased options contracts

          25,719             (292,843     (1,147,187     6,462,042  

Net realized gain (loss) on futures contracts

          4,201,681       (4,849,142     9,218,128       8,741,312       (11,375,269

Net realized gain (loss) on written options contracts

          (76,669           4,103,161       1,421,543       338,212  

Net realized gain (loss) on swap contracts

          (822,890           (2,614,903     (7,976,308     16,695,284  

Net realized gain (loss) on bond forward contracts

                                   

Net realized gain (loss) on foreign currency contracts

          (152,060     613,760       2,658,257       2,170,347       229,173,515  

Net realized gain (loss) on other foreign currency transactions

          244,112       73,337       136,904       (106,591     2,365,220  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

    119,839       4,469,005       (4,067,548     18,837,689       30,299,214       216,168,044  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions:

           

Net unrealized appreciation (depreciation) of investments

    611,613       6,609,713       33,679,925       9,739,951       125,509,388       130,645,622  

Net unrealized appreciation (depreciation) of purchased options contracts

          55,036             (83,907     (45,022     3,066,367  

Net unrealized appreciation (depreciation) of futures contracts

          160,585       (297,734     1,748,878       5,038,110       (2,452,066

Net unrealized appreciation (depreciation) of written options contracts

                      2,096       2,714       (474,525

Net unrealized appreciation (depreciation) of swap contracts

          (2,614,224           (1,579,086     (12,522,669     (4,951,776

Net unrealized appreciation (depreciation) of bond forward contracts

                                   

Net unrealized appreciation (depreciation) of foreign currency contracts

          76,467       (142,304     (663,563     (463,208     (108,985,365

Net unrealized appreciation (depreciation) of translation of other assets and liabilities in foreign currencies

          4,309       (37,386     17,344       10,498       730,906  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions

    611,613       4,291,886       33,202,501       9,181,713       117,529,811       17,579,163  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

    731,452       8,760,891       29,134,953       28,019,402       147,829,025       233,747,207  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

  $     1,189,640     $     12,117,692     $     62,366,825     $     49,302,313     $     207,372,098     $     298,795,582  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  192  

 


Hartford Fixed Income Funds

Statements of Changes in Net Assets

 

 

 

     The Hartford
Emerging Markets
Local Debt Fund
    The Hartford
Floating Rate Fund
    The Hartford
Floating Rate High
Income Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

            

Net investment income (loss)

   $ 8,428,530     $ 9,029,263     $ 157,162,480     $ 169,610,317     $ 22,556,920     $ 23,155,757  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     (4,079,220     (14,987,057     (71,470,889     13,649,327       (10,909,006     5,595,474  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     16,790,262       (10,221,847     (33,040,742     (50,722,002     (2,699,309     (9,800,051
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     21,139,572       (16,179,641     52,650,849       132,537,642       8,948,605       18,951,180  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

From distributable earnings:

            

Class A

     (273,930     (1,878,896     (42,605,947     (31,016,596     (5,529,280     (5,196,463

Class C

     (110,197     (649,688     (22,638,862     (31,755,580     (3,003,151     (2,767,499

Class I

     (2,566,171     (12,808,230     (90,636,129     (78,994,420     (16,428,547     (11,962,607

Class R3

     (539     (4,870     (376,778     (347,698     (13,989     (10,036

Class R4

     (2,112     (14,946     (266,268     (244,686     (35,353     (30,124

Class R5

     (537     (2,565     (79,179     (72,925     (748,328     (359,378

Class Y

     (4,366,605     (23,406,481     (20,696,019     (18,238,863     (900,369     (513,110

Class F

     (243,778     (661,846     (6,124,743     (2,065,584     (1,921,024     (1,089,692

From tax return of capital:

            

Class A

     (148,327           (1,460,670           (230,158      

Class C

     (59,669           (776,134           (125,007      

Class I

     (1,389,531           (3,107,298           (683,844      

Class R3

     (292           (12,917           (582      

Class R4

     (1,144           (9,129           (1,472      

Class R5

     (291           (2,716           (31,150      

Class Y

     (2,364,429           (709,527           (37,478      

Class F

     (132,001           (209,976           (79,963      
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (11,659,553     (39,427,522     (189,712,292     (162,736,352     (29,769,695     (21,928,909
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

            

Sold

     62,177,421       163,538,974       1,325,514,267       1,274,018,030       153,965,801       269,416,980  

Issued on reinvestment of distributions

     10,832,065       29,357,551       137,251,452       123,739,756       29,427,171       21,650,012  

Redeemed

         (104,817,681         (128,788,816         (2,429,056,377         (1,367,344,782         (326,786,629         (222,919,588
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     (31,808,195     64,107,709       (966,290,658     30,413,004       (143,393,657     68,147,404  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     (22,328,176     8,500,546       (1,103,352,101     214,294       (164,214,747     65,169,675  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

            

Beginning of period

     163,450,005       154,949,459       4,112,728,522       4,112,514,228       576,896,540       511,726,865  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $ 141,121,829     $ 163,450,005     $ 3,009,376,421     $ 4,112,728,522     $ 412,681,793     $ 576,896,540  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  193  

 


Hartford Fixed Income Funds

Statements of Changes in Net Assets – (continued)

 

 

 

    The Hartford
High Yield Fund
    The Hartford
Inflation Plus Fund
    Hartford
Municipal Income Fund
 
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

           

Net investment income (loss)

  $ 16,736,025     $ 16,903,508     $ 9,114,001     $ 12,642,528     $ 817,364     $ 619,169  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

    (5,168,742     5,017,240       1,468,863       (1,912,900     347,522       (6,173

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

    14,830,462       (21,526,446     19,372,434       (17,915,470     1,964,849       (704,374
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

    26,397,745       394,302       29,955,298       (7,185,842     3,129,735       (91,378
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

           

Class A

    (11,031,277     (10,599,997     (6,844,656     (8,681,389     (499,781     (341,302

Class C

    (1,504,587     (2,145,380     (1,450,053     (3,949,002     (73,330     (82,138

Class I

    (1,125,096     (1,180,200     (1,996,980     (2,726,544     (198,879     (161,139

Class R3

    (84,098     (122,426     (1,433,971     (2,056,051            

Class R4

    (58,679     (64,680     (318,779     (490,280            

Class R5

    (36,875     (44,698     (103,759     (141,225            

Class R6

                                   

Class Y

    (105,267     (52,678     (1,069,785     (1,490,399            

Class F

    (3,199,002     (2,687,287     (5,780,258     (5,668,571     (70,158     (34,595
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

    (17,144,881     (16,897,346     (18,998,241     (25,203,461     (842,148     (619,174
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

           

Sold

    95,955,323       82,903,479       75,425,184       124,956,378       23,267,784       6,352,938  

Issued in merger

                                   

Issued on reinvestment of distributions

    16,785,736       16,434,837       18,456,778       24,035,321       824,510       617,803  

Redeemed

    (92,741,566         (122,537,847         (143,331,898         (159,767,418         (16,776,434     (2,898,413
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

    19,999,493       (23,199,531     (49,449,936     (10,775,719     7,315,860       4,072,328  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

    29,252,357       (39,702,575     (38,492,879     (43,165,022     9,603,447       3,361,776  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

           

Beginning of period

    329,221,459       368,924,034       542,835,804       586,000,826       26,634,931       23,273,155  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

  $     358,473,816     $ 329,221,459     $ 504,342,925     $ 542,835,804     $     36,238,378     $     26,634,931  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  194  

 


Hartford Fixed Income Funds

Statements of Changes in Net Assets – (continued)

 

 

 

    The Hartford
Municipal Opportunities Fund
    Hartford Municipal
Short Duration Fund
    The Hartford
Quality Bond Fund
 
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

           

Net investment income (loss)

  $ 23,873,544     $ 18,759,651     $ 458,188     $ 314,534     $ 3,356,801     $ 3,276,036  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

    (73,735     1,447,555       119,839       (4,469     4,469,005       (2,164,497

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

    53,221,667       (22,242,169     611,613       (316,083     4,291,886       (3,077,025
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

    77,021,476       (2,034,963     1,189,640       (6,018     12,117,692       (1,965,486
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

           

Class A

    (8,905,141     (6,887,268     (283,102     (131,443     (330,722     (289,369

Class C

    (1,252,898     (1,735,387     (41,791     (51,501     (84,509     (39,859

Class I

    (12,294,014     (8,984,158     (109,884     (120,719     (86,470     (73,919

Class R3

                            (3,928     (3,947

Class R4

                            (361     (281

Class R5

                            (1,000     (769

Class R6

                                   

Class Y

    (432,881     (128,444                 (542     (382

Class F

    (1,989,043     (1,024,691     (29,612     (10,874     (3,745,734     (3,178,404
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

    (24,873,977     (18,759,948     (464,389     (314,537     (4,253,266     (3,586,930
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

           

Sold

    483,179,901       213,521,385       19,534,515       4,732,658       28,334,628       14,003,293  

Issued in merger

          149,821,506                          

Issued on reinvestment of distributions

    21,362,921       15,839,848       453,723       314,205       4,252,289       3,584,854  

Redeemed

    (253,292,298         (251,399,062         (19,206,414     (4,549,338     (30,747,537     (25,812,196
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

    251,250,524       127,783,677       781,824       497,525       1,839,380       (8,224,049
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

    303,398,023       106,988,766       1,507,075       176,970       9,703,806       (13,776,465
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

           

Beginning of period

    786,774,083       679,785,317       19,908,822       19,731,852       123,290,244       137,066,709  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

  $     1,090,172,106     $     786,774,083     $     21,415,897     $     19,908,822     $     132,994,050     $     123,290,244  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  195  

 


Hartford Fixed Income Funds

Statements of Changes in Net Assets – (continued)

 

 

 

    The Hartford
Short Duration Fund
    The Hartford
Strategic Income Fund
    The Hartford
Total Return Bond Fund
 
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

           

Net investment income (loss)

  $ 33,231,872     $ 22,573,375     $ 21,282,911     $ 18,270,158     $ 59,543,073     $ 67,088,248  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

    (4,067,548     1,893,218       18,837,689       (999,389     30,299,214       (36,556,521

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

    33,202,501       (18,137,138     9,181,713       (20,696,126     117,529,811       (70,950,647
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

    62,366,825       6,329,455       49,302,313       (3,425,357     207,372,098       (40,418,920
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

           

Class A

    (16,119,223     (11,941,019     (10,592,958     (9,507,394     (28,739,574     (24,263,084

Class C

    (1,520,128     (1,526,431     (2,471,096     (3,549,513     (638,429     (1,043,254

Class I

    (9,349,202     (5,221,438     (8,603,868     (5,266,566     (2,470,802     (1,380,824

Class R3

    (27,805     (21,971     (24,271     (17,291     (133,515     (130,209

Class R4

    (64,342     (15,275     (24,359     (31,038     (383,190     (389,388

Class R5

    (37,679     (30,206     (319,656     (136,772     (55,498     (55,564

Class R6

    (205 )(1)            (41,455     (2,553     (324,510     (48,200

Class Y

    (394,901     (260,219     (216,470     (85,611     (19,318,984     (17,188,323

Class F

    (7,183,445     (3,625,944     (10,354,139     (10,091,253     (20,720,111     (37,173,334
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

    (34,696,930     (22,642,503     (32,648,272     (28,687,991     (72,784,613     (81,672,180
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

           

Sold

    911,987,517       573,762,607       370,375,629       124,022,502       562,037,176       467,479,826  

Issued in merger

                                   

Issued on reinvestment of distributions

    31,707,387       21,034,276       31,746,198       27,198,730       71,565,959       80,616,708  

Redeemed

    (588,039,157     (497,183,909     (189,112,675     (158,453,960     (586,910,714     (687,827,600
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

    355,655,747       97,612,974       213,009,152       (7,232,728     46,692,421       (139,731,066
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

    383,325,642       81,299,926       229,663,193       (39,346,076     181,279,906       (261,822,166
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

           

Beginning of period

    1,006,229,994       924,930,068       463,359,796       502,705,872       2,003,589,240       2,265,411,406  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

  $     1,389,555,636     $     1,006,229,994     $     693,022,989     $     463,359,796     $     2,184,869,146     $     2,003,589,240  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

Commenced operations on February 28, 2019.

 

The accompanying notes are an integral part of these financial statements.

 

 

  196  

 


Hartford Fixed Income Funds

Statements of Changes in Net Assets – (continued)

 

 

 

     The Hartford
World Bond Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

    

Net investment income (loss)

   $ 65,048,375     $ 56,013,856  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     216,168,044       143,820,392  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     17,579,163       (98,336,498
  

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     298,795,582       101,497,750  
  

 

 

   

 

 

 

Distributions to Shareholders:

    

Class A

     (16,361,894     (868,705

Class C

     (3,134,237     (66,893

Class I

     (99,476,152     (6,541,979

Class R3

     (52,458     (2,077

Class R4

     (67,409     (2,193

Class R5

     (212,639     (12,936

Class R6

     (615,088     (33,236

Class Y

     (32,773,837     (2,297,807

Class F

     (81,139,778     (5,723,612
  

 

 

   

 

 

 

Total distributions

     (233,833,492     (15,549,438
  

 

 

   

 

 

 

Capital Share Transactions:

    

Sold

     2,373,718,798       1,621,386,244  

Issued on reinvestment of distributions

     221,092,216       14,775,488  

Redeemed

     (1,968,243,930     (1,147,872,387
  

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     626,567,084       488,289,345  
  

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     691,529,174       574,237,657  
  

 

 

   

 

 

 

Net Assets:

    

Beginning of period

     4,619,599,115       4,045,361,458  
  

 

 

   

 

 

 

End of period

   $     5,311,128,289     $     4,619,599,115  
  

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  197  

 


Hartford Fixed Income Funds

Financial Highlights

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Emerging Markets Local Debt Fund  

For the Year Ended October 31, 2019

 

A

  $   5.50     $   0.29     $ 0.48     $ 0.77     $   (0.27   $   —     $ (0.14   $ (0.41   $ 5.86       14.52   $ 5,691       1.45     1.25     5.10     110

C

    5.50       0.25       0.47       0.72       (0.23           (0.13     (0.36     5.86       13.57       2,495       2.19       2.00       4.35       110  

I

    5.48       0.31       0.48       0.79       (0.28           (0.15     (0.43     5.84       14.92       41,300       1.11       0.98       5.36       110  

R3

    5.47       0.29       0.49       0.78       (0.27           (0.14     (0.41     5.84       14.82       12       1.74       1.17       5.16       110  

R4

    5.47       0.29       0.48       0.77       (0.27           (0.14     (0.41     5.83       14.58       49       1.44       1.25       5.09       110  

R5

    5.27       0.29       0.47       0.76       (0.28           (0.15     (0.43     5.60       14.96       11       1.14       0.95       5.36       110  

Y

    5.44       0.31       0.48       0.79       (0.28           (0.15     (0.43     5.80       15.12       87,413       1.10       0.90       5.44       110  

F

    5.48       0.31       0.48       0.79       (0.28           (0.15     (0.43     5.84       15.00       4,150       1.02       0.90       5.44       110  

For the Year Ended October 31, 2018

 

A

  $ 7.62     $ 0.30     $ (0.75   $ (0.45   $ (1.67   $     $     $ (1.67   $ 5.50       (8.25 )%    $ 6,774       1.41     1.25     4.78     130

C

    7.62       0.25       (0.75     (0.50     (1.62                 (1.62     5.50       (8.86     2,951       2.19       2.00       4.04       130  

I

    7.61       0.32       (0.76     (0.44     (1.69                 (1.69     5.48       (8.00       62,924       1.07       0.96       5.08       130  

R3

    7.60       0.29       (0.76     (0.47     (1.66                 (1.66     5.47       (8.44     11       1.73       1.39       4.65       130  

R4

    7.60       0.30       (0.76     (0.46     (1.67                 (1.67     5.47       (8.29     60       1.43       1.25       4.79       130  

R5

    7.38       0.31       (0.73     (0.42     (1.69                 (1.69     5.27       (7.98     10       1.13       0.95       5.11       130  

Y

    7.57       0.32       (0.75     (0.43     (1.70                 (1.70     5.44       (7.99     86,121       1.06       0.90       5.13       130  

F

    7.61       0.32       (0.76     (0.44     (1.69                 (1.69     5.48       (7.93     4,599       1.01       0.90       5.15       130  

For the Year Ended October 31, 2017

 

A

  $ 7.48     $ 0.37     $ 0.11     $ 0.48     $ (0.34   $     $     $ (0.34   $ 7.62       6.80   $ 8,324       1.44     1.25     4.87     151

C

    7.47       0.31       0.13       0.44       (0.29                 (0.29     7.62       5.98       2,777       2.20       2.00       4.13       151  

I

    7.46       0.39       0.13       0.52       (0.37                 (0.37     7.61       7.11       46,768       1.18       1.00       5.10       151  

R3

    7.43       0.35       0.13       0.48       (0.31                 (0.31     7.60       6.61       12       1.96       1.50       4.67       151  

R4

    7.45       0.37       0.12       0.49       (0.34                 (0.34     7.60       6.73       46       1.50       1.25       4.86       151  

R5

    7.24       0.38       0.11       0.49       (0.35                 (0.35     7.38       7.00       11       1.21       0.95       5.22       151  

Y

    7.43       0.39       0.12       0.51       (0.37                 (0.37     7.57       7.11       94,802       1.07       0.90       5.24       151  

F(5)

    7.29       0.26       0.31       0.57       (0.25                 (0.25     7.61       7.87 (6)      2,210       1.04 (7)      0.90 (7)      4.99 (7)      151  

For the Year Ended October 31, 2016

 

A

  $ 7.09     $ 0.35     $ 0.38     $ 0.73     $     $     $   (0.34   $   (0.34   $   7.48       10.62   $ 5,804       1.64     1.26 %(8)      4.91     187

C

    7.08       0.30       0.37       0.67                   (0.28     (0.28     7.47       9.78       1,895       2.43       2.01 (8)      4.14       187  

I

    7.07       0.37       0.38       0.75                   (0.36     (0.36     7.46       10.93       9,871       1.41       1.01 (8)      5.08       187  

R3

    7.08       0.32       0.35       0.67                   (0.32     (0.32     7.43       9.80       20       1.92       1.56 (8)      4.44       187  

R4

    7.08       0.34       0.38       0.72                   (0.35     (0.35     7.45       10.51       31       1.61       1.26 (8)      4.76       187  

R5

    7.08       0.36       0.34       0.70                   (0.54     (0.54     7.24       10.44       12       1.30       0.96 (8)      5.04       187  

Y

    7.05       0.37       0.38       0.75                   (0.37     (0.37     7.43       10.96       87,545       1.20       0.91 (8)      5.26       187  

For the Year Ended October 31, 2015

 

A

  $ 9.00     $ 0.36     $   (1.87   $   (1.51   $     $     $ (0.40   $ (0.40   $ 7.09       (17.13 )%    $ 5,827       1.53     1.25     4.56     122

C

    8.99       0.32       (1.90     (1.58                 (0.33     (0.33     7.08       (17.81     1,289       2.29       2.00       3.99       122  

I

    8.98       0.38       (1.87     (1.49                 (0.42     (0.42     7.07       (16.95     3,716       1.18       0.97       4.57       122  

R3

    8.99       0.34       (1.88     (1.54                 (0.37     (0.37     7.08       (17.40     1,688       1.81       1.55       4.33       122  

R4

    8.99       0.37       (1.88     (1.51                 (0.40     (0.40     7.08       (17.14     1,741       1.51       1.25       4.63       122  

R5

    8.99       0.39       (1.88     (1.49                 (0.42     (0.42     7.08       (16.89     1,726       1.21       0.95       4.93       122  

Y

    8.96       0.40       (1.89     (1.49                 (0.42     (0.42     7.05       (16.90     177,798       1.11       0.90       5.02       122  

 

The accompanying notes are an integral part of these financial statements.

 

 

  198  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment

Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Floating Rate Fund  

For the Year Ended October 31, 2019

 

A

  $ 8.68     $ 0.39     $ (0.23   $ 0.16     $ (0.45   $   —     $ (0.02   $ (0.47   $ 8.37       1.98   $ 762,132       1.00     1.00     4.61     46

C

    8.67       0.33       (0.23     0.10       (0.31           (0.01     (0.32     8.45       1.22       458,641       1.73       1.73       3.89       46  

I

    8.69       0.41       (0.23     0.18       (0.49           (0.02     (0.51     8.36       2.29       1,316,224       0.71       0.71       4.90       46  

R3

    8.70       0.37       (0.23     0.14       (0.41           (0.01     (0.42     8.42       1.72       6,708       1.33       1.25       4.35       46  

R4

    8.67       0.39       (0.22     0.17       (0.46           (0.02     (0.48     8.36       2.04       2,807       1.05       1.00       4.66       46  

R5

    8.68       0.41       (0.23     0.18       (0.49           (0.02     (0.51     8.35       2.18       1,193       0.77       0.77       4.84       46  

Y

    8.67       0.42       (0.24     0.18       (0.50           (0.02     (0.52     8.33       2.25       63,586       0.71       0.71       4.93       46  

F

    8.70       0.41       (0.22     0.19       (0.51           (0.02     (0.53     8.36       2.32       398,085       0.64       0.64       4.83       46  

For the Year Ended October 31, 2018

 

A

  $ 8.74     $ 0.37     $ (0.08   $ 0.29     $ (0.35   $     $     $ (0.35   $ 8.68       3.41   $ 909,677       0.99     0.99     4.21     55

C

    8.73       0.30       (0.07     0.23       (0.29                 (0.29     8.67       2.65       744,791       1.73       1.73       3.48       55  

I

    8.75       0.39       (0.07     0.32       (0.38                 (0.38     8.69       3.70       1,903,730       0.72       0.72       4.50       55  

R3

    8.76       0.35       (0.08     0.27       (0.33                 (0.33     8.70       3.15       8,479       1.37       1.25       3.95       55  

R4

    8.73       0.37       (0.08     0.29       (0.35                 (0.35     8.67       3.40       5,804       1.07       1.00       4.21       55  

R5

    8.74       0.39       (0.08     0.31       (0.37                 (0.37     8.68       3.67       1,897       0.77       0.74       4.45       55  

Y

    8.73       0.39       (0.07     0.32       (0.38                 (0.38     8.67       3.71       470,887       0.71       0.70       4.53       55  

F

    8.76       0.39       (0.07     0.32       (0.38                 (0.38     8.70       3.88       67,464       0.65       0.65       4.52       55  

For the Year Ended October 31, 2017

 

A

  $ 8.58     $ 0.32     $ 0.16     $ 0.48     $ (0.31   $     $ (0.01   $ (0.32   $ 8.74       5.66   $ 806,759       0.98     0.98     3.68     62

C

    8.57       0.26       0.15       0.41       (0.24           (0.01     (0.25     8.73       4.89       1,046,990       1.72       1.72       2.95       62  

I

    8.59       0.34       0.16       0.50       (0.33           (0.01     (0.34     8.75       5.95       1,817,213       0.71       0.71       3.94       62  

R3

    8.61       0.30       0.15       0.45       (0.29           (0.01     (0.30     8.76       5.25       9,993       1.37       1.25       3.41       62  

R4

    8.58       0.32       0.15       0.47       (0.31           (0.01     (0.32     8.73       5.52       6,359       1.06       1.00       3.65       62  

R5

    8.58       0.34       0.16       0.50       (0.33           (0.01     (0.34     8.74       5.96       2,200       0.80       0.70       3.96       62  

Y

    8.57       0.35       0.16       0.51       (0.34           (0.01     (0.35     8.73       5.99       374,594       0.67       0.67       3.98       62  

F(5)

    8.74       0.23       0.02       0.25       (0.22           (0.01     (0.23     8.76       2.78 (6)      48,407       0.65 (7)      0.65 (7)      3.95 (7)      62  

For the Year Ended October 31, 2016

 

A

  $ 8.41     $ 0.36     $ 0.16     $ 0.52     $ (0.35   $     $     $ (0.35   $ 8.58       6.38   $ 875,037       1.02     1.01 %(9)      4.40     40

B

    8.40       0.30       0.15       0.45       (0.28                 (0.28     8.57       5.59       3,696       1.90       1.76 (9)      3.66       40  

C

    8.40       0.30       0.16       0.46       (0.29                 (0.29     8.57       5.62       1,213,760       1.74       1.74 (9)      3.67       40  

I

    8.42       0.39       0.15       0.54       (0.37                 (0.37     8.59       6.67       1,466,928       0.74       0.74 (9)      4.66       40  

R3

    8.43       0.34       0.17       0.51       (0.33                 (0.33     8.61       6.24       10,618       1.38       1.26 (9)      4.15       40  

R4

    8.40       0.36       0.17       0.53       (0.35                 (0.35     8.58       6.51       8,781       1.07       1.01 (9)      4.39       40  

R5

    8.41       0.39       0.15       0.54       (0.37                 (0.37     8.58       6.70       1,941       0.80       0.71 (9)      4.69       40  

Y

    8.40       0.39       0.16       0.55       (0.38                 (0.38     8.57       6.76       318,753       0.66       0.66 (9)      4.73       40  

For the Year Ended October 31, 2015

 

A

  $   8.88     $   0.36     $   (0.46   $   (0.10   $   (0.33   $     $   (0.04   $   (0.37   $   8.41       (1.20 )%    $   1,109,960       0.98     0.98     4.19     30

B

    8.86       0.30       (0.46     (0.16     (0.27           (0.03     (0.30     8.40       (1.85     7,942       1.84       1.75       3.42       30  

C

    8.86       0.30       (0.46     (0.16     (0.27           (0.03     (0.30     8.40       (1.94     1,463,472       1.73       1.73       3.44       30  

I

    8.89       0.39       (0.47     (0.08     (0.35           (0.04     (0.39     8.42       (0.92     1,698,313       0.71       0.71       4.45       30  

R3

    8.89       0.34       (0.46     (0.12     (0.31           (0.03     (0.34     8.43       (1.46     13,707       1.37       1.25       3.92       30  

R4

    8.87       0.36       (0.47     (0.11     (0.32           (0.04     (0.36     8.40       (1.22     9,264       1.06       1.00       4.16       30  

R5

    8.87       0.39       (0.46     (0.07     (0.35           (0.04     (0.39     8.41       (0.81     2,818       0.78       0.70       4.46       30  

Y

    8.86       0.39       (0.46     (0.07     (0.35           (0.04     (0.39     8.40       (0.76     398,751       0.65       0.65       4.51       30  

 

The accompanying notes are an integral part of these financial statements.

 

 

  199  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment

Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset

Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Floating Rate High Income Fund  

For the Year Ended October 31, 2019

 

A

  $   10.01     $   0.46     $   (0.24   $   0.22     $   (0.57   $     $   (0.02   $   (0.59   $ 9.64       2.34   $ 87,122       1.14     1.05     4.71     78

C

    10.01       0.39       (0.24     0.15       (0.42           (0.02     (0.44     9.72       1.60       56,859       1.88       1.80       3.97       78  

I

    10.02       0.48       (0.24     0.24       (0.61           (0.03     (0.64     9.62       2.63         220,436       0.87       0.80       4.97       78  

R3

    10.00       0.43       (0.23     0.20       (0.52           (0.02     (0.54     9.66       2.13       227       1.50       1.35       4.41       78  

R4

    9.99       0.46       (0.24     0.22       (0.58           (0.02     (0.60     9.61       2.33       346       1.20       1.05       4.76       78  

R5

    9.98       0.49       (0.24     0.25       (0.62           (0.03     (0.65     9.58       2.72       11,015       0.88       0.75       5.01       78  

Y

    9.99       0.48       (0.23     0.25       (0.62           (0.03     (0.65     9.59       2.71       14,773       0.86       0.77       4.98       78  

F

    10.01       0.49       (0.24     0.25       (0.62           (0.03     (0.65     9.61       2.73       21,903       0.78       0.75       5.04       78  

For the Year Ended October 31, 2018

 

A

  $ 10.06     $ 0.43     $ (0.07   $ 0.36     $ (0.41   $     $     $ (0.41   $ 10.01       3.62   $ 119,920       1.14     1.05     4.29     84

C

    10.06       0.36       (0.08     0.28       (0.33                 (0.33     10.01       2.85       78,122       1.88       1.80       3.54       84  

I

    10.07       0.46       (0.08     0.38       (0.43                 (0.43     10.02       3.88         313,336       0.86       0.80       4.56       84  

R3

    10.05       0.40       (0.07     0.33       (0.38                 (0.38     10.00       3.31       267       1.50       1.35       4.00       84  

R4

    10.04       0.43       (0.07     0.36       (0.41                 (0.41     9.99       3.62       809       1.20       1.05       4.30       84  

R5

    10.03       0.47       (0.08     0.39       (0.44                 (0.44     9.98       3.93       12,192       0.89       0.75       4.65       84  

Y

    10.04       0.46       (0.07     0.39       (0.44                 (0.44     9.99       3.93       20,412       0.83       0.75       4.62       84  

F

    10.07       0.46       (0.08     0.38       (0.44                 (0.44     10.01       3.93       31,840       0.78       0.75       4.61       84  

For the Year Ended October 31, 2017

 

A

  $ 9.82     $ 0.40     $ 0.22     $ 0.62     $ (0.38   $     $     $ (0.38   $   10.06       6.38   $ 145,099       1.10     1.05     3.97     77

C

    9.82       0.32       0.22       0.54       (0.30                 (0.30     10.06       5.59       89,003       1.86       1.80       3.23       77  

I

    9.83       0.42       0.22       0.64       (0.40                 (0.40     10.07       6.64       250,468       0.87       0.80       4.19       77  

R3

    9.81       0.37       0.22       0.59       (0.35                 (0.35     10.05       6.07       339       1.53       1.35       3.69       77  

R4

    9.80       0.39       0.23       0.62       (0.38                 (0.38     10.04       6.38       709       1.18       1.05       3.94       77  

R5

    9.80       0.42       0.22       0.64       (0.41                 (0.41     10.03       6.59       1,851       0.87       0.75       4.17       77  

Y

    9.80       0.43       0.22       0.65       (0.41                 (0.41     10.04       6.71       7,121       0.80       0.75       4.28       77  

F(5)

    10.03       0.29       0.01       0.30       (0.26                 (0.26     10.07       2.98 (6)      17,138       0.77 (7)      0.75 (7)      4.27 (7)      77  

For the Year Ended October 31, 2016

 

A

  $ 9.59     $ 0.51     $ 0.20     $ 0.71     $ (0.45   $     $ (0.03   $ (0.48   $ 9.82       7.81   $ 123,600       1.15     1.07 %(10)      5.43     75

C

    9.60       0.44       0.19       0.63       (0.39           (0.02     (0.41     9.82       6.90       83,318       1.91       1.82 (10)      4.70       75  

I

    9.60       0.53       0.21       0.74       (0.48           (0.03     (0.51     9.83       8.07       151,912       0.91       0.82 (10)      5.65       75  

R3

    9.58       0.49       0.20       0.69       (0.43           (0.03     (0.46     9.81       7.50       319       1.55       1.37 (10)      5.18       75  

R4

    9.58       0.51       0.20       0.71       (0.46           (0.03     (0.49     9.80       7.77       507       1.23       1.07 (10)      5.40       75  

R5

    9.57       0.53       0.31       0.84       (0.58           (0.03     (0.61     9.80       9.27       592       0.92       0.77 (10)      5.55       75  

Y

    9.57       0.54       0.20       0.74       (0.48           (0.03     (0.51     9.80       8.14       4,932       0.81       0.77 (10)      5.75       75  

For the Year Ended October 31, 2015

 

A

  $ 10.54     $ 0.51     $ (0.81   $   (0.30   $ (0.41   $   (0.15   $   (0.09   $ (0.65   $ 9.59       (3.00 )%    $ 134,991       1.11     1.05     5.06     55

C

    10.54       0.43       (0.79     (0.36     (0.35     (0.15     (0.08     (0.58     9.60       (3.63     99,723       1.88       1.80       4.31       55  

I

    10.55       0.53       (0.80     (0.27     (0.43     (0.15     (0.10     (0.68     9.60       (2.75     148,276       0.86       0.80       5.30       55  

R3

    10.52       0.48       (0.80     (0.32     (0.39     (0.15     (0.08     (0.62     9.58       (3.21     807       1.48       1.35       4.73       55  

R4

    10.52       0.51       (0.80     (0.29     (0.41     (0.15     (0.09     (0.65     9.58       (2.91     2,889       1.18       1.05       5.06       55  

R5

    10.52       0.54       (0.81     (0.27     (0.43     (0.15     (0.10     (0.68     9.57       (2.63     2,823       0.88       0.75       5.35       55  

Y

    10.52       0.54       (0.81     (0.27     (0.43     (0.15     (0.10     (0.68     9.57       (2.72     4,989       0.77       0.75       5.33       55  

 

The accompanying notes are an integral part of these financial statements.

 

 

  200  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford High Yield Fund  

For the Year Ended October 31, 2019

 

A

  $ 7.15     $ 0.36     $ 0.22     $ 0.58     $ (0.37   $     $     $ (0.37   $ 7.36       8.27   $ 229,615       1.17     1.05     5.00     36

C

    7.12       0.31       0.21       0.52       (0.31                 (0.31     7.33       7.42       32,746       1.87       1.80       4.27       36  

I

    7.19       0.38       0.21       0.59       (0.40                 (0.40     7.38       8.55       20,575       0.83       0.79       5.25       36  

R3

    7.14       0.34       0.22       0.56       (0.34                 (0.34     7.36       8.03       1,501       1.46       1.35       4.72       36  

R4

    7.16       0.36       0.22       0.58       (0.37                 (0.37     7.37       8.26       1,009       1.16       1.05       5.02       36  

R5

    7.15       0.38       0.21       0.59       (0.41                 (0.41     7.33       8.50       793       0.85       0.75       5.29       36  

Y

    7.13       0.37       0.21       0.58       (0.41                 (0.41     7.30       8.42       11,647       0.83       0.78       5.09       36  

F

    7.18       0.39       0.22       0.61       (0.42                 (0.42     7.37       8.74       60,588       0.74       0.70       5.35       36  

For the Year Ended October 31, 2018

 

A

  $ 7.49     $ 0.36     $ (0.34   $ 0.02     $ (0.36   $     $     $ (0.36   $ 7.15       0.27   $ 214,430       1.17     1.05     4.92     29

C

    7.47       0.31       (0.36     (0.05     (0.30                 (0.30     7.12       (0.63     38,727       1.87       1.80       4.17       29  

I

    7.54       0.38       (0.35     0.03       (0.38                 (0.38     7.19       0.44       18,652       0.83       0.78       5.19       29  

R3

    7.49       0.34       (0.35     (0.01     (0.34                 (0.34     7.14       (0.17     1,964       1.47       1.35       4.62       29  

R4

    7.51       0.36       (0.35     0.01       (0.36                 (0.36     7.16       0.15       1,144       1.17       1.05       4.92       29  

R5

    7.49       0.38       (0.34     0.04       (0.38                 (0.38     7.15       0.57       628       0.87       0.75       5.22       29  

Y

    7.48       0.39       (0.35     0.04       (0.39                 (0.39     7.13       0.48       867       0.81       0.70       5.27       29  

F

    7.53       0.39       (0.35     0.04       (0.39                 (0.39     7.18       0.51       52,810       0.75       0.70       5.27       29  

For the Year Ended October 31, 2017

 

A

  $   7.28     $   0.37     $   0.21     $   0.58     $   (0.36   $   —     $   (0.01   $   (0.37   $   7.49       8.16   $   224,824       1.17     1.05     5.04     49

C

    7.25       0.32       0.22       0.54       (0.31           (0.01     (0.32     7.47       7.52       57,139       1.85       1.80       4.29       49  

I

    7.31       0.39       0.23       0.62       (0.38           (0.01     (0.39     7.54       8.70       28,998       0.95       0.80       5.28       49  

R3

    7.27       0.35       0.22       0.57       (0.34           (0.01     (0.35     7.49       7.99       2,586       1.48       1.35       4.74       49  

R4

    7.28       0.37       0.23       0.60       (0.36           (0.01     (0.37     7.51       8.45       1,463       1.18       1.05       5.03       49  

R5

    7.27       0.39       0.22       0.61       (0.38           (0.01     (0.39     7.49       8.63       885       0.87       0.75       5.33       49  

Y

    7.26       0.40       0.22       0.62       (0.39           (0.01     (0.40     7.48       8.69       7,330       0.75       0.70       5.40       49  

F(5)

    7.48       0.27       0.05       0.32       (0.26           (0.01     (0.27     7.53       4.33 (6)      45,699       0.75 (7)      0.70 (7)      5.31 (7)      49  

For the Year Ended October 31, 2016

 

A

  $   7.14     $   0.35     $   0.14     $   0.49     $   (0.35   $   —     $   —     $   (0.35   $   7.28       7.10   $   247,549       1.23     1.07 %(11)      4.93     47

B

    7.10       0.29       0.13       0.42       (0.29                 (0.29     7.23       6.17       1,509       2.12       1.82 (11)      4.19       47  

C

    7.12       0.29       0.13       0.42       (0.29                 (0.29     7.25       6.16       61,297       1.88       1.82 (11)      4.18       47  

I

    7.18       0.36       0.14       0.50       (0.37                 (0.37     7.31       7.20       37,099       0.88       0.82 (11)      5.14       47  

R3

    7.14       0.33       0.13       0.46       (0.33                 (0.33     7.27       6.64       3,153       1.50       1.37 (11)      4.63       47  

R4

    7.15       0.35       0.12       0.47       (0.34                 (0.34     7.28       6.92       1,681       1.20       1.07 (11)      5.01       47  

R5

    7.14       0.37       0.13       0.50       (0.37                 (0.37     7.27       7.27       665       0.90       0.77 (11)      5.23       47  

Y

    7.13       0.37       0.13       0.50       (0.37                 (0.37     7.26       7.32       7,957       0.77       0.72 (11)      5.28       47  

For the Year Ended October 31, 2015

 

A

  $   7.68     $   0.35     $   (0.54   $   (0.19   $   (0.35   $   —     $   — (12)    $   (0.35   $   7.14       (2.52 )%    $   245,946       1.16     1.05     4.64     40

B

    7.64       0.30       (0.55     (0.25     (0.29           (12)       (0.29     7.10       (3.27     3,274       2.06       1.80       3.99       40  

C

    7.65       0.30       (0.54     (0.24     (0.29           (12)       (0.29     7.12       (3.13     67,854       1.84       1.80       4.00       40  

I

    7.72       0.37       (0.54     (0.17     (0.37           (12)       (0.37     7.18       (2.25     30,492       0.84       0.80       4.99       40  

R3

    7.68       0.33       (0.54     (0.21     (0.33           (12)       (0.33     7.14       (2.81     2,178       1.48       1.35       4.45       40  

R4

    7.68       0.35       (0.53     (0.18     (0.35           (12)       (0.35     7.15       (2.38     1,377       1.17       1.05       4.75       40  

R5

    7.68       0.37       (0.54     (0.17     (0.37           (12)       (0.37     7.14       (2.22     489       0.86       0.75       5.05       40  

Y

    7.67       0.38       (0.54     (0.16     (0.38           (12)       (0.38     7.13       (2.18     7,728       0.74       0.70       5.10       40  

 

The accompanying notes are an integral part of these financial statements.

 

 

  201  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Inflation Plus Fund  

For the Year Ended October 31, 2019

 

A

  $   10.34     $   0.18     $   0.40     $   0.58     $   (0.38   $   —     $   —     $   (0.38   $   10.54       5.81   $   185,301       0.99     0.85     1.71     77

C

    9.88       0.09       0.39       0.48       (0.25                 (0.25     10.11       5.00       34,060       1.70       1.60       0.87       77  

I

    10.53       0.21       0.41       0.62       (0.40                 (0.40     10.75       6.17       52,182       0.66       0.60       1.98       77  

R3

    10.13       0.14       0.40       0.54       (0.34                 (0.34     10.33       5.50       40,395       1.28       1.20       1.36       77  

R4

    10.33       0.18       0.40       0.58       (0.37                 (0.37     10.54       5.79       7,831       0.98       0.90       1.72       77  

R5

    10.50       0.20       0.41       0.61       (0.40                 (0.40     10.71       6.18       1,975       0.68       0.60       1.88       77  

Y

    10.56       0.21       0.41       0.62       (0.41                 (0.41     10.77       6.11       24,678       0.65       0.58       1.97       77  

F

    10.53       0.22       0.41       0.63       (0.41                 (0.41     10.75       6.22       157,921       0.56       0.55       2.05       77  

For the Year Ended October 31, 2018

 

A

  $   10.95     $   0.25     $   (0.37   $   (0.12   $   (0.49   $   —     $   —     $   (0.49   $   10.34       (1.19 )%    $   193,398       0.98     0.85     2.34     18

C

    10.47       0.16       (0.36     (0.20     (0.39                 (0.39     9.88       (1.95     60,373       1.69       1.60       1.61       18  

I

    11.15       0.27       (0.38     (0.11     (0.51                 (0.51     10.53       (0.99     51,586       0.67       0.60       2.57       18  

R3

    10.74       0.20       (0.36     (0.16     (0.45                 (0.45     10.13       (1.57     45,035       1.28       1.20       1.99       18  

R4

    10.94       0.24       (0.37     (0.13     (0.48                 (0.48     10.33       (1.28     9,723       0.98       0.90       2.32       18  

R5

    11.12       0.27       (0.37     (0.10     (0.52                 (0.52     10.50       (0.99     2,711       0.68       0.60       2.54       18  

Y

    11.18       0.28       (0.38     (0.10     (0.52                 (0.52     10.56       (0.93     28,512       0.62       0.55       2.64       18  

F

    11.16       0.28       (0.39     (0.11     (0.52                 (0.52     10.53       (1.03     151,498       0.56       0.55       2.61       18  

For the Year Ended October 31, 2017

 

A

  $   11.05     $   0.15     $   (0.12   $   0.03     $   (0.13   $   —     $   —     $   (0.13   $   10.95       0.27   $   203,962       0.95     0.85     1.39     72

C

    10.56       0.07       (0.12     (0.05     (0.04                 (0.04     10.47       (0.46     110,182       1.67       1.60       0.65       72  

I

    11.25       0.18       (0.12     0.06       (0.16                 (0.16     11.15       0.53       57,101       0.74       0.60       1.66       72  

R3

    10.84       0.11       (0.12     (0.01     (0.09                 (0.09     10.74       (0.07     48,953       1.27       1.20       1.05       72  

R4

    11.04       0.15       (0.13     0.02       (0.12                 (0.12     10.94       0.22       11,278       0.97       0.90       1.33       72  

R5

    11.22       0.18       (0.12     0.06       (0.16                 (0.16     11.12       0.54       2,924       0.69       0.60       1.67       72  

Y

    11.28       0.19       (0.13     0.06       (0.16                 (0.16     11.18       0.59       31,947       0.57       0.55       1.75       72  

F(5)

    11.08       0.12       (0.04     0.08                               11.16       0.72 (6)      119,654       0.55 (7)      0.55 (7)      1.65 (7)      72  

For the Year Ended October 31, 2016

 

A

  $   10.57     $   0.09     $   0.39     $   0.48     $   —     $   —     $   —     $   —     $   11.05       4.54   $   229,329       0.98     0.87 %(13)      0.87     70

B

    10.18       (0.01     0.40       0.39                               10.57       3.83       5,154       1.83       1.62 (13)      (0.07     70  

C

    10.17       0.01       0.38       0.39                               10.56       3.83       146,289       1.69       1.62 (13)      0.10       70  

I

    10.73       0.13       0.39       0.52                               11.25       4.85       62,726       0.76       0.62 (13)      1.16       70  

R3

    10.40       0.06       0.38       0.44                               10.84       4.23       56,150       1.28       1.22 (13)      0.53       70  

R4

    10.56       0.08       0.40       0.48                               11.04       4.55       15,684       0.98       0.92 (13)      0.79       70  

R5

    10.71       0.11       0.40       0.51                               11.22       4.76       2,392       0.70       0.62 (13)      1.03       70  

Y

    10.75       0.11       0.42       0.53                               11.28       4.93       101,942       0.57       0.57 (13)      0.99       70  

For the Year Ended October 31, 2015

 

A

  $   10.79     $   (0.04   $   (0.17   $   (0.21   $   (0.01   $   —     $   —     $   (0.01   $   10.57       (1.99 )%    $   257,100       0.94     0.85     (0.34 )%      155

B

    10.47       (0.13     (0.16     (0.29                             10.18       (2.75     10,385       1.78       1.60       (1.22     155  

C

    10.47       (0.12     (0.18     (0.30                             10.17       (2.84     178,363       1.66       1.60       (1.13     155  

I

    10.94       (0.02     (0.18     (0.20     (0.01                 (0.01     10.73       (1.85     63,658       0.73       0.60       (0.18     155  

R3

    10.66       (0.06     (0.20     (0.26                             10.40       (2.40     61,292       1.25       1.20       (0.60     155  

R4

    10.79       (0.03     (0.19     (0.22     (0.01                 (0.01     10.56       (2.08     19,243       0.95       0.90       (0.30     155  

R5

    10.91       (0.01     (0.18     (0.19     (0.01                 (0.01     10.71       (1.77     3,757       0.66       0.60       (0.12     155  

Y

    10.95             (0.19     (0.19     (0.01                 (0.01     10.75       (1.76     197,882       0.54       0.54       0.03       155  

 

The accompanying notes are an integral part of these financial statements.

 

 

  202  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
Hartford Municipal Income Fund  

For the Year Ended October 31, 2019

 

A

  $   10.04     $   0.26     $   0.74     $   1.00     $   (0.26   $   —     $   —     $   (0.26   $   10.78       10.05   $   22,713       0.99     0.67     2.45     47

C

    10.04       0.24       0.74       0.98       (0.23                 (0.23     10.79       9.85       2,714       1.74       0.88       2.27       47  

I

    10.04       0.28       0.74       1.02       (0.31                 (0.31     10.75       10.30       7,227       0.74       0.44       2.69       47  

F

    10.03       0.29       0.74       1.03       (0.31                 (0.31     10.75       10.38       3,584       0.69       0.39       2.71       47  

For the Year Ended October 31, 2018

 

A

  $   10.32     $   0.24     $   (0.28   $   (0.04   $   (0.24   $   —     $   —     $   (0.24   $   10.04       (0.36 )%    $   15,155       1.09     0.65     2.39     15

C

    10.32       0.24       (0.28     (0.04     (0.24                 (0.24     10.04       (0.38     3,488       1.82       0.67       2.37       15  

I

    10.32       0.27       (0.28     (0.01     (0.27                 (0.27     10.04       (0.11     6,320       0.80       0.40       2.64       15  

F

    10.32       0.27       (0.29     (0.02     (0.27                 (0.27     10.03       (0.20     1,673       0.78       0.39       2.65       15  

For the Year Ended October 31, 2017

 

A

  $   10.34     $   0.22     $   (0.02   $   0.20     $   (0.22   $   —     $   —     $   (0.22   $   10.32       2.03   $   12,913       1.10     0.69     2.21     10

C

    10.34       0.21       (0.02     0.19       (0.21                 (0.21     10.32       1.87       3,317       1.81       0.84       2.06       10  

I

    10.34       0.25       (0.02     0.23       (0.25                 (0.25     10.32       2.29       5,917       0.81       0.44       2.46       10  

F(5)

    10.04       0.17       0.28       0.45       (0.17                 (0.17     10.32       4.52 (6)      1,127       0.80 (7)      0.39 (7)      2.48 (7)      10  

For the Year Ended October 31, 2016

 

A

  $   10.09     $   0.21     $   0.25     $   0.46     $   (0.21   $   —     $   —     $   (0.21   $   10.34       4.62   $   9,933       1.70     0.70 %(14)      2.06     13

C

    10.09       0.14       0.25       0.39       (0.14                 (0.14     10.34       3.86       3,034       2.39       1.45 (14)      1.33       13  

I

    10.09       0.24       0.25       0.49       (0.24                 (0.24     10.34       4.89       6,140       1.39       0.45 (14)      2.33       13  

For the Period Ended October 31, 2015

 

A(15)

  $   10.00     $   0.08     $   0.09     $   0.17     $   (0.08   $   —     $   —     $   (0.08   $   10.09       1.67 %(6)    $   3,075       1.11 %(7)      0.69 %(7)      1.83 %(7)      21

C(15)

    10.00       0.04       0.09       0.13       (0.04                 (0.04     10.09       1.35 (6)      2,533       1.83 (7)      1.44 (7)      1.07 (7)      21  

I(15)

    10.00       0.09       0.09       0.18       (0.09                 (0.09     10.09       1.77 (6)      5,107       0.83 (7)      0.44 (7)      2.07 (7)      21  
The Hartford Municipal Opportunities Fund  

For the Year Ended October 31, 2019

 

A

  $   8.37     $   0.22     $   0.51     $   0.73     $   (0.22   $   —     $   —     $   (0.22   $   8.88       8.79   $   394,518       0.69     0.69     2.49     15

C

    8.37       0.15       0.52       0.67       (0.15                 (0.15     8.89       8.08       66,792       1.44       1.44       1.75       15  

I

    8.38       0.24       0.52       0.76       (0.26                 (0.26     8.88       9.15       516,299       0.44       0.44       2.72       15  

Y

    8.38       0.24       0.52       0.76       (0.26                 (0.26     8.88       9.17       14,391       0.45       0.45       2.74       15  

F

    8.38       0.24       0.51       0.75       (0.26                 (0.26     8.87       9.15       98,172       0.37       0.37       2.76       15  

For the Year Ended October 31, 2018

 

A

  $   8.60     $   0.22     $   (0.23   $   (0.01   $   (0.22   $   —     $   —     $   (0.22   $   8.37       (0.11 )%    $   325,322       0.70     0.69     2.60     23

C

    8.60       0.16       (0.23     (0.07     (0.16                 (0.16     8.37       (0.86     77,408       1.46       1.44       1.85       23  

I

    8.61       0.24       (0.23     0.01       (0.24                 (0.24     8.38       0.14       325,853       0.45       0.44       2.85       23  

Y(16)

    8.52       0.10       (0.14     (0.04     (0.10                 (0.10     8.38       (0.46 )(6)      14,574       0.44 (7)      0.44 (7)      2.87 (7)      23  

F

    8.61       0.25       (0.23     0.02       (0.25                 (0.25     8.38       0.20       43,617       0.38       0.38       2.90       23  

For the Year Ended October 31, 2017

 

A

  $   8.69     $   0.22     $   (0.09   $   0.13     $   (0.22   $   —     $   —     $   (0.22   $   8.60       1.50   $   251,143       0.68     0.68     2.53     23

C

    8.69       0.15       (0.09     0.06       (0.15                 (0.15     8.60       0.73       100,507       1.44       1.44       1.77       23  

I

    8.71       0.24       (0.10     0.14       (0.24                 (0.24     8.61       1.63       302,855       0.44       0.44       2.77       23  

F(5)

    8.46       0.16       0.15       0.31       (0.16                 (0.16     8.61       3.69 (6)      25,280       0.39 (7)      0.39 (7)      2.77 (7)      23  

For the Year Ended October 31, 2016

 

A

  $   8.53     $   0.21     $   0.16     $   0.37     $   (0.21   $   —     $   —     $   (0.21   $   8.69       4.40   $   283,275       0.70     0.70 %(17)      2.44     22

B

    8.53       0.15       0.15       0.30       (0.15                 (0.15     8.68       3.50       964       1.51       1.45 (17)      1.74       22  

C

    8.54       0.15       0.15       0.30       (0.15                 (0.15     8.69       3.50       127,960       1.46       1.45 (17)      1.69       22  

I

    8.55       0.23       0.17       0.40       (0.24                 (0.24     8.71       4.66       337,900       0.46       0.45 (17)      2.68       22  

 

The accompanying notes are an integral part of these financial statements.

 

 

  203  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Municipal Opportunities Fund – (continued)  

For the Year Ended October 31, 2015

 

A

  $   8.53     $   0.24     $   —     $   0.24     $   (0.24   $   —     $   —     $   (0.24   $   8.53       2.85   $   212,254       0.81     0.75     2.82     21

B

    8.53       0.18       (0.01     0.17       (0.17                 (0.17     8.53       2.08       2,425       1.63       1.51       2.06       21  

C

    8.54       0.18       (0.01     0.17       (0.17                 (0.17     8.54       2.08       97,729       1.57       1.51       2.07       21  

I

    8.55       0.26             0.26       (0.26                 (0.26     8.55       3.10       166,610       0.56       0.50       3.08       21  
Hartford Municipal Short Duration Fund  

For the Year Ended October 31, 2019

 

A

  $   9.88     $   0.18     $   0.28     $   0.46     $   (0.18   $   —     $   —     $   (0.18   $   10.16       4.66   $   16,141       1.09     0.66     1.77     73

C

    9.87       0.17       0.27       0.44       (0.16                 (0.16     10.15       4.54       1,362       1.82       0.76       1.66       73  

I

    9.88       0.20       0.28       0.48       (0.21                 (0.21     10.15       4.92       2,212       0.80       0.41       2.01       73  

F

    9.88       0.20       0.28       0.48       (0.20                 (0.20     10.16       4.94       1,700       0.79       0.39       2.03       73  

For the Year Ended October 31, 2018

 

A

  $   10.04     $   0.16     $   (0.16   $   —     $   (0.16   $   —     $   —     $   (0.16   $   9.88       (0.03 )%    $   8,984       1.20     0.61     1.58     24

C

    10.04       0.15       (0.17     (0.02     (0.15                 (0.15     9.87       (0.24     3,157       1.94       0.73       1.46       24  

I

    10.05       0.18       (0.17     0.01       (0.18                 (0.18     9.88       0.08       6,789       0.92       0.41       1.78       24  

F

    10.05       0.18       (0.17     0.01       (0.18                 (0.18     9.88       0.09       979       0.90       0.39       1.80       24  

For the Year Ended October 31, 2017

 

A

  $   10.08     $   0.12     $   (0.04   $   0.08     $   (0.12   $   —     $   —     $   (0.12   $   10.04       0.81   $   8,363       1.15     0.67     1.21     20

C

    10.08       0.09       (0.04     0.05       (0.09                 (0.09     10.04       0.54       3,614       1.88       0.95       0.92       20  

I

    10.08       0.14       (0.03     0.11       (0.14                 (0.14     10.05       1.15       7,246       0.87       0.44       1.44       20  

F(5)

    9.96       0.10       0.09       0.19       (0.10                 (0.10     10.05       1.91 (6)      509       0.87 (7)      0.39 (7)      1.53 (7)      20  

For the Year Ended October 31, 2016

 

A

  $   10.06     $   0.10     $   0.02     $   0.12     $   (0.10   $   —     $   —     $   (0.10   $   10.08       1.15   $   8,383       1.55     0.70 %(14)      0.95     12

C

    10.05       0.02       0.03       0.05       (0.02                 (0.02     10.08       0.50       4,067       2.29       1.45 (14)      0.20       12  

I

    10.06       0.12       0.02       0.14       (0.12                 (0.12     10.08       1.40       5,915       1.27       0.45 (14)      1.20       12  

For the Period Ended October 31, 2015

 

A(15)

  $   10.00     $   0.03     $   0.06     $   0.09     $   (0.03   $   —     $   —     $   (0.03   $   10.06       0.91 %(6)    $   3,993       1.12 %(7)      0.69 %(7)      0.75 %(7)      6

C(15)

    10.00             0.05       0.05                               10.05       0.53 (6)      3,137       1.82 (7)      1.44 (7)      (0.02 )(7)      6  

I(15)

    10.00       0.04       0.06       0.10       (0.04                 (0.04     10.06       1.01 (6)      5,106       0.78 (7)      0.44 (7)      0.97 (7)      6  
The Hartford Quality Bond Fund  

For the Year Ended October 31, 2019

 

A

  $   9.55     $   0.23     $   0.68     $   0.91     $   (0.27   $   —     $   —     $   (0.27   $   10.19       9.72   $   15,478       0.94     0.83     2.34     59

C

    9.47       0.16       0.67       0.83       (0.17                 (0.17     10.13       8.96       9,594       1.67       1.56       1.57       59  

I

    9.55       0.26       0.68       0.94       (0.32                 (0.32     10.17       10.04       5,261       0.63       0.53       2.62       59  

R3

    9.53       0.20       0.66       0.86       (0.21                 (0.21     10.18       9.26       128       1.27       1.16       2.03       59  

R4

    9.56       0.25       0.68       0.93       (0.31                 (0.31     10.18       9.85       12       0.97       0.61       2.58       59  

R5

    9.56       0.26       0.68       0.94       (0.32                 (0.32     10.18       9.99       32       0.67       0.56       2.61       59  

Y

    9.64       0.27       0.70       0.97       (0.35                 (0.35     10.26       10.23       34       0.13       0.02       2.70       59  

F

    9.56       0.27       0.67       0.94       (0.34                 (0.34     10.16       10.17       102,455       0.55       0.44       2.74       59  

For the Year Ended October 31, 2018

 

A

  $   9.95     $   0.21     $   (0.38   $   (0.17   $   (0.23   $   —     $   —     $   (0.23   $   9.55       (1.84 )%    $   10,117       0.93     0.82     2.11     67

C

    9.87       0.13       (0.38     (0.25     (0.15                 (0.15     9.47       (2.65     2,630       1.75       1.60       1.33       67  

I

    9.95       0.23       (0.37     (0.14     (0.26                 (0.26     9.55       (1.45     1,760       0.65       0.54       2.32       67  

R3

    9.93       0.17       (0.37     (0.20     (0.20                 (0.20     9.53       (2.18     196       1.27       1.15       1.79       67  

R4

    9.96       0.22       (0.37     (0.15     (0.25                 (0.25     9.56       (1.56     11       1.00       0.63       2.29       67  

R5

    9.96       0.23       (0.38     (0.15     (0.25                 (0.25     9.56       (1.49     29       0.67       0.56       2.37       67  

Y

    10.04       0.24       (0.38     (0.14     (0.26                 (0.26     9.64       (1.43     15       0.61       0.54       2.39       67  

F

    9.96       0.24       (0.37     (0.13     (0.27                 (0.27     9.56       (1.47     108,531       0.55       0.44       2.49       67  

 

The accompanying notes are an integral part of these financial statements.

 

 

  204  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Quality Bond Fund – (continued)  

For the Year Ended October 31, 2017

 

A

  $   10.34     $   0.16     $   (0.20   $   (0.04   $   (0.19   $   (0.16   $   —     $   (0.35   $   9.95       (0.35 )%    $   13,410       1.01     0.95     1.59     94

C

    10.26       0.08       (0.20     (0.12     (0.11     (0.16           (0.27     9.87       (1.11     2,558       1.77       1.70       0.82       94  

I

    10.35       0.18       (0.21     (0.03     (0.21     (0.16           (0.37     9.95       (0.20     3,852       0.76       0.70       1.77       94  

R3

    10.32       0.13       (0.20     (0.07     (0.16     (0.16           (0.32     9.93       (0.66     251       1.37       1.25       1.34       94  

R4

    10.35       0.16       (0.20     (0.04     (0.19     (0.16           (0.35     9.96       (0.30     11       1.12       0.91       1.59       94  

R5

    10.35       0.19       (0.20     (0.01     (0.22     (0.16           (0.38     9.96       (0.05     30       0.77       0.65       1.89       94  

Y

    10.36       0.18       (0.18           (0.16     (0.16           (0.32     10.04       0.01       15       0.65       0.60       1.80       94  

F(5)

    9.94       0.14       0.04       0.18       (0.16                 (0.16     9.96       1.80 (6)      116,939       0.66 (7)      0.55 (7)      2.14 (7)      94  

For the Year Ended October 31, 2016

 

A

  $   10.19     $   0.12     $   0.24     $   0.36     $   (0.14   $   (0.07   $   —     $   (0.21   $   10.34       3.54   $   14,294       1.04     0.96 %(18)      1.14     84

C

    10.12       0.04       0.23       0.27       (0.06     (0.07           (0.13     10.26       2.70       3,890       1.78       1.71 (18)      0.40       84  

I

    10.21       0.14       0.24       0.38       (0.17     (0.07           (0.24     10.35       3.73       12,254       0.78       0.71 (18)      1.40       84  

R3

    10.17       0.06       0.31       0.37       (0.15     (0.07           (0.22     10.32       3.66       198       1.38       1.26 (18)      0.57       84  

R4

    10.19       0.08       0.33       0.41       (0.18     (0.07           (0.25     10.35       4.08       24       1.07       0.96 (18)      0.75       84  

R5

    10.21       0.11       0.33       0.44       (0.23     (0.07           (0.30     10.35       4.37       45       0.77       0.66 (18)      1.05       84  

Y

    10.21       0.16       0.24       0.40       (0.18     (0.07           (0.25     10.36       3.90       93,809       0.67       0.61 (18)      1.53       84  

For the Year Ended October 31, 2015

 

A

  $   10.19     $   0.04     $   0.16     $   0.20     $   (0.05   $   (0.15   $   —     $   (0.20   $   10.19       2.01   $   11,513       1.18     0.90     0.43     20

C

    10.15       (0.03     0.16       0.13       (0.01     (0.15           (0.16     10.12       1.28       2,453       1.93       1.64       (0.31     20  

I

    10.20       0.07       0.17       0.24       (0.08     (0.15           (0.23     10.21       2.37       2,283       0.89       0.61       0.71       20  

R3

    10.17       0.01       0.16       0.17       (0.02     (0.15           (0.17     10.17       1.69       2,082       1.58       1.25       0.07       20  

R4

    10.19       0.04       0.16       0.20       (0.05     (0.15           (0.20     10.19       1.95       2,100       1.28       0.95       0.37       20  

R5

    10.20       0.07       0.16       0.23       (0.07     (0.15           (0.22     10.21       2.32       2,119       0.98       0.65       0.67       20  

Y

    10.20       0.07       0.17       0.24       (0.08     (0.15           (0.23     10.21       2.36       9,547       0.89       0.60       0.72       20  
The Hartford Short Duration Fund  

For the Year Ended October 31, 2019

 

A

  $   9.70     $   0.26     $   0.22     $   0.48     $   (0.26   $   —     $   —     $   (0.26   $   9.92       5.05   $   653,304       0.84     0.81     2.67     30

C

    9.69       0.19       0.23       0.42       (0.19                 (0.19     9.92       4.34       80,498       1.55       1.55       1.93       30  

I

    9.71       0.29       0.24       0.53       (0.32                 (0.32     9.92       5.52       404,974       0.52       0.52       2.95       30  

R3

    9.67       0.23       0.23       0.46       (0.23                 (0.23     9.90       4.78       1,676       1.16       1.15       2.31       30  

R4

    9.68       0.26       0.23       0.49       (0.26                 (0.26     9.91       5.16       7,764       0.74       0.74       2.66       30  

R5

    9.69       0.29       0.22       0.51       (0.31                 (0.31     9.89       5.37       1,412       0.56       0.55       2.93       30  

R6(19)

    9.70       0.20       0.17       0.37       (0.20                 (0.20     9.87       3.85       11       0.45       0.45       2.99       30  

Y

    9.67       0.29       0.23       0.52       (0.32                 (0.32     9.87       5.43       11,831       0.52       0.52       2.97       30  

F

    9.72       0.30       0.22       0.52       (0.33                 (0.33     9.91       5.44       228,084       0.44       0.44       3.03       30  

For the Year Ended October 31, 2018

 

A

  $   9.87     $   0.23     $   (0.17   $   0.06     $   (0.23   $   —     $   —     $   (0.23   $   9.70       0.66   $   516,715       0.91     0.85     2.39     29

C

    9.87       0.16       (0.18     (0.02     (0.16                 (0.16     9.69       (0.19     71,192       1.61       1.60       1.63       29  

I

    9.89       0.26       (0.18     0.08       (0.26                 (0.26     9.71       0.85       227,412       0.56       0.56       2.68       29  

R3

    9.84       0.22       (0.17     0.05       (0.22                 (0.22     9.67       0.52       960       1.21       0.99       2.25       29  

R4

    9.85       0.23       (0.17     0.06       (0.23                 (0.23     9.68       0.66       645       0.91       0.85       2.39       29  

R5

    9.86       0.26       (0.17     0.09       (0.26                 (0.26     9.69       0.96       1,125       0.61       0.55       2.71       29  

Y

    9.84       0.27       (0.18     0.09       (0.26                 (0.26     9.67       0.97       14,983       0.54       0.54       2.73       29  

F

    9.89       0.27       (0.17     0.10       (0.27                 (0.27     9.72       1.02       173,198       0.49       0.49       2.76       29  

 

The accompanying notes are an integral part of these financial statements.

 

 

  205  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Short Duration Fund – (continued)  

For the Year Ended October 31, 2017

 

A

  $   9.88     $   0.20     $   (0.01   $   0.19     $   (0.20   $   —     $   —     $   (0.20   $   9.87       1.94   $   523,916       0.86     0.84     2.02     42

C

    9.88       0.13       (0.01     0.12       (0.13                 (0.13     9.87       1.20       103,013       1.58       1.57       1.29       42  

I

    9.90       0.23       (0.01     0.22       (0.23                 (0.23     9.89       2.21       185,948       0.58       0.58       2.29       42  

R3

    9.86       0.17       (0.02     0.15       (0.17                 (0.17     9.84       1.58       1,175       1.22       1.09       1.77       42  

R4

    9.87       0.20       (0.02     0.18       (0.20                 (0.20     9.85       1.83       626       0.92       0.85       2.01       42  

R5

    9.86       0.23             0.23       (0.23                 (0.23     9.86       2.33       807       0.60       0.55       2.33       42  

Y

    9.86       0.23       (0.02     0.21       (0.23                 (0.23     9.84       2.17       5,549       0.50       0.50       2.32       42  

F(5)

    9.88       0.16       0.01       0.17       (0.16                 (0.16     9.89       1.73 (6)      103,896       0.49 (7)      0.49 (7)      2.45 (7)      42  

For the Year Ended October 31, 2016

 

A

  $   9.80     $   0.17     $   0.08     $   0.25     $   (0.17   $   —     $   —     $   (0.17   $   9.88       2.56   $   530,178       0.90     0.86 %(20)      1.69     41

B

    9.85       0.16       0.10       0.26       (0.17                 (0.17     9.94       2.66       2,393       1.04       0.86 (20)      1.67       41  

C

    9.80       0.09       0.09       0.18       (0.10                 (0.10     9.88       1.80       125,548       1.61       1.61 (20)      0.94       41  

I

    9.82       0.19       0.09       0.28       (0.20                 (0.20     9.90       2.86       189,645       0.57       0.57 (20)      1.98       41  

R3

    9.78       0.14       0.08       0.22       (0.14                 (0.14     9.86       2.26       1,167       1.24       1.16 (20)      1.38       41  

R4

    9.79       0.17       0.08       0.25       (0.17                 (0.17     9.87       2.56       661       0.94       0.86 (20)      1.68       41  

R5

    9.78       0.20       0.08       0.28       (0.20                 (0.20     9.86       2.87       209       0.63       0.56 (20)      2.02       41  

Y

    9.78       0.20       0.08       0.28       (0.20                 (0.20     9.86       2.92       45,768       0.51       0.51 (20)      2.05       41  

For the Year Ended October 31, 2015

 

A

  $   9.91     $   0.15     $   (0.07   $   0.08     $   (0.16   $   (0.03   $   —     $   (0.19   $   9.80       0.80   $   469,337       0.90     0.85     1.51     31

B

    9.96       0.16       (0.08     0.08       (0.16     (0.03           (0.19     9.85       0.80       4,450       1.03       0.85       1.56       31  

C

    9.91       0.08       (0.07     0.01       (0.09     (0.03           (0.12     9.80       0.05       120,116       1.60       1.60       0.81       31  

I

    9.93       0.19       (0.08     0.11       (0.19     (0.03           (0.22     9.82       1.11       126,578       0.54       0.54       1.87       31  

R3

    9.88       0.12       (0.06     0.06       (0.13     (0.03           (0.16     9.78       0.60       1,084       1.23       1.15       1.26       31  

R4

    9.89       0.15       (0.06     0.09       (0.16     (0.03           (0.19     9.79       0.90       677       0.92       0.85       1.56       31  

R5

    9.89       0.18       (0.07     0.11       (0.19     (0.03           (0.22     9.78       1.10       111       0.62       0.55       1.86       31  

Y

    9.88       0.19       (0.06     0.13       (0.20     (0.03           (0.23     9.78       1.25       8,412       0.51       0.51       1.91       31  
The Hartford Strategic Income Fund  

For the Year Ended October 31, 2019

 

A

  $   8.41     $   0.32     $   0.44     $   0.76     $   (0.53   $   —     $   —     $   (0.53   $   8.64       9.42   $   193,608       1.03     0.95     3.80     74

C

    8.45       0.26       0.44       0.70       (0.46                 (0.46     8.69       8.59       50,793       1.75       1.70       3.05       74  

I

    8.43       0.34       0.45       0.79       (0.55                 (0.55     8.67       9.82       264,537       0.73       0.70       4.04       74  

R3

    8.39       0.30       0.44       0.74       (0.50                 (0.50     8.63       9.22       634       1.34       1.25       3.50       74  

R4

    8.40       0.32       0.45       0.77       (0.53                 (0.53     8.64       9.54       209       1.05       0.95       3.80       74  

R5

    8.40       0.35       0.43       0.78       (0.55                 (0.55     8.63       9.78       8,280       0.74       0.65       4.09       74  

R6

    8.40       0.35       0.44       0.79       (0.56                 (0.56     8.63       9.84       1,673       0.63       0.60       4.12       74  

Y

    8.39       0.35       0.44       0.79       (0.55                 (0.55     8.63       9.91       4,824       0.71       0.66       4.09       74  

F

    8.43       0.35       0.45       0.80       (0.56                 (0.56     8.67       9.93       168,465       0.63       0.60       4.15       74  

For the Year Ended October 31, 2018

 

A

  $   9.00     $   0.33     $   (0.40   $   (0.07   $   (0.52   $   —     $   —     $   (0.52   $   8.41       (0.77 )%    $   164,749       1.05     0.95     3.78     63

C

    9.03       0.26       (0.39     (0.13     (0.45                 (0.45     8.45       (1.49     48,099       1.78       1.70       3.03       63  

I

    9.03       0.35       (0.40     (0.05     (0.55                 (0.55     8.43       (0.63     88,704       0.77       0.70       4.03       63  

R3

    8.98       0.30       (0.39     (0.09     (0.50                 (0.50     8.39       (1.10     306       1.37       1.25       3.48       63  

R4

    8.99       0.33       (0.40     (0.07     (0.52                 (0.52     8.40       (0.79     560       1.08       0.95       3.78       63  

R5

    8.99       0.35       (0.39     (0.04     (0.55                 (0.55     8.40       (0.46     4,446       0.78       0.65       4.12       63  

R6

    8.99       0.36       (0.39     (0.03     (0.56                 (0.56     8.40       (0.41     150       0.66       0.60       4.15       63  

Y

    8.99       0.36       (0.40     (0.04     (0.56                 (0.56     8.39       (0.49     2,513       0.72       0.60       4.14       63  

F

    9.02       0.36       (0.39     (0.03     (0.56                 (0.56     8.43       (0.41     153,833       0.66       0.60       4.13       63  

 

The accompanying notes are an integral part of these financial statements.

 

 

  206  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Strategic Income Fund – (continued)  

For the Year Ended October 31, 2017

 

A

  $   8.76     $   0.36     $   0.26     $   0.62     $   (0.38   $   —     $   —     $   (0.38   $   9.00       7.26   $   161,969       1.03     0.95     4.02     82

C

    8.79       0.29       0.26       0.55       (0.31                 (0.31     9.03       6.38       74,017       1.74       1.70       3.29       82  

I

    8.79       0.37       0.27       0.64       (0.40                 (0.40     9.03       7.51       83,345       0.76       0.70       4.11       82  

R3

    8.75       0.33       0.25       0.58       (0.35                 (0.35     8.98       6.83       329       1.45       1.25       3.70       82  

R4

    8.76       0.35       0.26       0.61       (0.38                 (0.38     8.99       7.13       748       1.08       0.95       4.00       82  

R5

    8.76       0.38       0.26       0.64       (0.41                 (0.41     8.99       7.48       1,467       0.75       0.65       4.25       82  

R6

    8.75       0.39       0.26       0.65       (0.41                 (0.41     8.99       7.66       11       0.70       0.60       4.41       82  

Y

    8.75       0.42       0.23       0.65       (0.41                 (0.41     8.99       7.67       657       0.64       0.60       4.79       82  

F(5)

    8.79       0.25       0.20       0.45       (0.22                 (0.22     9.02       5.21 (6)      180,163       0.64 (7)      0.60 (7)      4.08 (7)      82  

For the Year Ended October 31, 2016

 

A

  $   8.53     $   0.39     $   0.19     $   0.58     $   (0.35   $   —     $   —     $   (0.35   $   8.76       7.02   $   120,051       1.05     0.96 %(21)      4.54     55

B

    8.53       0.37       0.21       0.58       (0.33                 (0.33     8.78       6.98       2,205       1.27       1.11 (21)      4.37       55  

C

    8.55       0.32       0.20       0.52       (0.28                 (0.28     8.79       6.27       74,607       1.75       1.71 (21)      3.78       55  

I

    8.55       0.41       0.21       0.62       (0.38                 (0.38     8.79       7.29       31,317       0.75       0.71 (21)      4.79       55  

R3

    8.51       0.36       0.20       0.56       (0.32                 (0.32     8.75       6.81       267       1.42       1.26 (21)      4.23       55  

R4

    8.52       0.39       0.20       0.59       (0.35                 (0.35     8.76       7.15       224       1.08       0.96 (21)      4.55       55  

R5

    8.52       0.42       0.20       0.62       (0.38                 (0.38     8.76       7.49       413       0.76       0.66 (21)      4.87       55  

R6

    8.52       0.42       0.19       0.61       (0.38                 (0.38     8.75       7.43       11       0.65       0.61 (21)      4.88       55  

Y

    8.52       0.42       0.19       0.61       (0.38                 (0.38     8.75       7.43       164,098       0.65       0.61 (21)      4.89       55  

For the Year Ended October 31, 2015

 

A

  $   9.30     $   0.37     $   (0.57   $   (0.20   $   (0.37   $   (0.20   $   —     $   (0.57   $   8.53       (2.23 )%    $   123,510       1.03     0.95     4.23     66

B

    9.30       0.32       (0.59     (0.27     (0.30     (0.20           (0.50     8.53       (3.00     4,019       1.85       1.70       3.60       66  

C

    9.32       0.32       (0.59     (0.27     (0.30     (0.20           (0.50     8.55       (2.97     86,887       1.74       1.70       3.61       66  

I

    9.33       0.41       (0.60     (0.19     (0.39     (0.20           (0.59     8.55       (1.97     29,189       0.73       0.70       4.61       66  

R3

    9.29       0.35       (0.59     (0.24     (0.34     (0.20           (0.54     8.51       (2.64     314       1.41       1.25       4.04       66  

R4

    9.30       0.38       (0.59     (0.21     (0.37     (0.20           (0.57     8.52       (2.34     175       1.08       0.95       4.37       66  

R5

    9.30       0.41       (0.60     (0.19     (0.39     (0.20           (0.59     8.52       (2.05     306       0.75       0.65       4.70       66  

R6(22)

    9.27       0.41       (0.56     (0.15     (0.40     (0.20           (0.60     8.52       (1.66 )(6)      10       0.69 (7)      0.59 (7)      4.78 (7)      66  

Y

    9.30       0.41       (0.59     (0.18     (0.40     (0.20           (0.60     8.52       (1.99     111,277       0.64       0.60       4.70       66  
The Hartford Total Return Bond Fund  

For the Year Ended October 31, 2019

 

A

  $   9.92     $   0.30     $   0.79     $   1.09     $   (0.35   $   —     $   —     $   (0.35   $   10.66       11.24   $   940,594       0.74     0.74     2.90     71

C

    9.97       0.22       0.80       1.02       (0.22                 (0.22     10.77       10.37       27,334       1.54       1.54       2.12       71  

I

    9.95       0.33       0.79       1.12       (0.42                 (0.42     10.65       11.49       108,633       0.42       0.42       3.19       71  

R3

    10.14       0.27       0.82       1.09       (0.28                 (0.28     10.95       10.93       4,769       1.08       1.07       2.58       71  

R4

    10.09       0.30       0.81       1.11       (0.35                 (0.35     10.85       11.20       11,476       0.77       0.76       2.89       71  

R5

    10.06       0.33       0.83       1.16       (0.41                 (0.41     10.81       11.80       1,049       0.48       0.48       3.22       71  

R6

    10.03       0.32       0.82       1.14       (0.43                 (0.43     10.74       11.67       40,368       0.35       0.34       3.04       71  

Y

    10.04       0.34       0.81       1.15       (0.43                 (0.43     10.76       11.68       488,228       0.41       0.40       3.25       71  

F

    9.90       0.34       0.78       1.12       (0.43                 (0.43     10.59       11.58       562,418       0.36       0.36       3.29       71  

For the Year Ended October 31, 2018

 

A

  $   10.44     $   0.28     $   (0.48   $   (0.20   $   (0.32   $   —     $   —     $   (0.32   $   9.92       (1.95 )%    $   774,821       0.82     0.82     2.72     74

C

    10.46       0.20       (0.49     (0.29     (0.20                 (0.20     9.97       (2.79     30,760       1.61       1.60       1.93       74  

I

    10.45       0.31       (0.48     (0.17     (0.33                 (0.33     9.95       (1.68     51,131       0.51       0.51       3.03       74  

R3

    10.64       0.25       (0.50     (0.25     (0.25                 (0.25     10.14       (2.37     5,000       1.16       1.15       2.38       74  

R4

    10.62       0.28       (0.49     (0.21     (0.32                 (0.32     10.09       (2.04     11,153       0.85       0.85       2.67       74  

R5

    10.62       0.31       (0.49     (0.18     (0.38                 (0.38     10.06       (1.74     1,548       0.56       0.56       2.98       74  

R6

    10.61       0.32       (0.50     (0.18     (0.40                 (0.40     10.03       (1.72     1,678       0.44       0.44       3.11       74  

Y

    10.61       0.32       (0.50     (0.18     (0.39                 (0.39     10.04       (1.69     449,292       0.48       0.48       3.06       74  

F

    10.46       0.31       (0.47     (0.16     (0.40                 (0.40     9.90       (1.59     678,207       0.44       0.44       3.10       74  

 

The accompanying notes are an integral part of these financial statements.

 

 

  207  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford Total Return Bond Fund – (continued)  

For the Year Ended October 31, 2017

 

A

  $   10.48     $   0.26     $   (0.04   $ 0.22     $   (0.26   $   —     $   —     $   (0.26   $   10.44       2.19   $   772,486       0.84     0.84     2.55     56

C

    10.50       0.19       (0.04     0.15       (0.19                 (0.19     10.46       1.43       59,204       1.58       1.58       1.82       56  

I

    10.49       0.29       (0.04     0.25       (0.29                 (0.29     10.45       2.41       35,182       0.77       0.62       2.78       56  

R3

    10.68       0.23       (0.04     0.19       (0.23                 (0.23     10.64       1.86       5,851       1.17       1.17       2.22       56  

R4

    10.66       0.27       (0.04     0.23       (0.27                 (0.27     10.62       2.18       14,290       0.85       0.85       2.54       56  

R5

    10.65       0.30       (0.03     0.27       (0.30                 (0.30     10.62       2.48       1,548       0.55       0.55       2.84       56  

R6

    10.64       0.30       (0.02     0.28       (0.31                 (0.31     10.61       2.69       1,092       0.45       0.44       2.87       56  

Y

    10.65       0.31       (0.04     0.27       (0.31                 (0.31     10.61       2.57       438,589       0.46       0.46       2.96       56  

F(5)

    10.32       0.20       0.14       0.34       (0.20                 (0.20     10.46       3.36 (6)      937,170       0.44 (7)      0.44 (7)      2.88 (7)      56  

For the Year Ended October 31, 2016

 

A

  $   10.28     $   0.28     $   0.22     $   0.50     $   (0.25   $   (0.02   $   (0.03   $   (0.30   $   10.48       4.77   $   782,964       0.87     0.87 %(23)      2.68     41

B

    10.20       0.20       0.21       0.41       (0.18     (0.02     (0.02     (0.22     10.39       4.09       4,406       1.89       1.63 (23)      1.92       41  

C

    10.30       0.20       0.22       0.42       (0.18     (0.02     (0.02     (0.22     10.50       4.10       73,841       1.60       1.60 (23)      1.95       41  

I

    10.30       0.30       0.22       0.52       (0.28     (0.02     (0.03     (0.33     10.49       5.08       115,889       0.61       0.61 (23)      2.86       41  

R3

    10.48       0.25       0.22       0.47       (0.23     (0.02     (0.02     (0.27     10.68       4.51       5,943       1.18       1.18 (23)      2.37       41  

R4

    10.46       0.28       0.22       0.50       (0.25     (0.02     (0.03     (0.30     10.66       4.85       15,348       0.86       0.86 (23)      2.69       41  

R5

    10.46       0.32       0.20       0.52       (0.28     (0.02     (0.03     (0.33     10.65       5.16       1,473       0.56       0.56 (23)      3.00       41  

R6

    10.45       0.32       0.21       0.53       (0.29     (0.02     (0.03     (0.34     10.64       5.15       11       0.45       0.45 (23)      3.07       41  

Y

    10.45       0.33       0.21       0.54       (0.29     (0.02     (0.03     (0.34     10.65       5.27       1,031,478       0.45       0.45 (23)      3.10       41  

For the Year Ended October 31, 2015

 

A

  $   10.71     $   0.23     $   (0.21   $   0.02     $   (0.22   $   (0.23   $   —     $   (0.45   $   10.28       0.35   $   672,638       0.87     0.87     2.20     57

B

    10.63       0.15       (0.20     (0.05     (0.15     (0.23           (0.38     10.20       (0.50     10,528       1.86       1.62       1.43       57  

C

    10.72       0.16       (0.20     (0.04     (0.15     (0.23           (0.38     10.30       (0.38     67,147       1.59       1.59       1.50       57  

I

    10.72       0.27       (0.20     0.07       (0.26     (0.23           (0.49     10.30       0.67       23,201       0.56       0.56       2.60       57  

R3

    10.90       0.21       (0.21           (0.19     (0.23           (0.42     10.48       0.07       6,198       1.16       1.16       1.93       57  

R4

    10.88       0.24       (0.20     0.04       (0.23     (0.23           (0.46     10.46       0.39       15,610       0.84       0.84       2.25       57  

R5

    10.88       0.27       (0.20     0.07       (0.26     (0.23           (0.49     10.46       0.68       1,423       0.55       0.55       2.57       57  

R6(22)

    10.87       0.27       (0.20     0.07       (0.26     (0.23           (0.49     10.45       0.65 (6)      10       0.50 (7)      0.50 (7)      2.61 (7)      57  

Y

    10.87       0.28       (0.20     0.08       (0.27     (0.23           (0.50     10.45       0.79       1,103,177       0.44       0.44       2.67       57  
The Hartford World Bond Fund  

For the Year Ended October 31, 2019

 

A

  $   10.65     $   0.10     $   0.49     $   0.59     $   (0.48   $   (0.01   $   —     $   (0.49   $   10.75       5.68   $   419,891       1.02     1.02     0.98     93

C

    10.45       0.03       0.47       0.50       (0.40     (0.01           (0.41     10.54       4.92       81,694       1.75       1.75       0.26       93  

I

    10.72       0.14       0.48       0.62       (0.50     (0.01           (0.51     10.83       6.02       2,223,706       0.74       0.74       1.26       93  

R3

    10.58       0.07       0.48       0.55       (0.44     (0.01           (0.45     10.68       5.39       1,946       1.36       1.35       0.63       93  

R4

    10.65       0.09       0.51       0.60       (0.48     (0.01           (0.49     10.76       5.71       10,651       0.96       0.96       0.84       93  

R5

    10.72       0.13       0.50       0.63       (0.50     (0.01           (0.51     10.84       6.00       6,404       0.76       0.76       1.23       93  

R6

    10.76       0.14       0.50       0.64       (0.51     (0.01           (0.52     10.88       6.09       17,230       0.64       0.64       1.34       93  

Y

    10.75       0.14       0.50       0.64       (0.51     (0.01           (0.52     10.87       6.04       522,050       0.73       0.70       1.31       93  

F

    10.74       0.15       0.48       0.63       (0.51     (0.01           (0.52     10.85       6.11       2,027,555       0.64       0.64       1.35       93  

For the Year Ended October 31, 2018

 

A

  $   10.45     $   0.11     $   0.12     $   0.23     $   (0.03   $   —     $   —     $   (0.03   $ 10.65       2.18   $   339,123       1.04     1.04     1.04     115

C

    10.31       0.03       0.12       0.15       (0.01                 (0.01     10.45       1.44       78,993       1.77       1.77       0.30       115  

I

    10.50       0.14       0.12       0.26       (0.04                 (0.04     10.72       2.45       1,943,254       0.76       0.76       1.32       115  

R3

    10.41       0.07       0.12       0.19       (0.02                 (0.02     10.58       1.82       1,161       1.38       1.36       0.67       115  

R4

    10.46       0.11       0.11       0.22       (0.03                 (0.03     10.65       2.09       847       1.08       1.07       1.02       115  

R5

    10.51       0.14       0.11       0.25       (0.04                 (0.04     10.72       2.35       3,840       0.78       0.77       1.34       115  

R6

    10.53       0.16       0.11       0.27       (0.04                 (0.04     10.76       2.58       10,009       0.67       0.67       1.50       115  

Y

    10.53       0.15       0.11       0.26       (0.04                 (0.04     10.75       2.44       670,390       0.71       0.71       1.40       115  

F

    10.51       0.15       0.12       0.27       (0.04                 (0.04     10.74       2.58       1,571,981       0.66       0.66       1.43       115  

 

The accompanying notes are an integral part of these financial statements.

 

 

  208  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from

Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(2)
    Net
Assets at
End of
Period)
(000s)
    Ratio  of
Expenses

to
Average
Net
Assets
Before
Adjust-
ments(3)(4)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(3)(4)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(4)
    Portfolio
Turnover
 
The Hartford World Bond Fund – (continued)  

For the Year Ended October 31, 2017

 

A

  $   10.36     $   0.11     $   (0.02 )(24)    $   0.09     $   —     $   —     $   —     $   —     $   10.45       0.87   $   331,084       1.08     1.05     1.02     100

C

    10.29       0.03       (0.01 )(24)      0.02                               10.31       0.19       101,882       1.78       1.78       0.30       100  

I

    10.39       0.13       (0.02 )(24)      0.11                               10.50       1.16       1,880,345       0.85       0.80       1.26       100  

R3

    10.35       0.07       (0.01 )(24)      0.06                               10.41       0.58       2,139       1.40       1.35       0.70       100  

R4

    10.37       0.11       (0.02 )(24)      0.09                               10.46       0.87       664       1.10       1.05       1.03       100  

R5

    10.38       0.13             0.13                               10.51       1.25       2,087       0.79       0.75       1.27       100  

R6

    10.40       0.14       (0.01 )(24)      0.13                               10.53       1.25       1,176       0.71       0.69       1.36       100  

Y

    10.40       0.14       (0.01 )(24)      0.13                               10.53       1.25       490,321       0.70       0.70       1.37       100  

F(5)

    10.32       0.08       0.11 (24)      0.19                               10.51       1.84 (6)      1,235,664       0.68 (7)      0.68 (7)      1.14 (7)      100  

For the Year Ended October 31, 2016

 

A

  $   10.47     $   0.11     $   0.07     $   0.18     $   —     $   (0.26   $   (0.03   $   (0.29   $   10.36       1.78   $   481,126       1.13     1.07 %(25)      1.12     122

C

    10.46       0.04       0.06       0.10             (0.26     (0.01     (0.27     10.29       0.95       155,828       1.79       1.79 (25)      0.40       122  

I

    10.49       0.14       0.06       0.20             (0.26     (0.04     (0.30     10.39       1.91       2,407,302       0.81       0.81 (25)      1.39       122  

R3

    10.48       0.09       0.06       0.15             (0.26     (0.02     (0.28     10.35       1.48       1,882       1.41       1.37 (25)      0.85       122  

R4

    10.48       0.11       0.07       0.18             (0.26     (0.03     (0.29     10.37       1.79       1,228       1.10       1.07 (25)      1.11       122  

R5

    10.48       0.15       0.06       0.21             (0.26     (0.05     (0.31     10.38       2.02       1,137       0.83       0.77 (25)      1.46       122  

R6

    10.49       0.16       0.06       0.22             (0.26     (0.05     (0.31     10.40       2.14       790       0.74       0.72 (25)      1.52       122  

Y

    10.49       0.15       0.07       0.22             (0.26     (0.05     (0.31     10.40       2.15       568,934       0.69       0.69 (25)      1.50       122  

For the Year Ended October 31, 2015

 

A

  $   10.76     $   0.09     $   —     $   0.09     $   (0.38   $   —     $   —     $   (0.38   $   10.47       0.82   $   624,111       1.08     1.05     0.84     99

C

    10.74       0.01       0.01 (24)      0.02       (0.30                 (0.30     10.46       0.17       175,560       1.77       1.77       0.13       99  

I

    10.77       0.12             0.12       (0.40                 (0.40     10.49       1.16       2,283,590       0.77       0.77       1.13       99  

R3

    10.77       0.06       (0.01     0.05       (0.34                 (0.34     10.48       0.48       810       1.39       1.35       0.55       99  

R4

    10.78       0.10       (0.02     0.08       (0.38                 (0.38     10.48       0.71       4,850       1.08       1.05       0.98       99  

R5

    10.76       0.12             0.12       (0.40                 (0.40     10.48       1.19       297       0.83       0.75       1.17       99  

R6(22)

    10.78       0.14       (0.02     0.12       (0.41                 (0.41     10.49       1.18 (6)      188       0.74 (7)      0.70 (7)      1.32 (7)      99  

Y

    10.77       0.13             0.13       (0.41                 (0.41     10.49       1.27       634,789       0.67       0.67       1.24       99  

 

(1) 

Information presented relates to a share outstanding throughout the indicated period. Net investment income (loss) per share amounts are calculated based on average shares outstanding unless otherwise noted.

(2) 

Assumes initial investment at net asset value at the beginning of each period, reinvestment of all distributions, the complete redemption of the investment at net asset value at the end of each period and no sales charge. Total return would be reduced if sales charges were taken into account.

(3) 

Adjustments include waivers and reimbursements, if applicable. Ratios do not include fees paid indirectly (see Expenses in the accompanying Notes to Financial Statements).

(4) 

Ratios do not include expenses of the Underlying Funds and/or other investment companies, if applicable.

(5) 

Commenced operations on February 28, 2017.

(6) 

Not annualized.

(7) 

Annualized.

(8) 

Excluding the expenses not subject to cap, the ratios would have been 1.25%, 2.00%, 1.00%, 1.55%, 1.25%, 0.95% and 0.90% for Class A, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(9) 

Excluding the expenses not subject to cap, the ratios would have been 1.00%, 1.75%, 1.73%, 0.73%, 1.25%, 1.00%, 0.70% and 0.65% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(10) 

Excluding the expenses not subject to cap, the ratios would have been 1.05%, 1.80%, 0.80%, 1.35%, 1.05%, 0.75% and 0.75% for Class A, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(11) 

Excluding the expenses not subject to cap, the ratios would have been 1.05%, 1.80%, 1.80%, 0.80%, 1.35%, 1.05%, 0.75% and 0.70% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(12) 

Included in this amount are tax distributions from capital of less than ($0.01).

(13) 

Excluding the expenses not subject to cap, the ratios would have been 0.85%, 1.60%, 1.60%, 0.60%, 1.20%, 0.90%, 0.60% and 0.55% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(14) 

Excluding the expenses not subject to cap, the ratios would have been 0.69%, 1.44% and 0.44% for Class A, Class C and Class I, respectively.

(15) 

Commenced operations on May 29, 2015.

(16) 

Commenced operations on May 31, 2018.

(17) 

Excluding the expenses not subject to cap, the ratios would have been 0.69%, 1.44%, 1.44% and 0.44% for Class A, Class B, Class C and Class I, respectively.

 

The accompanying notes are an integral part of these financial statements.

 

 

  209  

 


Hartford Fixed Income Funds

Financial Highlights – (continued)

 

 

 

(18) 

Excluding the expenses not subject to cap, the ratios would have been 0.95%, 1.70%, 0.70%, 1.25%, 0.95%, 0.65% and 0.60% for Class A, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(19) 

Commenced operations on February 28, 2019.

(20) 

Excluding the expenses not subject to cap, the ratios would have been 0.85%, 0.85%, 1.60%, 0.56%, 1.15%, 0.85%, 0.55% and 0.50% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(21) 

Excluding the expenses not subject to cap, the ratios would have been 0.95%, 1.10%, 1.70%, 0.70%, 1.25%, 0.95%, 0.65%, 0.60% and 0.60% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

(22) 

Commenced operations on November 7, 2014.

(23) 

Excluding the expenses not subject to cap, the ratios would have been 0.86%, 1.62%, 1.59%, 0.60%, 1.17%, 0.85%, 0.55%, 0.44% and 0.44% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

(24) 

Per share amount was not in accord with the net realized and unrealized gain (loss) for the period because of the timing of transactions in shares of the Fund and the amount and timing of per-share net realized and unrealized gain (loss) on such shares.

(25) 

Excluding the expenses not subject to cap, the ratios would have been 1.05%, 1.77%, 0.79%, 1.35%, 1.05%, 0.75%, 0.70% and 0.67% for Class A, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

 

The accompanying notes are an integral part of these financial statements.

 

 

  210  

 


Hartford Fixed Income Funds

Notes to Financial Statements

October 31, 2019

 

 

 

1.

Organization:

The Hartford Mutual Funds, Inc. (the “Company”) is an open-end registered management investment company comprised of thirty eight series, as of October 31, 2019. Financial statements for the series of the Company listed below (each, a “Fund” and collectively, the “Funds”) are included in this report.

The Hartford Mutual Funds, Inc.:

The Hartford Emerging Markets Local Debt Fund (the “Emerging Markets Local Debt Fund”)

The Hartford Floating Rate Fund (the “Floating Rate Fund”)

The Hartford Floating Rate High Income Fund (the “Floating Rate High Income Fund”)

The Hartford High Yield Fund (the “High Yield Fund”)

The Hartford Inflation Plus Fund (the “Inflation Plus Fund”)

Hartford Municipal Income Fund (the “Municipal Income Fund”)

The Hartford Municipal Opportunities Fund (the “Municipal Opportunities Fund”)

Hartford Municipal Short Duration Fund (the “Municipal Short Duration Fund”)

The Hartford Quality Bond Fund (the “Quality Bond Fund”)

The Hartford Short Duration Fund (the “Short Duration Fund”)

The Hartford Strategic Income Fund (the “Strategic Income Fund”)

The Hartford Total Return Bond Fund (the “Total Return Bond Fund”)

The Hartford World Bond Fund (the “World Bond Fund”)

The assets of each Fund are separate, and a shareholder’s interest is limited to the Fund in which shares are held. The Company is organized under the laws of the State of Maryland and is registered with the Securities and Exchange Commission (the “SEC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). Each Fund, except Emerging Markets Local Debt Fund and World Bond Fund, is a diversified open-end management investment company. Emerging Markets Local Debt Fund and World Bond Fund are non-diversified open-end management investment companies. Each Fund applies specialized accounting and reporting standards under Accounting Standards Codification Topic 946, “Financial Services – Investment Companies.”

Each Fund has registered for sale Class A, Class C, Class I and Class F shares. In addition, each Fund, except Municipal Income Fund, Municipal Opportunities Fund and Municipal Short Duration Fund, offers Class R3, Class R4 and Class R5 shares. Each Fund, except Municipal Income Fund and Municipal Short Duration Fund, has registered for sale Class Y shares. Strategic Income Fund, Short Duration Fund, Total Return Bond Fund and World Bond Fund have registered for sale Class R6 shares. Class A shares of each Fund, except Floating Rate Fund, Floating Rate High Income Fund and Short Duration Fund, are sold with a front-end sales charge of up to 4.50%. Class A shares of Floating Rate Fund and Floating Rate High Income Fund are sold with a front-end sales charge of up to 3.00%. Class A shares of Short Duration Fund are sold with a front-end sales charge of up to 2.00%. Class C shares are sold with a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase. Effective October 1, 2018, Class C shares automatically convert to Class A shares of the same Fund after ten years provided that the Fund or the financial intermediary has records verifying that the Class C shares have been held for at least ten years. Classes I, R3, R4, R5, R6, Y and F shares do not have a sales charge. Effective as of the close of business on March 29, 2019, Classes C and I of the Total Return Bond Fund were closed to new investors, subject to certain exceptions. For more information, please see the Fund’s prospectus.

 

2.

Significant Accounting Policies:

The following is a summary of significant accounting policies of each Fund used in the preparation of its financial statements, which are in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”). The preparation of financial statements in accordance with U.S. GAAP may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

 

  a)

Determination of Net Asset Value – The net asset value (“NAV”) of each class of each Fund’s shares is determined as of the close of regular trading (normally 4:00 p.m. Eastern Time) (the “NYSE Close”) on each day that the New York Stock Exchange (the “Exchange”) is open. Information that becomes known to the Funds after the NAV has been calculated on a particular day will not generally be used to retroactively adjust the NAV determined earlier that day.

 

  b)

Investment Valuation and Fair Value Measurements – For purposes of calculating the NAV of each class of each Fund, portfolio securities and other assets held in a Fund’s portfolio for which market prices are readily available are valued at market value. Market value is generally determined on the basis of official close price or last reported trade price. If no trades were reported, market value is based on prices obtained from a quotation reporting system, established market makers (including evaluated prices), or independent pricing services. Pricing vendors may use matrix pricing or valuation models that utilize certain inputs and assumptions to derive values, including transaction data, credit quality information, general market conditions, news, and other factors and assumptions.

 

 

  211  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

If market prices are not readily available or are deemed unreliable, a Fund will use the fair value of the security or other instrument as determined in good faith under policies and procedures established by and under the supervision of the Board of Directors of the Company (the “Board of Directors”) (“Valuation Procedures”). Market prices are considered not readily available where there is an absence of current or reliable market-based data (e.g., trade information or broker quotes), including where events occur after the close of the relevant market, but prior to the NYSE Close, that materially affect the values of a Fund’s portfolio holdings or assets. In addition, market prices are considered not readily available when, due to extraordinary circumstances, the exchanges or markets on which the securities or other instruments trade do not open for trading for the entire day and no other market prices are available. Fair value pricing is subjective in nature and the use of fair value pricing by a Fund may cause the NAV of its shares to differ significantly from the NAV that would have been calculated using market prices at the close of the exchange on which a portfolio holding is primarily traded. There can be no assurance that a Fund could obtain the fair value assigned to an investment if the Fund were to sell the investment at approximately the time at which the Fund determines its NAV.

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service in order to reflect an adjustment for the factors occurring after the close of certain foreign markets but before the NYSE Close. Securities and other instruments that are primarily traded on foreign markets may trade on days that are not business days of the Funds. The value of the foreign securities or other instruments in which a Fund invests may change on days when a shareholder will not be able to purchase or redeem shares of the Fund.

Fixed income investments (other than short-term obligations) held by a Fund are normally valued at prices supplied by independent pricing services in accordance with the Valuation Procedures. Short-term investments maturing in 60 days or less are generally valued at amortized cost if their original term to maturity was 60 days or less, or by amortizing their value on the 61st day prior to maturity, if the original term exceeded 60 days.

Exchange-traded derivatives, such as options, futures and options on futures, are valued at the last sale price determined by the exchange where such instruments principally trade as of the close of such exchange (“Exchange Close”). If a last sale price is not available, the value will be the mean of the most recently quoted bid and ask prices as of the Exchange Close. If a mean of the bid and ask prices cannot be calculated for the day, the value will be the most recently quoted bid price as of the Exchange Close. Over-the-counter derivatives are normally valued based on prices supplied by independent pricing services in accordance with the Valuation Procedures.

Investments valued in currencies other than U.S. dollars are converted to U.S. dollars using the prevailing spot currency exchange rates obtained from independent pricing services for calculation of the NAV. As a result, the NAV of a Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of securities or other instruments traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the Exchange is closed and the market value may change on days when an investor is not able to purchase, redeem or exchange shares of a Fund.

Foreign currency contracts represent agreements to exchange currencies on specific future dates at predetermined rates. Foreign currency contracts are valued using foreign currency exchange rates and forward rates as provided by an independent pricing service on the Valuation Date.

Investments in open-end mutual funds, if any, are valued at the respective NAV of each open-end mutual fund on the Valuation Date. Shares of investment companies listed and traded on an exchange are valued in the same manner as any exchange-listed equity security. Such open-end mutual funds and listed investment companies may use fair value pricing as disclosed in their prospectuses.

Financial instruments for which prices are not available from an independent pricing service may be valued using market quotations obtained from one or more dealers that make markets in the respective financial instrument in accordance with the Valuation Procedures.

U.S. GAAP defines fair value as the price that a Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants. The U.S. GAAP fair value measurement standards require disclosure of a fair value hierarchy for each major category of assets and liabilities. Various inputs are used in determining the fair value of each Fund’s investments. These inputs are summarized into three broad hierarchy levels. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are:

 

   

Level 1 – Quoted prices in active markets for identical investments. Level 1 may include exchange traded instruments, such as domestic equities, some foreign equities, options, futures, mutual funds, exchange traded funds, rights and warrants.

   

Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar investments; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 2 may include debt investments that are traded less frequently than exchange traded instruments and which are valued using independent pricing services; foreign equities, which are principally traded on certain foreign markets and are adjusted daily pursuant to a fair value pricing service in order to reflect an adjustment for the factors occurring after the close of certain foreign markets but before the NYSE Close; senior floating rate interests, which are valued using an aggregate of dealer bids; short-term investments, which are valued at amortized cost; and swaps, which are valued based upon the terms of each swap contract.

 

 

  212  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

   

Level 3 – Significant unobservable inputs that are supported by limited or no market activity. Level 3 may include financial instruments whose values are determined using indicative market quotes or require significant management judgment or estimation. These unobservable valuation inputs may include estimates for current yields, maturity/duration, prepayment speed, and indicative market quotes for comparable investments along with other assumptions relating to credit quality, collateral value, complexity of the investment structure, general market conditions and liquidity. This category may include investments where trading has been halted or there are certain restrictions on trading. While these investments are priced using unobservable inputs, the valuation of these investments reflects the best available data and management believes the prices are a reasonable representation of exit price.

The Board of Directors has delegated the day-to-day responsibility for implementing the Valuation Procedures to the Valuation Committee. The Valuation Committee will consider all relevant factors in determining an investment’s fair value, and may seek the advice of such Fund’s sub-adviser(s), as applicable, knowledgeable brokers, and legal counsel in making such determination. The Valuation Committee reports to the Audit Committee of the Board of Directors.

Valuation levels are not necessarily indicative of the risk associated with investing in such investments. Individual investments within any of the above mentioned asset classes may be assigned a different hierarchical level than those presented above, as individual circumstances dictate.

For additional information, refer to the Fair Valuation Summary and the Level 3 roll-forward reconciliation, if applicable, which follows each Fund’s Schedule of Investments.

 

  c)

Investment Transactions and Investment Income – Investment transactions are recorded as of the trade date (the date the order to buy or sell is executed) for financial reporting purposes. Investments purchased or sold on a when-issued or delayed-delivery basis may be settled a month or more after the trade date. Realized gains and losses are determined on the basis of identified cost.

The trade date for senior floating rate interests purchased in the primary loan market is considered the date on which the loan allocations are determined. The trade date for senior floating rate interests purchased in the secondary loan market is the date on which the transaction is entered into.

Dividend income from domestic securities is accrued on the ex-dividend date. In general, dividend income from foreign securities is recorded on the ex-date; however, dividend notifications in certain foreign jurisdictions may not be available in a timely manner and as a result, a Fund will record the dividend as soon as the relevant details (i.e., rate per share, payment date, shareholders of record, etc.) are publicly available. Interest income, including amortization of premium, accretion of discounts, inflation adjustments and additional principal received in-kind in lieu of cash, is accrued on a daily basis. Paydown gains and losses on mortgage-related and other asset-backed securities are included in interest income in the Statements of Operations, as applicable.

Please refer to Note 8 for Securities Lending information.

 

  d)

Taxes – A Fund may be subject to taxes imposed on realized gains on securities of certain foreign countries in which such Fund invests. A Fund may also be subject to taxes withheld on foreign dividends from securities in which the Fund invests. The amount of any foreign taxes withheld and foreign tax expense is included on the accompanying Statements of Operations as a reduction to net investment income or net realized or unrealized gain on investments in these securities, if applicable.

 

  e)

Foreign Currency Transactions – Assets and liabilities denominated in currencies other than U.S. dollars are translated into U.S. dollars at the exchange rates in effect on the Valuation Date. Purchases and sales of investments, income and expenses are translated into U.S. dollars at the exchange rates on the dates of such transactions.

A Fund does not isolate that portion of portfolio investment valuation resulting from fluctuations in the foreign currency exchange rates from the fluctuations arising from changes in the market prices of investments held. Exchange rate fluctuations are included with the net realized and unrealized gain or loss on investments in the accompanying financial statements.

Net realized foreign exchange gains or losses arise from sales of foreign currencies and the difference between asset and liability amounts initially stated in foreign currencies and the U.S. dollar value of the amounts actually received or paid. Net unrealized foreign exchange gains or losses arise from changes in the value of other assets and liabilities at the end of the reporting period, resulting from changes in the exchange rates.

 

  f)

Joint Trading Account – A Fund may invest cash balances into a joint trading account that may be invested in one or more repurchase agreements.

 

  g)

Fund Share Valuation and Dividend Distributions to Shareholders – Orders for each class of each Fund’s shares are executed in accordance with the investment instructions of the shareholders. The NAV of each class of each Fund’s shares is determined as of the close of business on each business day of the Exchange (see Note 2(a)). The NAV is determined separately for each class of shares of a Fund by dividing the Fund’s net assets attributable to that class by the number of shares of the class outstanding. Each class of shares offered by a Fund has

 

 

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Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  equal rights as to assets and voting privileges (except that shareholders of a class have exclusive voting rights regarding any matter relating solely to that class of shares). Income and non-class specific expenses are allocated daily to each class on the basis of the relative net assets of the class of the Fund. Realized and unrealized gains and losses are allocated daily based on the relative net assets of each class of shares of each Fund.

Orders for the purchase of a Fund’s shares received prior to the close of the Exchange on any day the Exchange is open for business are priced at the NAV determined as of the close of the Exchange. Orders received after the close of the Exchange, or on a day on which the Exchange and/or the Funds are not open for business, are priced at the next determined NAV.

Dividends are declared pursuant to a policy adopted by the Company’s Board of Directors. Dividends and/or distributions to shareholders are recorded on ex-date. Normally, for each Fund, except Emerging Markets Local Debt Fund, Strategic Income Fund, and World Bond Fund, dividends from net investment income are declared daily and paid monthly. The policy of Emerging Markets Local Debt Fund and Strategic Income Fund is to declare and pay dividends from net investment income, if any, monthly. The policy of World Bond Fund is to declare and pay dividends from net investment income, if any, quarterly. Dividends from realized gains, if any, are paid at least once a year.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP with respect to character and timing (see Federal Income Taxes: Distributions and Components of Distributable Earnings and Reclassification of Capital Accounts notes).

 

3.

Securities and Other Investments:

 

  a)

Restricted Securities – Each Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities, if applicable, is included at the end of each Fund’s Schedule of Investments.

 

  b)

Investments Purchased on a When-Issued or Delayed-Delivery Basis – Delivery and payment for investments that have been purchased by a Fund on a forward commitment, or when-issued or delayed-delivery basis, take place beyond the customary settlement period. A Fund may dispose of or renegotiate a delayed-delivery transaction after it is entered into, and may sell delayed-delivery investments before they are delivered, which may result in a realized gain or loss. During this period, such investments are subject to market fluctuations, and a Fund identifies investments segregated in its records with a value at least equal to the amount of the commitment. See each Fund’s Schedule of Investments, if applicable, for when-issued or delayed-delivery investments as of October 31, 2019.

In connection with a Fund’s ability to purchase investments on a when-issued or forward commitment basis, the Fund may enter into to-be announced (“TBA”) commitments. TBA commitments are forward agreements for the purchase or sale of mortgage-backed securities for a fixed price, with payment and delivery on an agreed-upon future settlement date. The specific securities to be delivered are not identified at the trade date; however, delivered securities must meet specified terms, including issuer, rate and mortgage terms. Although a Fund may enter into TBA commitments with the intention of acquiring or delivering securities for its portfolio, the Fund can extend the settlement date, roll the transaction, or dispose of a commitment prior to settlement if deemed appropriate to do so. If the TBA commitment is closed through the acquisition of an offsetting TBA commitment, a Fund realizes a gain or loss. In a TBA roll transaction, a Fund generally purchases or sells the initial TBA commitment prior to the agreed upon settlement date and enters into a new TBA commitment for future delivery or receipt of the mortgage backed securities. TBA commitments involve a risk of loss if the value of the security to be purchased or sold declines or increases, respectively, prior to settlement date. These transactions are excluded from a Fund’s portfolio turnover rate. See each Fund’s Schedule of Investments, if applicable, for TBA commitments as of October 31, 2019.

 

  c)

Senior Floating Rate Interests – Certain Funds may invest in senior floating rate interests. Senior floating rate interests generally hold the most senior position in the capital structure of a business entity (the “Borrower”), are typically secured by specific collateral and have a claim on the assets and/or stock of the Borrower that is senior to that held by subordinated debt holders and stockholders of the Borrower. Senior floating rate interests are typically structured and administered by a financial institution that acts as the agent of the lenders participating in the senior floating rate interest. A Fund may invest in multiple series or tranches of a senior floating rate interest, which may have varying terms and carry different associated risks. A Fund may also enter into unfunded loan commitments, which are contractual obligations for future funding. Unfunded loan commitments may include revolving credit facilities, which may obligate the Fund to supply additional cash to the Borrower on demand. Unfunded loan commitments represent a future obligation in full. A Fund may receive a commitment fee based on the undrawn portion of the underlying line of credit portion of a senior floating rate interest. In certain circumstances, a Fund may receive various fees upon the restructure of a senior floating rate interest by a borrower. Fees earned/paid may be recorded as a component of income or realized gain/loss in the Statements of Operations.

Senior floating rate interests are typically rated below-investment-grade, which suggests they are more likely to default and generally pay higher interest rates than investment-grade loans. A default could lead to non-payment of income, which would result in a reduction of income to a Fund, and there can be no assurance that the liquidation of any collateral would satisfy the Borrower’s obligation in the event of non-payment of scheduled interest or principal payments, or that such collateral could be readily liquidated. See each Fund’s Schedule of Investments, if applicable, for outstanding senior floating rate interests as of October 31, 2019.

 

 

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Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  d)

Mortgage-Related and Other Asset-Backed Securities – A Fund may invest in mortgage-related and other asset-backed securities. These securities include mortgage pass-through securities, collateralized mortgage obligations, commercial mortgage-backed securities, stripped mortgage-backed securities, asset-backed securities, collateralized debt obligations and other securities that directly or indirectly represent a participation in, or are secured by and payable from, mortgage loans on real property. Mortgage-related securities are created from pools of residential or commercial mortgage loans, including mortgage loans made by savings and loan institutions, mortgage bankers, commercial banks and others. Asset-backed securities are created from many types of assets, including auto loans, credit card receivables, home equity loans, and student loans. These securities provide a monthly payment that consists of both interest and principal payments. Interest payments may be determined by fixed or adjustable rates. The rate of prepayments on underlying mortgages will affect the price and volatility of a mortgage-related security, and may have the effect of shortening or extending the effective duration of the security relative to what was anticipated at the time of purchase. See each Fund’s Schedule of Investments, if applicable, for mortgage-related and other asset-backed securities as of October 31, 2019.

 

  e)

Inflation-Indexed Bonds – A Fund may invest in inflation-indexed bonds. Inflation-indexed bonds are fixed income investments whose principal value is periodically adjusted to the rate of inflation. The interest rate on these bonds is generally fixed at issuance at a rate lower than typical bonds. Over the life of an inflation-indexed bond, however, interest will be paid based on a principal value, which is adjusted for inflation. Any increase or decrease in the principal amount of an inflation-indexed bond will be included as interest income on the Statements of Operations, even though investors do not receive the principal amount until maturity. See each Fund’s Schedule of Investments, if applicable, for inflation-indexed bonds as of October 31, 2019.

 

4.

Financial Derivative Instruments:

The following disclosures contain information on how and why a Fund may use derivative instruments, the credit-risk-related contingent features in certain derivative instruments, and how derivative instruments affect a Fund’s financial position and results of operations. The location and fair value amounts of these instruments on the Statements of Assets and Liabilities and the realized gains and losses and changes in unrealized gains and losses on the Statements of Operations, each categorized by type of derivative contract, are included in the following Additional Derivative Instrument Information footnote. The derivative instruments outstanding as of period-end are disclosed in the notes to the Schedules of Investments, if applicable. The amounts of realized gains and losses and changes in unrealized gains and losses on derivative instruments during the period are disclosed in the Statements of Operations.

 

  a)

Bond Forwards – A Fund may enter into bond forwards. A bond forward is a contractual agreement between a Fund and another party to buy or sell an underlying asset at an agreed-upon future price and date. In a bond forward transaction, no cash premium is paid when the parties enter into the bond forward. If the transaction is collateralized, an exchange of margin collateral will take place according to an agreed-upon schedule. Otherwise, no asset of any kind changes hands until the bond forward matures (typically in 30 days) or is rolled over for another agreed-upon period. Generally, the value of the bond forward will change based on changes in the value of the underlying asset. Bond forwards are subject to market risk (the risk that the market value of the underlying bond may change), non-correlation risk (the risk that the market value of the bond forward might move independently of the market value of the underlying bond) and counterparty credit risk (the risk that a counterparty will be unable to meet its obligation under the contract). If there is no cash exchanged at the time a Fund enters into the bond forward, counterparty risk may be limited to the loss of any marked-to-market profit on the contract and any delays or limitations on the Fund’s ability to sell or otherwise use the investments used as collateral for the bond forward.

During the year ended October 31, 2019, Inflation Plus Fund had used Bond Forwards.

 

  b)

Foreign Currency Contracts – A Fund may enter into foreign currency contracts that obligate the Fund to purchase or sell currencies at specified future dates. Foreign currency contracts may be used in connection with settling purchases or sales of securities to hedge the currency exposure associated with some or all of a Fund’s investments and/or as part of an investment strategy. Foreign currency contracts are marked to market daily and the change in value is recorded by a Fund as an unrealized gain or loss. A Fund will record a realized gain or loss when the foreign currency contract is settled.

Foreign currency contracts involve elements of market risk in excess of the amounts reflected in the Statements of Assets and Liabilities. In addition, risks may arise upon entering into these contracts from the potential inability of the counterparties to meet the terms of the contracts and from unanticipated movements in the value of the foreign currencies relative to the U.S. dollar. Upon entering into a foreign currency contract, a Fund may be required to post margin equal to its outstanding exposure thereunder.

During the year ended October 31, 2019, each of Emerging Markets Local Debt Fund, Floating Rate Fund, Floating Rate High Income Fund, High Yield Fund, Inflation Plus Fund, Quality Bond Fund, Short Duration Fund, Strategic Income Fund, Total Return Bond Fund and World Bond Fund had used Foreign Currency Contracts.

 

  c)

Futures Contracts – A Fund may enter into futures contracts. A futures contract is an agreement between two parties to buy or sell an asset at a set price on a future date. A Fund may use futures contracts to manage risk or obtain exposure to the investment markets, commodities, or movements in interest rates and currency values. The primary risks associated with the use of futures contracts are the imperfect

 

 

  215  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  correlation between the change in market value of the investments held by a Fund and the prices of futures contracts and the possibility of an illiquid market. Upon entering into a futures contract, a Fund is required to deposit with a futures commission merchant (“FCM”) an amount of cash or U.S. Government or Agency Obligations in accordance with the initial margin requirements of the broker or exchange. Futures contracts are marked to market daily and an appropriate amount equal to the change in value (“variation margin”) is paid or received by a Fund. Gains or losses are recognized but not considered realized until the contracts expire or are closed. Futures contracts involve, to varying degrees, risk of loss in excess of the variation margin disclosed on the Statements of Assets and Liabilities.

During the year ended October 31, 2019, each of Emerging Markets Local Debt Fund, Inflation Plus Fund, Quality Bond Fund, Short Duration Fund, Strategic Income Fund, Total Return Bond Fund and World Bond Fund had used Futures Contracts.

 

  d)

Options Contracts – An option contract is a contract sold by one party to another party that offers the buyer the right, but not the obligation, to buy (call) or sell (put) an investment or other financial asset at an agreed-upon price during a specific period of time or on a specific date. Option contracts are either over-the-counter (“OTC”) options or executed in a registered exchange (“exchange-traded options”). A Fund may write (sell) covered call and put options on futures, swaps (“swaptions”), securities, commodities or currencies. “Covered” means that so long as a Fund is obligated as the writer of an option, it will own either the underlying investments or currency or an option to purchase the same underlying investments or currency having an expiration date of the covered option and an exercise price equal to or less than the exercise price of the covered option, or will segregate or earmark cash or other liquid investments having, for written call options, a value equal to the greater of the exercise price or the market value of the underlying instrument and, for written put options, a value equal to the exercise price. Writing put options may increase a Fund’s exposure to the underlying instrument. Writing call options may decrease a Fund’s exposure to the underlying instrument. Premiums received from writing options that expire are treated as realized gains. Premiums received from writing options that are exercised or closed are added to the proceeds or offset amounts paid on the underlying futures, swaps, investments or currency transactions to determine the realized gain or loss. A Fund, as a writer of an option, has no control over whether the underlying instrument may be sold (call) or purchased (put) and as a result bears the market risk of an unfavorable change in the price of the instrument underlying the written option. There is the risk a Fund may not be able to enter into a closing transaction because of an illiquid market. A Fund may also purchase put and call options. Purchasing call options may increase a Fund’s exposure to the underlying instrument. Purchasing put options may decrease a Fund’s exposure to the underlying instrument. A Fund pays a premium, which is included on the Fund’s Statements of Assets and Liabilities as an investment and is subsequently marked to market to reflect the current value of the option. Premiums paid for purchasing options that expire are treated as realized losses. Certain options may be purchased with premiums to be determined on a future date. The premiums for these options are based upon implied volatility parameters at specified terms. The risk associated with purchasing put and call options is generally limited to the premium paid. Premiums paid for purchasing options that are exercised or closed are added to the amounts paid or offset against the proceeds on the underlying investment transaction to determine the realized gain or loss. Entering into OTC options also exposes a Fund to counterparty risk. Counterparty risk is the possibility that the counterparty to the agreements may default on its obligation to perform or disagree as to the meaning of the contractual terms in the agreements.

During the year ended October 31, 2019, each of Emerging Markets Local Debt Fund, Inflation Plus Fund, Quality Bond Fund, Strategic Income Fund, Total Return Bond Fund and World Bond Fund had used Options Contracts.

 

  e)

Swap Contracts – A Fund may invest in swap contracts. Swap contracts are agreements to exchange or swap investment cash flows, assets, foreign currencies or market-linked returns at specified future intervals. Swap contracts are either privately negotiated in the over-the-counter market (“OTC swaps”) or cleared through a central counterparty or derivatives clearing organization (“centrally cleared swaps”). A Fund may enter into credit default, total return, cross-currency, interest rate, inflation and other forms of swap contracts to manage its exposure to credit, currency, interest rate, commodity and inflation risk. Swap contracts are also used to gain exposure to certain markets. In connection with these contracts, investments or cash may be identified as collateral or margin in accordance with the terms of the respective swap contracts and/or master netting arrangement to provide assets of value and recourse in the event of default or bankruptcy/insolvency.

Swaps are valued in accordance with the Valuation Procedures. Changes in market value, if any, are reflected as a component of net changes in unrealized appreciation or depreciation on the Statements of Operations. Daily changes in valuation of centrally cleared swaps, if any, are recorded as a receivable or payable for the change in value (“variation margin”) on the Statements of Assets and Liabilities. Realized gains or losses on centrally cleared swaps are recorded upon the termination of the swaps. OTC swap payments received or paid at the beginning of the measurement period are reflected as such on the Statements of Assets and Liabilities and represent premiums paid or received upon entering into the swap contract to compensate for differences between the stated terms of the swap contract and prevailing market conditions (credit spreads, currency exchange rates, interest rates and other relevant factors). These upfront premiums are recorded as realized gains or losses on the Statements of Operations upon termination or maturity of the swap. A liquidation payment received or made at the termination or maturity of the swap is recorded as a realized gain or loss on the Statements of Operations. Net periodic payments received or paid by a Fund are included as part of realized gains or losses on the Statements of Operations.

Entering into these contracts involves, to varying degrees, elements of liquidation, counterparty, credit and market risk in excess of the amounts recognized on the Statements of Assets and Liabilities. Such risks involve the possibility that there will be no liquid market for these

 

 

  216  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

contracts, that the counterparty to the contracts may default on its obligation to perform or disagree as to the meaning of contractual terms in the contracts, and that there may be unfavorable changes in market conditions (credit spreads, currency exchange rates, interest rates and other relevant factors).

A Fund’s maximum risk of loss from counterparty risk for OTC swaps is the net value of the discounted cash flows to be received from the counterparty over the contract’s remaining life, and current market value, to the extent that amount is positive. The risk is mitigated by having a master netting arrangement between a Fund and the counterparty, which allows for the netting of payments made or received (although such amounts are presented on a gross basis within the Statements of Assets and Liabilities, as applicable) as well as the posting of collateral to a Fund to cover the Fund’s exposure to the counterparty. In a centrally cleared swap, while a Fund enters into an agreement with a clearing broker to execute contracts with a counterparty, the performance of the swap is guaranteed by the central clearinghouse, which reduces the Fund’s exposure to counterparty risk. However, the Fund is still exposed to a certain amount of counterparty risk through the clearing broker and clearinghouse. The clearinghouse attempts to minimize this risk to its participants through the use of mandatory margin requirements, daily cash settlements and other procedures. Likewise, the clearing broker reduces its risk through margin requirements and required segregation of customer balances.

Credit Default Swap Contracts – The credit default swap market allows a Fund to manage credit risk through buying and selling credit protection on a specific issuer, asset or basket of assets. Certain credit default swaps involve the exchange of a fixed rate premium for protection against the loss in value of an underlying investment or index in the event of a credit event, such as payment default or bankruptcy.

Under a credit default swap contract, one party acts as guarantor by receiving the fixed periodic payment in exchange for the commitment to purchase the underlying investment at par if the defined credit event occurs. Upon the occurrence of a defined credit event, the difference between the value of the reference obligation and the swap’s notional amount is recorded as realized gain or loss on swap transactions in the Statements of Operations. A “buyer” of credit protection agrees to pay a counterparty to assume the credit risk of an issuer upon the occurrence of certain events. The “seller” of the protection receives periodic payments and agrees to assume the credit risk of an issuer upon the occurrence of certain events. Although specified events are contract specific, credit events are generally defined as bankruptcy, failure to pay, restructuring, obligation acceleration, obligation default or repudiation/moratorium. A “seller’s” exposure is limited to the total notional amount of the credit default swap contract. These potential amounts would be partially offset by any recovery values of the respective referenced obligations or upfront payments received upon entering into the contract.

Implied credit spreads, represented in absolute terms, utilized in determining the market value of credit default swap contracts on corporate issues, sovereign government issues or U.S. municipal issues as of year-end are disclosed in the notes to the Schedules of Investments, as applicable, and serve as an indicator of the current status of the payment/performance risk and represent the likelihood or risk of default for the credit derivative. The implied credit spread of a particular referenced entity reflects the cost of buying/selling protection and there may also be upfront payments required to be made to enter into the contract. Wider credit spreads represent a deterioration of the referenced entity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the contract. For credit default swap contracts on credit indices, the quoted market prices and resulting values serve as the indicator of the current status of the payment/performance risk. Increasing market values, in absolute terms when compared to the notional amount of the swap, represent a deterioration of the referenced equity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the contract.

During the year ended October 31, 2019, each of Emerging Markets Local Debt Fund, Floating Rate Fund, Floating Rate High Income Fund, High Yield Fund, Inflation Plus Fund, Strategic Income Fund, Total Return Bond Fund and World Bond Fund had used Credit Default Swap Contracts.

Interest Rate Swap Contracts – Certain Funds are subject to interest rate risk exposure in the normal course of pursuing its investment objectives. A Fund may use interest rate swaps to hedge interest rate and duration risk across a portfolio at particular duration points to maintain its ability to generate income at prevailing market rates. In a typical interest rate swap, one party agrees to make regular payments equal to a floating interest rate, based on a specified interest rate or benchmark (e.g. London Interbank Offered Rate (“LIBOR”)), multiplied by a notional amount, in return for payments equal to a fixed rate multiplied by the same amount, for a specific period of time. The net interest received or paid on interest rate swap contracts is recorded as a realized gain or loss. Interest rate swaps are marked to market daily and the change, if any, is recorded as an unrealized gain or loss in the Statements of Operations. When the interest rate swap contract is terminated early, a Fund records a realized gain or loss equal to the difference between the current market value and the upfront premium or cost.

If an interest rate swap contract provides for payments in different currencies, the parties might agree to exchange the notional amount as well. Interest rate swaps may also depend on other prices or rates, such as the value of an index. The risks of interest rate swaps include changes in market conditions, which will affect the value of the contract or the cash flows and the possible inability of the counterparty to fulfill its obligations under the contract. A Fund’s maximum risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from the counterparty over the contract’s remaining life, to the extent that amount is positive.

 

 

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Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

During the year ended October 31, 2019, each of Emerging Markets Local Debt Fund, Inflation Plus Fund, Quality Bond Fund, Strategic Income Fund, Total Return Bond Fund and World Bond Fund had used Interest Rate Swap Contracts.

Total Return Swap Contracts – Certain Funds may invest in total return swap contracts in pursuit of the Fund’s investment objective or for hedging purposes. An investment in a total return swap allows a Fund to gain or mitigate exposure to underlying reference assets. Total return swap contracts involve commitments where cash flows are exchanged based on the price of underlying reference assets and based on a fixed or variable interest rate. One party receives payments based on the price appreciation or depreciation of the underlying reference asset, in exchange for paying to or receiving from the counterparty seller an agreed-upon interest rate. A variable interest rate may be correlated to a base rate, such as the LIBOR, and is adjusted each reset period, which is defined at the beginning of the contract. Therefore, if interest rates increase over the term of the swap contract, the party paying the rate may be required to pay a higher rate at each swap reset date.

Total return swap contracts on indices involve commitments to pay interest in exchange for a market-linked return. One party pays out the total return of a specific reference asset, which may be an equity, index, or bond, and in return receives a regular stream of payments. To the extent the total return of the security or index underlying the transaction exceeds or falls short of the offsetting interest rate obligation, a Fund will receive a payment from or make a payment to the counterparty. If the Fund is a payer in a total return swap, it may be subject to unlimited losses. They are also subject to counterparty risk. If the counterparty fails to meet its obligations, the Fund may lose money.

During the year ended October 31, 2019, each of Floating Rate Fund, Floating Rate High Income Fund, Strategic Income Fund and Total Return Bond Fund had used Total Return Swap Contracts.

 

  f)

Additional Derivative Instrument Information:

Emerging Markets Local Debt Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Investments in securities, at value (purchased options), market value

   $      $ 386,919      $      $      $      $      $ 386,919  

Unrealized appreciation on futures
contracts(1)

     85,779                                           85,779  

Unrealized appreciation on foreign currency contracts

            3,657,409                                    3,657,409  

Unrealized appreciation on swap contracts(2)

     743,558               21,455                             765,013  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 829,337      $ 4,044,328      $     21,455      $     —      $     —      $     —      $     4,895,120  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures
contracts(1)

   $ 45,242      $      $      $      $      $      $ 45,242  

Unrealized depreciation on foreign currency contracts

            2,193,386                                    2,193,386  

Written options, market value

            179,767                                    179,767  

Unrealized depreciation on swap contracts(2)

     660,275               5,097                             665,372  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     705,517      $     2,373,153      $ 5,097      $      $      $      $ 3,083,767  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2) 

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                  

Net realized gain (loss) on purchased options contracts

   $ 149,033     $     (1,387,704   $      $     —      $     —      $     —      $     (1,238,671

Net realized gain (loss) on futures contracts

     (567,767                                       (567,767

Net realized gain (loss) on written options contracts

           805,061                                   805,061  

Net realized gain (loss) on swap contracts

     (391,535     492,361       41,322                             142,148  

Net realized gain (loss) on foreign currency contracts

           592,048                                   592,048  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     (810,269   $ 501,766     $     41,322      $      $      $      $ (267,181
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

 

  218  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Emerging Markets Local Debt Fund – (continued)

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                  

Net change in unrealized appreciation (depreciation) of investments in purchased options contracts

   $ 50,655     $ (6,074   $      $      $      $      $ 44,581  

Net change in unrealized appreciation (depreciation) of futures contracts

     (37,905                                       (37,905

Net change in unrealized appreciation (depreciation) of written options contracts

           (210,878                                 (210,878

Net change in unrealized appreciation (depreciation) of swap contracts

     164,560       (429,418     16,358                                 (248,500

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           436,486                                   436,486  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     177,310     $     (209,884   $     16,358      $     —      $     —      $     —      $ (16,216
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     4,715,432,792  

Futures Contracts Long at Number of Contracts

     129  

Futures Contracts Short at Number of Contracts

     (104

Written Options Contracts at Number of Contracts

     (44,697,750

Swap Contracts at Notional Amount

   $     17,399,482,606  

Foreign Currency Contracts Purchased at Contract Amount

   $ 165,176,662  

Foreign Currency Contracts Sold at Contract Amount

   $ 117,952,205  

Floating Rate Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on foreign currency contracts

   $      $ 9,310      $      $      $      $      $ 9,310  

Unrealized appreciation on swap contracts(1)

     12,279                                           12,279  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     12,279      $ 9,310      $      $      $      $      $ 21,589  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on foreign currency contracts

   $      $ 1,220,858      $      $      $      $      $ 1,220,858  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $     1,220,858      $     —      $     —      $     —      $     —      $     1,220,858  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

    Risk Exposure Category  
    Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
    Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a
Result of Operations:

                  

Net realized gain (loss) on swap contracts

  $ 294,156      $      $ 340,265      $ (162,543   $      $      $ 471,878  

Net realized gain (loss) on foreign currency contracts

           8,992,369                                   8,992,369  
 

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

  $     294,156      $ 8,992,369      $ 340,265      $     (162,543   $     —      $     —      $ 9,464,247  
 

 

 

    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

 

  219  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Floating Rate Fund – (continued)

 

    Risk Exposure Category  
    Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
    Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                

Net change in unrealized appreciation (depreciation) of swap contracts

  $ (210,153   $     $ (113,160   $      $      $      $ (323,313

Net change in unrealized appreciation (depreciation) of foreign currency contracts

          (1,657,569                                (1,657,569
 

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

  $     (210,153   $     (1,657,569   $     (113,160   $     —      $     —      $     —      $     (1,980,882
 

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Swap Contracts at Notional Amount

   $ 64,547,392  

Foreign Currency Contracts Purchased at Contract Amount

   $ 8,270,055  

Foreign Currency Contracts Sold at Contract Amount

   $     217,220,191  

Floating Rate High Income Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on foreign currency contracts

   $      $ 1,145      $      $      $      $      $ 1,145  

Unrealized appreciation on swap contracts(1)

     10,055                                           10,055  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     10,055      $ 1,145      $      $      $      $      $ 11,200  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on foreign currency contracts

   $      $     270,769      $     —      $     —      $     —      $     —      $     270,769  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $ 270,769      $      $      $      $      $ 270,769  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a
Result of Operations:

                  

Net realized gain (loss) on swap contracts

   $ 38,063     $     $ 37,062      $      $      $      $ 75,125  

Net realized gain (loss) on foreign currency contracts

           2,484,950                                   2,484,950  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     38,063     $     2,484,950     $     37,062      $     —      $     —      $     —      $     2,560,075  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on
Derivatives Recognized as a Result of Operations:

                  

Net change in unrealized appreciation (depreciation) of swap contracts

   $     (20,645   $     $ 4,878      $      $      $      $ (15,767

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           (374,759                                 (374,759
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ (20,645   $     (374,759   $     4,878      $     —      $     —      $     —      $     (390,526
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

 

  220  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Floating Rate High Income Fund – (continued)

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Swap Contracts at Notional Amount

   $ 14,212,650  

Foreign Currency Contracts Purchased at Contract Amount

   $ 1,752,084  

Foreign Currency Contracts Sold at Contract Amount

   $     54,924,859  

High Yield Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on foreign currency contracts

   $      $ 2,965      $      $      $      $      $ 2,965  

Unrealized appreciation on swap contracts(1)

                   13,631                             13,631  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $ 2,965      $     13,631      $     —      $     —      $     —      $     16,596  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on foreign currency contracts

   $      $ 39,357      $      $      $      $      $ 39,357  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $     39,357      $      $      $      $      $ 39,357  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
    Credit
Contracts
    Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                  

Net realized gain (loss) on swap contracts

   $      $     $ (60,124   $      $      $      $ (60,124

Net realized gain (loss) on foreign currency contracts

            299,086                                  299,086  
  

 

 

    

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     —      $     299,086     $     (60,124   $     —      $     —      $     —      $     238,962  
  

 

 

    

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                  

Net change in unrealized appreciation (depreciation) of swap contracts

   $      $     $ 13,631     $      $      $      $ 13,631  

Net change in unrealized appreciation (depreciation) of foreign currency contracts

            (45,439                                (45,439
  

 

 

    

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $      $ (45,439   $ 13,631     $      $      $      $ (31,808
  

 

 

    

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Swap Contracts at Notional Amount

   $ 2,450,000  

Foreign Currency Contracts Purchased at Contract Amount

   $ 1,086,366  

Foreign Currency Contracts Sold at Contract Amount

   $     6,202,283  

 

 

  221  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Inflation Plus Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on futures
contracts(1)

   $ 11,649      $      $      $      $      $      $ 11,649  

Unrealized appreciation on bond forward contracts

     237,666                                           237,666  

Unrealized appreciation on foreign currency contracts

            27,791                                    27,791  

Unrealized appreciation on swap contracts(2)

     318,914               169,200                             488,114  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 568,229      $ 27,791      $     169,200      $     —      $     —      $     —      $ 765,220  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures
contracts(1)

   $ 48,203      $      $      $      $      $      $ 48,203  

Unrealized depreciation on foreign currency contracts

            150,202                                    150,202  

Unrealized depreciation on swap contracts(2)

     2,275,044                                           2,275,044  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     2,323,247      $     150,202      $      $      $      $      $     2,473,449  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2) 

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
    Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a
Result of Operations:

                 

Net realized gain (loss) on futures contracts

   $ 1,229,019     $     $     $      $      $      $ 1,229,019  

Net realized gain (loss) on written options contracts

     (661,301                                      (661,301

Net realized gain (loss) on swap contracts

     (459,289           96,889                            (362,400

Net realized gain (loss) on bond forward contracts

     (2,890,329                                      (2,890,329

Net realized gain (loss) on foreign currency contracts

           (1,121,443                                (1,121,443
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     (2,781,900   $     (1,121,443   $     96,889     $     —      $     —      $     —      $     (3,806,454
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on
Derivatives Recognized as a Result of Operations:

                 

Net change in unrealized appreciation (depreciation) of investments in purchased options contracts

   $ (94,345   $     $     $      $      $      $ (94,345

Net change in unrealized appreciation (depreciation) of futures contracts

     269,906                                        269,906  

Net change in unrealized appreciation (depreciation) of swap contracts

     (5,562,449           (4,027                          (5,566,476

Net change in unrealized appreciation (depreciation) of bond forward contracts

     457,143                                        457,143  

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           725,494                                  725,494  
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ (4,929,745   $ 725,494     $ (4,027   $      $      $      $ (4,208,278
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     33,373,667  

Futures Contracts Long at Number of Contracts

     396  

Futures Contracts Short at Number of Contracts

     (303

Swap Contracts at Notional Amount

   $     117,225,958  

Bond Forward Contract Amount

   $ 58,128,282  

Foreign Currency Contracts Purchased at Contract Amount

   $ 29,517,525  

Foreign Currency Contracts Sold at Contract Amount

   $ 13,705,995  

 

 

  222  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Quality Bond Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Investments in securities, at value (purchased options), market value

   $ 937,305      $      $      $      $      $      $ 937,305  

Unrealized appreciation on futures contracts(1)

     144,212                                           144,212  

Unrealized appreciation on foreign currency contracts

            72,599                                    72,599  

Unrealized appreciation on swap contracts(2)

     379                                           379  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 1,081,896      $     72,599      $     —      $     —      $     —      $     —      $     1,154,495  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(1)

   $ 685,149      $      $      $      $      $      $ 685,149  

Unrealized depreciation on swap contracts(2)

     1,973,792                                           1,973,792  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     2,658,941      $      $      $      $      $      $ 2,658,941  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2) 

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                  

Net realized gain (loss) on purchased options contracts

   $ 25,719     $     $      $      $      $      $ 25,719  

Net realized gain (loss) on futures contracts

     4,201,681                                         4,201,681  

Net realized gain (loss) on written options contracts

     (76,669                                       (76,669

Net realized gain (loss) on swap contracts

     (822,890                                       (822,890

Net realized gain (loss) on foreign currency contracts

           (152,060                                 (152,060
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 3,327,841     $     (152,060   $     —      $     —      $     —      $     —      $ 3,175,781  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                  

Net change in unrealized appreciation (depreciation) of investments in purchased options contracts

   $ 55,036     $     $      $      $      $      $ 55,036  

Net change in unrealized appreciation (depreciation) of futures contracts

     160,585                                         160,585  

Net change in unrealized appreciation (depreciation) of swap contracts

     (2,614,224                                       (2,614,224

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           76,467                                   76,467  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     (2,398,603   $ 76,467     $      $      $      $      $     (2,322,136
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     7,535,417  

Futures Contracts Long at Number of Contracts

     367  

Futures Contracts Short at Number of Contracts

     (93

Swap Contracts at Notional Amount

   $     27,808,750  

Foreign Currency Contracts Sold at Contract Amount

   $ 5,859,158  

 

 

  223  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Short Duration Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on futures contracts(1)

   $ 737,319      $      $      $      $      $      $ 737,319  

Unrealized appreciation on foreign currency contracts

            607                                    607  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     737,319      $     607      $      $      $      $      $ 737,926  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(1)

   $ 479,332      $      $      $      $      $      $ 479,332  

Unrealized depreciation on foreign currency contracts

            132,120                                    132,120  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 479,332      $     132,120      $     —      $     —      $     —      $     —      $     611,452  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                  

Net realized gain (loss) on futures contracts

   $ (4,849,142   $     $      $      $      $      $ (4,849,142

Net realized gain (loss) on foreign currency contracts

           613,760                                   613,760  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     (4,849,142   $ 613,760     $      $      $      $      $     (4,235,382
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                  

Net change in unrealized appreciation (depreciation) of futures contracts

   $ (297,734   $     $      $      $      $      $ (297,734

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           (142,304                                 (142,304
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ (297,734   $     (142,304   $     —      $     —      $     —      $     —      $ (440,038
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Futures Contracts Long at Number of Contracts

     680  

Futures Contracts Short at Number of Contracts

     (1,031

Foreign Currency Contracts Purchased at Contract Amount

   $ 2,910,654  

Foreign Currency Contracts Sold at Contract Amount

   $     15,793,218  

Strategic Income Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on futures contracts(1)

   $     401,315      $      $      $      $      $      $ 401,315  

Unrealized appreciation on foreign currency contracts

            757,135                                    757,135  

Unrealized appreciation on swap
contracts(2)

     580,690               2,025,247                             2,605,937  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 982,005      $     757,135      $     2,025,247      $     —      $     —      $     —      $     3,764,387  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

 

  224  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Strategic Income Fund – (continued)

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Liabilities:

 

Unrealized depreciation on futures
contracts(1)

   $ 420,266      $      $      $      $      $      $ 420,266  

Unrealized depreciation on foreign currency contracts

            944,122                                    944,122  

Unrealized depreciation on swap
contracts(2)

     2,704,991               789,068                             3,494,059  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     3,125,257      $     944,122      $     789,068      $     —      $     —      $     —      $     4,858,447  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2) 

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
    Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a
Result of Operations:

 

Net realized gain (loss) on purchased options contracts

   $ (292,843   $     $     $      $      $      $ (292,843

Net realized gain (loss) on futures contracts

     9,907,142       (689,014                                9,218,128  

Net realized gain (loss) on written options contracts

     4,103,161                                        4,103,161  

Net realized gain (loss) on swap contracts

     (868,062           (1,746,841                              (2,614,903

Net realized gain (loss) on foreign currency contracts

           2,658,257                                  2,658,257  
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     12,849,398     $     1,969,243     $     (1,746,841   $     —      $     —      $     —      $ 13,071,800  
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on
Derivatives Recognized as a Result of Operations:

 

Net change in unrealized appreciation (depreciation) of investments in purchased options contracts

   $ (83,907   $     $     $      $      $      $ (83,907

Net change in unrealized appreciation (depreciation) of futures contracts

     1,564,661       184,217                                  1,748,878  

Net change in unrealized appreciation (depreciation) of written options contracts

     2,096                                        2,096  

Net change in unrealized appreciation (depreciation) of swap contracts

     (3,164,212           1,585,126                            (1,579,086

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           (663,563                                (663,563
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ (1,681,362   $ (479,346   $ 1,585,126     $      $      $      $ (575,582
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     29,528,000  

Futures Contracts Long at Number of Contracts

     1,937  

Futures Contracts Short at Number of Contracts

     (247

Written Options Contracts at Number of Contracts

     (84,096,333

Swap Contracts at Notional Amount

   $ 146,610,839  

Foreign Currency Contracts Purchased at Contract Amount

   $ 41,467,939  

Foreign Currency Contracts Sold at Contract Amount

   $     124,221,678  

 

 

  225  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Total Return Bond Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Investments in securities, at value (purchased options), market value

   $ 2,486,282      $      $      $      $      $      $ 2,486,282  

Unrealized appreciation on futures contracts(1)

     1,998,446                                           1,998,446  

Unrealized appreciation on foreign currency contracts

            579,252                                    579,252  

Unrealized appreciation on swap contracts(2)

     951,371               3,069,080                             4,020,451  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 5,436,099      $ 579,252      $ 3,069,080      $      $      $      $ 9,084,431  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(1)

   $ 21,995      $      $      $      $      $      $ 21,995  

Unrealized depreciation on foreign currency contracts

            611,984                                    611,984  

Unrealized depreciation on swap contracts(2)

     9,899,116               1,027,860                             10,926,976  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     9,921,111      $     611,984      $     1,027,860      $     —      $     —      $     —      $     11,560,955  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2) 

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
    Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a
Result of Operations:

                 

Net realized gain (loss) on purchased options contracts

   $ (1,147,187   $     $     $      $      $      $ (1,147,187

Net realized gain (loss) on futures contracts

     8,741,312                                        8,741,312  

Net realized gain (loss) on written options contracts

     1,421,543                                        1,421,543  

Net realized gain (loss) on swap contracts

     (7,257,665           (718,643                          (7,976,308

Net realized gain (loss) on foreign currency contracts

           2,170,347                                  2,170,347  
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 1,758,003     $     2,170,347     $ (718,643   $      $      $      $ 3,209,707  
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                 

Net change in unrealized appreciation (depreciation) of investments in purchased options contracts

   $ (45,022   $     $     $      $      $      $ (45,022

Net change in unrealized appreciation (depreciation) of futures contracts

     5,038,110                                        5,038,110  

Net change in unrealized appreciation (depreciation) of written options contracts

     6             2,708                            2,714  

Net change in unrealized appreciation (depreciation) of swap contracts

         (15,912,155           3,389,486                                (12,522,669

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           (463,208                                (463,208
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ (10,919,061   $ (463,208   $     3,392,194     $     —      $     —      $     —      $ (7,990,075
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     88,857,750  

Futures Contracts Long at Number of Contracts

     2,997  

Futures Contracts Short at Number of Contracts

     (1,265

Written Options Contracts at Number of Contracts

         (291,354,807

Swap Contracts at Notional Amount

   $ 322,543,663  

Foreign Currency Contracts Purchased at Contract Amount

   $ 6,076,601  

Foreign Currency Contracts Sold at Contract Amount

   $ 57,991,439  

 

 

  226  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

World Bond Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Investments in securities, at value (purchased options), market value

   $ 6,912,699      $      $      $      $      $      $ 6,912,699  

Unrealized appreciation on futures contracts(1)

     3,919,404                                           3,919,404  

Unrealized appreciation on foreign currency contracts

            49,850,416                                    49,850,416  

Unrealized appreciation on swap contracts(2)

     10,631,095               286,254                             10,917,349  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 21,463,198      $ 49,850,416      $ 286,254      $      $      $      $ 71,599,868  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(1)

   $ 6,733,669      $      $      $      $      $      $ 6,733,669  

Unrealized depreciation on foreign currency contracts

            86,652,981                                    86,652,981  

Written options, market value

     743,813                                           743,813  

Unrealized depreciation on swap contracts(2)

     11,662,665               1,906,356                             13,569,021  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     19,140,147      $     86,652,981      $     1,906,356      $     —      $     —      $     —      $     107,699,484  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2) 

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
    Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                 

Net realized gain (loss) on purchased options contracts

   $ 6,482,236     $ (20,194   $     $      $      $      $ 6,462,042  

Net realized gain (loss) on futures contracts

         (11,375,269                                      (11,375,269

Net realized gain (loss) on written options contracts

     338,212                                        338,212  

Net realized gain (loss) on swap contracts

     23,148,888             (6,453,604                          16,695,284  

Net realized gain (loss) on foreign currency contracts

           229,173,515                                  229,173,515  
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 18,594,067     $     229,153,321     $     (6,453,604   $     —      $     —      $     —      $     241,293,784  
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation
(Depreciation) on Derivatives Recognized as a Result of Operations:

                 

Net change in unrealized appreciation (depreciation) of investments in purchased options contracts

   $ 3,066,367     $     $     $      $      $      $ 3,066,367  

Net change in unrealized appreciation (depreciation) of futures contracts

     (2,452,066                                      (2,452,066

Net change in unrealized appreciation (depreciation) of written options contracts

     (474,525                                      (474,525

Net change in unrealized appreciation (depreciation) of swap contracts

     (4,544,048           (407,728                          (4,951,776

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           (108,985,365                                (108,985,365
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     (4,404,272   $     (108,985,365   $     (407,728   $     —      $     —      $     —      $     (113,797,365
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

 

 

  227  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

World Bond Fund – (continued)

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     97,931,068  

Futures Contracts Long at Number of Contracts

     10,844  

Futures Contracts Short at Number of Contracts

     (4,437

Written Options Contracts at Number of Contracts

     (78,140,282

Swap Contracts at Notional Amount

   $     16,256,200,960  

Foreign Currency Contracts Purchased at Contract Amount

   $   5,605,752,094  

Foreign Currency Contracts Sold at Contract Amount

   $   7,875,582,333  

 

  g)

Balance Sheet Offsetting Information – Set forth below are tables which disclose both gross information and net information about instruments and transactions eligible for offset in the financial statements, and instruments and transactions that are subject to a master netting arrangement, as well as amounts related to margin, reflected as financial collateral (including cash collateral), held at clearing brokers, counterparties and a Fund’s custodian. The master netting arrangements allow the clearing brokers to net any collateral held in or on behalf of a Fund, or liabilities or payment obligations of the clearing brokers to a Fund, against any liabilities or payment obligations of a Fund to the clearing brokers. A Fund is required to deposit financial collateral (including cash collateral) at the Fund’s custodian on behalf of clearing brokers and counterparties to continually meet the original and maintenance requirements established by the clearing brokers and counterparties. Such requirements are specific to the respective clearing broker or counterparty. Certain master netting arrangements may not be enforceable in a bankruptcy.

The following tables present a Fund’s derivative assets and liabilities, presented on a gross basis as no amounts are netted within the Statements of Assets and Liabilities, by counterparty net of amounts available for offset under a master netting agreement or similar agreement (“MNA”) and net of the related collateral received/pledged by a Fund as of October 31, 2019:

Emerging Markets Local Debt Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $   3,657,409     $   (2,193,386

Futures contracts

     85,779       (45,242

Purchased options

     386,919        

Swap contracts

     765,013       (665,372

Written options

           (179,767
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     4,895,120       (3,083,767
  

 

 

   

 

 

 

Derivatives not subject to a MNA

     (334,599     161,699  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     4,560,521     $     (2,922,068
  

 

 

   

 

 

 

 

 

  228  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Emerging Markets Local Debt Fund – (continued)

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
    Cash
Collateral
Received*
    Net Amount
of Assets
 

Banc of America Securities LLC

   $ 22,128     $ (22,128   $     $     $  

Barclays

     251,619       (217,421                 34,198  

BNP Paribas Securities Services

     340,740       (229,634                 111,106  

Citibank NA

     500,508       (178,741                 321,767  

Commonwealth Bank of Australia

     2,072       (2,072                  

Credit Suisse First Boston Corp.

     10,824                         10,824  

Deutsche Bank Securities, Inc.

     105,790       (105,790                  

Goldman Sachs & Co.

     1,223,080       (549,252           (260,000     413,828  

HSBC Bank USA

     42,524       (14,322                 28,202  

JP Morgan Chase & Co.

     523,546       (479,676                 43,870  

Morgan Stanley

     1,085,535       (810,989                 274,546  

RBC Dominion Securities, Inc.

     5,744       (1,731                 4,013  

RBS Greenwich Capital

     10,363       (3,516                 6,847  

Standard Chartered Bank

     390,500             (376,310           14,190  

State Street Global Markets LLC

     9,047       (5,575                 3,472  

UBS AG

     35,177       (15,633                 19,544  

Westpac International

     1,324       (1,324                  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     4,560,521     $     (2,637,804   $     (376,310   $     (260,000   $     1,286,407  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
    Cash
Collateral
Pledged*
    Net Amount
of Liabilities
 

Banc of America Securities LLC

   $ (205,875   $ 22,128     $     $     $ (183,747

Bank of Montreal

     (148                       (148

Barclays

     (217,421     217,421                    

BNP Paribas Securities Services

     (229,634     229,634                    

Citibank NA

     (178,741     178,741                    

Commonwealth Bank of Australia

     (3,920     2,072                   (1,848

Deutsche Bank Securities, Inc.

     (202,396     105,790       62,796             (33,810

Goldman Sachs & Co.

     (549,252     549,252                    

HSBC Bank USA

     (14,322     14,322                    

JP Morgan Chase & Co.

     (479,676     479,676                    

Morgan Stanley

     (810,989     810,989                    

RBC Dominion Securities, Inc.

     (1,731     1,731                    

RBS Greenwich Capital

     (3,516     3,516                    

State Street Global Markets LLC

     (5,575     5,575                    

UBS AG

     (15,633     15,633                    

Westpac International

     (3,239     1,324                   (1,915
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (2,922,068   $ 2,637,804     $     62,796     $     $ (221,468
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Floating Rate Fund

 

Derivative Financial Instruments:

   Assets      Liabilities  

Foreign currency contracts

   $ 9,310      $ (1,220,858

Swap contracts

     12,279         
  

 

 

    

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     21,589        (1,220,858
  

 

 

    

 

 

 

Derivatives not subject to a MNA

             
  

 

 

    

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     21,589      $     (1,220,858
  

 

 

    

 

 

 

 

 

  229  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Floating Rate Fund – (continued)

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

BNP Paribas Securities Services

   $ 9,310     $      $      $      $ 9,310  

Goldman Sachs & Co.

     1,712                            1,712  

Morgan Stanley

     10,567                            10,567  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 21,589     $      $      $      $ 21,589  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Bank of Montreal

   $ (30,604   $      $      $      $ (30,604

Barclays

     (210,204                          (210,204

Citibank NA

     (980,050                          (980,050
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     (1,220,858   $     —      $     —      $     —      $     (1,220,858
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Floating Rate High Income Fund

 

Derivative Financial Instruments:

   Assets      Liabilities  

Foreign currency contracts

   $ 1,145      $ (270,769

Swap contracts

     10,055         
  

 

 

    

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     11,200        (270,769
  

 

 

    

 

 

 

Derivatives not subject to a MNA

             
  

 

 

    

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     11,200      $     (270,769
  

 

 

    

 

 

 

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

BNP Paribas Securities Services

   $ 1,145     $      $      $      $ 1,145  

Goldman Sachs & Co.

     2,363                            2,363  

Morgan Stanley

     7,692                            7,692  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 11,200     $      $      $      $ 11,200  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Bank of Montreal

   $ (4,265   $      $      $      $ (4,265

Barclays

     (10,870                          (10,870

Citibank NA

     (255,634                          (255,634
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     (270,769   $     —      $     —      $     —      $     (270,769
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

High Yield Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $ 2,965     $ (39,357

Swap contracts

     13,631        
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     16,596           (39,357
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (13,631      
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $   2,965     $   (39,357
  

 

 

   

 

 

 

 

 

  230  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

High Yield Fund – (continued)

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

BNP Paribas Securities Services

   $ 2,965     $      $      $      $ 2,965  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Citibank NA

   $     (39,357   $     —      $     —      $     —      $     (39,357
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Inflation Plus Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Bond forward contracts

   $ 237,666     $  

Foreign currency contracts

     27,791       (150,202

Futures contracts

     11,649       (48,203

Swap contracts

     488,114       (2,275,044
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     765,220       (2,473,449
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (330,563     1,273,822  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $ 434,657     $     (1,199,627
  

 

 

   

 

 

 

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

Banc of America Securities LLC

   $ 150,642     $ (150,642   $      $      $  

Goldman Sachs & Co.

     196,991       (142,823                   54,168  

Morgan Stanley

     87,024                           87,024  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $   434,657     $     (293,465   $   —      $   —      $   141,192  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Banc of America Securities LLC

   $ (240,186   $ 150,642     $ 89,544      $      $  

Barclays

     (809,239           298,561        320,000        (190,678

Citibank NA

     (7,379                         (7,379

Goldman Sachs & Co.

     (142,823     142,823                      
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     (1,199,627   $   293,465     $     388,105      $     320,000      $     (198,057
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Quality Bond Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $ 72,599     $  

Futures contracts

     144,212       (685,149

Purchased options

     937,305        

Swap contracts

     379           (1,973,792
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

         1,154,495       (2,658,941
  

 

 

   

 

 

 

Derivatives not subject to a MNA

     (144,591     2,658,941  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $ 1,009,904     $  
  

 

 

   

 

 

 

 

 

  231  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Quality Bond Fund – (continued)

 

Counterparty

   Gross Amount
of Assets
     Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

Banc of America Securities LLC

   $ 223,938      $      $      $      $ 223,938  

Bank of Montreal

     72,599                             72,599  

Deutsche Bank Securities, Inc.

     223,020                             223,020  

JP Morgan Chase & Co.

     243,243                             243,243  

Morgan Stanley

     247,104                             247,104  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     1,009,904      $     —      $     —      $     —      $     1,009,904  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Short Duration Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $ 607     $ (132,120

Futures contracts

     737,319       (479,332
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     737,926       (611,452
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (737,319     479,332  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $ 607     $     (132,120
  

 

 

   

 

 

 

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

JP Morgan Chase & Co.

   $     607     $     (607   $     —      $     —      $     —  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Citibank NA

   $ (130,488   $     $      $      $ (130,488

JP Morgan Chase & Co.

     (1,632     607                     (1,025
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     (132,120   $     607     $     —      $     —      $     (131,513
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Strategic Income Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $ 757,135     $ (944,122

Futures contracts

     401,315       (420,266

Swap contracts

     2,605,937       (3,494,059
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     3,764,387       (4,858,447
  

 

 

   

 

 

 

Derivatives not subject to a MNA

     (509,556     3,504,861  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     3,254,831     $     (1,353,586
  

 

 

   

 

 

 

 

 

  232  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Strategic Income Fund – (continued)

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

Banc of America Securities LLC

   $ 3,401     $ (3,401   $      $      $  

Bank of Montreal

     3,683       (723                   2,960  

Barclays

     22,535       (22,535                    

BNP Paribas Securities Services

     64,025       (64,025                    

Citibank NA

     41,141       (41,141                    

Credit Suisse International

     737,477       (234,488                   502,989  

Deutsche Bank Securities, Inc.

     551,122       (42,119                   509,003  

Goldman Sachs & Co.

     308,087       (109,207                   198,880  

HSBC Bank USA

     19,149       (1,444                   17,705  

JP Morgan Chase & Co.

     243,028       (243,028                    

Morgan Stanley

     1,220,547       (73,633                   1,146,914  

National Australia Bank Limited

     6,354       (6,354                    

RBS Greenwich Capital

     2,181       (2,181                    

Standard Chartered Bank

     21,984       (5,042                   16,942  

State Street Global Markets LLC

     3,569       (3,569                    

UBS AG

     5,984       (5,984                    

Westpac International

     564                           564  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     3,254,831     $     (858,874   $     —      $     —      $     2,395,957  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Banc of America Securities LLC

   $ (13,687   $ 3,401     $      $      $ (10,286

Bank of Montreal

     (723     723                      

Barclays

     (268,433     22,535       42,807               (203,091

BNP Paribas Securities Services

     (71,894     64,025                     (7,869

Citibank NA

     (163,725     41,141                     (122,584

Commonwealth Bank of Australia

     (6,510                         (6,510

Credit Suisse International

     (234,488     234,488                      

Deutsche Bank Securities, Inc.

     (42,119     42,119                      

Goldman Sachs & Co.

     (109,207     109,207                      

HSBC Bank USA

     (1,444     1,444                      

JP Morgan Chase & Co.

     (291,311     243,028                     (48,283

Morgan Stanley

     (73,633     73,633                      

National Australia Bank Limited

     (6,950     6,354                     (596

RBC Dominion Securities, Inc.

     (4,891                         (4,891

RBS Greenwich Capital

     (28,976     2,181                     (26,795

Societe Generale Group

     (10,569                         (10,569

Standard Chartered Bank

     (5,042     5,042                      

State Street Global Markets LLC

     (11,076     3,569                     (7,507

UBS AG

     (8,908     5,984                     (2,924
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $ (1,353,586   $ 858,874     $     42,807      $      $ (451,905
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total Return Bond Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $ 579,252     $ (611,984

Futures contracts

     1,998,446       (21,995

Purchased options

     2,486,282        

Swap contracts

     4,020,451       (10,926,976
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     9,084,431           (11,560,955
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (2,521,201     10,190,079  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $ 6,563,230     $ (1,370,876
  

 

 

   

 

 

 

 

 

  233  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Total Return Bond Fund – (continued)

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
     Cash
Collateral
Received*
    Net Amount
of Assets
 

Barclays

   $ 512,545     $ (50,996   $      $     $ 461,549  

BNP Paribas Securities Services

     19,927       (5,773                  14,154  

Citibank NA

     886,314       (71,550            (260,000     554,764  

Credit Suisse International

     389,620       (323,047                  66,573  

Deutsche Bank Securities, Inc.

     426,338       (655                  425,683  

Goldman Sachs & Co.

     968,112       (261,435                  706,677  

HSBC Bank USA

     506       (506                   

JP Morgan Chase & Co.

     874,851       (409,073            (60,000     405,778  

Morgan Stanley

     2,377,545       (121,334                  2,256,211  

RBC Dominion Securities, Inc.

     2,218                          2,218  

State Street Global Markets LLC

     105,254       (105,254                   
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $ 6,563,230     $     (1,349,623   $     —      $     (320,000   $     4,893,607  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
    Net Amount
of Liabilities
 

Banc of America Securities LLC

   $ (84   $     $      $     $ (84

Bank of Montreal

     (3,307                        (3,307

Barclays

     (50,996     50,996                     

BNP Paribas Securities Services

     (5,773     5,773                     

Citibank NA

     (71,550     71,550                     

Credit Suisse International

     (323,047     323,047                     

Deutsche Bank Securities, Inc.

     (655     655                     

Goldman Sachs & Co.

     (261,435     261,435                     

HSBC Bank USA

     (3,870     506                    (3,364

JP Morgan Chase & Co.

     (409,073     409,073                     

Morgan Stanley

     (121,334     121,334                     

National Australia Bank Limited

     (2,884                        (2,884

RBS Greenwich Capital

     (10,825                        (10,825

State Street Global Markets LLC

     (106,043     105,254                    (789
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $     (1,370,876   $ 1,349,623     $      $     $ (21,253
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

World Bond Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $ 49,850,416     $ (86,652,981

Futures contracts

     3,919,404       (6,733,669

Purchased options

     6,912,699        

Swap contracts

     10,917,349       (13,569,021

Written options

           (743,813
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     71,599,868           (107,699,484
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (17,807,307     20,164,393  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $ 53,792,561     $ (87,535,091
  

 

 

   

 

 

 

 

 

  234  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

World Bond Fund – (continued)

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

Australia and New Zealand Banking Group

   $ 92,299     $     $      $      $ 92,299  

Banc of America Securities LLC

     2,321,071       (1,627,936                   693,135  

Barclays

     1,325,704       (1,325,704                    

BNP Paribas Securities Services

     1,220,668       (1,220,668                    

Canadian Imperial Bank of Commerce

     1,965       (1,965                    

Citibank NA

     11,578,139       (7,361,265                   4,216,874  

Credit Suisse First Boston Corp.

     6,033       (6,033                    

Deutsche Bank Securities, Inc.

     3,477,595       (408,308                   3,069,287  

Goldman Sachs & Co.

     2,579,035       (2,579,035                    

HSBC Bank USA

     1,828,121       (321,737                   1,506,384  

JP Morgan Chase & Co.

     11,925,113       (10,580,219                   1,344,894  

Morgan Stanley

     11,731,096       (11,731,096                    

RBC Dominion Securities, Inc.

     731,447       (731,447                    

RBS Greenwich Capital

     637,636       (637,636                    

Standard Chartered Bank

     261,517       (150,311                   111,206  

State Street Global Markets LLC

     1,440,586       (1,440,586                    

Toronto-Dominion Bank

     234,068       (233,717                   351  

UBS AG

     2,400,468       (586,733                   1,813,735  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     53,792,561     $     (40,944,396   $     —      $     —      $     12,848,165  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Banc of America Securities LLC

   $ (1,627,936   $ 1,627,936     $      $      $  

Barclays

     (1,977,802     1,325,704       44,935               (607,163

BNP Paribas Securities Services

     (7,174,785     1,220,668       5,954,117                

Canadian Imperial Bank of Commerce

     (123,119     1,965                     (121,154

Citibank NA

     (7,361,265     7,361,265                      

Credit Suisse First Boston Corp.

     (27,382     6,033                     (21,349

Deutsche Bank Securities, Inc.

     (408,308     408,308                      

Goldman Sachs & Co.

     (3,475,634     2,579,035       413,515               (483,084

HSBC Bank USA

     (321,737     321,737                      

JP Morgan Chase & Co.

     (10,580,219     10,580,219                      

Morgan Stanley

     (44,290,708     11,731,096                     (32,559,612

RBC Dominion Securities, Inc.

     (5,864,880     731,447                     (5,133,433

RBS Greenwich Capital

     (1,661,932     637,636                     (1,024,296

Standard Chartered Bank

     (150,311     150,311                      

State Street Global Markets LLC

     (1,661,989     1,440,586                     (221,403

Toronto-Dominion Bank

     (233,717     233,717                      

UBS AG

     (586,733     586,733                      

Westpac International

     (6,634                         (6,634
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     (87,535,091   $ 40,944,396     $     6,412,567      $      $ (40,178,128
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

 

  *

In some instances, the actual collateral received and/or pledged may be more than the amount shown.

 

5.

Principal Risks:

A Fund’s investments expose it to various types of risks associated with financial instruments and the markets. A Fund may be exposed to the risks described below. Each Fund’s prospectus provides details of its principal risks.

The market values of equity securities, such as common stocks and preferred stocks, or equity related derivative investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. The market value of equity securities may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry. Equity securities and equity related investments generally have greater market price volatility than fixed income securities. The extent of each Fund’s exposure to market risk is the market value of the investments held as shown in the Fund’s Schedule of Investments.

 

 

  235  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Certain investments held by a Fund expose the Fund to various risks which may include, but are not limited to, interest rate, prepayment, and extension risks. Interest rate risk is the risk that fixed income securities will decline in value because of changes in interest rates. As nominal interest rates rise, the values of certain fixed income securities held by a Fund are likely to decrease. A nominal interest rate can be described as the sum of a real interest rate and an expected inflation rate. Fixed income securities with longer durations tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations. Duration is useful primarily as a measure of the sensitivity of a fixed income security’s market price to interest rate (i.e., yield) movements. Senior floating rate interests and securities subject to prepayment and extension risk generally offer less potential for gains when interest rates decline. Rising interest rates may cause prepayments to occur at a slower than expected rate, thereby effectively lengthening the maturity of the security and making the security more sensitive to interest rate changes. Prepayment and extension risk are major risks of mortgage-backed securities, senior floating rate interests and certain asset-backed securities. For certain asset-backed securities, the actual maturity may be less than the stated maturity shown in the Schedule of Investments, if applicable. As a result, the timing of income recognition relating to these securities may vary based upon the actual maturity.

Investing in the securities of non-U.S. issuers, whether directly or indirectly, involves certain considerations and risks not typically associated with securities of U.S. issuers. Such risks include, but are not limited to: generally less liquid and less efficient securities markets; generally greater price volatility; exchange rate fluctuations; imposition of restrictions on the expatriation of funds or other protectionist measures; less publicly available information about issuers; the imposition of withholding or other taxes; higher transaction and custody costs; settlement delays and risk of loss attendant in settlement procedures; difficulties in enforcing contractual obligations; less regulation of securities markets; different accounting, disclosure and reporting requirements; more substantial governmental involvement in the economy; higher inflation rates; and greater social, economic and political uncertainties. These risks are heightened for investments in issuers from countries with less developed markets.

Credit risk depends largely on the perceived financial health of bond issuers. In general, the credit rating is inversely related to the credit risk of the issuer. Higher rated bonds generally are deemed to have less credit risk, while lower or unrated bonds are deemed to have higher risk of default. The share price, yield and total return of a fund that holds securities with higher credit risk may be more volatile than those of a fund that holds bonds with lower credit risk. A Fund may be exposed to counterparty risk, or the risk that an institution or other entity with which a Fund has unsettled or open transactions will default.

 

6.

Federal Income Taxes:

 

  a)

Each Fund intends to continue to qualify as a Regulated Investment Company (“RIC”) under Subchapter M of the Internal Revenue Code (“IRC”) by distributing substantially all of its taxable net investment income and net realized capital gains to its shareholders each year. Each Fund has distributed substantially all of its income and capital gains in prior years, if applicable, and intends to distribute substantially all of its income and capital gains during the calendar year ending December 31, 2019. Accordingly, no provision for federal income or excise taxes has been made in the accompanying financial statements. Distributions from short-term capital gains are treated as ordinary income distributions for federal income tax purposes.

 

  b)

Net Investment Income (Loss), Net Realized Gains (Losses) and Distributions – Net investment income (loss) and net realized gains (losses) may differ for financial statement and tax purposes primarily because of losses deferred due to wash sale adjustments, foreign currency gains and losses, adjustments related to RICs and certain derivatives. The character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. Also, due to the timing of dividend distributions, the fiscal year in which amounts are distributed may differ from the year that the income or realized gains (losses) were recorded by each Fund.

 

  c)

Distributions and Components of Distributable Earnings – The tax character of distributions paid by each Fund for the years ended October 31, 2019 and October 31, 2018 are as follows:

 

     For the Year Ended
October 31, 2019
     For the Year Ended
October 31, 2018
 

Fund

   Tax Exempt
Income
     Ordinary
Income
     Tax Return of
Capital
     Tax Exempt
Income
     Ordinary
Income
 

Emerging Markets Local Debt Fund

   $      $ 7,563,869      $     4,095,684      $      $ 39,427,522  

Floating Rate Fund

                183,423,925        6,288,367                   162,736,352  

Floating Rate High Income Fund

            28,580,041        1,189,654               21,928,909  

High Yield Fund

            17,144,881                      16,897,346  

Inflation Plus Fund

            18,998,241                      25,203,461  

Municipal Income Fund

     801,239        40,909               605,569        13,605  

Municipal Opportunities Fund

         23,929,036        944,941                   18,337,125        422,823  

Municipal Short Duration Fund

     435,101        29,288               301,940        12,597  

Quality Bond Fund

            4,253,266                      3,586,930  

Short Duration Fund

            34,696,930                      22,642,503  

Strategic Income Fund

            32,648,272                      28,687,991  

Total Return Bond Fund

            72,784,613                      81,672,180  

World Bond Fund

            233,833,492                      15,549,438  

 

 

  236  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

As of October 31, 2019, the components of distributable earnings (deficit) for each Fund on a tax basis are as follows:

 

Fund

   Undistributed
Ordinary
Income
     Undistributed
Long-Term
Capital Gain
     Accumulated
Capital and
Other Losses
    Other
Temporary
Differences
    Unrealized
Appreciation
(Depreciation)
on Investments
    Total
Accumulated
Earnings
(Deficit)
 

Emerging Markets Local Debt Fund

   $      $      $ (70,686,977   $ (209,588   $ (111,049   $ (71,007,614

Floating Rate Fund

                       (309,396,462         (2,766,330         (105,599,380         (417,762,172

Floating Rate High Income Fund

                   (39,412,256     (12,569     (14,406,989     (53,831,814

High Yield Fund

     77,042               (17,816,900     (25,583     2,408,428       (15,357,013

Inflation Plus Fund

     7,561,716               (83,671,023           4,058,885       (72,050,422

Municipal Income Fund

     189,044            64,053              (162     1,681,562       1,934,497  

Municipal Opportunities Fund

                   (4,198,191     (282,068     47,339,110       42,858,851  

Municipal Short Duration Fund

     61,196                           374,538       435,734  

Quality Bond Fund

     179,155               (849,423     90,948       905,671       326,351  

Short Duration Fund

     931,900               (7,133,435     (453,629     19,395,031       12,739,867  

Strategic Income Fund

     4,103,244               (19,839,411     (714,758     (9,072,054     (25,522,979

Total Return Bond Fund

     4,538,362               (18,649,030     (7,424,910     54,526,494       32,990,916  

World Bond Fund

         113,682,971                     (5,299,266     40,468,808       148,852,513  

 

  d)

Reclassification of Capital Accounts – The Funds may record reclassifications in their capital accounts. These reclassifications have no impact on the total net assets of the Funds. The reclassifications are a result of permanent differences between U.S. GAAP and tax accounting for such items as expiration of capital loss carryforwards. Adjustments are made to reflect the impact these items have on current and future distributions to shareholders. Therefore, the source of the Funds’ distributions may be shown in the accompanying Statements of Changes in Net Assets as from distributable earnings or from capital depending on the type of book and tax differences that exist. For the year ended October 31, 2019, the Funds recorded reclassifications to increase (decrease) the accounts listed below:

 

Fund

   Paid-in-Capital     Distributable
earnings
 

Floating Rate Fund

     2       (2

Municipal Opportunities Fund

         (10,723,003         10,723,003  

Short Duration Fund

     (12,578     12,578  

 

  e)

Tax Basis of Investments – The aggregate cost of investments for federal income tax purposes at October 31, 2019 is different from book purposes primarily due to wash sale loss deferrals. The net unrealized appreciation/(depreciation) on investments for tax purposes, which consists of gross unrealized appreciation and depreciation was also different from book purposes primarily due to wash sale loss deferrals and mark-to-market adjustments on swaps, forwards, futures and options. Both the cost and unrealized appreciation and depreciation for federal income tax purposes are disclosed below:

 

Fund

   Tax Cost      Gross Unrealized
Appreciation
     Gross Unrealized
(Depreciation)
    Net Unrealized
Appreciation
(Depreciation)
 

Emerging Markets Local Debt Fund

   $ 136,529,325      $ 7,002,954      $ (7,066,794   $ (63,840

Floating Rate Fund

         3,196,450,145        12,553,445            (118,073,021         (105,519,576

Floating Rate High Income Fund

     426,077,234        2,189,462        (16,621,409     (14,431,947

High Yield Fund

     352,867,810        12,658,366        (10,276,255     2,382,111  

Inflation Plus Fund

     563,567,243        9,310,336        (5,247,917     4,062,419  

Municipal Income Fund

     34,316,395        1,698,006        (16,444     1,681,562  

Municipal Opportunities Fund

     1,034,690,161            50,610,831        (3,271,721     47,339,110  

Municipal Short Duration Fund

     21,065,816        386,967        (12,429     374,538  

Quality Bond Fund

     159,056,919        4,649,138        (3,644,670     1,004,468  

Short Duration Fund

     1,392,556,397        22,842,028        (3,411,329     19,430,699  

Strategic Income Fund

     763,679,102        15,038,924        (24,086,293     (9,047,369

Total Return Bond Fund

     2,828,321,544        81,271,678        (26,724,823     54,546,855  

World Bond Fund

     5,279,638,767        118,435,248        (78,128,331     40,306,917  

 

  f)

Capital Loss Carryforward – Under the Regulated Investment Company Modernization Act of 2010, funds are permitted to carry forward capital losses for an unlimited period of time.

 

 

  237  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

At October 31, 2019 (tax year end), each Fund’s capital loss carryforwards for U.S. federal income tax purposes were as follows:

 

Fund

   Short-Term
Capital Loss
Carryforward
with No
Expiration
    Long-Term
Capital Loss
Carryforward
with No
Expiration
 

Emerging Markets Local Debt Fund

   $ 18,485,527     $ 52,201,450  

Floating Rate Fund

     10,949,856           298,446,606  

Floating Rate High Income Fund

     2,382,329       37,029,927  

High Yield Fund

     2,792,651       15,024,249  

Inflation Plus Fund

         21,406,832       62,264,191  

Municipal Opportunities Fund

           4,198,191

Quality Bond Fund

     480,036       369,387  

Short Duration Fund

     1,390,443       5,742,992  

Strategic Income Fund

     12,799,717     7,039,694

Total Return Bond Fund

           18,649,030  

 

  *

Future utilization of losses are subject to limitation under current tax laws.

The Municipal Income Fund, Municipal Short Duration Fund and World Bond Fund had no capital loss carryforwards for U.S. federal income tax purposes as of October 31, 2019.

During the year ended October 31, 2019, Emerging Markets Local Debt Fund, Inflation Plus Fund, Municipal Income Fund, Municipal Opportunities Fund, Municipal Short Duration Fund, Quality Bond Fund, Strategic Income Fund and Total Return Bond Fund utilized $400,788, $3,233,046, $79,928, $253,756, $58,546, $4,757,579, $16,814,796 and $38,027,916 of prior year capital loss carryforwards, respectively.

During the year ended October 31, 2019, Municipal Opportunities Fund had expired $10,546,009 of prior year capital loss carryforwards.

 

  g)

Accounting for Uncertainty in Income Taxes – Pursuant to provisions set forth by U.S. GAAP, Hartford Funds Management Company, LLC (“HFMC”) reviews each Fund’s tax positions for all open tax years. As of October 31, 2019, HFMC had reviewed the open tax years and concluded that there was no reason to record a liability for net unrecognized tax obligations relating to uncertain income tax positions. Each Fund files U.S. tax returns. Although the statute of limitations for examining a Fund’s U.S. tax returns remains open for 3 years, no examination is currently in progress. HFMC is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax obligations will significantly change in the next twelve months. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense on the Statements of Operations. During the year ended October 31, 2019, the Funds did not incur any interest or penalties.

 

7.

Expenses:

 

  a)

Investment Management Agreement – HFMC serves as each Fund’s investment manager. The Company, on behalf of each Fund, has entered into an Investment Management Agreement with HFMC. HFMC is an indirect subsidiary of The Hartford Financial Services Group, Inc. (“The Hartford”). HFMC has overall investment supervisory responsibility for each Fund. In addition, HFMC provides administrative personnel, services, equipment, facilities and office space for proper operation of each Fund. HFMC has contracted with Wellington Management Company LLP (“Wellington Management”) under a sub-advisory agreement and Wellington Management performs the daily investment of the assets of each Fund in accordance with the Fund’s investment objective and policies. Each Fund pays a fee to HFMC, a portion of which may be used to compensate Wellington Management.

The schedule below reflects the rates of compensation paid to HFMC for investment management services rendered as of October 31, 2019; the rates are accrued daily and paid monthly based on each Fund’s average daily net assets, at the following annual rates:

 

Fund

  

Management Fee Rates

Emerging Markets Local Debt Fund

  

0.850% on first $250 million and;

  

0.800% on next $250 million and;

  

0.770% on next $500 million and;

  

0.760% over $1 billion

Floating Rate Fund

  

0.650% on first $500 million and;

  

0.600% on next $2 billion and;

  

0.590% on next $2.5 billion and;

  

0.580% on next $5 billion and;

  

0.570% over $10 billion

Floating Rate High Income Fund

  

0.700% on first $500 million and;

  

0.650% on next $2 billion and;

  

0.640% on next $2.5 billion and;

  

0.630% on next $5 billion and;

  

0.620% over $10 billion

 

 

  238  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Fund

  

Management Fee Rates

High Yield Fund

  

0.650% on first $500 million and;

  

0.600% on next $500 million and;

  

0.595% on next $1.5 billion and;

  

0.590% on next $2.5 billion and;

  

0.580% on next $5 billion and;

  

0.570% over $10 billion

Inflation Plus Fund

  

0.500% on first $500 million and;

  

0.450% on next $500 million and;

  

0.445% on next $1.5 billion and;

  

0.440% on next $2.5 billion and;

  

0.430% on next $5 billion and;

  

0.420% over $10 billion

Municipal Income Fund

  

0.350% on first $500 million and;

  

0.300% on next $500 million and;

  

0.290% on next $1.5 billion and;

  

0.285% on next $2.5 billion and;

  

0.280% over $5 billion

Municipal Opportunities Fund

  

0.350% on first $500 million and;

  

0.300% on next $500 million and;

  

0.290% on next $1.5 billion and;

  

0.285% on next $2.5 billion and;

  

0.280% over $5 billion

Municipal Short Duration Fund

  

0.350% on first $500 million and;

  

0.300% on next $500 million and;

  

0.290% on next $1.5 billion and;

  

0.285% on next $2.5 billion and;

  

0.280% over $5 billion

Quality Bond Fund

  

0.400% on first $500 million and;

  

0.370% on next $500 million and;

  

0.340% on next $4 billion and;

  

0.330% on next $5 billion and;

  

0.320% over $10 billion

Short Duration Fund

  

0.410% on the first $500 million and;

  

0.370% on the next $500 million and;

  

0.365% on the next $1.5 billion and;

  

0.360% on the next $2.5 billion and;

  

0.350% on the next $5 billion and;

  

0.340% over $10 billion

Strategic Income Fund

  

0.550% on first $500 million and;

  

0.500% on next $500 million and;

  

0.475% on next $1.5 billion and;

  

0.465% on next $2.5 billion and;

  

0.455% on next $5 billion and;

  

0.445% over $10 billion

Total Return Bond Fund

  

0.350% on first $500 million and;

  

0.300% on next $500 million and;

  

0.260% on next $4 billion and;

  

0.250% over $5 billion

World Bond Fund

  

0.700% on first $250 million and;

  

0.650% on next $250 million and;

  

0.600% on next $2 billion and;

  

0.550% on next $2.5 billion and;

  

0.475% on next $5 billion and;

  

0.450% over $10 billion

From November 1, 2018 through February 28, 2019, the Total Return Bond Fund paid the rate set forth below to HFMC for investment management services rendered. The rate was accrued daily and paid monthly based on the Total Return Bond Fund’s average daily net assets.

 

Total Return Bond Fund

  

0.380% on first $500 million and;

  

0.330% on next $500 million and;

  

0.320% on next $4 billion and;

  

0.310% on next $5 billion and;

  

0.300% over $10 billion

 

 

  239  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  b)

Accounting Services Agreement – Pursuant to the Fund Accounting Agreement between HFMC and the Company, on behalf of each Fund, HFMC provides accounting services to each Fund and receives monthly compensation based on each Fund’s average daily net assets at the rates set forth below. Each Fund’s accounting services fees are accrued daily and paid monthly.

 

Strategic Income Fund, Total Return Bond Fund, and World Bond Fund  
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.022%  

next $3.5 billion and

     0.018%  

Amount over $7 billion

     0.015%  
 
Emerging Markets Local Debt Fund, Floating Rate Fund, Floating Rate High Income Fund, High Yield Fund, Inflation Plus Fund, Quality Bond Fund,
and Short Duration Fund
 
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.018%  

next $3.5 billion and

     0.014%  

Amount over $7 billion

     0.010%  
 
Municipal Income Fund, Municipal Opportunities Fund, and Municipal Short Duration Fund  
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.014%  

next $3.5 billion and

     0.012%  

Amount over $7 billion

     0.010%  

HFMC has delegated certain accounting and administrative services functions to State Street Bank and Trust Company (“State Street”). The costs and expenses of such delegation are borne by HFMC, not by the Funds, and HFMC compensates State Street for its services out of its own resources.

 

  c)

Operating Expenses – Allocable expenses incurred by the Company are allocated to each series within the Company, and allocated to classes within each such series, in proportion to the average daily net assets of such series and classes, except where allocation of certain expenses is more fairly made directly to a Fund or to specific classes within a Fund. As of October 31, 2019, HFMC contractually limited the total operating expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses), through February 29, 2020 as follows for each of the following Funds:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Local Debt Fund(2)

     1.25     2.00     1.00     1.55     1.25     0.95     N/A       0.90     0.90

Floating Rate Fund(1)(2)

     1.00     1.75     0.75     1.25     1.00     0.85     N/A       0.75     N/A  

Floating Rate High Income Fund(3)

     1.05     1.80     0.80     1.35     1.05     0.75     N/A       0.78     0.75

High Yield Fund(3)

     1.05     1.80     0.80     1.35     1.05     0.75     N/A       0.79     0.70

Inflation Plus Fund(3)

     0.85     1.60     0.60     1.20     0.90     0.60     N/A       0.59     0.55

Municipal Income Fund(3)

     0.69     1.44     0.46     N/A       N/A       N/A       N/A       N/A       0.39

Municipal Opportunities Fund(4)

     0.69     1.44     0.46     N/A       N/A       N/A       N/A       0.49     0.39

Municipal Short Duration Fund(3)

     0.69     1.44     0.46     N/A       N/A       N/A       N/A       N/A       0.39

Quality Bond Fund(2)

     0.85     1.60     0.60     1.19     0.94     0.64     N/A       0.54     0.44

Short Duration Fund(2)

     0.81     1.56     0.56     1.15     0.85     0.55     0.55     0.55     0.55

Strategic Income Fund(3)

     0.95     1.70     0.70     1.25     0.95     0.65     0.60     0.69     0.60

Total Return Bond Fund(1)(3)

     1.00     1.75     0.75     1.25     1.00     0.85     N/A       0.75     0.34

 

  (1) 

Expense limitation arrangement described above for Floating Rate Fund and Total Return Bond Fund for Classes A, C, I, R3, R4, R5 and Y shares extends beyond February 29, 2020. Please see the prospectus for more information.

  (2) 

Expense limitation was effective from November 1, 2018 through October 31, 2019

  (3) 

Expense limitation was effective from March 1, 2019 through October 31, 2019

  (4) 

Expense limitation was effective from June 1, 2019 through October 31, 2019

From November 1, 2018 through May 31, 2019, HFMC contractually limited the total operating expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses), as follows for the following Fund:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3      Class R4      Class R5      Class R6      Class Y     Class F  

Municipal Opportunities Fund

     0.69     1.44     0.44     N/A        N/A        N/A        N/A        0.44     0.39

 

 

  240  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

From November 1, 2018 through February 28, 2019, HFMC contractually limited the total operating expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses), as follows for each of the following Funds:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Floating Rate High Income Fund

     1.05     1.80     0.80     1.35     1.05     0.75     N/A       0.75     0.75

High Yield Fund

     1.05     1.80     0.80     1.35     1.05     0.75     N/A       0.70     0.70

Inflation Plus Fund

     0.85     1.60     0.60     1.20     0.90     0.60     N/A       0.55     0.55

Municipal Income Fund

     0.69     1.44     0.44     N/A       N/A       N/A       N/A       N/A       0.39

Municipal Short Duration Fund

     0.69     1.44     0.44     N/A       N/A       N/A       N/A       N/A       0.39

Strategic Income Fund

     0.95     1.70     0.70     1.25     0.95     0.65     0.60     0.60     0.60

Total Return Bond Fund

     1.00     1.75     0.75     1.25     1.00     0.85     N/A       0.75     N/A  

 

  d)

Fees Paid Indirectly – Certain Funds have entered into agreements with State Street Global Markets, LLC and Russell Implementation Services, Inc. to partially recapture non-discounted trade commissions. Such rebates are used to pay a portion of a Fund’s expenses. In addition, the Funds’ custodian bank has agreed to reduce its fees when a Fund maintains cash on deposit in a non-interest-bearing custody account. For the year ended October 31, 2019, these amounts, if any, are included in the Statements of Operations.

The ratio of expenses to average net assets in the accompanying financial highlights excludes the reduction in expenses related to fees paid indirectly. The annualized expense ratio after waivers reflecting the reduction for fees paid indirectly for the period is as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Local Debt Fund

     1.25     2.00     0.98     1.17     1.25     0.95     N/A       0.90     0.90

Floating Rate Fund

     1.00     1.73     0.71     1.25     1.00     0.77     N/A       0.71     0.64

Floating Rate High Income Fund

     1.05     1.80     0.80     1.35     1.05     0.75     N/A       0.77     0.75

High Yield Fund

     1.05     1.80     0.79     1.35     1.05     0.75     N/A       0.78     0.70

Inflation Plus Fund

     0.85     1.60     0.60     1.20     0.90     0.60     N/A       0.58     0.55

Municipal Income Fund

     0.67     0.88     0.44     N/A       N/A       N/A       N/A       N/A       0.39

Municipal Opportunities Fund

     0.69     1.44     0.44     N/A       N/A       N/A       N/A       0.45     0.37

Municipal Short Duration Fund

     0.66     0.76     0.41     N/A       N/A       N/A       N/A       N/A       0.39

Quality Bond Fund

     0.83     1.56     0.53     1.16     0.61     0.56     N/A       0.46     0.44

Short Duration Fund

     0.81     1.55     0.52     1.15     0.74     0.55     0.45     0.52     0.44

Strategic Income Fund

     0.95     1.70     0.70     1.25     0.95     0.65     0.60     0.66     0.60

Total Return Bond Fund

     0.74     1.54     0.42     1.07     0.76     0.48     0.34     0.40     0.36

World Bond Fund

     1.02     1.75     0.74     1.35     0.96     0.76     0.64     0.70     0.64

 

  e)

Sales Charges and Distribution and Service Plan for Class A, C, R3 and R4 Shares – Hartford Funds Distributors, LLC (“HFD”), an indirect subsidiary of The Hartford, is the principal underwriter and distributor of each Fund. For the year ended October 31, 2019, HFD received front-end sales charges and contingent deferred sales charges for each Fund as follows:

 

Fund

   Front-end
Sales Charges
     Contingent Deferred
Sales Charges
 

Emerging Markets Local Debt Fund

   $ 7,905      $ 5,286  

Floating Rate Fund

     181,963            115,738  

Floating Rate High Income Fund

     88,885        9,018  

High Yield Fund

     457,383        2,494  

Inflation Plus Fund

     60,816        606  

Municipal Income Fund

     68,049        334  

Municipal Opportunities Fund

     676,466        14,333  

Municipal Short Duration Fund

     41,598        587  

Quality Bond Fund

     38,829        148  

Short Duration Fund

     704,704            52,078  

Strategic income Fund

     465,509        3,100  

Total Return Bond Fund

     1,978,632        9,830  

World Bond Fund

         1,000,783        8,936  

The Board of Directors of the Company has approved the adoption of a separate distribution plan (each a “Plan”) pursuant to Rule 12b-1 under the 1940 Act for each of Class A, C, R3 and R4 shares. Under a Plan, Class A, Class C, Class R3 and Class R4 shares of a Fund, as applicable, bear distribution and/or service fees paid to HFD, some of which may be paid to select broker-dealers. Pursuant to the Class A Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class A shares for distribution financing activities and shareholder account servicing activities. The entire amount of the fee may be used for shareholder servicing expenses and/or distribution expenses. Pursuant to the Class C Plan, a Fund may pay HFD a fee of up to 1.00% of the average daily net assets attributable to Class C shares for distribution financing activities, and up to 0.25% may be used for shareholder account servicing activities. The Class C Plan also provides that HFD will receive all contingent deferred sales charges attributable to Class C shares. Pursuant to the Class R3 Plan, a Fund may pay HFD a fee of up to 0.50% of the average daily net assets attributable to Class R3 shares for distribution financing activities,

 

 

  241  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

and up to 0.25% may be used for shareholder account servicing activities. Pursuant to the Class R4 Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class R4 shares for distribution financing activities. The entire amount of the fee may be used for shareholder account servicing activities. Each Fund’s 12b-1 fees are accrued daily and paid monthly or at such other intervals as the Company’s Board of Directors may determine. Any 12b-1 fees attributable to assets held in an account held directly with the Funds’ transfer agent for which there is not a third-party listed as the broker-dealer of record (or HFD does not otherwise have a payment obligation) are generally reimbursed to the applicable Fund. Such amounts are reflected as “Distribution fee reimbursements” on the Statement of Operations.

 

  f)

Other Related Party Transactions – Certain officers of the Company are directors and/or officers of HFMC and/or The Hartford or its subsidiaries. For the year ended October 31, 2019, a portion of the Company’s Chief Compliance Officer’s (“CCO”) compensation was paid by all of the investment companies in the Hartford fund complex. The portion allocated to each Fund, as represented in other expenses on the Statements of Operations, is outlined in the table below.

 

Fund

   CCO Compensation
Paid by Fund
 

Emerging Markets Local Debt Fund

   $ 376  

Floating Rate Fund

     8,339  

Floating Rate High Income Fund

     1,157  

High Yield Fund

     777  

Inflation Plus Fund

     1,236  

Municipal Income Fund

     75  

Municipal Opportunities Fund

         2,056  

Municipal Short Duration Fund

     63  

Quality Bond Fund

     296  

Short Duration Fund

     2,687  

Strategic Income Fund

     1,178  

Total Return Bond Fund

     4,499  

World Bond Fund

     11,634  

Hartford Administrative Services Company (“HASCO”), an indirect subsidiary of The Hartford, provides transfer agent services to each Fund. Each Fund pays HASCO a transfer agency fee payable monthly based on the lesser of (i) the costs of providing or overseeing transfer agency services provided to each share class of such Fund plus a target profit margin or (ii) a Specified Amount (as defined in the table below). Such fee is intended to compensate HASCO for: (i) fees payable by HASCO to DST Asset Manager Solutions, Inc. (“DST”) (and any other designated sub-agent) according to the agreed-upon fee schedule under the sub-transfer agency agreement between HASCO and DST (or between HASCO and any other designated sub-agent, as applicable); (ii) sub-transfer agency fees payable by HASCO to financial intermediaries, according to the agreed-upon terms between HASCO and the financial intermediaries, provided that such payments are within certain limits approved by the Company’s Board of Directors; (iii) certain expenses that HASCO’s parent company, Hartford Funds Management Group, Inc., allocates to HASCO that relate to HASCO’s transfer agency services provided to the Fund; and (iv) a target profit margin.

 

Share Class

   Specified Amount
(as a percentage
average daily
net assets)
 

Class A

     0.25

Class C

     0.25

Class I

     0.20

Class Y

     0.11 %* 

Class R3

     0.22

Class R4

     0.17

Class R5

     0.12

Class R6

     0.004

Class F

     0.004

 

  *

For the period November 1, 2018 through April 30, 2019, the specified amount for all Class Y shares was equal to 0.06%.

Effective March 1, 2019, HASCO has contractually agreed to waive and/or reimburse a portion of the transfer agency fees for the share classes of the Funds listed below to the extent necessary to maintain the transfer agency fees as follows:

 

Fund

   Class Y  

Floating Rate Fund

     0.08

World Bond Fund

     0.07

This contractual arrangement for each of these Funds will remain in effect until February 29, 2020 unless the Board of Directors approves its earlier termination.

 

 

 

  242  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Pursuant to a sub-transfer agency agreement between HASCO and DST, HASCO has delegated certain transfer agent, dividend disbursing agent and shareholder servicing agent functions to DST. Each Fund does not pay any fee directly to DST; rather, HASCO makes all such payments to DST. The accrued amount shown in the Statements of Operations reflects the amounts charged by HASCO. These fees are accrued daily and paid monthly.

For the year ended October 31, 2019, the effective rate of compensation paid to HASCO for transfer agency services as a percentage of each Class’ average daily net assets is as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Local Debt Fund

     0.17     0.16     0.08     0.21     0.17     0.12     N/A       0.08     0.00

Floating Rate Fund

     0.10     0.09     0.07     0.18     0.16     0.12     N/A       0.06     0.00

Floating Rate High Income Fund

     0.11     0.10     0.09     0.22     0.17     0.11     N/A       0.09     0.00

High Yield Fund

     0.18     0.13     0.09     0.22     0.17     0.12     N/A       0.10     0.00

Inflation Plus Fund

     0.18     0.13     0.10     0.21     0.17     0.12     N/A       0.08     0.00

Municipal Income Fund

     0.05     0.05     0.05     N/A       N/A       N/A       N/A       N/A       0.00

Municipal Opportunities Fund

     0.07     0.07     0.07     N/A       N/A       N/A       N/A       0.08     0.00

Municipal Short Duration Fund

     0.05     0.03     0.02     N/A       N/A       N/A       N/A       N/A       0.00

Quality Bond Fund

     0.14     0.12     0.08     0.22     0.17     0.12     N/A       0.00     0.00

Short Duration Fund

     0.15     0.11     0.08     0.22     0.05     0.12     N/A       0.07     0.00

Strategic Income Fund

     0.15     0.12     0.11     0.22     0.17     0.11     0.00     0.08     0.00

Total Return Bond Fund

     0.13     0.18     0.06     0.22     0.15     0.12     0.00     0.05     0.00

World Bond Fund

     0.13     0.11     0.10     0.22     0.07     0.12     0.00     0.06     0.00

 

8.

Securities Lending:

The Company has entered into a securities lending agency agreement (“lending agreement”) with Citibank, N.A. (“Citibank”). A Fund may lend portfolio securities to certain borrowers in U.S. and non-U.S. markets in an amount not to exceed one-third (33 1/3%) of the value of its total assets. If a Fund security is on loan, under the lending agreement, the borrower is required to deposit cash or liquid securities as collateral at least equal to 100% of the market value of the loaned securities; cash collateral is invested for the benefit of the Fund by the Fund’s lending agent pursuant to collateral investment guidelines. The collateral is marked to market daily, in an amount at least equal to the current market value of the securities loaned.

A Fund is subject to certain risks while its securities are on loan, including the following: (i) the risk that the borrower defaults on the loan and the collateral is inadequate to cover the Fund’s loss; (ii) the risk that the earnings on the collateral invested are not sufficient to pay fees incurred in connection with the loan; (iii) the risk that the principal value of the collateral invested may decline; (iv) the risk that the borrower may use the loaned securities to cover a short sale, which may in turn place downward pressure on the market prices of the loaned securities; (v) the risk that return of loaned securities could be delayed and interfere with portfolio management decisions; and (vi) the risk that any efforts to restrict the securities for purposes of voting may not be effective. These events could also trigger adverse tax consequences for the Fund.

The Funds retain loan fees and the interest on cash collateral investments but are required to pay the borrower a rebate for the use of cash collateral. In cases where the lent security is of high value to borrowers, there may be a negative rebate (i.e., a net payment from the borrower to the Funds). Upon termination of a loan, the Funds are required to return to the borrower an amount equal to the cash collateral, plus any rebate owed to the borrowers.

The net income earned on the securities lending (after payment of rebates and Citibank’s fee) is included on the Statements of Operations as Investment Income from securities lending. The Funds also receive payments from the borrower during the period of the loan, equivalent to dividends and interest earned on the securities loaned, which are recorded as Investment Income from dividends or interest, respectively, on the Statements of Operations.

The following table presents the market value of the Funds’ securities on loan, net of amounts available for offset under the master netting arrangements and any related collateral received by the Funds as of October 31, 2019.

 

Fund

   Investment Securities on Loan, at market value,
Presented on the Statement of Assets and Liabilities(1)
     Collateral Posted by Borrower(3)     Net Amount(2)  

Emerging Markets Local Debt Fund

   $ 867,793      $ (867,793   $  

Short Duration Fund

     6,088,562        (6,088,562      

Strategic Income Fund

     1,419,390        (1,419,390      

Total Return Bond Fund

     5,704,212        (5,704,212      

World Bond Fund

         7,006,224            (7,006,224         —  

 

  (1) 

It is each Fund’s policy to obtain additional collateral from, or return excess collateral to, the borrower by the end of the next business day following the valuation date of the securities loaned. Therefore, the value of the collateral held may be temporarily less than that required under the lending contract.

  (2) 

Net amount represents the net amount receivable due from the counterparty in the event of default.

  (3) 

Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash and non-cash collateral with value of $899,910, $6,235,830, $2,069,503, $7,136,845, and $7,295,218, respectively, has been received by Emerging Markets Local Debt Fund, Short Duration Fund, Strategic Income Fund, Total Return Bond Fund, and World Bond Fund, respectively, in connection with securities lending transactions.

 

 

  243  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

9.

Secured Borrowings:

The following tables reflect a breakdown of transactions accounted for as secured borrowings, the gross obligation by the type of collateral pledged, and the remaining contractual maturity of those transactions as of October 31, 2019.

Certain Transfers Accounted for as Secured Borrowings

Remaining Contractual Maturity of the Agreements

 

     Overnight and
Continuous
     <30 days      Between
30 & 90 days
     >90 days      Total  
Emerging Markets Local Debt Fund                                   

Securities Lending Transactions(1)

 

Corporate Bonds

   $ 899,910      $      $      $      $ 899,910  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 899,910      $      $      $      $ 899,910  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 899,910  
              

 

 

 
Short Duration Fund                                   

Securities Lending Transactions(1)

 

Corporate Bonds

   $     6,235,830      $     —      $     —      $     —      $     6,235,830  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 6,235,830      $      $      $      $ 6,235,830  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 6,235,830  
              

 

 

 
Strategic Income Fund                                   

Securities Lending Transactions(1)

 

Corporate Bonds

   $ 2,069,503      $      $      $      $ 2,069,503  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 2,069,503      $      $      $      $ 2,069,503  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 2,069,503  
              

 

 

 
Total Return Bond Fund                                   

Securities Lending Transactions(1)

 

Corporate Bonds

   $ 2,641,038      $      $      $      $ 2,641,038  

Municipal Bonds

     4,495,807                             4,495,807  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 7,136,845      $      $      $      $ 7,136,845  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 7,136,845      $      $      $      $ 7,136,845  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 7,136,845  
              

 

 

 
World Bond Fund                                   

Securities Lending Transactions(1)

 

Corporate Bonds

   $ 7,295,218      $      $      $      $ 7,295,218  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 7,295,218      $      $      $      $ 7,295,218  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 7,295,218  
              

 

 

 

 

  (1) 

Amount represents the payable for cash collateral received on securities on loan. This will generally be in the “Overnight and Continuous” column as the securities are typically callable on demand.

 

10.

Affiliate Holdings:

As of October 31, 2019, affiliates of The Hartford had ownership of shares in each Fund as follows:

Percentage of a Class:

 

Fund

   Class A      Class C      Class I      Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Local Debt Fund

                          91     23     100     N/A              

Municipal Opportunities Fund

                          N/A       N/A       N/A       N/A       %*       

Quality Bond Fund

                                100     34     N/A       32      

Short Duration Fund

                                            96            

Strategic Income Fund

                                            1            

Percentage of Fund by Class:

 

Fund

   Class A      Class C      Class I      Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Emerging Markets Local Debt Fund

                          %*      %*      %*      N/A              

Municipal Opportunities Fund

                          N/A       N/A       N/A       N/A       %*       

Quality Bond Fund

                                %*      %*      N/A       %*       

Short Duration Fund

                                            %*             

Strategic Income Fund

                                            %*             

 

  *

Percentage rounds to zero.

 

 

  244  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

As of October 31, 2019, affiliated funds of funds and certain 529 plans administered by HFMC in the aggregate owned a portion of the Funds identified below. Therefore, these Funds may experience relatively large purchases or redemptions of their shares from these affiliated funds of funds and certain 529 plans administered by HFMC. Affiliated funds of funds and certain 529 plans administered by HFMC owned shares in the Funds listed below as follows:

 

Funds

   Percentage
of Fund*
 

High Yield Fund

     2

Inflation Plus Fund

     29

Quality Bond Fund

     75

Strategic Income Fund

     21

Total Return Bond Fund

     4

World Bond Fund

     3

 

  *

As of October 31, 2019, affiliated funds of funds and certain 529 plans administered by HFMC invest in Class F shares.

 

11.

Investment Transactions:

For the year ended October 31, 2019, the cost of purchases and proceeds from sales of investment securities (excluding short-term investments) were as follows:

 

Fund

   Cost of Purchases
Excluding U.S.
Government
Obligations
     Sales Proceeds
Excluding U.S.
Government
Obligations
     Cost of Purchases
For U.S.
Government
Obligations
     Sales Proceeds
For U.S.
Government
Obligations
     Total Cost of
Purchases
     Total Sales
Proceeds
 

Emerging Markets Local Debt Fund

   $ 157,214,913      $ 191,527,080      $      $      $ 157,214,913      $ 191,527,080  

Floating Rate Fund

         1,438,953,893            2,733,598,534                          1,438,953,893            2,733,598,534  

Floating Rate High Income Fund

     353,390,244        535,634,292                      353,390,244        535,634,292  

High Yield Fund

     131,255,954        113,765,563                      131,255,954        113,765,563  

Inflation Plus Fund

     153,475,375        100,057,965            249,182,187            316,962,265        402,657,562        417,020,230  

Municipal Income Fund

     20,319,242        14,444,951                      20,319,242        14,444,951  

Municipal Opportunities Fund

     374,313,942        132,004,984                      374,313,942        132,004,984  

Municipal Short Duration Fund

     17,470,538        16,960,823                      17,470,538        16,960,823  

Quality Bond Fund

     13,950,293        22,777,890        54,497,237        49,911,616        68,447,530        72,689,506  

Short Duration Fund

     550,191,718        308,298,882        160,645,249        44,221,970        710,836,967        352,520,852  

Strategic Income Fund

     395,588,558        295,010,041        136,249,361        69,168,491        531,837,919        364,178,532  

Total Return Bond Fund

     708,208,394        954,932,176        681,055,160        392,341,714        1,389,263,554        1,347,273,890  

World Bond Fund

     3,619,667,729        3,628,792,147        501,809,111        294,815,062        4,121,476,840        3,923,607,209  

 

12.

Capital Share Transactions:

The following information is for the year ended October 31, 2019, and the year ended October 31, 2018:

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Emerging Markets Local Debt Fund                                    

Class A

                   

Shares Sold

       207,670        $ 1,187,698          831,884        $ 5,462,761  

Shares Issued for Reinvested Dividends

       73,897          415,304          294,033          1,871,705  

Shares Redeemed

       (542,516        (3,076,858        (985,493        (6,248,603
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (260,949        (1,473,856        140,424          1,085,863  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       92,161        $ 529,014          350,842        $ 2,258,290  

Shares Issued for Reinvested Dividends

       29,903          167,855          99,964          635,507  

Shares Redeemed

       (233,293        (1,334,888        (278,391        (1,689,721
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (111,229        (638,019        172,415          1,204,076  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       6,908,616        $ 39,727,625          13,490,038        $ 84,987,019  

Shares Issued for Reinvested Dividends

       704,194          3,951,546          2,023,164          12,779,658  

Shares Redeemed

       (12,019,899            (68,361,743        (10,177,858            (61,416,472
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (4,407,089        (24,682,572        5,335,344          36,350,205  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       13        $ 72          3,719        $ 23,742  

Shares Issued for Reinvested Dividends

       135          759          733          4,628  

Shares Redeemed

       (1        (3        (4,038        (22,716
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       147          828          414          5,654  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  245  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Emerging Markets Local Debt Fund – (continued)                                    

Class R4

                   

Shares Sold

       366        $ 2,080          2,943        $ 22,082  

Shares Issued for Reinvested Dividends

       580          3,256          2,362          14,946  

Shares Redeemed

       (3,434        (19,056        (409        (2,626
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,488        (13,720        4,896          34,402  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Issued for Reinvested Dividends

       153          828          420          2,565  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       153          828          420          2,565  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       3,241,425        $ 18,407,270          10,585,658        $ 66,986,722  

Shares Issued for Reinvested Dividends

       1,059,729          5,916,738          2,130,121          13,386,696  

Shares Redeemed

       (5,036,875        (28,581,454        (9,420,454        (58,481,956
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (735,721        (4,257,446        3,295,325          21,891,462  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       407,377        $ 2,323,662          602,039        $ 3,798,358  

Shares Issued for Reinvested Dividends

       66,901          375,779          105,360          661,846  

Shares Redeemed

       (602,556        (3,443,679        (158,814        (926,722
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (128,278        (744,238        548,585          3,533,482  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (5,645,454      $ (31,808,195        9,497,823        $ 64,107,709  
    

 

 

      

 

 

      

 

 

      

 

 

 
Floating Rate Fund                                    

Class A

                   

Shares Sold

       20,753,076        $ 175,423,668          35,465,681        $ 309,677,129  

Shares Issued for Reinvested Dividends

       4,878,024          40,858,137          3,256,484          28,403,260  

Shares Redeemed

       (39,378,555        (332,728,712        (26,190,197        (228,617,253
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (13,747,455        (116,446,907        12,531,968          109,463,136  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       3,307,683        $ 28,109,231          6,144,989        $ 53,572,903  

Shares Issued for Reinvested Dividends

       2,464,950          20,929,713          3,311,265          28,850,406  

Shares Redeemed

       (37,412,317        (318,381,886        (43,427,821        (378,618,096
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (31,639,684        (269,342,942        (33,971,567        (296,194,787
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       64,163,143        $ 540,950,141          78,718,179        $ 688,074,902  

Shares Issued for Reinvested Dividends

       7,879,027          65,898,623          6,511,186          56,870,199  

Shares Redeemed

       (133,638,228            (1,125,921,425        (73,749,349            (644,613,244
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (61,596,058        (519,072,661        11,480,016          100,331,857  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       130,893        $ 1,112,124          121,887        $ 1,066,232  

Shares Issued for Reinvested Dividends

       43,514          367,117          36,080          315,495  

Shares Redeemed

       (352,382        (2,980,006        (323,535        (2,831,663
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (177,975        (1,500,765        (165,568        (1,449,936
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       434,340        $ 3,621,212          148,603        $ 1,296,026  

Shares Issued for Reinvested Dividends

       27,979          232,831          22,402          195,267  

Shares Redeemed

       (795,583        (6,649,208        (229,595        (2,001,332
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (333,264        (2,795,165        (58,590        (510,039
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       30,884        $ 259,785          55,546        $ 484,604  

Shares Issued for Reinvested Dividends

       9,124          76,179          7,540          65,775  

Shares Redeemed

       (115,665        (977,036        (96,232        (838,736
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (75,657        (641,072        (33,146        (288,357
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       19,589,034        $ 164,844,672          19,107,999        $ 166,598,594  

Shares Issued for Reinvested Dividends

       628,372          5,237,776          808,933          7,051,201  

Shares Redeemed

       (66,904,529        (560,471,951        (8,491,531        (74,032,802
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (46,687,123        (390,389,503        11,425,401          99,616,993  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  246  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Floating Rate Fund – (continued)                                    

Class F

                   

Shares Sold

       48,977,672        $ 411,193,434          6,092,698        $ 53,247,640  

Shares Issued for Reinvested Dividends

       435,983          3,651,076          227,516          1,988,153  

Shares Redeemed

       (9,558,226        (80,946,153        (4,088,652        (35,791,656
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       39,855,429          333,898,357          2,231,562          19,444,137  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (114,401,787      $     (966,290,658        3,440,076        $ 30,413,004  
    

 

 

      

 

 

      

 

 

      

 

 

 
Floating Rate High Income Fund                                    

Class A

                   

Shares Sold

       1,864,346        $ 18,160,482          2,394,336        $ 24,070,646  

Shares Issued for Reinvested Dividends

       585,584          5,641,921          509,364          5,116,213  

Shares Redeemed

       (5,397,730        (52,530,674        (5,345,971        (53,700,711
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,947,800        (28,728,271        (2,442,271        (24,513,852
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       674,618        $ 6,591,425          988,164        $ 9,937,198  

Shares Issued for Reinvested Dividends

       315,700          3,072,727          269,855          2,710,705  

Shares Redeemed

       (2,947,205        (28,816,410        (2,299,960        (23,118,274
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,956,887        (19,152,258        (1,041,941        (10,470,371
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       10,285,968        $ 99,879,666          18,121,253        $ 182,251,530  

Shares Issued for Reinvested Dividends

       1,767,333          16,968,301          1,177,714          11,836,485  

Shares Redeemed

       (20,417,998        (197,530,809        (12,894,359            (129,573,269
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (8,364,697        (80,682,842        6,404,608          64,514,746  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       3,285        $ 31,677          3,239        $ 32,546  

Shares Issued for Reinvested Dividends

       732          7,065          460          4,618  

Shares Redeemed

       (7,256        (70,620        (10,679        (107,126
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (3,239        (31,878        (6,980        (69,962
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       2,486        $ 23,942          13,771        $ 138,218  

Shares Issued for Reinvested Dividends

       2,302          22,001          2,045          20,501  

Shares Redeemed

       (49,795        (482,019        (5,463        (54,534
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (45,007        (436,076        10,353          104,185  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       240,907        $ 2,332,856          1,256,787        $ 12,560,688  

Shares Issued for Reinvested Dividends

       81,460          779,468          35,866          359,348  

Shares Redeemed

       (394,077        (3,780,192        (256,043        (2,566,707
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (71,710        (667,868        1,036,610          10,353,329  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       1,322,860        $ 12,758,253          2,106,931        $ 21,144,532  

Shares Issued for Reinvested Dividends

       97,562          935,299          51,104          512,507  

Shares Redeemed

       (1,922,669        (18,699,869        (824,249        (8,281,875
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (502,247        (5,006,317        1,333,786          13,375,164  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       1,459,684        $ 14,187,500          1,916,873        $ 19,281,622  

Shares Issued for Reinvested Dividends

       208,411          2,000,389          108,429          1,089,635  

Shares Redeemed

       (2,569,133        (24,876,036        (548,550        (5,517,092
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (901,038        (8,688,147        1,476,752          14,854,165  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (14,792,625      $     (143,393,657        6,770,917        $ 68,147,404  
    

 

 

      

 

 

      

 

 

      

 

 

 
High Yield Fund                                    

Class A

                   

Shares Sold

       6,506,518        $ 47,070,659          5,073,633        $ 37,136,889  

Shares Issued for Reinvested Dividends

       1,489,506          10,755,927          1,409,983          10,326,974  

Shares Redeemed

       (6,778,790        (48,833,942        (6,480,944        (47,617,939
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,217,234          8,992,644          2,672          (154,076
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  247  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
High Yield Fund – (continued)                                    

Class C

                   

Shares Sold

       742,272        $ 5,322,196          930,520        $ 6,811,346  

Shares Issued for Reinvested Dividends

       198,845          1,430,853          275,184          2,008,954  

Shares Redeemed

       (1,913,506        (13,734,197        (3,419,264        (24,869,189
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (972,389        (6,981,148        (2,213,560            (16,048,889
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       1,614,396        $ 11,725,807          2,348,458        $ 17,374,365  

Shares Issued for Reinvested Dividends

       154,330          1,116,526          153,251          1,129,507  

Shares Redeemed

       (1,573,979        (11,453,644        (3,754,627        (27,699,989
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       194,747          1,388,689          (1,252,918        (9,196,117
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       36,667        $ 265,401          61,033        $ 448,738  

Shares Issued for Reinvested Dividends

       11,614          83,821          16,714          122,336  

Shares Redeemed

       (119,170        (863,325        (148,002        (1,074,284
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (70,889        (514,103        (70,255        (503,210
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       38,581        $ 274,684          20,816        $ 153,548  

Shares Issued for Reinvested Dividends

       8,100          58,529          8,634          63,372  

Shares Redeemed

       (69,466        (506,053        (64,545        (474,203
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (22,785        (172,840        (35,095        (257,283
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       45,044        $ 326,413          36,684        $ 269,823  

Shares Issued for Reinvested Dividends

       5,132          36,874          6,102          44,698  

Shares Redeemed

       (29,909        (215,847        (72,963        (534,263
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       20,267          147,440          (30,177        (219,742
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       2,065,149        $ 15,033,370          172,539        $ 1,268,974  

Shares Issued for Reinvested Dividends

       14,558          105,044          7,132          52,222  

Shares Redeemed

       (606,229        (4,378,192        (1,038,469        (7,677,377
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,473,478          10,760,222          (858,798        (6,356,181
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       2,197,653        $ 15,936,793          2,628,407        $ 19,439,796  

Shares Issued for Reinvested Dividends

       443,529          3,198,162          365,327          2,686,774  

Shares Redeemed

       (1,766,862            (12,756,366        (1,709,666        (12,590,603
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       874,320          6,378,589          1,284,068          9,535,967  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       2,713,983        $ 19,999,493          (3,174,063      $ (23,199,531
    

 

 

      

 

 

      

 

 

      

 

 

 
Inflation Plus Fund  

Class A

                   

Shares Sold

       2,232,260        $ 23,110,264          3,530,592        $ 36,674,625  

Shares Issued for Reinvested Dividends

       656,721          6,527,807          785,830          8,227,645  

Shares Redeemed

       (4,019,980        (41,478,441        (4,228,538            (44,458,344
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,130,999            (11,840,370        87,884          443,926  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       116,835        $ 1,154,546          268,127        $ 2,690,866  

Shares Issued for Reinvested Dividends

       141,168          1,353,801          367,950          3,701,578  

Shares Redeemed

       (3,002,992        (29,831,832        (5,044,890        (50,398,351
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,744,989        (27,323,485        (4,408,813        (44,005,907
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       1,585,718        $ 16,594,011          1,708,649        $ 18,326,350  

Shares Issued for Reinvested Dividends

       195,357          1,975,060          229,644          2,443,418  

Shares Redeemed

       (1,824,142        (19,083,333        (2,159,353        (22,993,615
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (43,067        (514,262        (221,060        (2,223,847
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       469,490        $ 4,742,188          664,852        $ 6,843,956  

Shares Issued for Reinvested Dividends

       145,422          1,419,316          197,366          2,028,924  

Shares Redeemed

       (1,149,704        (11,609,420        (973,057        (9,986,254
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (534,792        (5,447,916        (110,839        (1,113,374
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  248  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Inflation Plus Fund – (continued)  

Class R4

                   

Shares Sold

       169,799        $ 1,748,336          250,091        $ 2,623,116  

Shares Issued for Reinvested Dividends

       30,895          307,095          44,084          461,119  

Shares Redeemed

       (398,957        (4,126,127        (383,553        (4,022,085
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (198,263        (2,070,696        (89,378        (937,850
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       23,349        $ 245,370          76,688        $ 827,330  

Shares Issued for Reinvested Dividends

       10,294          103,759          13,311          141,225  

Shares Redeemed

       (107,477        (1,136,991        (94,719        (1,011,170
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (73,834        (787,862        (4,720        (42,615
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       79,148        $ 832,863          228,015        $ 2,455,328  

Shares Issued for Reinvested Dividends

       97,698          989,682          127,899          1,363,401  

Shares Redeemed

       (586,430        (6,193,950        (512,583        (5,479,310
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (409,584        (4,371,405        (156,669        (1,660,581
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       2,574,612        $ 26,997,606          5,133,410        $ 54,514,807  

Shares Issued for Reinvested Dividends

       571,737          5,780,258          532,708          5,668,011  

Shares Redeemed

       (2,837,448        (29,871,804        (2,009,853        (21,418,289
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       308,901          2,906,060          3,656,265          38,764,529  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (4,826,627      $     (49,449,936        (1,247,330      $     (10,775,719
    

 

 

      

 

 

      

 

 

      

 

 

 
Municipal Income Fund  

Class A

                   

Shares Sold

       1,216,886        $ 12,665,314          431,465        $ 4,410,187  

Shares Issued for Reinvested Dividends

       46,776          492,102          33,373          339,952  

Shares Redeemed

       (666,992        (7,009,368        (206,326        (2,103,509
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       596,670          6,148,048          258,512          2,646,630  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       200,677        $ 2,115,638          44,142        $ 451,393  

Shares Issued for Reinvested Dividends

       6,577          68,621          8,062          82,138  

Shares Redeemed

       (303,102        (3,209,692        (26,161        (264,754
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (95,848        (1,025,433        26,043          268,777  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       597,228        $ 6,324,802          55,180        $ 564,000  

Shares Issued for Reinvested Dividends

       18,528          193,629          15,817          161,139  

Shares Redeemed

       (573,148        (6,083,302        (14,689        (150,612
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       42,608          435,129          56,308          574,527  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       205,526        $ 2,162,030          91,392        $ 927,358  

Shares Issued for Reinvested Dividends

       6,668          70,158          3,395          34,574  

Shares Redeemed

       (45,586        (474,072        (37,281        (379,538
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       166,608          1,758,116          57,506          582,394  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       710,038        $ 7,315,860          398,369        $ 4,072,328  
    

 

 

      

 

 

      

 

 

      

 

 

 
Municipal Opportunities Fund  

Class A

                   

Shares Sold

       13,097,042        $ 113,644,055          6,524,416        $ 55,194,805  

Issued in Merger

                         10,111,569          86,132,369  

Shares Issued for Reinvested Dividends

       968,423          8,430,168          772,112          6,548,999  

Shares Redeemed

       (8,525,335        (73,509,669        (7,739,902        (65,710,151
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       5,540,130          48,564,554          9,668,195          82,166,022  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       2,096,355        $ 18,292,641          772,300        $ 6,581,645  

Issued in Merger

                         1,669,803          14,233,397  

Shares Issued for Reinvested Dividends

       126,114          1,096,479          181,550          1,541,768  

Shares Redeemed

       (3,954,316        (34,304,671        (5,061,989        (42,804,299
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,731,847        (14,915,551        (2,438,336        (20,447,489
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  249  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Municipal Opportunities Fund – (continued)  

Class I

                   

Shares Sold

       33,139,466        $ 287,763,424          15,161,508        $ 129,121,541  

Issued in Merger

                         3,380,989          28,858,429  

Shares Issued for Reinvested Dividends

       1,086,031          9,458,014          777,604          6,609,622  

Shares Redeemed

       (14,958,859            (129,739,392        (15,612,831            (132,733,413
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       19,266,638          167,482,046          3,707,270          31,856,179  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y(1)

                   

Shares Sold

       7,783        $ 67,807          1,425        $ 12,203  

Issued in Merger

                         1,828,993          15,610,640  

Shares Issued for Reinvested Dividends

       44,970          390,018          13,562          114,791  

Shares Redeemed

       (170,299        (1,471,492        (105,739        (896,434
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (117,546        (1,013,667        1,738,241          14,841,200  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       7,282,248        $ 63,411,974          2,652,259        $ 22,611,191  

Issued in Merger

                         584,316          4,986,671  

Shares Issued for Reinvested Dividends

       228,035          1,988,242          120,599          1,024,668  

Shares Redeemed

       (1,650,992        (14,267,074        (1,089,627        (9,254,765
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       5,859,291          51,133,142          2,267,547          19,367,765  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       28,816,666        $ 251,250,524          14,942,917        $ 127,783,677  
    

 

 

      

 

 

      

 

 

      

 

 

 
Municipal Short Duration Fund  

Class A

                   

Shares Sold

       1,693,047        $ 16,925,384          311,294        $ 3,095,731  

Shares Issued for Reinvested Dividends

       27,682          278,955          13,220          131,415  

Shares Redeemed

       (1,041,019            (10,485,930        (247,757            (2,466,409
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       679,710          6,718,409          76,757          760,737  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       96,178        $ 966,974          23,210        $ 231,077  

Shares Issued for Reinvested Dividends

       3,876          38,851          5,161          51,291  

Shares Redeemed

       (285,558        (2,880,963        (68,630        (681,265
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (185,504        (1,875,138        (40,259        (398,897
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       71,701        $ 722,127          64,067        $ 639,608  

Shares Issued for Reinvested Dividends

       10,600          106,305          12,131          120,640  

Shares Redeemed

       (551,449        (5,573,094        (110,383        (1,105,347
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (469,148        (4,744,662        (34,185        (345,099
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       91,777        $ 920,030          77,085        $ 766,242  

Shares Issued for Reinvested Dividends

       2,936          29,612          1,093          10,859  

Shares Redeemed

       (26,384        (266,427        (29,801        (296,317
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       68,329          683,215          48,377          480,784  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       93,387        $ 781,824          50,690        $ 497,525  
    

 

 

      

 

 

      

 

 

      

 

 

 
Quality Bond Fund  

Class A

                   

Shares Sold

       701,515        $ 6,964,513          263,723        $ 2,573,888  

Shares Issued for Reinvested Dividends

       33,191          329,801          29,557          288,215  

Shares Redeemed

       (276,207        (2,726,234        (581,478        (5,661,906
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       458,499          4,568,080          (288,198        (2,799,803
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       800,175        $ 7,974,257          170,207        $ 1,633,277  

Shares Issued for Reinvested Dividends

       8,500          84,474          4,102          39,635  

Shares Redeemed

       (139,199        (1,377,561        (155,597        (1,501,305
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       669,476          6,681,170          18,712          171,607  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       469,415        $ 4,714,425          337,572        $ 3,341,688  

Shares Issued for Reinvested Dividends

       8,740          86,467          7,480          73,267  

Shares Redeemed

       (145,028        (1,441,422        (547,683        (5,368,076
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       333,127          3,359,470          (202,631        (1,953,121
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  250  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Quality Bond Fund – (continued)  

Class R3

                   

Shares Sold

       604        $ 5,975          3,349        $ 32,602  

Shares Issued for Reinvested Dividends

       396          3,917          403          3,922  

Shares Redeemed

       (9,005        (90,772        (8,526        (84,473
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (8,005        (80,880        (4,774        (47,949
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Issued for Reinvested Dividends

       37        $ 362          29        $ 281  

Shares Redeemed

                         (2        (10
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       37          362          27          271  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Issued for Reinvested Dividends

       101        $ 1,000          79        $ 769  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       101          1,000          79          769  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       2,242        $ 23,120          500        $ 4,916  

Shares Issued for Reinvested Dividends

       53          534          39          379  

Shares Redeemed

       (507        (4,968        (468        (4,657
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,788          18,686          71          638  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       880,144        $ 8,652,338          653,880        $ 6,416,922  

Shares Issued for Reinvested Dividends

       380,356          3,745,734          325,790          3,178,386  

Shares Redeemed

       (2,534,557            (25,106,580        (1,363,083            (13,191,769
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,274,057        (12,708,508        (383,413        (3,596,461
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       180,966        $ 1,839,380          (860,127      $ (8,224,049
    

 

 

      

 

 

      

 

 

      

 

 

 
Short Duration Fund  

Class A

 

Shares Sold

       36,524,678        $ 356,835,933          21,912,969        $ 213,910,631  

Shares Issued for Reinvested Dividends

       1,559,506          15,297,872          1,156,289          11,276,504  

Shares Redeemed

       (25,531,979        (250,066,747        (22,866,276            (223,473,213
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       12,552,205          122,067,058          202,982          1,713,922  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

 

Shares Sold

       5,619,975        $ 54,719,385          2,186,008        $ 21,349,478  

Shares Issued for Reinvested Dividends

       142,653          1,399,052          147,556          1,438,627  

Shares Redeemed

       (4,994,595        (48,801,908        (5,429,077        (52,936,298
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       768,033          7,316,529          (3,095,513        (30,148,193
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

 

Shares Sold

       35,786,507        $ 350,683,775          19,851,329        $ 194,088,533  

Shares Issued for Reinvested Dividends

       746,757          7,316,650          451,060          4,406,340  

Shares Redeemed

       (19,101,058            (186,766,826        (15,697,835            (153,558,671
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       17,432,206          171,233,599          4,604,554          44,936,202  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

 

Shares Sold

       82,147        $ 806,429          14,103        $ 137,193  

Shares Issued for Reinvested Dividends

       2,811          27,567          2,101          20,424  

Shares Redeemed

       (14,985        (144,595        (36,288        (354,631
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       69,973          689,401          (20,084        (197,014
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

 

Shares Sold

       867,429        $ 8,553,622          10,568        $ 102,822  

Shares Issued for Reinvested Dividends

       6,194          61,143          1,249          12,155  

Shares Redeemed

       (156,595        (1,521,610        (8,755        (85,244
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       717,028          7,093,155          3,062          29,733  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

 

Shares Sold

       61,747        $ 604,217          99,999        $ 975,039  

Shares Issued for Reinvested Dividends

       3,348          32,687          2,848          27,734  

Shares Redeemed

       (38,494        (374,732        (68,538        (665,739
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       26,601          262,172          34,309          337,034  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  251  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Short Duration Fund – (continued)  

Class R6(2)

 

Shares Sold

       1,070        $ 10,385                 $  

Shares Issued for Reinvested Dividends

       21          206                    
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,091          10,591                    
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

 

Shares Sold

       1,842,504        $ 18,049,511          1,378,277        $ 13,382,508  

Shares Issued for Reinvested Dividends

       40,141          390,179          26,695          259,306  

Shares Redeemed

       (2,233,507            (21,812,368        (419,058        (4,069,810
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (350,862        (3,372,678        985,914          9,572,004  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

 

Shares Sold

       12,459,292        $ 121,724,260          13,306,775        $ 129,816,403  

Shares Issued for Reinvested Dividends

       733,802          7,182,031          367,829          3,593,186  

Shares Redeemed

       (8,008,432        (78,550,371        (6,358,348        (62,040,303
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       5,184,662          50,355,920          7,316,256          71,369,286  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       36,400,937        $ 355,655,747          10,031,480        $ 97,612,974  
    

 

 

      

 

 

      

 

 

      

 

 

 
Strategic Income Fund  

Class A

                   

Shares Sold

       5,337,834        $ 45,379,327          4,296,538        $ 36,933,608  

Shares Issued for Reinvested Dividends

       1,249,248          10,365,012          1,066,746          9,259,924  

Shares Redeemed

       (3,785,319        (31,991,992        (3,763,905        (32,632,919
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,801,763          23,752,347          1,599,379          13,560,613  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       2,302,354        $ 19,758,315          751,895        $ 6,556,653  

Shares Issued for Reinvested Dividends

       290,056          2,410,006          391,778          3,422,677  

Shares Redeemed

       (2,444,655        (20,763,592        (3,643,853        (31,378,675
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       147,755          1,404,729          (2,500,180        (21,399,345
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       30,910,117        $ 263,931,079          5,202,305        $ 45,228,886  

Shares Issued for Reinvested Dividends

       959,173          8,069,620          486,701          4,235,721  

Shares Redeemed

       (11,878,785            (101,419,868        (4,403,368            (38,375,146
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       19,990,505          170,580,831          1,285,638          11,089,461  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       37,478        $ 314,812          11,098        $ 96,957  

Shares Issued for Reinvested Dividends

       2,869          23,881          1,962          17,013  

Shares Redeemed

       (3,280        (27,650        (13,226        (116,271
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       37,067          311,043          (166        (2,301
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       5,506        $ 46,037          19,854        $ 170,767  

Shares Issued for Reinvested Dividends

       1,621          13,396          1,208          10,484  

Shares Redeemed

       (49,613        (403,004        (37,662        (334,254
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (42,486        (343,571        (16,600        (153,003
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       560,488        $ 4,780,070          661,326        $ 5,660,637  

Shares Issued for Reinvested Dividends

       30,744          256,415          8,691          74,292  

Shares Redeemed

       (161,396        (1,361,870        (303,920        (2,607,692
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       429,836          3,674,615          366,097          3,127,237  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       193,442        $ 1,648,990          17,036        $ 145,744  

Shares Issued for Reinvested Dividends

       4,905          41,455          299          2,553  

Shares Redeemed

       (22,482        (193,024        (738        (6,332
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       175,865          1,497,421          16,597          141,965  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       452,980        $ 3,846,433          371,387        $ 3,201,355  

Shares Issued for Reinvested Dividends

       25,600          212,429          9,857          84,815  

Shares Redeemed

       (218,812        (1,852,341        (154,888        (1,328,017
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       259,768          2,206,521          226,356          1,958,153  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  252  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Strategic Income Fund – (continued)  

Class F

                   

Shares Sold

       3,607,554        $ 30,670,566          2,988,497        $ 26,027,895  

Shares Issued for Reinvested Dividends

       1,243,956          10,353,984          1,159,181          10,091,251  

Shares Redeemed

       (3,661,416        (31,099,334        (5,863,376        (51,674,654
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,190,094          9,925,216          (1,715,698        (15,555,508
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       24,990,167        $ 213,009,152          (738,577      $ (7,232,728
    

 

 

      

 

 

      

 

 

      

 

 

 
Total Return Bond Fund                                    

Class A

                   

Shares Sold

       19,025,222        $ 196,518,945          15,985,788        $ 162,568,841  

Shares Issued for Reinvested Dividends

       2,778,685          28,504,805          2,361,943          24,041,892  

Shares Redeemed

       (11,677,288            (119,557,823        (14,178,007            (144,170,107
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       10,126,619          105,465,927          4,169,724          42,440,626  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       371,687        $ 3,785,829          548,880        $ 5,621,360  

Shares Issued for Reinvested Dividends

       58,484          608,239          98,706          1,007,541  

Shares Redeemed

       (977,330        (10,103,139        (3,223,607        (32,529,059
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (547,159        (5,709,071        (2,576,021        (25,900,158
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       7,866,091        $ 81,958,506          4,390,364        $ 44,828,120  

Shares Issued for Reinvested Dividends

       207,666          2,134,627          123,236          1,254,052  

Shares Redeemed

       (3,018,555        (30,996,244        (2,738,696        (27,953,108
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       5,055,202          53,096,889          1,774,904          18,129,064  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       45,632        $ 479,293          64,778        $ 672,644  

Shares Issued for Reinvested Dividends

       12,612          133,255          12,532          130,050  

Shares Redeemed

       (115,574        (1,223,922        (134,290        (1,399,124
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (57,330        (611,374        (56,980        (596,430
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       267,881        $ 2,802,154          141,097        $ 1,466,537  

Shares Issued for Reinvested Dividends

       36,574          381,854          37,493          388,629  

Shares Redeemed

       (352,304        (3,701,932        (418,691        (4,332,469
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (47,849        (517,924        (240,101        (2,477,303
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       53,597        $ 567,359          23,712        $ 243,174  

Shares Issued for Reinvested Dividends

       5,339          55,085          5,374          55,563  

Shares Redeemed

       (115,818        (1,222,982        (20,942        (215,318
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (56,882        (600,538        8,144          83,419  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       3,703,333        $ 39,420,388          64,210        $ 653,454  

Shares Issued for Reinvested Dividends

       30,408          323,855          4,676          48,178  

Shares Redeemed

       (143,790        (1,526,282        (4,537        (46,354
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       3,589,951          38,217,961          64,349          655,278  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       5,602,467        $ 57,814,471          7,147,384        $ 73,995,846  

Shares Issued for Reinvested Dividends

       1,821,712          18,814,698          1,601,591          16,541,238  

Shares Redeemed

       (6,775,090        (70,516,335        (5,339,698        (55,011,657
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       649,089          6,112,834          3,409,277          35,525,427  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       17,383,270        $ 178,690,231          17,436,905        $ 177,429,850  

Shares Issued for Reinvested Dividends

       2,026,031          20,609,541          3,650,927          37,149,565  

Shares Redeemed

       (34,857,787        (348,062,055        (42,189,713        (422,170,404
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (15,448,486        (148,762,283        (21,101,881        (207,590,989
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       3,263,155        $ 46,692,421          (14,548,585      $ (139,731,066
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  253  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
World Bond Fund                                    

Class A

                   

Shares Sold

       17,509,270        $ 186,484,889          10,472,503        $ 110,597,978  

Shares Issued for Reinvested Dividends

       1,559,019          16,244,806          81,297          862,573  

Shares Redeemed

       (11,870,173        (125,798,446        (10,383,121        (109,498,041
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       7,198,116          76,931,249          170,679          1,962,510  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       2,667,601        $ 27,699,556          884,430        $ 9,185,358  

Shares Issued for Reinvested Dividends

       272,028          2,769,499          5,736          59,718  

Shares Redeemed

       (2,751,558        (28,652,862        (3,210,495        (33,307,122
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       188,071          1,816,193          (2,320,329        (24,062,046
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       109,021,517        $ 1,166,336,650          62,633,036        $ 666,413,386  

Shares Issued for Reinvested Dividends

       8,330,170          87,483,275          542,997          5,796,797  

Shares Redeemed

       (93,337,615            (1,001,215,415        (60,952,930            (646,716,590
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       24,014,072          252,604,510          2,223,103          25,493,593  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       94,716        $ 992,361          29,503        $ 309,510  

Shares Issued for Reinvested Dividends

       4,743          49,135          183          1,932  

Shares Redeemed

       (26,934        (283,813        (125,456        (1,312,722
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       72,525          757,683          (95,770        (1,001,280
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       950,496        $ 10,241,730          50,343        $ 534,416  

Shares Issued for Reinvested Dividends

       6,012          63,589          187          1,982  

Shares Redeemed

       (45,874        (488,262        (34,459        (362,911
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       910,634          9,817,057          16,071          173,487  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       496,165        $ 5,291,646          268,581        $ 2,866,895  

Shares Issued for Reinvested Dividends

       19,966          210,139          1,208          12,891  

Shares Redeemed

       (283,234        (3,027,780        (110,303        (1,174,768
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       232,897          2,474,005          159,486          1,705,018  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       1,340,006        $ 14,401,847          949,594        $ 10,178,893  

Shares Issued for Reinvested Dividends

       58,237          614,774          3,104          33,236  

Shares Redeemed

       (743,966        (7,995,884        (134,327        (1,435,216
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       654,277          7,020,737          818,371          8,776,913  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       27,191,768        $ 293,099,600          29,303,801        $ 312,314,058  

Shares Issued for Reinvested Dividends

       3,098,339          32,602,956          213,955          2,287,857  

Shares Redeemed

       (44,597,814        (482,694,394        (13,745,131        (146,642,209
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (14,307,707        (156,991,838        15,772,625          167,959,706  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       62,411,375        $ 669,170,519          47,812,854        $ 508,985,750  

Shares Issued for Reinvested Dividends

       7,698,936          81,054,043          535,469          5,718,502  

Shares Redeemed

       (29,639,426            (318,087,074        (19,488,075            (207,422,808
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       40,470,885          432,137,488          28,860,248          307,281,444  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       59,433,770        $ 626,567,084          45,604,484        $ 488,289,345  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

  (1) 

Inception date of Class Y shares was May 31, 2018.

  (2) 

Inception date of Class R6 shares was February 28, 2019.

 

13.

Line of Credit:

Each Fund participates in a committed line of credit pursuant to a credit agreement. Each Fund may borrow under the line of credit for temporary or emergency purposes. The Funds (together with certain other Hartford Funds) may borrow up to $370 million in the aggregate, subject to asset coverage and other limitations specified in the credit agreement. The interest rate on borrowings varies depending on the nature of the loan. The facility also charges a commitment fee, which is allocated to each of the funds participating in the line of credit based on average net assets of the funds. During and as of the year ended October 31, 2019, none of the Funds had borrowings under this facility.

 

 

  254  

 


Hartford Fixed Income Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

14.

Indemnifications:

Under the Company’s organizational documents, the Company shall indemnify its officers and directors to the full extent required or permitted under Maryland General Corporation Law and federal securities laws. In addition, the Company, on behalf of each Fund, may enter into contracts that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, as of the date of these financial statements, the Company has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

 

15.

Recent Accounting Pronouncement:

The FASB recently issued ASU 2017-08 (the “ASU” or “Update”) to amend the amortization period to the earliest call date for purchased callable debt securities held at a premium. The ASU is effective for public entities for fiscal years beginning after December 15, 2018, and will become effective for private entities one year later. Management is currently evaluating the implication, if any, of additional disclosure and its impact on the Funds’ financial statements.

In August 2018, the FASB issued Accounting Standards Update 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). The update introduces new fair value disclosure requirements, eliminates some prior fair value disclosure requirements, and modifies certain existing fair value disclosure requirements.

ASU 2018-13 is effective for fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years, however, an entity is permitted to early adopt either the entire standard or only the provisions that eliminate or modify requirements. Management has elected to early adopt the provisions of ASU 2018-13 that eliminate disclosure requirements effective with the current reporting period. The impact of each Fund’s early adoption of these provisions was limited to changes in the Fund’s financial statement disclosures regarding fair value, primarily those disclosures related to transfers between Level 1 and Level 2 of the fair value hierarchy and the timing of transfers between levels of the fair value hierarchy. Management is currently evaluating the potential impact of adopting the additional provisions of ASU 2018-13.

 

16.

Subsequent Events:

In connection with the preparation of the financial statements of the Funds as of and for the year ended October 31, 2019, events and transactions subsequent to October 31, 2019, through the date the financial statements were issued have been evaluated by the Funds’ management for possible adjustment and/or disclosure. The following subsequent events requiring financial statement disclosure have been identified.

Effective November 1, 2019, the management fee of HFMC set forth in the investment management agreement with respect to the Emerging Markets Local Debt Fund is as follows: 0.7500% of the first $500 million, 0.7000% of the next $500 million, and 0.6900% in excess of $1 billion annually of the Fund’s average daily net assets. In addition, effective November 1, 2019, HFMC has also contractually agreed to reimburse expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses) to the extent necessary to maintain total annual fund operating expenses for the Emerging Markets Local Debt Fund as follows: 1.18% (Class A), 1.93% (Class C), 0.93% (Class I), 1.48% (Class R3), 1.18% (Class R4), 0.88% (Class R5), 0.88% (Class Y), and 0.83% (Class F). This contractual arrangement will remain in effect until February 28, 2021 unless the Board of Directors of the Company approves its earlier termination.

 

 

  255  

 


Report of Independent Registered Public Accounting Firm

To the Shareholders of

The Hartford Emerging Markets Local Debt Fund, The Hartford Floating Rate Fund, The Hartford Floating Rate High Income Fund, The Hartford High Yield Fund, The Hartford Inflation Plus Fund, Hartford Municipal Income Fund, The Hartford Municipal Opportunities Fund, Hartford Municipal Short Duration Fund, The Hartford Quality Bond Fund, The Hartford Short Duration Fund, The Hartford Strategic Income Fund, The Hartford Total Return Bond Fund, and The Hartford World Bond Fund and the Board of Directors of The Hartford Mutual Funds, Inc.

 

 

 

Opinion on the Financial Statements

We have audited the accompanying statements of assets and liabilities of The Hartford Emerging Markets Local Debt Fund, The Hartford Floating Rate Fund, The Hartford Floating Rate High Income Fund, The Hartford High Yield Fund, The Hartford Inflation Plus Fund, Hartford Municipal Income Fund, The Hartford Municipal Opportunities Fund, Hartford Municipal Short Duration Fund, The Hartford Quality Bond Fund, The Hartford Short Duration Fund, The Hartford Strategic Income Fund, The Hartford Total Return Bond Fund, and The Hartford World Bond Fund (collectively referred to as the “Funds”) (thirteen of the funds constituting The Hartford Mutual Funds, Inc. (the “Company”)), including the schedules of investments, as of October 31, 2019, and the related statements of operations and changes in net assets, and the financial highlights for each of the periods indicated in the table below and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds (thirteen of the funds constituting The Hartford Mutual Funds, Inc.) at October 31, 2019, and the results of their operations, changes in net assets and financial highlights for each of the periods indicated in the table below, in conformity with U.S. generally accepted accounting principles.

 

Individual fund constituting

The Hartford Mutual Funds, Inc.

   Statement of operations    Statements of changes in
net assets
   Financial highlights

The Hartford Emerging Markets Local Debt Fund

The Hartford Floating Rate Fund

The Hartford Floating Rate High Income Fund

The Hartford High Yield Fund

The Hartford Inflation Plus Fund

The Hartford Municipal Opportunities Fund

The Hartford Quality Bond Fund

The Hartford Short Duration Fund

The Hartford Strategic Income Fund

The Hartford Total Return Bond Fund

Hartford World Bond Fund

   For the year ended October 31, 2019    For each of the two years in the period ended October 31, 2019    For each of the five years in the period ended October 31, 2019

Hartford Municipal Income Fund

Hartford Municipal Short Duration Fund

   For the year ended October 31, 2019    For each of the two years in the period ended October 31, 2019    For each of the four years in the period ended October 31, 2019 and the period from May 29, 2015 (commencement of operations) through October 31, 2015.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on each of the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2019, by correspondence with the custodian and others or by other appropriate auditing procedures where replies from others were not received. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

 

LOGO

We have served as the auditor of one or more Hartford investment companies since 2002.

Philadelphia, Pennsylvania

December 30, 2019

 

 

  256  

 


Hartford Fixed Income Funds

Directors and Officers of the Company (Unaudited)

 

 

 

The Hartford Mutual Funds, Inc. (the “Company”) is governed by a Board of Directors (the “Directors”). The following tables present certain information regarding the Directors and officers of the Company as of October 31, 2019. For more information regarding the Directors and officers, please refer to the Statement of Additional Information, which is available, without charge, upon request by calling 1-888-843-7824.

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

NON-INTERESTED DIRECTORS

HILARY E. ACKERMANN

(1956)

   Director   Since 2014   Ms. Ackermann served as Chief Risk Officer at Goldman Sachs Bank USA from October 2008 to November 2011. Ms. Ackermann has served as a Director of Vistra Energy Corporation, formerly known as Dynegy, Inc. (an independent power company) since October 2012 and as a Director of Credit Suisse Holdings (USA), Inc. since January 2017.   82    Ms. Ackermann serves as a Director of Vistra Energy Corporation (October 2012 to present) and as a Director of Credit Suisse Holdings (USA), Inc. from January 2017 to present.

ROBIN C. BEERY

(1967)

   Director   Since 2017   Ms. Beery has served as a consultant to ArrowMark Partners (an alternative asset manager) since March of 2015 and since November 2018 has been employed by ArrowMark Partners as a Senior Advisor. Previously, she was Executive Vice President, Head of Distribution, for Janus Capital Group, and Chief Executive Officer and President of the Janus Mutual Funds (a global asset manager) from September 2009 to August 2014.   82    Ms. Beery serves as a Director of UMB Financial Corporation (January 2015 to present).

LYNN S. BIRDSONG

(1946)

   Director and Chair of the Board   Director since 2003; Chair of the Board since August 2019   Mr. Birdsong currently serves as a Director of Aberdeen Global and Aberdeen Global II (investment funds) (since September 2014), Aberdeen Islamic SICAV and Aberdeen Liquidity Fund (investment funds) (since 2016), and Aberdeen Alpha Fund (since December 2017). Mr. Birdsong served as an Independent Director of Nomura Partners Funds, Inc. (formerly, The Japan Fund) (April 2003 to February 2015) and as a Director of the Sovereign High Yield Investment Company (April 2010 to June 2014). From 2003 to March 2005, Mr. Birdsong was an Independent Director of the Atlantic Whitehall Funds. From 1979 to 2002, Mr. Birdsong was a Managing Director of Zurich Scudder Investments, an investment management firm. During his employment with Scudder, Mr. Birdsong was an Interested Director of The Japan Fund. From January 1981 through December 2013, Mr. Birdsong was a partner in Birdsong Company, an advertising specialty firm.   82    None

CHRISTINE R. DETRICK

(1958)

   Director   Since 2016   Ms. Detrick has served as a Director of Reinsurance Group of America since January 2014. Previously, she was a director of Forest City Realty Trust (a real estate company) from November 2014 to March 2018, a Director of Forethought Financial Group, Inc. (a financial services company) from January 2012 to January 2014, and a Senior Partner/Advisor at Bain & Company (a management consulting firm) from September 2002 to December 2012.   82    Ms. Detrick serves as a Director of Reinsurance Group of America (January 2014 to present).

DUANE E. HILL

(1945)

   Director   Since 2001   Mr. Hill is a Partner of TSG Ventures L.P., a private equity investment company. Mr. Hill is a former partner of TSG Capital Group, a private equity investment firm that served as sponsor and lead investor in leveraged buyouts of middle market companies.   82    None

 

 

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Hartford Fixed Income Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

PHILLIP O. PETERSON(4)

(1944)

   Director   Since 2002   Mr. Peterson is a mutual fund industry consultant. He was a partner of KPMG LLP (an accounting firm) until July 1999. From February 2007 to February 2018, Mr. Peterson served as a member of the Board of Trustees of the William Blair Funds. From February 2012 to February 2014, Mr. Peterson served as a Trustee of Symetra Variable Mutual Funds. From January 2004 to April 2005, Mr. Peterson served as Independent President of the Strong Mutual Funds.   82    None

LEMMA W. SENBET

(1946)

   Director   Since 2005   Dr. Senbet currently serves as the William E. Mayer Chair Professor of Finance, and previously was the Founding Director, Center for Financial Policy, in the Robert H. Smith School of Business at the University of Maryland. He was chair of the Finance Department Robert H. Smith School of Business at the University of Maryland from 1998 to 2006. In June 2013, he began a sabbatical from the University to serve as Executive Director of the African Economic Research Consortium which focuses on economic policy research and training, which he completed in 2018. Previously, he was a chaired professor of finance at the University of Wisconsin-Madison. Also, he was a Director of the Fortis Funds from March 2000 to July 2002. Dr. Senbet served as Director of the American Finance Association and President of the Western Finance Association. In 2006, Dr. Senbet was inducted Fellow of Financial Management Association International for his career-long distinguished scholarship and professional service.   82    None

DAVID SUNG

(1953)

   Director   Since 2017   Mr. Sung has served as a Director of Nippon Wealth Bank since April 2015 and CITIC-Prudential Fund Management Company, Inc. since January 2016. Mr. Sung is an Independent Director of seven investment funds, including two closed-end registered investment companies, sponsored by Ironwood Capital Management. Previously, he was a Partner at Ernst & Young LLP from October 1995 to July 2014.   82    Mr. Sung serves as a Trustee of Ironwood Institutional Multi-Strategy Fund, LLC and Ironwood Multi-Strategy Fund, LLC (October 2015 to present) (2 portfolios).
OFFICERS AND INTERESTED DIRECTORS

JAMES E. DAVEY(5)

(1964)

   Director, President and Chief Executive Officer   President and Chief Executive Officer since 2010; Director since 2012   Mr. Davey serves as Executive Vice President of The Hartford Financial Services Group, Inc. Additionally, Mr. Davey serves as Chairman of the Board, Manager, and Senior Managing Director of Hartford Funds Distributors, LLC (“HFD”). He also currently serves as Director, Chairman of the Board, President and Senior Managing Director of Hartford Administrative Services Company (“HASCO”). Mr. Davey also serves as President, Manager, Chairman of the Board, and Senior Managing Director for Hartford Funds Management Company, LLC (“HFMC”), and Director, Chairman, President, and Senior Managing Director for Hartford Funds Management Group, Inc. (“HFMG”). Mr. Davey also serves as Manager, Chairman of the Board, and President of Lattice Strategies LLC (since July 2016). Mr. Davey has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Davey joined The Hartford in 2002.   82    None

 

 

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Hartford Fixed Income Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

ANDREW S. DECKER

(1963)

   AML Compliance Officer   Since 2015   Mr. Decker serves as Chief Compliance Officer and AML Compliance Officer of HASCO (since April 2015) and Vice President of HASCO (since April 2018). Mr. Decker serves as AML Officer of HFD (since May 2015). Mr. Decker also serves as Vice President of HFMG (since April 2018). Prior to joining The Hartford, Mr. Decker served as Vice President and AML Officer at Janney Montgomery Scott (a broker dealer) from April 2011 to January 2015. Mr. Decker served as AML Compliance and Sanctions Enforcement Officer at SEI Investments from December 2007 to April 2011.   N/A    N/A

AMY N. FURLONG

(1979)

   Vice President and Treasurer   Since 2018   Ms. Furlong serves as Vice President and Assistant Treasurer of HFMC (since September 2019). Ms. Furlong has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Ms. Furlong joined The Hartford in 2004. Prior to joining The Hartford, Ms. Furlong worked at KPMG LLP in audit services.   N/A    N/A

WALTER F. GARGER

(1965)

   Vice President and Chief Legal Officer   Since 2016   Mr. Garger serves as Secretary, Managing Director and General Counsel of HFD, HASCO, HFMC and HFMG (since 2013). Mr. Garger also serves as Secretary and General Counsel of Lattice Strategies LLC (since July 2016). Mr. Garger has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Garger joined The Hartford in 1995.   N/A    N/A

ALBERT Y. LEE

(1979)

   Vice President and Assistant Treasurer   Since 2017   Mr. Lee serves as Head of Systemic Strategies and ETF Operations and Senior Vice President of HFMG (since July 2016). Mr. Lee also serves as Senior Vice President of Lattice Strategies LLC (since June 2017). Previously, Mr. Lee served as Managing Director and Chief Operating Officer, Lattice Strategies LLC (2009-2016); Chief Operating Officer at Avicenna Capital Management (2007-2009); and Chief Financial Officer at Steeple Capital LP (2005-2007).   N/A    N/A

THEODORE J. LUCAS

(1966)

   Vice President   Since 2017   Mr. Lucas serves as Executive Vice President of HFMG (since July 2016) and as Executive Vice President of Lattice Strategies LLC (since June 2017). Previously, Mr. Lucas served as Managing Partner of Lattice Strategies LLC (2003 to 2016).   N/A    N/A

JOSEPH G. MELCHER

(1973)

   Vice President and Chief Compliance Officer   Since 2013   Mr. Melcher serves as Executive Vice President of HFD (since December 2013) and has served as President (from April 2018 to June 2019) and Chief Executive Officer (from April 2018 to June 2019) of HFD. He also serves as Executive Vice President of HFMG and HASCO (since December 2013). Mr. Melcher also serves as Executive Vice President (since December 2013) and Chief Compliance Officer (since December 2012) of HFMC. Mr. Melcher also serves as Executive Vice President and Chief Compliance Officer of Lattice Strategies, LLC (since July 2016). Mr. Melcher has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds since joining The Hartford in 2012. Prior to joining The Hartford, Mr. Melcher worked at Touchstone Investments, a member of the Western & Southern Financial Group, where he held the position of Vice President and Chief Compliance Officer from 2010 through 2012 and Assistant Vice President, Compliance from 2005 to 2010.   N/A    N/A

 

 

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Hartford Fixed Income Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

VERNON J. MEYER

(1964)

   Vice President   Since 2006   Mr. Meyer serves as Managing Director and Chief Investment Officer of HFMC and Managing Director of HFMG (since 2013). Mr. Meyer has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Meyer joined The Hartford in 2004.   N/A    N/A

ALICE A. PELLEGRINO

(1960)

   Vice President   Since 2016   Ms. Pellegrino serves as Vice President of HFMG (since December 2013). Ms. Pellegrino also serves as Vice President and Assistant Secretary of Lattice Strategies LLC (since June 2017). Ms. Pellegrino is a Senior Counsel and has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Ms. Pellegrino joined The Hartford in 2007.   N/A    N/A

THOMAS R. PHILLIPS

(1960)

   Vice President and Secretary   Since 2017   Mr. Phillips currently serves as Vice President (since February 2017) and Assistant Secretary (since June 2017) for HFMG. Mr. Phillips is Deputy General Counsel for HFMG. Prior to joining HFMG in 2017, Mr. Phillips was a Director and Chief Legal Officer of Saturna Capital Corporation from 2014–2016. Prior to that, Mr. Phillips was a Partner and Deputy General Counsel of Lord, Abbett & Co. LLC.   N/A    N/A

 

(1)

The address for each officer and Director is c/o Hartford Funds 690 Lee Road, Wayne, PA 19087.

(2)

Each Director holds an indefinite term until the earlier of (i) the election and qualification of his or her successor or (ii) when the Director turns 75 years of age. Each officer shall serve until his or her successor is elected and qualifies.

(3)

The portfolios of the “Fund Complex” are series of The Hartford Mutual Funds, Inc., The Hartford Mutual Funds II, Inc., Hartford Series Fund, Inc., Hartford HLS Series Fund II, Inc., Hartford Funds Master Fund, Lattice Strategies Trust, Hartford Funds Exchange-Traded Trust, Hartford Funds NextShares Trust, and Hartford Schroders Opportunistic Income Fund.

(4)

Effective December 5, 2019, Mr. Peterson is retiring from the Company.

(5)

“Interested person,” as defined in the 1940 Act, of the Company because of the person’s affiliation with, or equity ownership of, HFMC, HFD or affiliated companies.

 

 

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Hartford Fixed Income Funds

 

 

 

 

HOW TO OBTAIN A COPY OF EACH FUND’S PROXY VOTING POLICIES AND VOTING RECORDS (UNAUDITED)

A description of the policies and procedures that each Fund uses to determine how to vote proxies relating to portfolio securities and information about how each Fund voted proxies relating to portfolio securities during the most recent twelve-month period ended June 30 are available (1) without charge, upon request, by calling 888-843-7824 and (2)  on the SEC’s website at http://www.sec.gov.

QUARTERLY PORTFOLIO HOLDINGS INFORMATION (UNAUDITED)

Each Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. Each Fund’s Form N-PORT reports are available (1) without charge, upon request, by calling 888-843-7824 and (2) on the SEC’s website at http://www.sec.gov.

 

 

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Hartford Fixed Income Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited)

 

 

 

The Hartford Mutual Funds, Inc.

The Hartford Emerging Markets Local Debt Fund

The Hartford Floating Rate Fund

The Hartford Floating Rate High Income Fund

The Hartford High Yield Fund

The Hartford Inflation Plus Fund

Hartford Municipal Income Fund

The Hartford Municipal Opportunities Fund

Hartford Municipal Short Duration Fund

The Hartford Quality Bond Fund

The Hartford Short Duration Fund

The Hartford Strategic Income Fund

The Hartford Total Return Bond Fund

The Hartford World Bond Fund

(each a “Fund” and collectively, the “Funds”)

Section 15(c) of the Investment Company Act of 1940, as amended (the “1940 Act”), requires that each mutual fund’s board of directors, including a majority of those directors who are not “interested persons” of the mutual fund, as defined in the 1940 Act (the “Independent Directors”), annually review and consider the continuation of the mutual fund’s investment advisory and sub-advisory agreements. At its meeting held on August 6-7, 2019, the Board of Directors (the “Board”) of The Hartford Mutual Funds, Inc. (“HMF”), including each of the Independent Directors, unanimously voted to approve (i) the continuation of an investment management agreement by and between Hartford Funds Management Company, LLC (“HFMC”) and each of HMF, on behalf of The Hartford Emerging Markets Local Debt Fund, The Hartford Floating Rate Fund, The Hartford High Yield Fund, The Hartford Inflation Plus Fund, Hartford Municipal Income Fund, Hartford Municipal Short Duration Fund, The Hartford Quality Bond Fund, The Hartford Short Duration Fund, The Hartford Strategic Income Fund, The Hartford Total Return Bond Fund, and The Hartford World Bond Fund, and The Hartford Mutual Funds II, Inc. (“HMF II”), on behalf of its series (the “Management Agreement”); (ii) the continuation of a separate investment management agreement by and between HFMC and HMF, on behalf of The Hartford Floating Rate High Income Fund and The Hartford Municipal Opportunities Fund (the “2013 Investment Management Agreement” and collectively with the Management Agreement, the “Management Agreements”); and (iii) the continuation of an investment sub-advisory agreement (the “Sub-Advisory Agreement” and collectively with the Management Agreement, the “Agreements”) between HFMC and each Fund’s sub-adviser, Wellington Management Company LLP (the “Sub-adviser,” and together with HFMC, the “Advisers”), with respect to each Fund.

In the months preceding the August 6-7, 2019 meeting, the Board requested and reviewed written responses from the Advisers to questions posed to the Advisers on behalf of the Independent Directors and supporting materials relating to those questions and responses. In addition, the Board considered such additional information as it deemed reasonably necessary to evaluate the Agreements, as applicable, with respect to each Fund, which included information furnished to the Board at its meetings throughout the year, as well as information specifically prepared in connection with the approval of the continuation of the Agreements that was presented at the Board’s meetings held on June 18, 2019 and August 6-7, 2019. Information provided to the Board at its meetings throughout the year included, among other things, reports on Fund performance, legal, compliance and risk management matters, sales and marketing activity, shareholder services, and the other services provided to each Fund by the Advisers and their affiliates. The Board also considered the materials and in-person presentations by Fund officers and representatives of HFMC received at the Board’s meetings on June 18, 2019 and August 6-7, 2019 concerning the Agreements.

The Independent Directors, advised by independent legal counsel throughout the evaluation process, engaged service providers to assist them with evaluating the Agreements with respect to each Fund, as applicable. Broadridge Financial Solutions, Inc. (“Broadridge”), an independent provider of investment company data, was retained to provide the Board with reports on how each Fund’s contractual management fees, actual management fees, transfer agency and other non-management fees, overall expense ratios and investment performance compared to those of comparable mutual funds with similar investment objectives. The Independent Directors also engaged an independent financial services consultant (the “Consultant”) to assist them in evaluating each Fund’s management fees, transfer agency and other non-management fees, overall expense ratios and investment performance. In addition, the Consultant reviewed the profitability methodologies utilized by HFMC in connection with the continuation of the Management Agreements.

In determining whether to continue the Agreements for a Fund, the members of the Board reviewed and evaluated information and factors they believed to be relevant and appropriate through the exercise of their reasonable business judgment. While individual members of the Board may have weighed certain factors differently, the Board’s determination to continue the Agreements was based on a comprehensive consideration of all information provided to the Board throughout the year and specifically with respect to the continuation of the Agreements. The Board was also furnished with an analysis of its fiduciary obligations in connection with its evaluation of the Agreements and, throughout the evaluation process, the Board was assisted by counsel for the Funds. The Independent Directors were also separately assisted by independent legal counsel throughout the evaluation process. A more detailed summary of the important, but not necessarily all, factors the Board considered with respect to its approval of the continuation of the Agreements is provided below.

 

 

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Hartford Fixed Income Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Nature, Extent and Quality of Services Provided by the Advisers

The Board requested and considered information concerning the nature, extent and quality of the services provided to each Fund by the Advisers. The Board considered, among other things, the terms of the Agreements and the range of services provided by the Advisers. The Board considered the Advisers’ professional personnel who provide services to the Funds, including each Adviser’s ability and experience in attracting and retaining qualified personnel to service the Funds. The Board considered each Adviser’s reputation and overall financial strength, as well as its willingness to consider and implement organizational and operational changes designed to enhance services to the funds managed by HFMC and its affiliates (the “Hartford Funds”). In addition, the Board considered the quality of each Adviser’s communications with the Board and responsiveness to Board inquiries and requests made from time to time with respect to the Funds and other Hartford Funds.

The Board also requested and evaluated information concerning each Adviser’s regulatory and compliance environment. In this regard, the Board requested and reviewed information about each Adviser’s compliance policies and procedures, compliance history, and a report from the Funds’ Chief Compliance Officer about each Adviser’s compliance with applicable laws and regulations, including responses to regulatory developments and any compliance or other issues raised by regulators. The Board also noted the Advisers’ support of the Funds’ compliance control structure, as applicable, and, in particular, the resources devoted by the Advisers in support of the Funds’ obligations pursuant to Rule 38a-1 under the 1940 Act and the Funds’ liquidity risk management program, as well as the efforts of the Advisers to combat cybersecurity risks and invest in business continuity planning.

With respect to HFMC, the Board noted that, under the Management Agreements, HFMC is responsible for the management of the Funds, including oversight of fund operations and service providers, and the provision of administrative and investment advisory services in connection with selecting, monitoring and supervising the Sub-adviser. In this regard, the Board evaluated information about the nature and extent of responsibilities retained and risks assumed by HFMC that were not delegated to or assumed by the Sub-adviser. The Board considered HFMC’s ongoing monitoring of people, process and performance, including its quarterly reviews of each of the Hartford Funds, semi-annual meetings with the leaders of each Fund’s portfolio management team, and oversight of the Hartford Funds’ portfolio managers. The Board recognized that HFMC has demonstrated a record of initiating changes to the portfolio management and/or investment strategies of the Hartford Funds when warranted. The Board considered HFMC’s periodic due diligence reviews of the Sub-adviser and ongoing oversight of the Sub-adviser’s investment approach and results, process for monitoring best execution of portfolio trades and other trading operations by the Sub-adviser, and approach to risk management with respect to the Funds and the service providers to the Funds. The Board considered HFMC’s oversight of the securities lending program and noted the income earned by the Funds that participate in such program. The Board also considered HFMC’s day-to-day oversight of each Fund’s compliance with its investment objective and policies as well as with applicable laws and regulations, noting that regulatory and other developments had over time led to an increase in the scope of HFMC’s services in this regard. Moreover, the Board considered HFMC’s oversight of potential conflicts of interest between the Funds’ investments and those of other funds or accounts managed by the Funds’ portfolio management personnel.

In addition, the Board considered HFMC’s ongoing commitment to review and rationalize the Hartford Funds product line-up and the expenses that HFMC had incurred, as well as the risks HFMC had assumed, in connection with the launch of new funds and changes to existing Hartford Funds in recent years. The Board considered that HFMC is responsible for providing the Funds’ officers.

With respect to the Sub-adviser, which provides certain day-to-day portfolio management services for the Funds, subject to oversight by HFMC, the Board considered, among other things, the Sub-adviser’s investment personnel, its investment philosophy and process, its investment research capabilities and resources, its performance record, its trade execution capabilities and its experience. The Board considered the quality and experience of each Fund’s portfolio manager(s), the number of accounts managed by the portfolio manager(s), and the Sub-adviser’s method for compensating the portfolio manager(s). The Board also considered the Sub-adviser’s succession planning to ensure continuity of portfolio management services provided to the Funds.

The Board considered the benefits to shareholders of being part of the Hartford Funds family of funds, including, with respect to certain share classes, the right to exchange investments between the same class of shares without a sales charge, the ability to reinvest Fund dividends into other Hartford Funds, and the ability to combine holdings in a Fund with holdings in other Hartford Funds to obtain a reduced sales charge. The Board considered HFMC’s efforts to provide investors in the Hartford Funds with a broad range of investment styles and asset classes and the assumption of entrepreneurial and other risks by HFMC in sponsoring new funds to expand these opportunities for shareholders.

Based on these considerations, the Board concluded that it was satisfied with the nature, extent and quality of the services provided to each Fund by HFMC and the Sub-adviser.

Performance of each Fund and the Advisers

The Board considered the investment performance of each Fund. In this regard, the Board reviewed the performance of each Fund over different time periods presented in the materials and evaluated HFMC’s analysis of the Fund’s performance for these time periods. The Board considered information and materials provided to the Board by the Advisers concerning Fund performance, as well as information from Broadridge comparing the investment performance of each Fund to an appropriate universe of peer funds. For details regarding each Fund’s performance, see the Fund-by-Fund synopsis below.

 

 

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Hartford Fixed Income Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

The Board considered the detailed investment analytics reports provided by HFMC’s Investment Advisory Group throughout the year, including in connection with the continuation of the approval of the Agreements. These reports included, among other things, information on each Fund’s gross returns and net returns, the Fund’s investment performance relative to an appropriate benchmark and peer group (if available), various statistics concerning the Fund’s portfolio, a narrative summary of various factors affecting Fund performance and commentary of the effect of current and recent market conditions. The Board considered the Advisers’ work with the Investment Committee, which assists the Board in evaluating the performance of each Fund at periodic meetings throughout the year and specifically with respect to the approval of the continuation of the Agreements. The Board also considered the analysis provided by the Consultant relating to each Fund’s performance track record.

In light of all the considerations noted above, the Board concluded that it had continued confidence in HFMC’s and the Sub-adviser’s overall capabilities to manage the Funds.

Costs of the Services and Profitability of the Advisers

The Board reviewed information regarding HFMC’s cost to provide investment management and related services to each Fund and HFMC’s profitability, both overall and for each Fund, on a pre-tax basis without regard to distribution expenses. The Board also requested and reviewed information about the profitability to HFMC and its affiliates from all services provided to each Fund and all aspects of their relationship with the Fund, including information regarding profitability trends over time. The Board also requested and received information relating to the operations and profitability of the Sub-adviser. The Board considered representations from HFMC and the Sub-adviser that the Sub-adviser’s fees were negotiated at arm’s length on a Fund-by-Fund basis and that the sub-advisory fees are paid by HFMC and not the Funds. Accordingly, the Board concluded that the profitability of the Sub-adviser is a less relevant factor with respect to the Board’s consideration of the Sub-Advisory Agreement.

The Board considered the Consultant’s review of the methodologies and estimates used by HFMC in calculating profitability in connection with the continuation of the Management Agreements, including a description of the methodology used to allocate certain expenses. The Board noted the Consultant’s view that HFMC’s process for calculating and reporting Fund profitability is reasonable and consistent with the process previously reviewed by the Consultant. In this regard, the Board noted that the Consultant had previously performed a full review of this process and reported that such process is sound and consistent with common industry practice.

Based on these considerations, the Board concluded that the profits realized by the Advisers and their affiliates from their relationships with the Funds were not excessive.

Comparison of Fees and Services Provided by the Advisers

The Board considered the comparative information that had been provided at meetings on June 18, 2019 and August 6-7, 2019 with respect to the services rendered to and the management fees to be paid by each Fund to HFMC and the total expense ratios of the Fund. The Board also considered comparative information with respect to the sub-advisory fees to be paid by HFMC to the Sub-adviser with respect to each Fund. In this regard, the Board requested and reviewed information from HFMC and the Sub-adviser relating to the management and sub-advisory fees, including the sub-advisory fee schedule for each Fund and the amount of the management fee retained by HFMC, and total operating expenses for each Fund. The Board also reviewed information from Broadridge comparing each Fund’s contractual management fees, actual management fees and total expense ratios relative to an appropriate group of funds selected by Broadridge, in consultation with the Consultant. For details regarding each Fund’s expenses, see the Fund-by-Fund synopsis below.

While the Board recognized that comparisons between a Fund and its peer funds may be imprecise given, among other differences, the different service levels and characteristics of mutual funds and the different business models and cost structures of the Advisers, the comparative information provided by Broadridge assisted the Board in evaluating the reasonableness of each Fund’s fees and total operating expenses. In addition, the Board considered the analysis and recommendations of the Consultant relating to each Fund’s fees and total operating expenses.

The Board received information regarding fees charged by HFMC to other Hartford Funds that are exchange-traded funds (“ETFs”) with investment strategies similar to those of The Hartford Municipal Opportunities Fund, The Hartford Short Duration Fund, and The Hartford Total Return Bond Fund. The Board reviewed information about structural, operational and other differences between the ETFs and the Funds, including differences in the marketplace in which each type of product must compete. The Board also received information regarding fees charged by the Sub-adviser to any other clients with investment strategies similar to those of the Funds, including institutional separate account clients and registered fund clients for which the Sub-adviser serves as either primary investment adviser or sub-adviser. The Board considered the explanations provided by the Sub-adviser about any differences between the Sub-adviser’s services to the Funds and the services it provides to other types of clients. In this regard, the Board reviewed information about the generally broader scope of services and compliance, reporting and other legal burdens and risks of managing registered funds compared with those associated with managing assets of non-registered fund clients such as institutional separate accounts.

Based on these considerations, the Board concluded that each Fund’s fees and total operating expenses, in conjunction with the information about quality of services, profitability, economies of scale, and other matters considered, were reasonable in light of the services provided.

 

 

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Hartford Fixed Income Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Economies of Scale

The Board considered information regarding the extent to which economies of scale may be realized as a Fund grows and whether fee levels reflect these economies of scale for the benefit of shareholders of the Fund. The Board reviewed the breakpoints in the management fee schedule for each Fund, if any, which reduce fee rates as the Fund’s assets grow over time. The Board recognized that a Fund with assets beyond the highest breakpoint level will continue to benefit from economies of scale because additional assets are charged the lowest breakpoint fee resulting in lower overall effective management fee rates. The Board also recognized that a fee schedule that reaches a breakpoint at a lower asset level provides shareholders with the benefit of anticipated or potential economies of scale. The Board considered that expense limitations and fee waivers that reduce a Fund’s expenses at all asset levels can have the same effect as breakpoints in sharing economies of scale with shareholders and provide protection from an increase in expenses if the Fund’s assets decline. In addition, the Board considered that initially setting competitive fee rates, pricing the Funds to scale at inception and making additional investments intended to enhance services available to shareholders are other means of sharing anticipated or potential economies of scale with shareholders. The Board also considered that HFMC has been active in managing expenses, which has resulted in benefits being realized by shareholders as assets within the Hartford Funds have grown over time, including through lower operating expenses. The Board also noted that, for each of The Hartford Quality Bond Fund, The Hartford Emerging Markets Local Debt Fund, Hartford Municipal Income Fund, and Hartford Municipal Short Duration Fund, the Fund’s current low asset levels have kept the Fund from fully realizing the benefits of anticipated or potential economies of scale.

The Board reviewed and evaluated materials from Broadridge and the Consultant showing how management fee schedules of peer funds reflect economies of scale for the benefit of shareholders as a peer fund’s assets hypothetically increase over time. Based on information provided by HFMC, Broadridge, and the Consultant, the Board recognized that there is no uniform methodology for establishing breakpoints or uniform pattern in asset levels that trigger breakpoints or the amounts of breakpoints triggered.

After considering all of the information available to it, the Board concluded that it was satisfied with the extent to which economies of scale would be shared for the benefit of each Fund’s shareholders based on currently available information and the effective management fees and total expense ratios for the Fund at its current and reasonably anticipated asset levels. The Board noted, however, that it would continue to monitor future growth in each Fund’s assets and the appropriateness of additional management fee breakpoints or other methods to share benefits from economies of scale.

Other Benefits

The Board considered other benefits to the Advisers and their affiliates from their relationships with the Funds.

The Board noted that HFMC receives fees for fund accounting and related services from the Funds, and the Board considered information on profits to HFMC for such services. The Board also considered that each Fund pays a transfer agency fee to Hartford Administrative Services Company (“HASCO”), an affiliate of HFMC, equal to the lesser of: (i) the actual costs incurred by HASCO in connection with the provisions of transfer agency services, including payments made to sub-transfer agents, plus a reasonable target profit margin; or (ii) a specified amount as set forth in the Transfer Agency and Service Agreement by and between HMF, on behalf of its Funds, HMF II, on behalf of its series, and HASCO. The Board reviewed information about the profitability to HASCO of the Funds’ transfer agency function. The Board considered information provided by HASCO indicating that the transfer agency fees charged by HASCO to the Funds were fair and reasonable based on publicly available information. The Board also noted that HFMC and HASCO had delegated certain fund accounting services and transfer agency services, respectively, to external service providers.

The Board also considered that Hartford Funds Distributors, LLC (“HFD”), an affiliate of HFMC, serves as principal underwriter of the Funds. The Board noted that, as principal underwriter, HFD receives distribution and service fees from the Funds and receives all or a portion of the sales charges on sales or redemptions of certain classes of shares.

The Board considered the benefits, if any, to the Sub-adviser from any use of a Fund’s brokerage commissions to obtain soft dollar research.

Fund-by-Fund Factors

For purposes of the Fund-by-Fund discussion below, Fund performance is referred to as “in line with” a Fund’s benchmark where it was 0.5% above or below the benchmark return, and each Fund’s performance relative to its benchmark reflects the net performance of the Fund’s Class I shares as of March 31, 2019.

The Hartford Emerging Markets Local Debt Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1- and 3-year periods and the 4th quintile for the 5-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1-year period and in line with its benchmark for the 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee and actual management fee were in the 5th quintile of its expense group, while its total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile. In considering the Fund’s expenses, the Board noted the

 

 

  265  

 


Hartford Fixed Income Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

  shareholder savings expected to result from a reduction in the Fund’s contractual investment management fee, which will be implemented on November 1, 2019. The Board also noted that effective November 1, 2019, the contractual expense cap for Class A shares of the Fund will be lowered to 1.18% through February 28, 2021.

The Hartford Floating Rate Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1-year period, the 2nd quintile for the 3-year period and the 3rd quintile for the 5-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1- and 5-year periods and in line with its benchmark for the 3-year period. The Board noted recent changes to the Fund’s portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee was in the 2nd quintile of its expense group, while its actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.00% and a contractual transfer agency fee expense cap for Class Y of 0.08% through February 29, 2020.

The Hartford Floating Rate High Income Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1- and 5-year periods and the 1st quintile for the 3-year period. The Board also noted that the Fund’s performance was in line with its benchmark for the 1- and 5-year periods and above its benchmark for the 3-year period. The Board noted recent changes to the Fund’s portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.05% through February 29, 2020.

The Hartford High Yield Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-, 3- and 5-year periods. The Board also noted that the Fund’s performance was below its benchmark for the 1-, 3- and 5-year periods. The Board noted recent changes to the Fund’s portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.05% through February 29, 2020.

The Hartford Inflation Plus Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-year period and the 4th quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was in line with its benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee was in the 3rd quintile of its expense group, while its actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 0.85% through February 29, 2020.

Hartford Municipal Income Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1-year period and the 2nd quintile for the 3-year period. The Board also noted that the Fund’s performance was in line with its benchmark for the 1- and 3-year periods.

 

 

The Board noted that the Fund’s contractual management fee, actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 0.69%, and that HFMC had reimbursed the Fund for certain expenses.

The Hartford Municipal Opportunities Fund

 

 

The Board noted that the Fund’s performance was in the 2nd quintile of its performance universe for the 1-year period and the 1st quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was in line with its benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee and actual management fee were in the 1st quintile of its expense group, while its total expenses (less 12b-1 and shareholder service fees) were in the 2nd quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 0.69% through February 29, 2020, and that HFMC had reimbursed the Fund for certain expenses.

 

 

  266  

 


Hartford Fixed Income Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Hartford Municipal Short Duration Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1- and 3-year periods. The Board also noted that the Fund’s performance was in line with its benchmark for the 1- and 3-year periods.

 

 

The Board noted that the Fund’s contractual management fee was in the 2nd quintile of its expense group, while its actual management fee was in the 1st quintile and its total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 0.69% through February 29, 2020, and that HFMC had reimbursed the Fund for certain expenses.

The Hartford Quality Bond Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1- and 3-year periods and the 4th quintile for the 5-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1-year period and in line with its benchmark for the 3- and 5-year periods. The Board noted recent changes to the Fund’s portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee was in the 2nd quintile of its expense group, while its actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 0.85% through February 29, 2020.

The Hartford Short Duration Fund

 

 

The Board noted that the Fund’s performance was in the 2nd quintile of its performance universe for the 1-, 3- and 5-year periods. The Board also noted that the Fund’s performance was in line with its benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee was in the 2nd quintile of its expense group, while its actual management fee was in the 3rd quintile and its total expenses (less 12b-1 and shareholder service fees) were in the 5th quintile. In considering the Fund’s expenses, the Board noted the shareholder savings expected to result from a reduction to the contractual investment management fee implemented November 1, 2018. The Board noted that Class A shares of the Fund have a contractual expense cap of 0.81% through February 29, 2020.

The Hartford Strategic Income Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-year period and the 2nd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was above its benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee was in the 2nd quintile of its expense group, while its actual management fee and its total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 0.95% through February 29, 2020.

The Hartford Total Return Bond Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-year period, the 1st quintile for the 3-year period and the 2nd quintile for the 5-year period. The Board also noted that the Fund’s performance was in line with its benchmark for the 1- and 5-year periods and above its benchmark for the 3-year period.

 

 

The Board noted that the Fund’s contractual management fee was in the 1st quintile of its expense group, while its actual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 2nd quintile. In considering the Fund’s expenses, the Board noted the shareholder savings expected to result from a permanent fee reduction implemented in 2018. The Board noted that Class F shares of the Fund have a contractual expense cap of 0.34% through February 29, 2020.

The Hartford World Bond Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1-year period, the 3rd quintile for the 3-year period and the 2nd quintile for the 5-year period. The Board also noted that the Fund’s performance was above its benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile of its expense group, while its actual management fee was in the 5th quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.07% through February 29, 2020.

* * * *

 

 

  267  

 


Hartford Fixed Income Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Based upon its review of these various factors, among others, the Board concluded that it is in the best interests of each Fund and its shareholders for the Board to approve the continuation of the Agreements for an additional year. In reaching this decision, the Board did not assign relative weights to the factors discussed above or deem any one or group of them to be controlling in and of themselves. In connection with their deliberations, the Independent Directors met separately in executive session on several occasions, with independent legal counsel and the Consultant, to review the relevant materials and consider their responsibilities under relevant laws and regulations.

 

 

  268  

 


THIS PRIVACY POLICY IS NOT PART OF THIS REPORT

CUSTOMER PRIVACY NOTICE

The Hartford Financial Services Group, Inc. and its Affiliates*

(herein called “we, our, and us”)

This Privacy Policy applies to our United States Operations

 

We value your trust. We are committed to the responsible:

a) management;

b) use; and

c) protection;

of Personal Information.

This notice describes how we collect, disclose, and protect Personal Information.

We collect Personal Information to:

a) service your Transactions with us; and

b) support our business functions.

We may obtain Personal Information from:

a) You;

b) your Transactions with us; and

c) third parties such as a consumer-reporting agency.

Based on the type of product or service You apply for or get from us, Personal Information such as:

a) your name;

b) your address;

c) your income;

d) your payment; or

e) your credit history;

may be gathered from sources such as applications, Transactions, and consumer reports.

To serve You and service our business, we may share certain Personal Information. We will share Personal Information, only as allowed by law, with affiliates such as:

a) our insurance companies;

b) our employee agents;

c) our brokerage firms; and

d) our administrators.

As allowed by law, we may share Personal Financial Information with our affiliates to:

a) market our products; or

b) market our services;

to You without providing You with an option to prevent these disclosures.

We may also share Personal Information, only as allowed by law, with unaffiliated third parties including:

a) independent agents;

b) brokerage firms;

c) insurance companies;

d) administrators; and

e) service providers;

who help us serve You and service our business.

When allowed by law, we may share certain Personal Financial Information with other unaffiliated third parties who assist us by performing services or functions such as:

a) taking surveys;

b) marketing our products or services; or

c) offering financial products or services under a joint agreement between us and one or more financial institutions.

We, and third parties we partner with, may track some of the pages You visit through the use of:

a) cookies;

b) pixel tagging; or

c) other technologies;

and currently do not process or comply with any web browser’s “do not track” signal or other similar mechanism that indicates a request to disable online tracking of individual users who visit our websites or use our services.

For more information, our Online Privacy Policy, which governs information we collect on our website and our affiliate websites, is available at https://www.thehartford.com/online-privacy-policy.

We will not sell or share your Personal Financial Information with anyone for purposes unrelated to our business functions without offering You the opportunity to:

a) “opt-out;” or

b) “opt-in;”

as required by law.

We only disclose Personal Health Information with:

a) your authorization; or

b) as otherwise allowed or required by law.

Our employees have access to Personal Information in the course of doing their jobs, such as:

a) underwriting policies;

b) paying claims;

c) developing new products; or

d) advising customers of our products and services.

We use manual and electronic security procedures to maintain:

a) the confidentiality; and

b) the integrity of;

Personal Information that we have. We use these procedures to guard against unauthorized access.

Some techniques we use to protect Personal Information include:

a) secured files;

b) user authentication;

c) encryption;

d) firewall technology; and

e) the use of detection software.

 


 

 

We are responsible for and must:

a) identify information to be protected;

b) provide an adequate level of protection for that data; and

c) grant access to protected data only to those people who must use it in the performance of their job-related duties.

Employees who violate our privacy policies and procedures may be subject to discipline, which may include termination of their employment with us.

We will continue to follow our Privacy Policy regarding Personal Information even when a business relationship no longer exists between us.

As used in this Privacy Notice:

Application means your request for our product or service.

Personal Financial Information means financial information such as:

a) credit history;

b) income;

c) financial benefits; or

d) policy or claim information.

Personal Financial Information may include Social Security Numbers, Driver’s license numbers, or other government-issued identification numbers, or credit, debit card, or bank account numbers.

Personal Health Information means health information such as:

a) your medical records; or

b) information about your illness, disability or injury.

Personal Information means information that identifies You personally and is not otherwise available to the public. It includes:

a) Personal Financial Information; and

b) Personal Health Information.

Transaction means your business dealings with us, such as:

a) your Application;

b) your request for us to pay a claim; and

c) your request for us to take an action on your account.

You means an individual who has given us Personal Information in conjunction with:

a) asking about;

b) applying for; or

c) obtaining;

a financial product or service from us if the product or service is used mainly for personal, family, or household purposes.

 

If you have any questions or comments about this privacy notice, please feel free to contact us at The Hartford – Law Department, Privacy Law, One Hartford Plaza, Hartford, CT 06155, or at CorporatePrivacyOffice@thehartford.com.

This Customer Privacy Notice is being provided on behalf of The Hartford Financial Services Group, Inc. and its affiliates (including the following as of March 2019), to the extent required by the Gramm-Leach-Bliley Act and implementing regulations.

1stAGChoice, Inc.; Access CoverageCorp, Inc.; Access CoverageCorp Technologies, Inc.; Business Management Group, Inc.; Cervus Claim Solutions, LLC; First State Insurance Company; FTC Resolution Company LLC; Hart Re Group L.L.C.; Hartford Accident and Indemnity Company; Hartford Administrative Services Company; Hartford Casualty General Agency, Inc.; Hartford Casualty Insurance Company; Hartford Fire General Agency, Inc.; Hartford Fire Insurance Company; Hartford Funds Distributors, LLC; Hartford Funds Management Company, LLC; Hartford Funds Management Group, Inc.; Hartford Group Benefits Holding Company; Hartford Holdings, Inc.; Hartford Insurance Company of Illinois; Hartford Insurance Company of the Midwest; Hartford Insurance Company of the Southeast; Hartford Insurance, Ltd.; Hartford Integrated Technologies, Inc.; Hartford Investment Management Company; Hartford Life and Accident Insurance Company; Hartford Life, Ltd.; Hartford Lloyd’s Corporation; Hartford Lloyd’s Insurance Company; Hartford Management, Ltd.; Hartford of Texas General Agency, Inc.; Hartford Residual Market, L.C.C.; Hartford Specialty Insurance Services of Texas, LLC; Hartford STAG Ventures LLC; Hartford Strategic Investments, LLC; Hartford Underwriters General Agency, Inc.; Hartford Underwriters Insurance Company; Heritage Holdings, Inc.; Heritage Reinsurance Company, Ltd.; HIMCO Distribution Services Company; HLA LLC; HL Investment Advisors, LLC; Horizon Management Group, LLC; HRA Brokerage Services, Inc.; Lattice Strategies LLC; Maxum Casualty Insurance Company; Maxum Indemnity Company; Maxum Specialty Services Corporation; MPC Resolution Company LLC; New England Insurance Company; New England Reinsurance Corporation; New Ocean Insurance Co., Ltd.; Nutmeg Insurance Agency, Inc.; Nutmeg Insurance Company; Pacific Insurance Company, Limited; Property and Casualty Insurance Company of Hartford; Renato Acquisition Co.; Sentinel Insurance Company, Ltd; Trumbull Flood Management, L.L.C.; Trumbull Insurance Company; Twin City Fire Insurance Company; Y-Risk, LLC.

Revised March 2019


This report is submitted for the general information of the shareholders of the Funds referenced in this report. It is not authorized for distribution to persons who are not shareholders of one or more Funds referenced in this report unless preceded or accompanied by a current prospectus for the relevant Funds. Nothing herein contained is to be considered an offer of sale or a solicitation of an offer to buy shares of any Fund listed in this report. Such offering is only made by prospectus, which includes details as to the offering price and other material information.

The information cannot be used or relied upon for the purpose of avoiding IRS penalties. These materials are not intended to provide tax, accounting or legal advice. As with all matters of a tax or legal nature, you should consult your own tax or legal counsel for advice.

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

The Funds are distributed by Hartford Funds Distributors, LLC (HFD), Member FINRA. Hartford Funds Management Company, LLC (HFMC) is the Funds’ investment manager. The Funds referenced herein are sub-advised by Wellington Management Company LLP. HFD and HFMC are not affiliated with the Funds’ sub-adviser.

MFAR-FI19    12/19    214084    Printed in U.S.A.

 

LOGO


LOGO


LOGO

Dear Fellow Shareholders:

Thank you for investing in Hartford Funds. The following is the Funds’ Annual Report covering the fiscal period from November 1, 2018 to October 31, 2019.

Market Review

During the 12 months ended October 31, 2019, U.S. stocks, as measured by the S&P 500 Index,1 gained 14.33% despite volatility throughout the period.

Political uncertainty has been a core driver of this increased market volatility. Escalating trade tensions between the U.S. and China, continued debate over how

 

the UK will handle its departure from the European Union, and the September announcement of an impeachment inquiry against President Trump all contributed to choppy market conditions.

However, July 1, 2019 marked a significant milestone: the U.S. entered the longest period of economic expansion on record, according to The National Bureau of Economic Research. Strong consumer spending in the U.S. has continued to buoy the domestic economy, helped by an unemployment rate that stayed at or below 4% throughout the 12 month period ended October 31, 2019.

Nevertheless, signs of a slowing global economy prompted central banks around the world to shift to more accommodating monetary policy. The U.S. Federal Reserve cut interest rates three times in 2019 to bring down the federal funds rate target down to a range of 1.50 – 1.75% as of October 31, 2019, while the European Central Bank, which already had established negative interest rates, further cut its rate to -0.50% as of September 18, 2019.

Politics, both at home and abroad, are likely to continue to play a key role in market movements this year. For this reason, we encourage you to maintain a strong relationship with your financial advisor, who can help guide you through shifting markets confidently. He or she can help you proactively build a portfolio that takes market uncertainty into account, along with your unique investment goals and risk tolerances. Your financial advisor can help you find a fit within our family of funds as you work toward those goals.

Thank you again for investing in Hartford Funds. For the most up-to-date information on our funds, please take advantage of all the resources available at hartfordfunds.com.

 

LOGO

James Davey

President

Hartford Funds

 

1

S&P 500 Index is a market capitalization-weighted price index composed of 500 widely held common stocks.

 

The index is unmanaged and not available for direct investment. Past performance is not indicative of future results.


Hartford Multi-Strategy Funds

Table of Contents

 

Fund Overview

     2  

Benchmark Glossary (Unaudited)

     27  

Expense Examples (Unaudited)

     28  

Financial Statements:

  

Schedules of Investments:

  

The Hartford Balanced Income Fund

     30  

Hartford AARP Balanced Retirement Fund (formerly, Hartford Multi-Asset Income Fund)

     53  

The Hartford Checks and Balances Fund

     66  

The Hartford Conservative Allocation Fund

     67  

The Hartford Global Real Asset Fund (consolidated)

     68  

The Hartford Growth Allocation Fund

     78  

Hartford Moderate Allocation Fund

     79  

Hartford Multi-Asset Income and Growth Fund (formerly, The Hartford Balanced Fund)

     80  

Glossary

     99  

Statements of Assets and Liabilities

     100  

Statements of Operations

     104  

Statements of Changes in Net Assets

     108  

Financial Highlights

     111  

Notes to Financial Statements

     119  

Report of Independent Registered Public Accounting Firm

     153  

Directors and Officers (Unaudited)

     154  

How to Obtain a Copy of each Fund’s Proxy Voting Policies and Voting Records (Unaudited)

     158  

Quarterly Portfolio Holdings Information (Unaudited)

     158  

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited)

     159  

 

The views expressed in each Fund’s Manager Discussion contained in the Fund Overview section are views of that Fund’s investment manager or sub-adviser, as applicable, and portfolio management team through the end of the period and are subject to change based on market and other conditions. Each Fund’s Manager Discussion is for informational purposes only and does not represent an offer, recommendation or solicitation to buy, hold or sell any security. The specific securities identified and described, if any, do not represent all of the securities purchased or sold and you should not assume that investments in the securities identified and discussed will be profitable. Holdings and characteristics are subject to change. Fund performance reflected in each Fund’s Manager Discussion reflects the returns of such Fund’s Class A shares, before sales charges. Returns for such Fund’s other classes differ only to the extent that the classes do not have the same expenses.


The Hartford Balanced Income Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 7/31/2006

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide current income with growth of capital as a secondary objective.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     13.88%        6.44%        8.89%  

Class A2

     7.62%        5.25%        8.28%  

Class C1

     13.08%        5.66%        8.08%  

Class C2

     12.08%        5.66%        8.08%  

Class I1

     14.24%        6.72%        9.16%  

Class R31

     13.54%        6.09%        8.60%  

Class R41

     13.88%        6.42%        8.91%  

Class R51

     14.14%        6.70%        9.17%  

Class R61

     14.24%        6.80%        9.30%  

Class Y1

     14.16%        6.77%        9.29%  

Class F1

     14.24%        6.77%        9.18%  

45% Russell 1000 Value Index/ 44% Bloomberg Barclays Corporate Index/ 5.5% JP Morgan Emerging Markets Bond Index Plus/ 5.5% Bloomberg Barclays U.S. Corporate High Yield Bond 2% Issuer Cap Index3

     13.29%        6.15%        8.76%  

Russell 1000 Value Index

     11.21%        7.61%        11.96%  

Bloomberg Barclays Corporate Index

     15.37%        4.64%        5.55%  

JP Morgan Emerging Markets Bond Index Plus

     10.98%        3.96%        5.92%  

Bloomberg Barclays U.S. Corporate High Yield Bond 2% Issuer Cap Index

     8.38%        5.19%        7.76%  

 

1 

Without sales charge

2 

With sales charge

3

Calculated by Hartford Funds Management Company, LLC

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the

performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class I shares commenced operations on 2/26/10. Performance prior to that date is that of the Fund’s Class A shares (excluding sales charges). Classes R3, R4 and R5 shares commenced operations on 5/28/10. Performance prior to that date is that of the Fund’s Class Y shares. Class R6 shares commenced operations on 11/07/14. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares from 2/26/10 through 2/27/17 and Class A shares (excluding sales charges) prior to 2/26/10.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

 

 

 

  2  

 


The Hartford Balanced Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Operating Expenses*

 

      Gross      Net  

Class A

     0.90%        0.90%  

Class C

     1.65%        1.65%  

Class I

     0.65%        0.65%  

Class R3

     1.28%        1.28%  

Class R4

     0.98%        0.98%  

Class R5

     0.68%        0.68%  

Class R6

     0.58%        0.58%  

Class Y

     0.68%        0.67%  

Class F

     0.57%        0.57%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

Portfolio Managers

Scott I. St. John, CFA

Senior Managing Director and Fixed Income Portfolio Manager

Wellington Management Company LLP

W. Michael Reckmeyer, III, CFA

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Ian R. Link, CFA*

Senior Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Adam H. Illfelder, CFA

Managing Director and Equity Portfolio Manager

Wellington Management Company LLP

Matthew Hand, CFA

Managing Director and Equity Research Analyst

Wellington Management Company LLP

* Effective December 31, 2019, Ian R. Link, CFA will no longer serve as a portfolio manager for The Hartford Balanced Income Fund.

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Balanced Income Fund returned 13.88%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s custom benchmark (45% Russell 1000 Value Index, 44% Bloomberg Barclays Corporate Index, 5.5% Bloomberg Barclays U.S. High Yield 2% Capped Index, and 5.5% JP Morgan Emerging Markets Bond Index Plus) which returned 13.29% for the same period. For the period, the Russell 1000 Value Index returned 11.21%, the Bloomberg Barclays Corporate Index returned 15.37%, the Bloomberg Barclays U.S. High Yield 2% Issuer Capped Index returned 8.38%, and the JP Morgan Emerging Markets Bond Index Plus returned 10.98%. For the same period, the Class A shares of the Fund outperformed the 10.11% average return of the Lipper Mixed-Asset Target Allocation Moderate Funds peer group, a group of funds that hold between 40-60% in equity securities and the remainder in bonds, cash, and cash equivalents.

Why did the Fund perform this way?

United States (U.S.) equities, as measured by the S&P 500 Index, posted positive results over the trailing twelve-month period ending October 31, 2019. Towards the end of 2018, volatility was elevated as markets contended with a confluence of moderating growth, tighter liquidity and monetary policy, trade uncertainty, swelling fiscal deficits, and political turmoil. The U.S. Federal Reserve (Fed) raised its benchmark interest rate by 0.25% in December 2018. During the first quarter of 2019, U.S. equities rallied to their largest quarterly gain since 2009, buoyed by an accommodative shift in Fed policy and guidance, optimism for a U.S.-China trade deal, relatively strong fourth-quarter 2018 earnings, and corporate buybacks. The Fed left its benchmark interest rate unchanged during the quarter, signaling a more patient approach toward future policy-rate adjustments in response to slowing economic growth and muted inflation. By June 2019, unresolved U.S. trade frictions with China, Mexico, Japan, and the European Union (EU) unsettled markets and raised concerns about the potential risks to U.S.

 

 

 

  3  

 


The Hartford Balanced Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

economic growth from increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. In the third quarter of 2019, U.S. equities rose with the U.S. economy remaining resilient despite elevated geopolitical uncertainties and slowing global growth. U.S.-China trade relations were particularly volatile in the absence of meaningful compromises on key structural issues. Expectations for a protracted trade war and the potential for a longer-term decoupling of the world’s two largest economies has eroded consumer and business confidence and curtailed capital spending. The Fed lowered its benchmark interest rate in July and September 2019 by a combined 0.50% in efforts to sustain economic expansion and mitigate the risks of moderating growth and trade frictions. In the final month of the period, the Fed lowered interest rates for a third time in 2019 by 0.25% and signaled its intention to pause further changes in policy. U.S. and China made progress towards finalizing sections of a “phase one” trade agreement.

Over the period, global fixed income markets were influenced by uncertainty around global growth, central bank monetary policy expectations, and the outcome of proposed U.S. tariffs potentially impacting most of its global trade partners. Global sovereign debt yields declined across most markets following the injection of monetary stimulus by the Fed and European Central Bank (ECB). Geopolitical uncertainty remained elevated over the period amid an elusive U.S./China trade agreement, the ongoing saga surrounding the United Kingdom’s (U.K.’s) exit from the (EU), also known as “Brexit,” and inquiries into potential U.S. presidential impeachment proceedings. Despite these concerns, corporate bond spreads tightened over optimism that monetary accommodation could offset the drag on global growth from restrictive trade policies.

Global monetary policies continued along a more accommodative path, in the aggregate. In addition to rate cuts, the Fed also conducted short-term operations to alleviate funding pressures. The ECB launched a package of stimulus measures, including a rate cut, initiated a resumption of asset purchases to continue “as long as necessary,” and introduced tiered deposit rates to exempt banks from negative interest rates. The Bank of Japan indicated that it may provide additional easing at its October 2019 meeting (but later kept monetary policy steady when the meeting occurred), while a noted Bank of England policymaker who is typically concerned about the threat of inflation acknowledged that monetary easing may be necessary to counter Brexit uncertainty. The Central Bank of Norway, an outlier among major central banks this year, increased rates three times but trimmed the projected path for interest rate increases, citing global uncertainties.

At the end of the period, third quarter 2019 gross domestic product (GDP) growth in the U.S. slowed to a 2.1% annualized rate and consumer confidence weakened as a result of economic uncertainty from tariffs. However, payroll growth remained firm and housing activity rebounded in response to lower mortgage rates. Eurozone manufacturing Purchasing Managers’ Index (PMI) fell further into contractionary territory, owing to softer output, new orders, and sentiment; services PMI also declined but remained at an expansionary level. Japanese GDP growth eased to a 1.3% annualized rate in the second quarter of 2019, and inflation readings remained stubbornly below 1% year-over-year. Chinese industrial production and exports continued to experience adverse impacts from the ongoing trade war with the U.S.; official manufacturing PMI ticked higher but remained in

contractionary territory. U.K. economy moved closer to recession as GDP contracted in the second quarter of 2019; industrial production, housing prices, and employment growth also trended lower.

Absolute returns in global sovereign debt were generally positive during the twelve-month period as accommodative central banks and weakening global growth supported lower yields. On an excess return basis (returns over U.S. Treasuries), most credit risk sectors posted positive returns over the twelve-month period. Investment-grade corporate bonds benefited from credit spread tightening. High yield generated positive absolute and excess returns as coupon income offset spread widening during the period. Securitized sectors generally generated moderate positive excess returns with mortgage-backed pass-through securities being an exception during the period.

At the overall Fund level, the fixed income allocation, driven by security selection within investment-grade credit, contributed positively to relative performance as did the Fund’s allocation to equities. Within the equity portion of the Fund, security selection was the primary driver of outperformance versus the Fund’s custom benchmark. In particular, selection in the Energy and Financials sectors contributed positively to relative returns, while the Materials and Consumer Staples sectors detracted from relative performance during the period. Sector allocation, a result of our bottom-up stock selection process, weighed on relative results during the period primarily due to an underweight to the Real Estate sector. This was partially offset by an overweight to the Utilities sector.

Among the top contributors to relative returns in the equity portion of the Fund during the period were KLA (Information Technology), Analog Devices (Information Technology), and Lockheed Martin (Industrials). KLA is a leading supplier of process control and yield management equipment for the semiconductor industry. The company boasts 20-30% free cash flow margins, a strong balance sheet, and a 3.2% dividend yield. Shares jumped in the third quarter of 2019, which was a result of strong quarterly results and guidance that was above expectations due to increased development spending by foundry and logic customers. Analog Devices is a U.S.-based company that designs, manufactures, and markets semiconductor equipment and technology. Shares rose during the period as the company posted earnings that beat estimates in each of the last four quarters. Shares of Lockheed Martin, an aerospace and defense company, appreciated in the third quarter of 2019 on strong quarterly results and a bid for the defense sector in the market.

Among the top detractors from relative performance in the equity portion of the Fund during the period were Suncor Energy (Energy), Cisco Systems (Information Technology), and not holding AT&T (Communication Services), a constituent of the Russell 1000 Value Index. Suncor Energy is a Canadian company primarily focused on developing petroleum resource basins. Shares have traded lower over the trailing twelve months and the company reported third-quarter 2019 earnings that missed estimates. Integrated companies, like Suncor, were weighed down by the government’s mandatory oil production cuts, which sharply reduced the price discount on Canadian versus U.S. oil. Cisco Systems is engaged in designing and selling a range of technologies across networking, security, collaboration, applications, and cloud computing. Recently, the stock’s price fell on declining order growth and weakness in the enterprise business. These issues contributed to a worse-than-expected outlook for the third quarter of 2019. We have maintained the Fund’s position as of the end of the period and feel much

 

 

 

  4  

 


The Hartford Balanced Income Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

of the issues are macro related and that the capital return and valuation at these levels are attractive. AT&T is a U.S.-based provider of telecommunication, media, and technology services. The stock’s price rose over the period, and performance was boosted by third-quarter 2019 earnings that beat consensus estimates.

The fixed income portion of the Fund outperformed the fixed-income portion of the Fund’s blended benchmark for the period due primarily to strong security selection within investment-grade credit. An overweight to and security selection within emerging-market debt and an underweight to and security selection within high-yield credit also contributed positively to outperformance relative to the fixed-income portion of the Fund’s blended benchmark. This was partially offset by negative effects from the Fund’s duration and yield curve positioning.

Derivatives were not used in a significant manner in the Fund during the period and did not have a material impact on performance during the period.

What is the outlook as of the end of the period?

As of the end of the period, ongoing strength in the labor market and solid consumer spending has underscored the resilience of the U.S. economy. The unemployment rate ended the period at a historically low 3.7%, while annual wage growth exceeded 3%. Job growth was solid, but eased across a broad range of industries in September as employers contended with trade uncertainty, a shortage of skilled workers, and rising wages. Despite macroeconomic uncertainty and the related decline in consumer confidence, low mortgage rates and a solid labor market drove an improvement in the housing market during the period. Slower global growth, heightened political uncertainty, and increased concern in the oil market following the attack on Saudi oil infrastructure have combined to increase risk in global markets. We believe we are in the latter stages of the cycle, thus, we have positioned the Fund’s portfolio more defensively as of the end of the period. We have been focusing on companies that are attractively valued in multiple economic scenarios. While we do not expect a recession in the near term, we are mindful of broader macro and political risks and want to be positioned defensively ahead of any potentially negative developments. On the equity side, the Healthcare and Consumer Staples sectors represented the Fund’s largest sector overweights relative to the custom benchmark at the end of the period, while the Real Estate and Financials sectors were the Fund’s largest underweight allocations.

On the fixed income side, we maintained a moderately pro-cyclical risk posture. The Fund ended the period with an allocation to the securitized sector (including mortgage-backed securities), which is outside the Fund’s custom benchmark, and a slight underweight to investment-grade credit, from a contribution to spread duration perspective.

The equity and fixed income managers will continue to work collaboratively to make decisions regarding the Fund’s mix of equities and fixed income. At the end of the period, the Fund was positioned in line with its custom benchmark from an equity/fixed income weighting perspective.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Fixed income security risks include credit,

liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. For dividend-paying stocks, dividends are not guaranteed and may decrease without notice. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. Different investment styles may go in and out favor, which may cause the Fund to underperform the broader stock market.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

 

Common Stocks

     43.7

Escrows

     0.0

Preferred Stocks

     0.0
  

 

 

 

Total

     43.7
  

 

 

 

Fixed Income Securities

 

Convertible Bonds

     0.0 %* 

Corporate Bonds

     46.3  

Foreign Government Obligations

     3.4  

Municipal Bonds

     0.4  

Senior Floating Rate Interests

     0.2  

U.S. Government Agencies(2)

     0.1  

U.S. Government Securities

     1.4  
  

 

 

 

Total

     51.8
  

 

 

 

Short-Term Investments

     4.1  

Other Assets & Liabilities

     0.4  
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2)

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  5  

 


Hartford AARP Balanced Retirement Fund (formerly, Hartford Multi-Asset Income Fund)

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 4/30/2014

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks long-term total return while seeking to mitigate downside risk.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Year      Since
Inception1
 

Class A2

     7.95%        3.70%        3.51%  

Class A3

     3.10%        2.75%        2.65%  

Class C2

     7.14%        2.98%        2.78%  

Class C3

     6.14%        2.98%        2.78%  

Class I2

     8.16%        3.91%        3.72%  

Class R32

     8.24%        3.60%        3.38%  

Class R42

     8.35%        3.77%        3.56%  

Class R52

     8.28%        3.87%        3.67%  

Class Y2

     8.21%        3.95%        3.76%  

Class F2

     8.27%        3.94%        3.75%  

Class R62

     8.27%        3.96%        3.77%  

Fund’s Current Benchmark

        

30% MSCI All Country World (ACWI) Index (Net)/ 70% Bloomberg Barclays U.S. Aggregate Bond Index4

     12.15%        4.54%        4.56%  

MSCI All Country World (ACWI) Index (Net)

     12.59%        7.08%        6.86%  

Bloomberg Barclays U.S Aggregate Bond Index

     11.51%        3.24%        3.37%  

Fund’s Prior Benchmark

        

55% Bloomberg Barclays U.S. Aggregate Bond Index/ 45% S&P 500 Index4

     13.23%        6.78%        7.08%  

S&P 500 Index

     14.33%        10.78%        11.33%  

 

1 

Inception: 04/30/2014

2 

Without sales charge

3 

With sales charge

4 

Calculated by Hartford Funds Management Company, LLC

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the

redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 4.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares. Class R6 shares commenced operations on 2/28/19. Performance prior to that date is that of the Fund’s Class Y shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information prior to July 10, 2019 includes the Fund’s performance when the Fund pursued a different investment objective and principal investment strategy.

Effective July 10, 2019, the Fund changed its benchmarks to MSCI All Country World (ACWI) Index (Net) and Bloomberg Barclays U.S. Aggregate Bond Index, and changed its blended benchmark to 30% MSCI All Country World (ACWI) Index (Net) and 70% Bloomberg Barclays U.S. Aggregate Bond Index. Prior to July 10, 2019, the Fund’s former blended benchmark was 55% Bloomberg Barclays U.S. Aggregate Bond Index and 45% S&P 500 Index. The Fund changed its benchmarks because Hartford Funds Management Company, LLC, the investment manager, believes that the new benchmarks better reflect the Fund’s investment strategy.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

 

 

 

  6  

 


Hartford AARP Balanced Retirement Fund (formerly, Hartford Multi-Asset Income Fund)

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

 

Operating Expenses*

 

      Gross      Net  

Class A

     1.02%        0.96%  

Class C

     1.80%        1.71%  

Class I

     0.80%        0.66%  

Class R3

     1.43%        1.18%  

Class R4

     1.13%        0.88%  

Class R5

     0.83%        0.55%  

Class R6

     0.71%        0.45%  

Class Y

     0.82%        0.55%  

Class F

     0.71%        0.45%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/28/21 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses and are based on estimated amounts. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

Portfolio Manager

Chris Goolgasian, CFA, CPA, CAIA

Managing Director and Multi-Asset Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford AARP Balanced Retirement Fund returned 7.95%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming its current custom benchmark (70% Bloomberg Barclays U.S. Aggregate Bond Index, 30% MSCI All Country World (ACWI) Index) which returned 12.15% for the same period, as well as its former custom benchmark (55% Bloomberg Barclays U.S. Aggregate Bond Index, 45% S&P 500 Index), which returned 13.23% for the same period. Individually, the Bloomberg Barclays U.S. Aggregate Bond Index, MSCI All Country World (ACWI) Index, and S&P 500 Index returned 11.51%, 12.59%, and 14.33%, respectively, for the same period. For the same period, the Class A shares of the Fund outperformed the 7.72% average return of the Lipper Flexible Portfolio Funds peer group, a group of funds that allocate investments across various asset classes, including domestic common stocks, bonds, and money market instruments with a focus on total return.

Why did the Fund perform this way?

For the twelve-month period ended October 31, 2019, global equities rose more than 13% as measured by the MSCI ACWI Index (Gross); however, volatility returned to the market with some significant equity drawdowns. Macro uncertainties weighed on markets throughout the period. Global equities tumbled towards the end of 2018 as investors grew increasingly weary of slowing global growth. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. Markets rebounded in the first half of 2019, fueled by developments pertaining to trade negotiations between the United States (U.S.) and China and by accommodative rhetoric and policy actions from the major central banks.

On the monetary front, the U.S. Federal Reserve (Fed) cut interest rates in July and September 2019 in an effort to extend the U.S. economic

expansion amid a slowdown in growth and trade uncertainty. The European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions.

More recently, markets in October 2019 benefited from easing geopolitical tension. U.S. President Donald Trump cancelled a tariff increase on China scheduled for October 2019, and progress towards a “phase one” trade agreement with China has been made. The risk of having the United Kingdom (U.K.) exit from the European Union (EU), also known as “Brexit,” without a deal declined significantly after a draft deal was agreed upon by the U.K. and the EU. Global central banks reiterated their accommodative policy stances, and the Fed cut interest rates for the third time during 2019, signaling that it intends to pause the current easing cycle.

It is important to note that the Fund changed its name, benchmarks, investment objective, portfolio manager, and principal investment strategy effective July 10, 2019. Prior to the restructuring, the Fund had an objective to seek to provide a high level of current income consistent with growth of capital. On July 10, 2019, the Fund restructured and de-emphasized income generation and instead seeks long-term total return while seeking to mitigate downside risk. To implement the Fund’s new objective, we seek to manage the Fund towards a goal of supporting a 4% withdrawal rate after inflation in retirement without exhausting principal. This outcome-oriented goal results in us placing a greater emphasis on explicit drawdown mitigation and inflation protection, which can lead to short-term behavior that is considerably different when compared to the Fund’s benchmark and peer group.

At the overall Fund level, underperformance relative to the Fund’s custom benchmark was driven by style effects and stock selection within the equity allocation, as well as being overweight equity relative to the

 

 

 

  7  

 


Hartford AARP Balanced Retirement Fund (formerly, Hartford Multi-Asset Income Fund)

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

custom benchmark. The Fund’s allocations to low-volatility equities, energy, and natural resources were the primary detractors within equity, as those areas of the equity market underperformed the broader index during the period. The Fund’s allocation to Chinese equities added to relative performance and helped offset the Fund’s underperformance relative to its custom benchmark, as did our multi-asset hedging strategy and securities oriented towards upside capture.

Within fixed income, security selection was weak for the period, led by underperformance in multi-sector credit and U.S. core bonds. Another detractor from relative performance was the Fund’s allocation to short-duration U.S. investment-grade credit. On the other hand, the Fund’s allocation to longer-duration U.S. investment-grade credit was one of the largest contributors during the period, as was the Fund’s short exposure to energy-related fixed income. The Fund’s allocations to both equity and fixed income had positive returns on an absolute basis.

In a multi-asset approach like that of the Fund, we believe the use of derivatives allows greater flexibility to adjust the equity and fixed income weights while retaining a similar expected drawdown profile. Our use of equity puts in the Fund slightly detracted from performance relative to the Fund’s custom benchmark over the period.

What is the outlook as of the end of the period?

Looking forward through the end of 2019 and into 2020, we believe macro challenges will continue to weigh on markets. We view uncertainty from trade as dampening the impact of monetary policy, and believe domestic demand globally is starting to show signs of weakness. Due to the volatility of trade rhetoric, we anchor our views to market fundamentals rather than evolving trade developments.

Global economic growth is decelerating from above-trend levels, but we believe that near-term recession risk remains low. The economic outlook for the U.S. remains relatively healthy compared to global markets. Job growth and retail sales are strong, but both industrial and service sector confidence are moderating, and U.S. earnings growth is slowing as the effects of tax cuts fade. U.S. consumers, while facing trade-related risks and a potential spike in oil prices, are still supporting the economy. We have seen central banks take a more accommodative turn, which we believe is likely to continue as growth converges lower with the rest of the world while inflation remains muted. Monetary policy easing should provide support to the global economy, but it may struggle to satisfy the market’s aggressive expectations.

In Europe, economic growth is slowing as concerns remain over lower industrial confidence, global trade, and Brexit. Consumers in Europe are well supported by a strong labor market, but they are at risk given softening in manufacturing. In emerging markets, elevated geopolitical risks, a global growth slowdown, and the strong dollar continue to negatively impact developing economies.

We continue to see trade tensions hampering growth as we move into the next year, and the results of the “phase one” agreement currently in talks between the U.S. and China are nearly impossible to predict. Political uncertainty was also added to the mix as U.S. House Speaker Nancy Pelosi announced a formal impeachment inquiry against President Donald Trump.

At a high level, we continue to prefer equity over fixed income and cash given valuation and historically low yields in fixed income. We have positioned the Fund’s equity allocation to lean more into lower volatility strategies given their attractive risk/return tradeoffs and similarly prefer the valuation of equities related to the Energy sector over those in the Utilities sector. In fixed income,

we continue to favor shorter duration and less exposure to inflation break-evens (a market-based measure of expected inflation).

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Loans can be difficult to value and less liquid than other types of debt instrument; they are also subject to nonpayment, collateral, bankruptcy, default, extension, prepayment and insolvency risks. Investments in Equity Linked Notes (ELNs) are subject to interest, credit, management, counterparty, liquidity, and market risks, and as applicable, foreign security and currency risks. Mortgage related- and asset-backed securities’ risks include credit, interest-rate, prepayment, and extension risk. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. For dividend-paying stocks, dividends are not guaranteed and may decrease without notice. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Restricted securities may be more difficult to sell and price than other securities. Obligations of U.S. Government agencies are supported by varying degrees of credit but are generally not backed by the full faith and credit of the U.S. Government.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

 

Affiliated Mutual Funds and Affiliated Exchange-Traded Funds

     22.4

Common Stocks

     27.6  

Exchange-Traded Funds

     6.0  

Preferred Stocks

     0.0

Convertible Preferred Stocks

     0.1  

Warrants

     0.0
  

 

 

 

Total

     56.1
  

 

 

 

Fixed Income Securities

 

Asset & Commercial Mortgage Backed Securities

     4.2

Convertible Bonds

     0.1  

Corporate Bonds

     6.8  

Foreign Government Obligations

     6.1  

Municipal Bonds

     0.1  

Senior Floating Rate Interests

     0.0

U.S. Government Agencies(2)

     8.7  

U.S. Government Securities

     12.7  
  

 

 

 

Total

     38.7
  

 

 

 

Short-Term Investments

     13.3  

Purchased Options

     0.2  

Other Assets & Liabilities

     (8.3
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1)

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2) 

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  8  

 


The Hartford Checks and Balances Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/31/2007

Advised by Hartford Funds Management Company, LLC

(“HFMC” or the “Investment Manager”)

  Investment objective – The Fund seeks long-term capital appreciation and income.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     13.95%        7.15%        9.13%  

Class A2

     7.68%        5.94%        8.52%  

Class C1

     13.06%        6.33%        8.31%  

Class C2

     12.06%        6.33%        8.31%  

Class I1

     14.36%        7.42%        9.41%  

Class R31

     13.57%        6.76%        8.74%  

Class R41

     13.92%        7.08%        9.08%  

Class R51

     13.91%        7.35%        9.38%  

Class F1

     14.47%        7.48%        9.44%  

33.4% Russell 3000 Index/ 33.3% S&P 500 Index/ 33.3% Bloomberg Barclays U.S. Aggregate Bond Index3

     13.53%        8.26%        10.48%  

Russell 3000 Index

     13.49%        10.31%        13.62%  

S&P 500 Index

     14.33%        10.78%        13.70%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        3.73%  

 

1 

Without sales charge

2 

With sales charge

3

Calculated by Hartford Funds Management Company, LLC

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical waivers/reimbursements without which performance would have been lower.

Operating Expenses*

 

      Gross      Net  

Class A

     0.95%        0.95%  

Class C

     1.72%        1.72%  

Class I

     0.70%        0.70%  

Class R3

     1.33%        1.33%  

Class R4

     1.03%        1.03%  

Class R5

     0.73%        0.73%  

Class F

     0.61%        0.61%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross and Net expenses are the same. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  9  

 


The Hartford Checks and Balances Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Vernon J. Meyer, CFA

Managing Director and Chief Investment Officer

Hartford Funds Management Company, LLC

Allison Z. Mortensen, CFA

Head of Multi-Asset Solutions and Vice President

Hartford Funds Management Company, LLC

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Checks and Balances Fund returned 13.95%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s custom benchmark, which is comprised of 33.4% Russell 3000 Index/ 33.3% S&P 500 Index/ 33.3% Bloomberg Barclays U.S. Aggregate Bond Index, which returned 13.53% for the same period. Individually, the Russell 3000 Index, the S&P 500 Index, and the Bloomberg Barclays U.S. Aggregate Bond Index, returned 13.49%, 14.33%, and 11.51%, respectively, for the same period. For the same period, Class A shares of the Fund outperformed the 10.36% average return of the Lipper Mixed-Asset Target Allocation Growth Funds category, a group of funds that hold between 60%-80% equity securities, with the remainder invested in bonds, cash, and cash equivalents.

Why did the Fund perform this way?

The past twelve months were marked by slowing global growth, as well as ongoing trade tensions and political uncertainty. The U.S. Federal Reserve (Fed) raised interest rates in December 2018 before adopting a more accommodative stance and cutting interest rates three times during 2019. The Fed’s decision to reverse course this year resulted in most fixed-income segments benefitting from a significant drop in interest rates. In September 2019, the European Central Bank (ECB) announced it would cut its interest rate for deposits to 0.05%, and would restart its bond-buying program, or quantitative easing, to help stimulate the sluggish European economy.

Domestic equity markets continued to perform well, outpacing international developed and emerging markets for the twelve-month period. However, uncertainty surrounding trade agreements with China, Mexico, Japan, and the European Union (EU) fueled market volatility and raised questions about risks to the U.S. economy in the form of increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. Elsewhere in the world, political turmoil continued with ongoing negotiations related to the United Kingdom’s (U.K.’s) exit from the EU (also known as “Brexit”) and a large number of mass protests around the world, including in Hong Kong, Chile, Lebanon, and Iraq, among others.

During the period, the Fund allocated its assets as follows: (1) one-third to The Hartford Capital Appreciation Fund, (2) one-third to The Hartford Dividend and Growth Fund, and (3) one-third to The Hartford Total Return Bond Fund and Hartford Total Return Bond ETF (collectively, the “Total Return Bond strategy”). Effective July 21, 2018, the Fund started transitioning its entire holding in The Hartford Total Return Bond Fund to Hartford Total Return Bond ETF. The transition was complete by the end of 2018.

 

During the period, the Fund’s performance relative to the custom benchmark benefited most from the performance of The Hartford Capital Appreciation Fund. The return of Total Return Bond strategy detracted most from performance relative to the custom benchmark.

The Hartford Capital Appreciation Fund outperformed the Russell 3000 Index primarily due to strong stock selection within the Healthcare, Consumer Discretionary, and Information Technology sectors. Conversely, weak selection within the Industrials, Communication Services, and Energy sectors detracted from returns relative to the Russell 3000 Index during the period. Sector allocation, a result of bottom-up stock selection, was positive during the period primarily due to the fund’s underweight to Energy. An underweight to the Information Technology sector, as well as an overweight to the Healthcare sector, detracted from the fund’s performance relative to the Russell 3000 Index.

The Hartford Dividend and Growth Fund underperformed one of its benchmarks, the S&P 500 Index, while outperforming its other benchmark, the Russell 1000 Value Index, during the period. Security selection contributed positively to performance of the fund relative to the S&P 500 Index over the period. Stock selection effects were strongest within the Financials, Energy, Industrials, and Healthcare sectors. This was partially offset by weaker selection within the Real Estate, Utilities, and Information Technology sectors. Sector allocation, a result of the bottom-up stock selection process, detracted from the fund’s performance relative to the S&P 500 Index over the period. An overweight to the Energy sector and an underweight to the Information Technology sector detracted the most from the fund’s returns relative to the S&P 500 Index. This was slightly offset by an overweight to the Utilities sector, which contributed positively to the fund’s performance relative to the S&P 500 Index.

Each of the Hartford Total Return Bond ETF and The Hartford Total Return Bond Fund underperformed the Bloomberg Barclays U.S. Aggregate Bond Index during the period. References to “fund” in this section refer to the Hartford Total Return Bond ETF and The Hartford Total Return Bond Fund, as applicable. Positive contributors to the fund’s performance were positioning within credit sectors and an allocation to structured finance sectors, including: collateralized loan obligations (CLOs), non-agency residential mortgage backed securities (particularly those issued after the global financial crisis), and commercial mortgage-backed securities (CMBS). Agency MBS pass-throughs also contributed positively to the fund’s performance relative to the Bloomberg Barclays U.S. Aggregate Bond Index as interest rate volatility subsided by the end of the period. Credit sectors rallied in the first half of the period. Security selection within investment-grade credit, particularly within the Industrials sector, contributed the most to the

 

 

 

  10  

 


The Hartford Checks and Balances Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

fund’s relative performance within corporate credit. An allocation to high yield, including those in the European Financials sector (such as contingent convertibles, or CoCos), also contributed positively to the fund’s results relative to the Bloomberg Barclays U.S. Aggregate Bond Index as higher-yielding sectors outperformed against the backdrop of stable corporate fundamentals, supportive central bank policy, and continued demand for yield-producing assets. An allocation to bank loans had a negligible impact on relative performance. The fund’s allocation to select emerging-markets debt contributed modestly to relative performance during the period. The fund’s allocation to Treasury inflation-protected securities (TIPS) detracted from relative performance as TIPS underperformed duration-equivalent nominal US Treasuries.

Derivatives were not used at the aggregate fund level during the period but were used at the underlying fund level.

What is the outlook as of the end of the period?

As of the end of the period, we continue to see slower global growth, unresolved trade tensions, and ongoing political uncertainty stemming from Brexit and U.S. presidential impeachment proceedings (among others). Markets may become more volatile as we head into a U.S. presidential election year. That said, we expect that lower inflation will persist, despite the accommodative central bank environment. Further, we believe that the market cycle should extend into late 2020 considering low unemployment, steady wage growth, and the continued strength of the U.S. consumer, which contributes around 70% of U.S. gross domestic product (GDP).

As of the end of the period, the 10-year Treasury yield is near the lows it experienced in 2016. After nine rate increases in 0.25% increments from late 2015 to late 2018, the Fed has now cut interest rates three times. Through all of this, the U.S. dollar has continued to strengthen against the major currencies and China has allowed its currency to weaken.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. Since the Fund is not actively managed, it may underperform actively managed funds during certain markets. The ability of the Fund to meet its investment objective is directly related to the ability of the underlying funds to meet their objectives as well as the investment manager’s allocation among those underlying funds. The Fund is subject to the risks of the underlying funds in direct proportion to the amount of assets it invests in each underlying fund. The underlying funds are subject to the risks of the general equity market, small- and mid-cap securities, foreign and emerging-markets securities, fixed-income securities (which carry credit, liquidity, duration, and interest-rate risk), high-yield (“junk”) bonds, mortgage related- and asset-backed securities, and derivatives.

Asset Allocation(1)

as of October 31, 2019 (Unaudited)

 

Fund Type    Percentage of
Net Assets
 

Domestic Equity Funds

     66.2

Taxable Fixed Income Funds

     33.5  

Short-Term Investments

     0.2  

Other Assets & Liabilities

     0.1  
  

 

 

 

Total

     100.0
  

 

 

 

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  11  

 


The Hartford Conservative Allocation Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/28/2004

Advised by Hartford Funds Management Company, LLC
(“HFMC” or the “Investment Manager”)

  Investment objective – The Fund seeks current income and long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     9.28%        3.16%        4.35%  

Class A2

     3.27%        2.00%        3.76%  

Class C1

     8.41%        2.36%        3.56%  

Class C2

     7.41%        2.36%        3.56%  

Class I1

     9.49%        3.42%        4.62%  

Class R31

     8.89%        2.86%        4.02%  

Class R41

     9.22%        3.18%        4.34%  

Class R51

     9.56%        3.48%        4.65%  

Class F1

     9.62%        3.47%        4.65%  

65% Bloomberg Barclays U.S. Aggregate Bond Index/ 25% Russell 3000 Index/ 10% MSCI All Country World (ACWI) ex USA Index (Net)3

     12.38%        5.23%        6.50%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        3.73%  

Russell 3000 Index

     13.49%        10.31%        13.62%  

MSCI All Country World (ACWI) ex USA Index (Net)

     11.27%        3.82%        4.94%  

 

1 

Without sales charge

2 

With sales charge

3

Calculated by Hartford Funds Management Company, LLC

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous sub-advisers, Hartford Investment Management Company and Wellington Management Company LLP (“Wellington Management”). For the period 6/4/12 through 11/30/15, Wellington Management served as the sub-adviser to the Fund, using a modified investment strategy. Prior to 6/4/12, Hartford Investment Management Company served as the sub-adviser to the Fund, using a modified investment strategy.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

 

 

 

  12  

 


The Hartford Conservative Allocation Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Operating Expenses*

 

      Gross      Net  

Class A

     1.18%        1.18%  

Class C

     1.94%        1.94%  

Class I

     0.95%        0.94%  

Class R3

     1.53%        1.44%  

Class R4

     1.23%        1.14%  

Class R5

     0.93%        0.84%  

Class F

     0.81%        0.81%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. These arrangements remain in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

Portfolio Managers

Vernon J. Meyer, CFA

Managing Director and Chief Investment Officer

Hartford Funds Management Company, LLC

Allison Z. Mortensen, CFA

Head of Multi-Asset Solutions and Vice President

Hartford Funds Management Company, LLC

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Conservative Allocation Fund returned 9.28%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming the Fund’s custom benchmark, which is comprised of 65% Bloomberg Barclays U.S. Aggregate Bond Index/ 25% Russell 3000 Index/ 10% MSCI All Country World (ACWI) ex USA Index (Net), which returned 12.38% for the same period. Individually, the Bloomberg Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, and the MSCI ACWI ex USA Index (Net) returned 11.51%, 13.49%, and 11.27%, respectively, for the same period. For the same period, Class A shares of the Fund performed in line with the average return of the Lipper Mixed-Asset Target Allocation Conservative Funds category, a group of funds with equity weights of 20%-40%, which returned 9.25%.

Why did the Fund perform this way?

The past twelve months were marked by slowing global growth, as well as ongoing trade tensions and political uncertainty. The U.S. Federal Reserve (Fed) raised interest rates in December 2018 before adopting a more accommodative stance and cutting interest rates three times during 2019. The Fed’s decision to reverse course this year resulted in most fixed-income segments benefitting from a significant drop in interest rates. In September 2019, the European Central Bank (ECB) announced it would cut its interest rate for deposits to 0.05%, and would restart its bond-buying program, or quantitative easing, to help stimulate the sluggish European economy.

Domestic equity markets continued to perform well, outpacing international developed and emerging markets for the twelve-month period. However, uncertainty surrounding trade agreements with China,

Mexico, Japan, and the European Union (EU) fueled market volatility and raised questions about risks to the U.S. economy in the form of increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. Elsewhere in the world, political turmoil continued with ongoing negotiations related to the United Kingdom’s (U.K.’s) exit from the EU (also known as “Brexit”) and a large number of mass protests around the world, including in Hong Kong, Chile, Lebanon, and Iraq, among others.

The main driver of the Fund’s underperformance relative to the custom benchmark over the twelve-month period ended October 31, 2019 was the Fund’s underweight to longer-duration fixed income, as interest rates generally fell during the period, and exposure to small-cap and value-oriented U.S. equities. For the period, small-cap and value-oriented equities underperformed the broader global equity market, as measured by the MSCI All Country World Index. Exposure to real assets also detracted from relative performance, as this asset class also underperformed the broader market indices for the period.

The underperformance of the underlying funds relative to their individual benchmarks was another driver of the Fund’s underperformance relative to its custom benchmark. In particular, the performance of The Hartford World Bond Fund, The Hartford Quality Bond Fund and the Hartford Schroders Emerging Markets Multi-Sector Bond Fund had significant negative effects on the Fund’s performance relative to the custom benchmark. Partially offsetting this effect was the performance of the Hartford Core Equity Fund and The Hartford Equity Income Fund, which had positive effects on the Fund’s performance relative to the custom benchmark.

 

 

 

  13  

 


The Hartford Conservative Allocation Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Asset allocation effects were neutral over the twelve-month period ended October 31, 2019.

Derivatives were not used at the aggregate fund level during the period but were used at the underlying fund level.

What is the outlook as of the end of the period?

As of the end of the period, we continue to see slower global growth, unresolved trade tensions, and ongoing political uncertainty stemming from Brexit and U.S. presidential impeachment proceedings (among others). Markets may become more volatile as we head into a U.S. presidential election year. That said, we expect that lower inflation will persist, despite the accommodative central bank environment. Further, we believe that the market cycle should extend into late 2020 considering low unemployment, steady wage growth, and the continued strength of the U.S. consumer, which contributes around 70% of U.S. gross domestic product (GDP).

As of the end of the period, the 10-year Treasury yield is near the lows it experienced in 2016. After nine rate increases in 0.25% increments from late 2015 to late 2018, the Fed has now cut interest rates three times. Through all of this, the U.S. dollar has continued to strengthen against the major currencies and China has allowed its currency to weaken. As of the end of the period, we have maintained the Fund’s modest overweight to U.S. equities, with a focus on quality within the asset class. Within the fixed income portion of the Fund, as of the end of the period, we maintained a shorter duration posture in the Fund, as we do not believe longer-term interest rates sufficiently compensate for the increased volatility risk. We believe that the fixed income portion of the Fund is diversified in terms of geographic and credit exposures.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The ability of the Fund to meet its investment objective is directly related to the ability of the underlying funds to meet their objectives as well as the investment manager’s allocation among those underlying funds. The Fund is subject to the risks of the underlying funds, in direct proportion to the amount of assets it invests in each underlying fund. The underlying funds are subject to the risks of the general equity market, small- and mid-cap securities, foreign and emerging-markets securities, fixed-income securities (which carry credit, liquidity, duration, and interest-rate risk), high-yield (“junk”) bonds, mortgage related- and asset-backed securities, and derivatives.

Asset Allocation(1)

as of October 31, 2019 (Unaudited)

 

Fund Type    Percentage of
Net Assets
 

Domestic Equity Funds

     27.1

International/Global Equity Funds

     8.2  

Multi-Strategy Funds

     2.0  

Taxable Fixed Income Funds

     62.5  

Short-Term Investments

     0.2  

Other Assets & Liabilities

     0.0
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  14  

 


The Hartford Global Real Asset Fund (consolidated)

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/28/2010

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide long-term total returns that outpace inflation over a macroeconomic cycle.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      Since
Inception1
 

Class A2

     0.27%        -0.85%        -0.30%  

Class A3

     -5.24%        -1.97%        -0.89%  

Class C2

     -0.49%        -1.60%        -1.04%  

Class C3

     -1.48%        -1.60%        -1.04%  

Class I2

     0.47%        -0.61%        -0.04%  

Class R32

     0.02%        -1.12%        -0.54%  

Class R42

     0.27%        -0.82%        -0.26%  

Class R52

     0.54%        -0.56%        0.00%  

Class Y2

     0.67%        -0.51%        0.05%  

Class F2

     0.55%        -0.58%        -0.03%  

55% MSCI All Country World (ACWI) Commodity Producers Index (Net)/ 35% Bloomberg Barclays U.S. TIPS 1-10 Year Index/ 10% Bloomberg Commodity Index Total Return4

     -0.20%        -0.37%        1.10%  

MSCI All Country World (ACWI) Commodity Producers Index (Net)

     -4.70%        -1.30%        1.35%  

Bloomberg Barclays U.S. TIPS 1-10 Year Index

     6.87%        1.92%        2.44%  

Bloomberg Commodity Index Total Return

     -2.58%        -6.65%        -4.19%  

 

1 

Inception: 05/28/2010

2 

Without sales charge

3 

With sales charge

4 

Calculated by Hartford Funds Management Company, LLC

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.58%        1.27%  

Class C

     2.33%        2.02%  

Class I

     1.20%        1.02%  

Class R3

     1.85%        1.52%  

Class R4

     1.56%        1.22%  

Class R5

     1.24%        0.97%  

Class Y

     1.22%        0.92%  

Class F

     1.13%        0.92%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual expense reimbursement or fee waiver arrangements. Net expenses reflect such arrangements in instances when they reduce gross expenses. The expense reimbursement arrangement remains in effect until 2/29/20 unless the Fund’s Board of Directors approves an earlier termination. The fee waiver remains in effect as long as the Fund remains invested in the subsidiary. Expenses shown include acquired fund fees and expenses and expenses of the Fund’s wholly-owned Cayman Islands subsidiary fund. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  15  

 


The Hartford Global Real Asset Fund (consolidated)

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Scott M. Elliott

Senior Managing Director and Multi-Asset Portfolio Manager

Wellington Management Company LLP

Brian M. Garvey

Senior Managing Director and Multi-Asset Portfolio Manager

Wellington Management Company LLP

David A. Chang, CFA

Senior Managing Director and Commodities Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Global Real Asset Fund returned 0.27%, before sales charge, for the twelve-month period ended October 31, 2019, outperforming the Fund’s custom benchmark (55% MSCI All Country World Commodity Producers Index (Net), 35% Bloomberg Barclays U.S. TIPS 1-10 Year Index, and 10% Bloomberg Commodity Index Total Return), which returned -0.20% for the same period. Individually, the MSCI All Country World Commodity Producers Index (Net), Bloomberg Barclays U.S. TIPS 1-10 Year Index, and Bloomberg Commodity Index Total Return returned -4.70%, 6.87%, and -2.58%, respectively, for the same period. For the same period, the Class A shares of the Fund underperformed the 5.39% average return of the Lipper Real Return Funds peer group, a group of funds that seeks to maximize real return through investing primarily in domestic and foreign inflation-protected securities across asset classes.

Why did the Fund perform this way?

For the twelve-month period ended October 31, 2019, global equities rose more than 13% as measured by the MSCI All Country World Index (ACWI) Index (Gross). Towards the end of 2018, global equities tumbled as concerns about slowing global growth weighed heavily on the markets. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. On the monetary policy front, the United States (U.S.) Federal Reserve (Fed) raised rates by 0.25%, to the highest level in a decade. In the first quarter of 2019, global markets recovered and surged due to productive trade negotiations between the U.S. and China, and because of accommodative rhetoric and policy actions for the major central banks. The U.S. delayed its plan to increase tariffs on $200 billion of imports from China amid constructive dialogue between U.S. and Chinese trade representatives. The United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern with the British parliament rejecting Prime Minister Theresa May’s deal for the third time. In the second quarter of 2019, global equities rose. Trade tensions between China and the U.S. escalated in May but eased at the end of the second quarter of 2019 after the two countries agreed at the G20 summit to resume trade negotiations. U.K. Prime Minister Theresa May resigned after failing to secure a Brexit deal. On the monetary front, the Fed cut interest rates in July and September 2019 to extend the U.S. economic expansion amid a slowdown in growth and trade uncertainty. The European Central Bank (ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an

open-ended asset purchase program and more favorable bank lending conditions. In the final month of the period, markets benefited from easing geopolitical tension. U.S. President Donald Trump cancelled a tariff increase on China scheduled for October 2019, and the U.S. and China made substantial progress towards a “phase one” trade agreement. The risk of a no-deal Brexit declined significantly after a draft deal was agreed upon by the U.K. and the EU. On the monetary front, most global central banks reiterated their accommodative policy stances. The Fed cut interest rates for the third time this year, signaling that it intends to pause the current easing cycle.

The Fund has four primary levers to generate investment performance: inflation-related equity investments, inflation-related fixed income investments, commodity investments, and asset allocation among stocks, bonds, commodities, and cash. Outperformance relative to the Fund’s custom benchmark during the period was driven by allocations to active strategies managed by specialized investment teams at Wellington Management Company LLP. Allocations outside of the Fund’s custom benchmark to infrastructure equities and international diversified inflation sensitive equities were meaningful contributors to results. An underweight to Energy equities also drove positive results amid increased oil price volatility as fears of a global economic slowdown weighed on the energy demand outlook. However, the Fund’s positioning within the Metals and Mining sector partially offset these results. During the period, we deployed cash to increase the Fund’s equity exposure but reduced that exposure following the rally in September, as economically sensitive areas provided potential upside. From a security selection perspective, the Energy equities and commodities allocation were the largest detractors from relative performance.

The Fund’s commodities exposure is gained through derivatives, primarily total return swaps and futures. The Fund’s commodities exposure detracted from performance relative to the Fund’s custom benchmark over the period as curve positioning in natural gas and wheat weighed on relative returns.

What is the outlook as of the end of the period?

During the period, our confidence level in the market recovery did not improve and we continued to be measured when taking risk. We expect the recent volatility to continue and have increased our tactical trading as a result of these price fluctuations. As of the end of the period, the Fund’s portfolio was: 1) Overweight equities versus fixed income due to what we view as attractive relative valuations, poor sentiment towards risky assets, and accommodative monetary policy; 2) underweight the

 

 

 

  16  

 


The Hartford Global Real Asset Fund (consolidated)

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

U.S. dollar (directly and indirectly) as valuation is high and U.S. growth expectations appear to have eroded in our view; and 3) exposed to infrastructure equities that we believe should benefit from the ongoing energy transition from hydrocarbons to electrons.

As we look ahead, we believe that real assets are generally well-positioned as an asset class as a result of favorable valuations and disciplined supply dynamics in many of the underlying sectors. From a macro standpoint, we believe the current period has parallels to the late 1960s when the Fed kept rates low to allow for large fiscal deficits despite a later cycle economy and low unemployment rate. Structurally, when looking at the policy environment as of the end of the period, there seems to be significant pushback against the last 30-40 years of pro-business policies, which have been associated with globalization and rising profits for businesses but also rising inequality and disinflation. In our view, a strong reversal in this policy backdrop paired with complacency about inflation concerns could cause a reversal in the structural trends that have driven markets for the last few decades, which is an area we continue to research.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Investments in the commodities market and the natural-resource industry may increase the Fund’s liquidity risk, volatility and risk of loss if adverse developments occur. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. The value of inflation-protected securities (IPS) generally fluctuates with changes in real interest rates, and the market for IPS may be less developed or liquid, and more volatile, than other securities markets. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. By investing in a Cayman Subsidiary, the Fund is indirectly exposed to the risks associated with a non-U.S. subsidiary and its investments.

Composition by Security Type(1)

as of October 31, 2019

 

Category    Percentage of
Net Assets
 

Equity Securities

 

Common Stocks

     63.3

Exchange-Traded Funds

     3.4  

Preferred Stocks

     0.1  

Rights

     0.0
  

 

 

 

Total

     66.8
  

 

 

 

Fixed Income Securities

  

Convertible Bonds

     0.0 %* 

Corporate Bonds

     0.7  

Foreign Government Obligations

     3.0  

U.S. Government Securities

     20.0  
  

 

 

 

Total

     23.7
  

 

 

 

Short-Term Investments

     9.9  

Purchased Options

     0.0

Other Assets & Liabilities

     (0.4
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  17  

 


The Hartford Growth Allocation Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/28/2004

Advised by Hartford Funds Management Company, LLC
(“HFMC” or the “Investment Manager”)

  Investment objective – The Fund seeks long-term capital appreciation.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     10.25%        5.11%        7.88%  

Class A2

     4.19%        3.93%        7.27%  

Class C1

     9.33%        4.34%        7.10%  

Class C2

     8.33%        4.34%        7.10%  

Class I1

     10.54%        5.44%        8.24%  

Class R31

     9.81%        4.77%        7.55%  

Class R41

     10.15%        5.07%        7.88%  

Class R51

     10.44%        5.40%        8.21%  

Class F1

     10.65%        5.49%        8.26%  

55% Russell 3000 Index/ 25% MSCI All Country World (ACWI) ex USA Index (Net)/ 20% Bloomberg Barclays U.S. Aggregate Bond Index3

     12.85%        7.41%        9.60%  

Russell 3000 Index

     13.49%        10.31%        13.62%  

MSCI All Country World (ACWI) ex USA Index (Net)

     11.27%        3.82%        4.94%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        3.73%  

 

1 

Without sales charge

2 

With sales charge

3 

Calculated by Hartford Funds Management Company, LLC

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous subadvisers, Hartford Investment Management Company and Wellington Management Company LLP (“Wellington Management”). For the period 6/4/12 through 5/31/14, Wellington Management served as the sub-adviser to the Fund, using a modified investment strategy. Prior to 6/4/12, Hartford Investment Management Company served as the sub-adviser to the Fund, using a modified investment strategy.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical waivers/reimbursements without which performance would have been lower.

Operating Expenses*

 

      Gross      Net  

Class A

     1.17%        1.17%  

Class C

     1.93%        1.93%  

Class I

     0.87%        0.87%  

Class R3

     1.50%        1.50%  

Class R4

     1.19%        1.19%  

Class R5

     0.89%        0.89%  

Class F

     0.78%        0.78%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross and Net expenses are the same. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  18  

 


The Hartford Growth Allocation Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Vernon J. Meyer, CFA

Managing Director and Chief Investment Officer

Hartford Funds Management Company, LLC

Allison Z. Mortensen, CFA

Head of Multi-Asset Solutions and Vice President

Hartford Funds Management Company, LLC

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of The Hartford Growth Allocation Fund returned 10.25%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming the Fund’s custom benchmark, which is comprised of 55% Russell 3000 Index/ 25% MSCI All Country World (ACWI) ex USA Index (Net)/ 20% Bloomberg Barclays U.S. Aggregate Bond Index, which returned 12.85% for the same period. Individually, the Russell 3000 Index, the MSCI ACWI ex USA Index (Net), and the Bloomberg Barclays U.S. Aggregate Bond Index, returned 13.49%, 11.27%, and 11.51%, respectively, for the same period. For the same period, Class A shares of the Fund slightly underperformed the average return of the Lipper Mixed-Asset Target Allocation Growth Funds category, a group of funds with equity weights of 60%-80%, which returned 10.36%.

Why did the Fund perform this way?

The past twelve months were marked by slowing global growth, as well as ongoing trade tensions and political uncertainty. The U.S. Federal Reserve (Fed) raised interest rates in December 2018 before adopting a more accommodative stance and cutting interest rates three times during 2019. The Fed’s decision to reverse course this year resulted in most fixed-income segments benefitting from a significant drop in interest rates. In September 2019, the European Central Bank (ECB) announced it would cut its interest rate for deposits to 0.05%, and would restart its bond-buying program, or quantitative easing, to help stimulate the sluggish European economy.

Domestic equity markets continued to perform well, outpacing international developed and emerging markets for the twelve-month period. However, uncertainty surrounding trade agreements with China, Mexico, Japan, and the European Union (EU) fueled market volatility and raised questions about risks to the U.S. economy in the form of increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. Elsewhere in the world, political turmoil continued with ongoing negotiations related to the United Kingdom’s (U.K.’s) exit from the EU (also known as “Brexit”) and a large number of mass protests around the world, including in Hong Kong, Chile, Lebanon, and Iraq, among others.

The main driver of the Fund’s underperformance relative to the custom benchmark over the twelve-month period ended October 31, 2019 was the Fund’s exposure to real assets and exposure to small-cap and value-oriented U.S. equities. For the period, small-cap and value-oriented equities underperformed the broad global equity market, as measured by the MSCI All Country World Index. An underweight position to longer-duration fixed income also detracted from relative performance, as interest rates generally fell during the period.

The underperformance of the underlying funds relative to their individual benchmarks was another driver of the Fund’s underperformance relative to its custom benchmark. In particular, the performance of The Hartford Growth Opportunities Fund, Hartford Multifactor US Equity ETF and the Hartford Schroders International Multi-Cap Value Fund had significant negative effects on the Fund’s performance relative to the custom benchmark. Partially offsetting this effect was the performance of the Hartford Core Equity Fund, The Hartford Equity Income Fund, and The Hartford MidCap Fund, which had positive effects on the Fund’s performance relative to the custom benchmark.

Asset allocation effects were neutral over the twelve-month period ended October 31, 2019.

Derivatives were not used at the aggregate fund level during the period but were used at the underlying fund level.

What is the outlook as of the end of the period?

As of the end of the period, we continue to see slower global growth, unresolved trade tensions, and ongoing political uncertainty stemming from Brexit and U.S. presidential impeachment proceedings (among others). Markets may become more volatile as we head into a U.S. presidential election year. That said, we expect that lower inflation will persist, despite the accommodative central bank environment. Further, we believe that the market cycle should extend into late 2020 considering low unemployment, steady wage growth, and the continued strength of the U.S. consumer, which contributes around 70% of U.S. gross domestic product (GDP).

As of the end of the period, the 10-year Treasury yield is near the lows it experienced in 2016. After nine rate increases in 0.25% increments from late 2015 to late 2018, the Fed has now cut interest rates three times. Through all of this, the U.S. dollar has continued to strengthen against the major currencies and China has allowed its currency to weaken. As of the end of the period, we have maintained the Fund’s modest overweight to U.S. equities, with a focus on quality within the asset class. Within the fixed income portion of the Fund, as of the end of the period, we maintained a shorter duration posture in the Fund, as we do not believe longer-term interest rates sufficiently compensate for the increased volatility risk. We believe the fixed income portion of the Fund is diversified in terms of geographic and credit exposures.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The ability of the Fund to meet its investment objective is directly related to the ability of

 

 

 

  19  

 


The Hartford Growth Allocation Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

the underlying funds to meet their objectives as well as the investment manager’s allocation among those underlying funds. The Fund is subject to the risks of the underlying funds, in direct proportion to the amount invested in each underlying fund. The underlying funds are subject to the risks of the general equity market, small- and mid-cap securities, foreign securities, emerging-market securities, fixed-income securities (which carry credit, liquidity, duration, and interest-rate risk), high-yield (“junk”) bonds, mortgage related- and asset-backed securities, and derivatives.

Asset Allocation(1)

as of October 31, 2019 (Unaudited)

 

Fund Type    Percentage of
Net Assets
 

Domestic Equity Funds

     59.4

International/Global Equity Funds

     21.3  

Multi-Strategy Funds

     3.5  

Taxable Fixed Income Funds

     15.6  

Short-Term Investments

     0.2  

Other Assets & Liabilities

     0.0
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  20  

 


Hartford Moderate Allocation Fund

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 5/28/2004

Advised by Hartford Funds Management Company, LLC

(“HFMC” or the “Investment Manager”)

  Investment objective – The Fund seeks long-term capital appreciation and income.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     9.72%        4.34%        6.09%  

Class A2

     3.69%        3.16%        5.50%  

Class C1

     8.96%        3.56%        5.32%  

Class C2

     7.96%        3.56%        5.32%  

Class I1

     10.08%        4.64%        6.41%  

Class R31

     9.38%        3.99%        5.74%  

Class R41

     9.65%        4.28%        6.06%  

Class R51

     10.11%        4.61%        6.38%  

Class F1

     10.08%        4.68%        6.43%  

40% Bloomberg Barclays U.S. Aggregate Bond Index/ 40% Russell 3000 Index/ 20% MSCI All Country World (ACWI) ex USA Index (Net)3

     12.68%        6.37%        8.12%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        3.73%  

Russell 3000 Index

     13.49%        10.31%        13.62%  

MSCI All Country World (ACWI) ex USA Index (Net)

     11.27%        3.82%        4.94%  

 

1 

Without sales charge

2

With sales charge

3

Calculated by Hartford Funds Management Company, LLC

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude

investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class F shares commenced operations on 2/28/17. Performance prior to that date is that of the Fund’s Class I shares.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information includes performance under the Fund’s previous subadvisers, Hartford Investment Management Company and Wellington Management Company LLP (“Wellington Management”). For the period 6/4/12 through 11/30/15, Wellington Management served as the sub-adviser to the Fund, using a modified investment strategy. Prior to 6/4/12, Hartford Investment Management Company served as the sub-adviser to the Fund, using a modified investment strategy.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

Performance information may reflect historical waivers/reimbursements without which performance would have been lower.

Operating Expenses*

 

      Gross      Net  

Class A

     1.14%        1.14%  

Class C

     1.89%        1.89%  

Class I

     0.86%        0.86%  

Class R3

     1.48%        1.48%  

Class R4

     1.19%        1.19%  

Class R5

     0.88%        0.88%  

Class F

     0.77%        0.77%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross and Net expenses are the same. Expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

  21  

 


Hartford Moderate Allocation Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

Portfolio Managers

Vernon J. Meyer, CFA

Managing Director and Chief Investment Officer

Hartford Funds Management Company, LLC

Allison Z. Mortensen, CFA

Head of Multi-Asset Solutions and Vice President

Hartford Funds Management Company, LLC

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Moderate Allocation Fund returned 9.72%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming the Fund’s custom benchmark, which is comprised of 40% Bloomberg Barclays U.S. Aggregate Bond Index/ 40% Russell 3000 Index/ 20% MSCI All Country World (ACWI) ex USA Index (Net), which returned 12.68% for the same period. Individually, the Bloomberg Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, and the MSCI ACWI ex USA Index (Net) returned 11.51%, 13.49%, and 11.27%, respectively, for the same period. For the same period, Class A shares of the Fund underperformed the average return of the Lipper Mixed-Asset Target Allocation Moderate Funds category, a group of funds with equity weights of 40%-60%, which returned 10.11%.

Why did the Fund perform this way?

The past twelve months were marked by slowing global growth, as well as ongoing trade tensions and political uncertainty. The U.S. Federal Reserve (Fed) cut rates three times during 2019, previously, the Fed raised rates in December 2018 and stated at that time that it would stop raising rates. The Fed’s decision to reverse course this year resulted in most fixed-income segments benefitting from a significant drop in interest rates. In September 2019, the European Central Bank (ECB) announced it would cut its interest rate for deposits to 0.05%, and would restart its bond-buying program, or quantitative easing, to help stimulate the sluggish European economy.

Domestic equity markets continued to perform well, outpacing international developed and emerging markets for the twelve-month period. However, uncertainty surrounding trade agreements with China, Mexico, Japan, and the European Union (EU) fueled market volatility and raised questions about risks to the U.S. economy in the form of increasing cost pressures, supply chain disruptions, and waning business confidence and investment plans. Elsewhere in the world, political turmoil continued with ongoing negotiations related to the United Kingdom’s (U.K.’s) exit from the EU (also known as “Brexit”) and a large number of mass protests around the world, including in Hong Kong, Chile, Lebanon, and Iraq, among others.

The main driver of the Fund’s underperformance relative to the custom benchmark over the twelve-month period ended October 31, 2019 was the Fund’s exposure to real assets and exposure to small-cap and value-oriented U.S. equities. For the period, small-cap and value-oriented equities underperformed the broad global equity market, as measured by the MSCI All Country World Index. An underweight position to longer-duration fixed income also detracted from relative performance as interest rates generally fell during the period.

The underperformance of the underlying funds relative to their individual benchmarks was another driver of the Fund’s underperformance relative to its custom benchmark. In particular, the performance of The Hartford World Bond Fund, Hartford Multifactor US Equity ETF and Hartford Schroders International Multi-Cap Value Fund had significant negative effects on the Fund’s performance relative to the custom benchmark. Partially offsetting this effect was the performance of Hartford Core Equity Fund, The Hartford Equity Income Fund, and The Hartford MidCap Fund, which had positive effects on the Fund’s performance relative to the custom benchmark.

Asset allocation effects were neutral over the twelve-month period ended October 31, 2019.

Derivatives were not used at the aggregate fund level during the period but were used at the underlying fund level.

What is the outlook as of the end of the period?

As of the end of the period, we continue to see slower global growth, unresolved trade tensions, and ongoing political uncertainty stemming from Brexit and U.S. presidential impeachment proceedings (among others). Markets may become more volatile as we head into a U.S. presidential election year. That said, we expect that lower inflation will persist, despite the accommodative central bank environment. Further, we believe that the market cycle should extend into late 2020 considering low unemployment, steady wage growth, and the continued strength of the U.S. consumer, which contributes around 70% of U.S. gross domestic product (GDP).

As of the end of the period, the 10-year Treasury yield is near the lows it experienced in 2016. After nine rate increases in 0.25% increments from late 2015 to late 2018, the Fed has now cut interest rates three times. Through all of this, the U.S. dollar has continued to strengthen against the major currencies and China has allowed its currency to weaken. As of the end of the period, we have maintained the Fund’s modest overweight to U.S. equities, with a focus on quality within the asset class. Within the fixed income portion of the Fund, as of the end of the period, we maintained a shorter duration posture in the Fund, as we do not believe longer-term interest rates sufficiently compensate for the increased volatility risk. We believe that the fixed income portion of the Fund is diversified in terms of geographic and credit exposures.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The ability of the Fund to meet its investment objective is directly related to the ability of

 

 

 

  22  

 


Hartford Moderate Allocation Fund

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

the underlying funds to meet their objectives as well as the investment manager’s allocation among those underlying funds. The Fund is subject to the risks of the underlying funds, in direct proportion to the amount it invests in each underlying fund. The underlying funds are subject to the risks of the general equity market, small- and mid-cap securities, foreign securities, emerging-market securities, fixed-income securities (which carry credit, liquidity, duration, and interest-rate risk), high-yield (“junk”) bonds, mortgage related- and asset-backed securities, and derivatives.

Asset Allocation(1)

as of October 31, 2019 (Unaudited)

 

Fund Type    Percentage of
Net Assets
 

Domestic Equity Funds

     43.7

International/Global Equity Funds

     16.9  

Multi-Strategy Funds

     2.9  

Taxable Fixed Income Funds

     36.3  

Short-Term Investments

     0.2  

Other Assets & Liabilities

     0.0
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

 

  23  

 


Hartford Multi-Asset Income and Growth Fund (formerly, The Hartford Balanced Fund)

Fund Overview

October 31, 2019 (Unaudited)

 

 

 

Inception 7/22/1996

Sub-advised by Wellington Management Company LLP

  Investment objective – The Fund seeks to provide a high level of current income consistent with growth of capital.

 

LOGO

The chart above represents the hypothetical growth of a $10,000 investment in Class A, which includes a sales charge. Growth results in classes other than Class A will vary from what is seen above due to differences in the expenses charged to those share classes.

 

Average Annual Total Returns

for the Periods Ending 10/31/19

 

      1 Year      5 Years      10 Years  

Class A1

     8.81%        5.82%        8.64%  

Class A2

     2.92%        4.63%        8.03%  

Class C1

     8.08%        5.07%        7.88%  

Class C2

     7.14%        5.07%        7.88%  

Class I1

     9.21%        6.10%        8.79%  

Class R31

     8.56%        5.53%        8.37%  

Class R41

     8.84%        5.82%        8.69%  

Class R51

     9.13%        6.15%        9.02%  

Class R61

     9.24%        6.22%        9.09%  

Class Y1

     9.21%        6.20%        9.08%  

Class F1

     9.29%        6.15%        8.82%  
Fund’s Current Benchmark         

55% Bloomberg Barclays U.S. Aggregate Bond Index/ 45% S&P 500 Index3

     13.23%        6.78%        8.35%  

Bloomberg Barclays U.S. Aggregate Bond Index

     11.51%        3.24%        3.73%  

S&P 500 Index

     14.33%        10.78%        13.70%  
Fund’s Prior Benchmark         

60% S&P 500 Index/ 35% Bloomberg Barclays Government/Credit Bond Index/ 5% ICE BofAML US 3-Month Treasury Bill Index3

     13.55%        7.88%        9.76%  

Bloomberg Barclays Government/Credit Bond Index

     12.61%        3.46%        3.94%  

ICE BofAML US 3-Month Treasury Bill Index

     2.40%        1.02%        0.56%  

 

1 

Without sales charge

2 

With sales charge

3

Calculated by Hartford Funds Management Company, LLC

PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. The investment return and principal value of the investment will fluctuate so that investors’ shares, when redeemed, may be worth more or less than their original cost. The chart and table do not reflect the

deductions of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Current performance may be lower or higher than the performance data quoted. To obtain performance data current to the most recent month-end, please visit our website www.hartfordfunds.com.

The initial investment in Class A shares reflects the maximum sales charge of 5.50% and returns for Class C shares reflect a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase.

Total returns presented above were calculated using the Fund’s net asset value available to shareholders for sale or redemption of Fund shares on 10/31/19, which may exclude investment transactions as of this date. All share class returns assume the reinvestment of all distributions at net asset value and the deduction of all fund expenses.

Class I shares commenced operations on 3/31/15. Performance prior to that date is that of the Fund’s Class A shares (excluding sales charges). Class R6 shares commenced operations on 2/28/18. Performance prior to that date is that of the Fund’s Class Y shares. Class F shares commenced operations on 2/28/17. Performance for Class F shares prior to 2/28/17 reflects the performance of Class I shares from 3/31/15 through 2/27/17 and Class A shares (excluding sales charges) prior to 3/31/15.

To the extent a share class has adopted the prior performance of another share class that had different operating expenses, such performance has not been adjusted to reflect the different operating expenses. If the performance were adjusted, it may have been higher or lower.

Performance information prior to May 1, 2019 includes the Fund’s performance when the Fund pursued a different investment objective and principal investment strategy.

Effective May 1, 2019, the Fund changed its benchmarks to Bloomberg Barclays U.S. Aggregate Bond Index and the S&P 500 Index and its blended benchmark to 55% Bloomberg Barclays U.S. Aggregate Bond Index/ 45% S&P 500 Index. The Fund’s former blended benchmark was the 60% S&P 500 Index/ 35% Bloomberg Barclays Government/Credit Bond Index/ 5% ICE BofAML US 3-Month Treasury Bill Index. The Fund changed its benchmarks because Hartford Funds Management Company, LLC, the investment manager, believes that the new benchmarks better reflect the Fund’s revised investment strategy.

You cannot invest directly in an index.

See “Benchmark Glossary” for benchmark descriptions.

 

 

 

  24  

 


Hartford Multi-Asset Income and Growth Fund (formerly, The Hartford Balanced Fund)

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

 

Performance information may reflect historical or current expense waivers/reimbursements without which performance would have been lower. For more information on current expense waivers/reimbursements, please see the prospectus.

Operating Expenses*

 

      Gross      Net  

Class A

     1.05%        1.05%  

Class C

     1.76%        1.76%  

Class I

     0.72%        0.72%  

Class R3

     1.37%        1.37%  

Class R4

     1.07%        1.07%  

Class R5

     0.77%        0.77%  

Class R6

     0.65%        0.65%  

Class Y

     0.74%        0.71%  

Class F

     0.65%        0.65%  

 

*

Expenses as shown in the Fund’s most recent prospectus. Gross expenses do not reflect contractual fee waivers or expense reimbursement arrangements. Net expenses reflect such arrangements only with respect to Class Y. These arrangements remain in effect until 05/01/20 unless the Fund’s Board of Directors approves an earlier termination. The expenses shown include acquired fund fees and expenses. Actual expenses may be higher or lower. Please see accompanying Financial Highlights for expense ratios for the year ended 10/31/19.

 

 

 

Portfolio Managers

Lutz-Peter Wilke

Managing Director and Portfolio Manager

Wellington Management Company LLP

Michael Stack, CFA

Senior Managing Director, Partner, and Fixed Income Portfolio Manager

Wellington Management Company LLP

Loren Moran, CFA

Senior Managing Director, Partner, and Fixed Income Portfolio Manager

Wellington Management Company LLP

 

 

 

Manager Discussion

How did the Fund perform during the period?

The Class A shares of the Hartford Multi-Asset Income and Growth Fund returned 8.81%, before sales charge, for the twelve-month period ended October 31, 2019, underperforming its custom benchmark, 55% Bloomberg Barclays U.S. Aggregate Bond Index/45% S&P 500 Index, which returned 13.23% over the same period. The Fund’s prior custom benchmark, which was comprised of 60% S&P 500 Index, 35% Bloomberg Barclays US Government/Credit Bond Index/5% ICE BofAML US 3-Month Treasury Bill Index, returned 13.55% for the period. Individually, the Bloomberg Barclays U.S. Aggregate Bond Index, S&P 500 Index, Bloomberg Barclays US Government/Credit Index, and ICE BofAML US 3-Month Treasury Bill Index returned 11.51%, 14.33%, 12.61%, and 2.40%, respectively, for the period. For the same period, the Class A shares of the Fund also underperformed the average return of the Lipper Mixed-Asset Target Allocation Moderate Funds category 10.11%, a group of funds that by portfolio practice maintain a mix of between 40%-60% equity securities, with the remainder invested in bonds, cash, and cash equivalents.

Why did the Fund perform this way?

For the twelve-month period ended October 31, 2019, global equities rose more than 13% as measured by the MSCI ACWI Index (Gross). Towards the end of 2018, global equities tumbled as concerns about slowing global growth weighed heavily on the markets. China’s economy grew at the weakest pace in a decade, and economic growth in the Eurozone moderated. On the monetary policy front, the United States (U.S.) Federal Reserve (Fed) raised rates by 0.25%, to the highest level in a decade. In the first quarter of 2019, global markets recovered and surged due to productive trade negotiations between the U.S. and China, and by accommodative rhetoric and policy actions for the major central banks. The U.S. delayed its plan to increase tariffs on $200 billion of imports from China amid constructive dialogue between U.S. and Chinese trade representatives. The United Kingdom’s (U.K.’s) exit from the European Union (EU), also known as “Brexit,” remained a key area of concern with the British parliament rejecting Prime Minister Theresa May’s deal for the third time. Trade tensions between China and the U.S. escalated in May but eased at the end of the quarter after the two countries agreed at the G20 summit to resume trade negotiations. On the monetary front, the Fed cut interest rates in July and September 2019 to extend the U.S. economic expansion amid a slowdown in growth and trade uncertainty. The European Central Bank

 

 

 

  25  

 


Hartford Multi-Asset Income and Growth Fund (formerly, The Hartford Balanced Fund)

Fund Overview – (continued)

October 31, 2019 (Unaudited)

 

 

 

(ECB) unveiled a sweeping, long-term economic stimulus package to bolster the Eurozone economy against slowing growth and trade frictions, including an open-ended asset purchase program and more favorable bank lending conditions. In the final month of the period, markets benefited from easing geopolitical tension. U.S. President Donald Trump cancelled a tariff increase on China scheduled for October 2019, and the U.S. and China made substantial progress towards a “phase one” trade agreement. The risk of a no-deal Brexit declined significantly after a draft deal was agreed upon by the U.K. and the EU. On the monetary front, most global central banks reiterated their accommodative policy stances. The Fed cut interest rates for the third time in 2019, signaling that it intends to pause the current easing cycle.

Effective May 1, 2019, the Fund’s name, investment objective, principal investment strategy and benchmark changed. Prior to May 1, 2019, the Fund’s investment objective was to seek long-term total return while its new investment objective is to seek to provide a high level of current income consistent with growth of capital.

Over the period, the Fund’s overweight to fixed income and underweight to equities detracted from performance relative to the Fund’s custom benchmark, as U.S. equities broadly outperformed their fixed income counterparts. Within fixed income, allocations to investment-grade credit, high-yield corporates, and emerging-markets debt contributed positively to relative performance, while allocations to securitized credit modestly detracted from relative performance. Within equities, allocations to U.S. infrastructure added to relative performance during the period, while security selection within the Fund’s diversified equity basket detracted from relative performance. The Fund’s allocation to equities in the Energy sector was also a meaningful detractor from relative performance. Though security selection among energy companies was additive, the sector sold off amid heightened oil price volatility and increased macro uncertainty.

The Fund uses derivatives to hedge currency risk and overall portfolio volatility, manage duration, as well as tactically gain exposure to fixed income and equity markets. Over the period, the use of derivatives for volatility management purposes detracted from performance relative to the Fund’s custom benchmark, as our efforts to hedge equity market exposure were not needed in a risk-on environment. Our tactical use of equity derivatives within the Fund slightly contributed to relative performance, while the performance of other derivatives had no significant impact on relative performance.

What is the outlook as of the end of the period?

While trade war uncertainties, geopolitical tensions, and slowing growth signals out of China have sparked recessionary concerns, we believe global markets continue to offer attractive investment opportunities, particularly across regions where growth is projected to accelerate in 2020 (i.e., emerging markets and Europe). Accordingly, as of the end of the period, we continue to diversify the Fund’s portfolio outside of the U.S. by allocating to thematic positions in regions where growth may accelerate. Within fixed income, we aim to limit drawdown risk by focusing on higher credit quality in U.S. fixed-income securities and corporate bonds.

Important Risks

Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. The Fund may

allocate a portion of its assets to specialist portfolio managers, which may not work as intended. Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Loans can be difficult to value and less liquid than other types of debt instrument; they are also subject to nonpayment, collateral, bankruptcy, default, extension, prepayment and insolvency risks.  Investments in Equity Linked Notes (ELNs) are subject to interest, credit, management, counterparty, liquidity, and market risks, and as applicable, foreign security and currency risks. Mortgage related- and asset-backed securities’ risks include credit, interest-rate, prepayment, and extension risk. Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, and counterparty risk. For dividend-paying stocks, dividends are not guaranteed and may decrease without notice. Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets. Restricted securities may be more difficult to sell and price than other securities. Obligations of U.S. Government agencies are supported by varying degrees of credit but are generally not backed by the full faith and credit of the U.S. Government.

Composition by Security Type(1)

as of October 31, 2019

 

Category

   Percentage of
Net Assets
 

Equity Securities

 

Common Stocks

     22.2

Equity Linked Securities

     13.8  

Exchange-Traded Funds

     0.1  

Preferred Stocks

     0.1  

Rights

     0.0
  

 

 

 

Total

     36.2
  

 

 

 

Fixed Income Securities

 

Asset & Commercial Mortgage Backed Securities

     12.1

Convertible Bonds

     0.8  

Corporate Bonds

     26.2  

Foreign Government Obligations

     5.4  

Municipal Bonds

     0.9  

Senior Floating Rate Interests

     5.7  

U.S. Government Agencies(2)

     2.7  

U.S. Government Securities

     9.0  
  

 

 

 

Total

     62.8
  

 

 

 

Short-Term Investments

     4.0  

Other Assets & Liabilities

     (3.0
  

 

 

 

Total

     100.0
  

 

 

 

 

*

Percentage rounds to zero.

 

(1) 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

(2)

All, or a portion of the securities categorized as U.S. Government Agencies, were agency mortgage backed securities as of October 31, 2019.

 

 

 

  26  

 


Hartford Multi-Strategy Funds

Benchmark Glossary (Unaudited)

 

 

 

Bloomberg Barclays Corporate Index (reflects no deduction for fees, expenses or taxes) is the Corporate component of the U.S. Credit Index within the Bloomberg Barclays U.S. Aggregate Bond Index.

Bloomberg Barclays Government/Credit Bond Index (reflects no deduction for fees, expenses or taxes) is designed to measure the non-securitized component of the U.S. Aggregate Index. It includes investment grade, U.S. dollar-denominated, fixed-rate Treasuries, government-related and corporate securities.

Bloomberg Barclays U.S. Aggregate Bond Index (reflects no deduction for fees, expenses or taxes) is composed of securities that are Securities and Exchange Commission registered, taxable, and dollar denominated. The index covers the U.S. investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities, and asset-backed securities. These major sectors are subdivided into more specific indices that are calculated and reported on a regular basis.

Bloomberg Barclays U.S. Corporate High Yield Bond 2% Issuer Cap Index (reflects no deduction for fees, expenses or taxes) is the 2% issuer cap component of the Bloomberg Barclays U.S. High Yield Index, which is an unmanaged broad-based market value-weighted index that tracks the total return performance of non-investment grade, fixed-rate, publicly placed, dollar denominated and non convertible debt registered with the Securities and Exchange Commission.

Bloomberg Barclays U.S. TIPS 1-10 Year Index (reflects no deduction for fees, expenses or taxes) represents U.S. Treasury inflation-protected securities having a maturity of at least 1 year and less than 10 years.

Bloomberg Commodity Index Total Return (reflects no deduction for fees, expenses or taxes) is composed of futures contracts and reflects the returns on a fully collateralized investment in the Bloomberg Commodity Index (“BCOM”). This combines the returns of the BCOM with the returns on cash collateral invested in 13 week (3 Month) U.S. Treasury bills.

ICE BofAML US 3-Month Treasury Bill Index (reflects no deduction for fees, expenses or taxes) is comprised of a single issue purchased at the beginning of the month and held for a full month. At the end of the month that issue is sold and rolled into a newly selected issue. The issue selected at each month-end rebalancing is the outstanding Treasury Bill that matures closest to, but not beyond, three months from the rebalancing date. To qualify for selection, an issue must have settled on or before the month-end rebalancing date.

JP Morgan Emerging Markets Bond Index Plus (reflects no deduction for fees, expenses or taxes) is a market capitalization-weighted index that tracks returns for actively traded external debt instruments in emerging markets.

MSCI ACWI Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture large and mid cap representation across developed markets and emerging markets countries.

MSCI ACWI Commodity Producers Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture the global opportunity set of commodity producers in the energy, metal and agricultural sectors. Constituents are selected from the equity universe of MSCI ACWI Index,

the parent index, which covers mid and large cap securities across developed market and emerging market countries.

MSCI ACWI ex USA Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deduction for fees, expenses or other taxes) is designed to capture large and mid cap representation across developed markets (excluding the United States) and emerging market countries.

Russell 1000 Value Index (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of those Russell 1000 Index companies with lower price-to-book ratios and lower forecasted growth values. The Russell 1000 Index is designed to measure the performance of the 1,000 largest companies in the Russell 3000 Index based on their market capitalization and current index membership.

Russell 3000 Index (reflects no deduction for fees, expenses or taxes) is designed to measure the performance of the 3,000 largest U.S. companies based on total market capitalization.

S&P 500 Index (reflects no deduction for fees, expenses or taxes) is a float-adjusted market capitalization-weighted price index composed of 500 widely held common stocks.

Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI’s express written consent.

BLOOMBERG® is a trademark and service mark of Bloomberg Finance L.P. and its affiliates (collectively “Bloomberg”). BARCLAYS® is a trademark and service mark of Barclays Bank Plc (collectively with its affiliates, “Barclays”), used under license. Bloomberg or Bloomberg’s licensors, including Barclays, own all proprietary rights in the Bloomberg Barclays Indices. Neither Bloomberg nor Barclays approves or endorses this material, or guarantees the accuracy or completeness of any information herein, or makes any warranty, express or implied, as to the results to be obtained therefrom and, to the maximum extent allowed by law, neither shall have any liability or responsibility for injury or damages arising in connection therewith.

 

 

 

  27  

 


Hartford Multi-Strategy Funds

Expense Examples (Unaudited)

 

 

 

Your Fund’s Expenses

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, if any, and contingent deferred sales charges (CDSC), if any, and (2) ongoing costs, including investment management fees, distribution and/or service (12b-1) fees, if any, and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period of May 1, 2019 through October 31, 2019. To the extent a Fund was subject to acquired fund fees and expenses during the period, acquired fund fees and expenses are not included in the annualized expense ratios below.

Actual Expenses

The first set of columns of the table below provides information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the line under the heading entitled “Expenses Paid During The Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second set of columns of the table below provides information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (front-end sales loads and CDSC). Therefore, the second set of columns of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would be higher. Expenses for a class of a Fund are equal to the class’ annualized expense ratio multiplied by average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford Balanced Income Fund

 

Class A

   $     1,000.00      $     1,054.60      $     4.66      $     1,000.00      $     1,020.67      $     4.58        0.90

Class C

   $ 1,000.00      $ 1,050.70      $ 8.48      $ 1,000.00      $ 1,016.94      $ 8.34        1.64

Class I

   $ 1,000.00      $ 1,056.60      $ 3.32      $ 1,000.00      $ 1,021.98      $ 3.26        0.64

Class R3

   $ 1,000.00      $ 1,052.90      $ 6.47      $ 1,000.00      $ 1,018.90      $ 6.36        1.25

Class R4

   $ 1,000.00      $ 1,054.40      $ 5.02      $ 1,000.00      $ 1,020.32      $ 4.94        0.97

Class R5

   $ 1,000.00      $ 1,055.50      $ 3.37      $ 1,000.00      $ 1,021.93      $ 3.31        0.65

Class R6

   $ 1,000.00      $ 1,057.00      $ 2.96      $ 1,000.00      $ 1,022.33      $ 2.91        0.57

Class Y

   $ 1,000.00      $ 1,055.90      $ 3.47      $ 1,000.00      $ 1,021.83      $ 3.41        0.67

Class F

   $ 1,000.00      $ 1,056.20      $ 2.95      $ 1,000.00      $ 1,022.33      $ 2.91        0.57

Hartford AARP Balanced Retirement Fund

 

Class A

   $ 1,000.00      $ 1,023.90      $ 3.47      $ 1,000.00      $ 1,021.78      $ 3.47        0.68

Class C

   $ 1,000.00      $ 1,020.30      $ 7.18      $ 1,000.00      $ 1,018.10      $ 7.17        1.41

Class I

   $ 1,000.00      $ 1,026.30      $ 2.76      $ 1,000.00      $ 1,022.48      $ 2.75        0.54

Class R3

   $ 1,000.00      $ 1,026.80      $ 1.63      $ 1,000.00      $ 1,023.59      $ 1.63        0.32

Class R4

   $ 1,000.00      $ 1,027.50      $ 1.58      $ 1,000.00      $ 1,023.64      $ 1.58        0.31

Class R5

   $ 1,000.00      $ 1,026.10      $ 2.04      $ 1,000.00      $ 1,023.19      $ 2.04        0.40

Class R6

   $ 1,000.00      $ 1,025.80      $ 2.25      $ 1,000.00      $ 1,022.99      $ 2.24        0.44

Class Y

   $ 1,000.00      $ 1,024.90      $ 2.40      $ 1,000.00      $ 1,022.84      $ 2.40        0.47

Class F

   $ 1,000.00      $ 1,025.60      $ 1.74      $ 1,000.00      $ 1,023.49      $ 1.73        0.34

The Hartford Checks and Balances Fund

 

Class A

   $ 1,000.00      $ 1,043.40      $ 2.01      $ 1,000.00      $ 1,023.24      $ 1.99        0.39

Class C

   $ 1,000.00      $ 1,039.10      $ 5.81      $ 1,000.00      $ 1,019.51      $ 5.75        1.13

Class I

   $ 1,000.00      $ 1,045.00      $ 0.62      $ 1,000.00      $ 1,024.60      $ 0.61        0.12

Class R3

   $ 1,000.00      $ 1,041.50      $ 3.81      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class R4

   $ 1,000.00      $ 1,043.30      $ 2.16      $ 1,000.00      $ 1,023.09      $ 2.14        0.42

Class R5

   $ 1,000.00      $ 1,041.20      $ 1.29      $ 1,000.00      $ 1,023.95      $ 1.28        0.25

Class F

   $ 1,000.00      $ 1,045.50      $ 0.21      $ 1,000.00      $ 1,025.00      $ 0.20        0.04

 

 

  28  

 


Hartford Multi-Strategy Funds

Expense Examples (Unaudited) – (continued)

 

 

 

     Actual Return      Hypothetical (5% return before expenses)  
      Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Beginning
Account Value
May 1, 2019
     Ending
Account Value
October 31, 2019
     Expenses paid
during the period
May 1, 2019
through
October 31, 2019
     Annualized
expense
ratio
 

The Hartford Conservative Allocation Fund

 

Class A

   $     1,000.00      $     1,029.50      $     3.07      $     1,000.00      $     1,022.18      $     3.06        0.60

Class C

   $ 1,000.00      $ 1,024.90      $ 6.69      $ 1,000.00      $ 1,018.60      $ 6.67        1.31

Class I

   $ 1,000.00      $ 1,030.40      $ 1.69      $ 1,000.00      $ 1,023.54      $ 1.68        0.33

Class R3

   $ 1,000.00      $ 1,027.50      $ 4.70      $ 1,000.00      $ 1,020.57      $ 4.69        0.92

Class R4

   $ 1,000.00      $ 1,029.40      $ 3.17      $ 1,000.00      $ 1,022.08      $ 3.16        0.62

Class R5

   $ 1,000.00      $ 1,030.30      $ 1.64      $ 1,000.00      $ 1,023.59      $ 1.63        0.32

Class F

   $ 1,000.00      $ 1,031.30      $ 1.18      $ 1,000.00      $ 1,024.05      $ 1.17        0.23

The Hartford Global Real Asset Fund (consolidated)

 

Class A

   $ 1,000.00      $ 980.00      $ 6.24      $ 1,000.00      $ 1,018.90      $ 6.36        1.25

Class C

   $ 1,000.00      $ 976.30      $ 9.96      $ 1,000.00      $ 1,015.12      $ 10.16        2.00

Class I

   $ 1,000.00      $ 980.00      $ 5.04      $ 1,000.00      $ 1,020.11      $ 5.14        1.01

Class R3

   $ 1,000.00      $ 978.00      $ 7.33      $ 1,000.00      $ 1,017.80      $ 7.48        1.47

Class R4

   $ 1,000.00      $ 979.00      $ 6.09      $ 1,000.00      $ 1,019.06      $ 6.21        1.22

Class R5

   $ 1,000.00      $ 981.00      $ 4.24      $ 1,000.00      $ 1,020.92      $ 4.33        0.85

Class Y

   $ 1,000.00      $ 981.10      $ 4.49      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

Class F

   $ 1,000.00      $ 981.10      $ 4.49      $ 1,000.00      $ 1,020.67      $ 4.58        0.90

The Hartford Growth Allocation Fund

 

Class A

   $ 1,000.00      $ 1,018.30      $ 2.80      $ 1,000.00      $ 1,022.43      $ 2.80        0.55

Class C

   $ 1,000.00      $ 1,014.40      $ 6.40      $ 1,000.00      $ 1,018.85      $ 6.41        1.26

Class I

   $ 1,000.00      $ 1,020.00      $ 1.22      $ 1,000.00      $ 1,024.00      $ 1.22        0.24

Class R3

   $ 1,000.00      $ 1,016.30      $ 4.37      $ 1,000.00      $ 1,020.87      $ 4.38        0.86

Class R4

   $ 1,000.00      $ 1,017.60      $ 2.95      $ 1,000.00      $ 1,022.28      $ 2.96        0.58

Class R5

   $ 1,000.00      $ 1,019.10      $ 1.27      $ 1,000.00      $ 1,023.95      $ 1.28        0.25

Class F

   $ 1,000.00      $ 1,020.00      $ 0.81      $ 1,000.00      $ 1,024.40      $ 0.82        0.16

Hartford Moderate Allocation Fund

 

Class A

   $ 1,000.00      $ 1,022.40      $ 2.75      $ 1,000.00      $ 1,022.48      $ 2.75        0.54

Class C

   $ 1,000.00      $ 1,019.10      $ 6.26      $ 1,000.00      $ 1,019.01      $ 6.26        1.23

Class I

   $ 1,000.00      $ 1,024.00      $ 1.22      $ 1,000.00      $ 1,024.00      $ 1.22        0.24

Class R3

   $ 1,000.00      $ 1,021.00      $ 4.43      $ 1,000.00      $ 1,020.82      $ 4.43        0.87

Class R4

   $ 1,000.00      $ 1,022.40      $ 3.11      $ 1,000.00      $ 1,022.13      $ 3.11        0.61

Class R5

   $ 1,000.00      $ 1,024.00      $ 1.28      $ 1,000.00      $ 1,023.95      $ 1.28        0.25

Class F

   $ 1,000.00      $ 1,024.00      $ 0.87      $ 1,000.00      $ 1,024.35      $ 0.87        0.17

Hartford Multi-Asset Income and Growth Fund

 

Class A

   $ 1,000.00      $ 1,029.60      $ 5.22      $ 1,000.00      $ 1,020.06      $ 5.19        1.02

Class C

   $ 1,000.00      $ 1,026.00      $ 8.68      $ 1,000.00      $ 1,016.64      $ 8.64        1.70

Class I

   $ 1,000.00      $ 1,031.30      $ 3.58      $ 1,000.00      $ 1,021.68      $ 3.57        0.70

Class R3

   $ 1,000.00      $ 1,027.90      $ 6.64      $ 1,000.00      $ 1,018.65      $ 6.61        1.30

Class R4

   $ 1,000.00      $ 1,029.50      $ 5.37      $ 1,000.00      $ 1,019.91      $ 5.35        1.05

Class R5

   $ 1,000.00      $ 1,030.80      $ 3.79      $ 1,000.00      $ 1,021.48      $ 3.77        0.74

Class R6

   $ 1,000.00      $ 1,031.30      $ 3.23      $ 1,000.00      $ 1,022.03      $ 3.21        0.63

Class Y

   $ 1,000.00      $ 1,031.30      $ 3.53      $ 1,000.00      $ 1,021.73      $ 3.52        0.69

Class F

   $ 1,000.00      $ 1,031.30      $ 3.23      $ 1,000.00      $ 1,022.03      $ 3.21        0.63

 

 

  29  

 


The Hartford Balanced Income Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 43.7%  
          Automobiles & Components - 0.3%  
    337,230    

Cie Generale des Etablissements Michelin SCA

  $ 41,060,178  
     

 

 

 
          Banks - 5.9%  
    6,226,347    

Bank of America Corp.

    194,697,871  
    1,170,903    

BB&T Corp.

    62,116,404  
    2,400,196    

JP Morgan Chase & Co.

    299,832,484  
    431,365    

M&T Bank Corp.

    67,521,563  
    568,198    

PNC Financial Services Group, Inc.

    83,354,647  
    1,161,285    

U.S. Bancorp

    66,216,471  
     

 

 

 
        773,739,440  
     

 

 

 
          Capital Goods - 3.4%  
    87,128    

3M Co.

    14,375,249  
    6,809,838    

BAE Systems plc

    50,867,521  
    548,561    

Caterpillar, Inc.

    75,591,706  
    1,164,084    

Eaton Corp. plc

    101,403,357  
    405,605    

Lockheed Martin Corp.

    152,783,291  
    439,500    

Vinci S.A.

    49,310,243  
     

 

 

 
        444,331,367  
     

 

 

 
          Consumer Services - 0.3%  
    178,458    

McDonald’s Corp.

    35,102,689  
     

 

 

 
          Diversified Financials - 0.3%  
    69,789    

BlackRock, Inc.

    32,221,581  
     

 

 

 
          Energy - 4.3%  
    1,059,468    

Chevron Corp.

    123,046,614  
    1,930,246    

Exxon Mobil Corp.

    130,426,722  
    2,744,455    

Kinder Morgan, Inc.

    54,834,211  
    321,717    

Phillips 66

    37,582,980  
    4,223,808    

Suncor Energy, Inc.

    125,404,859  
    1,830,153    

TC Energy Corp.

    92,251,050  
     

 

 

 
        563,546,436  
     

 

 

 
          Food & Staples Retailing - 0.2%  
    319,004    

Sysco Corp.

    25,478,849  
     

 

 

 
          Food, Beverage & Tobacco - 3.4%  
    1,556,553    

Archer-Daniels-Midland Co.

    65,437,488  
    1,265,575    

Coca-Cola Co.

    68,885,247  
    1,252,576    

Mondelez International, Inc. Class A

    65,697,611  
    453,296    

Nestle S.A.

    48,494,201  
    464,981    

PepsiCo., Inc.

    63,781,444  
    1,645,915    

Philip Morris International, Inc.

    134,043,318  
     

 

 

 
        446,339,309  
     

 

 

 
          Health Care Equipment & Services - 2.0%  
    920,186    

CVS Health Corp.

    61,091,149  
    1,850,509    

Koninklijke Philips N.V.

    81,189,362  
    1,116,900    

Medtronic plc

    121,630,410  
     

 

 

 
        263,910,921  
     

 

 

 
          Household & Personal Products - 1.6%  
    655,365    

Procter & Gamble Co.

    81,599,496  
    2,185,674    

Unilever N.V.

    129,479,328  
     

 

 

 
        211,078,824  
     

 

 

 
          Insurance - 3.0%  
    1,067,031    

American International Group, Inc.

    56,509,962  
    210,609    

Chubb Ltd.

    32,101,024  
    2,623,131    

MetLife, Inc.

    122,736,299  
    833,924    

Principal Financial Group, Inc.

    44,514,863  
    1,025,303    

Progressive Corp.

    71,463,619  
    512,111    

Travelers Cos., Inc.

    67,117,268  
     

 

 

 
        394,443,035  
     

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 43.7% - (continued)  
          Materials - 0.7%  
    940,204    

Dow, Inc.

  $ 47,470,900  
    1,020,054    

Nutrien Ltd.

    48,748,381  
     

 

 

 
        96,219,281  
     

 

 

 
          Media & Entertainment - 1.2%  
    3,408,074    

Comcast Corp. Class A

    152,749,877  
     

 

 

 
          Pharmaceuticals, Biotechnology & Life Sciences - 5.5%  
    1,485,513    

AstraZeneca plc ADR

    72,834,702  
    1,239,740    

Bristol-Myers Squibb Co.

    71,123,884  
    576,414    

Eli Lilly & Co.

    65,682,375  
    824,268    

Johnson & Johnson

    108,836,347  
    563,085    

Merck & Co., Inc.

    48,796,946  
    870,748    

Novartis AG

    76,081,778  
    4,934,334    

Pfizer, Inc.

    189,330,396  
    266,770    

Roche Holding AG

    80,285,979  
     

 

 

 
        712,972,407  
     

 

 

 
          Real Estate - 1.0%  
    958,060    

Crown Castle International Corp. REIT

    132,969,147  
     

 

 

 
          Retailing - 0.9%  
    519,273    

Home Depot, Inc.

    121,811,060  
     

 

 

 
          Semiconductors & Semiconductor Equipment - 2.0%  
    201,280    

Analog Devices, Inc.

    21,462,486  
    1,976,763    

Intel Corp.

    111,746,412  
    326,736    

KLA Corp.

    55,231,454  
    526,418    

Maxim Integrated Products, Inc.

    30,879,680  
    355,423    

Texas Instruments, Inc.

    41,936,360  
     

 

 

 
        261,256,392  
     

 

 

 
          Technology Hardware & Equipment - 1.7%  
    3,388,830    

Cisco Systems, Inc.

    161,003,313  
    1,864,912    

Corning, Inc.

    55,257,343  
     

 

 

 
        216,260,656  
     

 

 

 
          Telecommunication Services - 1.7%  
    695,221    

BCE, Inc.

    32,979,582  
    3,017,691    

Verizon Communications, Inc.

    182,479,775  
     

 

 

 
        215,459,357  
     

 

 

 
          Transportation - 0.5%  
    405,733    

Union Pacific Corp.

    67,132,582  
     

 

 

 
          Utilities - 3.8%  
    836,541    

American Electric Power Co., Inc.

    78,961,105  
    1,285,106    

Dominion Energy, Inc.

    106,085,500  
    653,547    

Duke Energy Corp.

    61,603,340  
    945,407    

Eversource Energy

    79,168,382  
    259,649    

Exelon Corp.

    11,811,433  
    239,326    

NextEra Energy, Inc.

    57,040,959  
    540,147    

Sempra Energy

    78,056,643  
    250,253    

Xcel Energy, Inc.

    15,893,568  
     

 

 

 
        488,620,930  
     

 

 

 
   

Total Common Stocks
(cost $4,748,680,461)

  $ 5,696,704,318  
     

 

 

 
PREFERRED STOCKS - 0.0%  
          Diversified Financials - 0.0%  
    29,500    

GMAC Capital Trust Series 2, 7.94%(1)

  $ 779,095  
     

 

 

 
   

Total Preferred Stocks
(cost $773,012)

  $ 779,095  
     

 

 

 
CORPORATE BONDS - 46.3%  
          Advertising - 0.0%  
$     1,715,000    

Lamar Media Corp. 5.75%, 02/01/2026

  $ 1,820,044  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  30  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Aerospace/Defense - 1.2%  
$     4,220,000    

BAE Systems plc 4.75%, 10/11/2021(2)

  $ 4,422,878  
 

Boeing Co.

 
    390,000    

2.85%, 10/30/2024

    402,419  
    18,750,000    

3.25%, 02/01/2035

    19,643,310  
 

DAE Funding LLC

 
    670,000    

4.50%, 08/01/2022(2)

    682,181  
    1,365,000    

5.00%, 08/01/2024(2)

    1,424,787  
 

L3Harris Technologies, Inc.

 
    29,890,000    

3.85%, 06/15/2023(2)

    31,565,114  
    7,545,000    

4.40%, 06/15/2028(2)

    8,476,740  
 

Lockheed Martin Corp.

 
    11,120,000    

3.55%, 01/15/2026

    12,010,752  
    5,800,000    

3.60%, 03/01/2035

    6,296,643  
    6,025,000    

4.50%, 05/15/2036

    7,190,752  
    10,830,000    

Northrop Grumman Corp. 2.93%, 01/15/2025

    11,197,925  
    2,435,000    

Raytheon Co. 4.70%, 12/15/2041

    3,030,577  
 

TransDigm, Inc.

 
    2,700,000    

5.50%, 11/15/2027(2)

    2,691,063  
    4,970,000    

6.25%, 03/15/2026(2)

    5,324,112  
 

United Technologies Corp.

 
    13,440,000    

2.80%, 05/04/2024

    13,847,351  
    5,000,000    

3.75%, 11/01/2046

    5,544,975  
    8,945,000    

3.95%, 08/16/2025

    9,788,879  
    1,925,000    

4.50%, 06/01/2042

    2,309,924  
    2,590,000    

4.63%, 11/16/2048

    3,269,061  
    5,300,000    

5.70%, 04/15/2040

    7,076,526  
    1,890,000    

6.13%, 07/15/2038

    2,619,144  
     

 

 

 
    158,815,113  
     

 

 

 
          Agriculture - 0.8%  
 

Altria Group, Inc.

 
    410,000    

2.63%, 09/16/2026

    401,685  
    7,655,000    

3.80%, 02/14/2024

    8,031,188  
    11,580,000    

3.88%, 09/16/2046

    10,732,214  
    1,560,000    

4.25%, 08/09/2042

    1,520,384  
    2,590,000    

4.40%, 02/14/2026

    2,793,377  
    6,825,000    

4.80%, 02/14/2029

    7,492,671  
    11,575,000    

5.38%, 01/31/2044

    12,940,997  
    552,000    

5.95%, 02/14/2049

    649,327  
 

BAT Capital Corp.

 
    405,000    

2.79%, 09/06/2024

    402,934  
    8,515,000    

3.22%, 09/06/2026

    8,463,357  
    16,380,000    

3.22%, 08/15/2024

    16,629,147  
    9,765,000    

3.46%, 09/06/2029

    9,581,199  
    2,415,000    

4.39%, 08/15/2037

    2,384,974  
 

Imperial Brands Finance plc

 
    6,455,000    

3.50%, 02/11/2023(2)

    6,615,890  
    5,360,000    

3.75%, 07/21/2022(2)

    5,531,312  
    425,000    

MHP Lux S.A. 6.25%, 09/19/2029(2)

    408,357  
 

Philip Morris International, Inc.

 
    5,000,000    

2.63%, 03/06/2023

    5,084,376  
    1,230,000    

4.13%, 03/04/2043

    1,317,570  
    1,980,000    

4.25%, 11/10/2044

    2,182,994  
    2,905,000    

Reynolds American, Inc. 5.85%, 08/15/2045

    3,229,958  
     

 

 

 
    106,393,911  
     

 

 

 
          Airlines - 0.0%  
 

Bombardier, Inc.

 
    4,255,000    

6.13%, 01/15/2023(2)

    4,137,988  
    1,550,000    

7.88%, 04/15/2027(2)

    1,460,875  
    1,320    

Continental Airlines, Inc. 6.90%, 10/19/2023

    1,376  
     

 

 

 
    5,600,239  
     

 

 

 
      Auto Manufacturers - 0.7%  
    6,730,000    

Ford Motor Co. 4.75%, 01/15/2043

    5,851,106  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Auto Manufacturers - 0.7% - (continued)  
 

Ford Motor Credit Co. LLC

 
$     2,405,000    

4.13%, 08/04/2025

  $ 2,396,896  
    3,250,000    

4.39%, 01/08/2026

    3,240,855  
    16,065,000    

4.54%, 08/01/2026

    16,181,984  
    13,345,000    

5.11%, 05/03/2029

    13,513,807  
 

General Motors Co.

 
    9,235,000    

5.15%, 04/01/2038

    9,358,835  
    4,930,000    

5.20%, 04/01/2045

    4,898,345  
    5,585,000    

5.95%, 04/01/2049

    6,143,902  
    4,850,000    

6.25%, 10/02/2043

    5,418,904  
 

General Motors Financial Co., Inc.

 
    10,985,000    

3.50%, 11/07/2024

    11,194,272  
    400,000    

4.00%, 10/06/2026

    408,441  
    10,545,000    

4.35%, 01/17/2027

    10,880,946  
    370,000    

5.10%, 01/17/2024

    398,573  
    6,885,000    

Volkswagen Group of America Finance LLC 3.88%, 11/13/2020(2)

    7,010,062  
     

 

 

 
    96,896,928  
 

 

 

 
      Auto Parts & Equipment - 0.0%  
EUR     1,930,000    

Adient Global Holdings Ltd. 3.50%, 08/15/2024(3)

    1,808,038  
$     410,000    

Adient U.S. LLC 7.00%, 05/15/2026(2)

    431,525  
 

American Axle & Manufacturing, Inc.

 
    335,000    

6.25%, 04/01/2025

    322,856  
    890,000    

6.50%, 04/01/2027(4)

    843,275  
    1,375,000    

Panther BF Aggregator 2 L.P. / Panther Finance Co., Inc. 8.50%, 05/15/2027(2)

    1,385,312  
     

 

 

 
    4,791,006  
 

 

 

 
      Beverages - 1.6%  
 

Anheuser-Busch Cos. LLC / Anheuser-Busch InBev Worldwide, Inc.

 
    18,500,000    

3.65%, 02/01/2026

    19,810,347  
    10,055,000    

4.70%, 02/01/2036

    11,675,038  
    30,356,000    

4.90%, 02/01/2046

    36,413,929  
    71,000    

Anheuser-Busch InBev Finance, Inc. 4.00%, 01/17/2043

    75,311  
 

Anheuser-Busch InBev Worldwide, Inc.

 
    9,174,000    

3.75%, 07/15/2042

    9,402,685  
    18,930,000    

4.15%, 01/23/2025

    20,695,463  
    7,095,000    

4.38%, 04/15/2038

    7,925,344  
    4,750,000    

4.60%, 04/15/2048

    5,420,204  
    10,135,000    

4.75%, 04/15/2058

    11,919,170  
    1,429,000    

5.45%, 01/23/2039

    1,799,333  
    10,880,000    

5.55%, 01/23/2049

    14,368,213  
    805,000    

Coca-Cola Icecek AS 4.22%, 09/19/2024(3)

    804,775  
 

Constellation Brands, Inc.

 
    36,850,000    

2.00%, 11/07/2019

    36,849,135  
    3,680,000    

3.20%, 02/15/2023

    3,789,091  
    7,000,000    

3.60%, 02/15/2028

    7,391,635  
 

Molson Coors Brewing Co.

 
    9,210,000    

3.00%, 07/15/2026

    9,296,449  
    3,855,000    

4.20%, 07/15/2046

    3,809,670  
    1,315,000    

5.00%, 05/01/2042

    1,431,644  
    6,500,000    

PepsiCo, Inc. 3.38%, 07/29/2049

    6,939,294  
     

 

 

 
    209,816,730  
 

 

 

 
      Biotechnology - 0.2%  
 

Amgen, Inc.

 
    4,790,000    

3.63%, 05/22/2024

    5,089,502  
    7,025,000    

4.40%, 05/01/2045

    7,903,133  
    1,905,000    

4.56%, 06/15/2048

    2,189,607  
 

Gilead Sciences, Inc.

 
    7,150,000    

3.50%, 02/01/2025

    7,594,690  
    1,375,000    

4.60%, 09/01/2035

    1,622,470  
     

 

 

 
    24,399,402  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  31  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Chemicals - 0.8%  
 

Braskem Netherlands Finance B.V.

 
$     1,365,000    

4.50%, 01/10/2028(3)

  $ 1,369,777  
    1,155,000    

4.50%, 01/31/2030(2)

    1,144,605  
    660,000    

5.88%, 01/31/2050(2)

    655,908  
    2,225,000    

Celanese U.S. Holdings LLC 3.50%, 05/08/2024

    2,297,084  
 

CF Industries, Inc.

 
    245,000    

4.95%, 06/01/2043

    245,306  
    1,361,000    

5.15%, 03/15/2034

    1,442,660  
    390,000    

5.38%, 03/15/2044

    399,750  
 

Chemours Co.

 
    440,000    

5.38%, 05/15/2027

    390,980  
    415,000    

7.00%, 05/15/2025(4)

    400,475  
    9,415,000    

Dow Chemical Co. 4.55%, 11/30/2025(2)

    10,388,764  
 

DuPont de Nemours, Inc.

 
    12,845,000    

4.21%, 11/15/2023

    13,762,409  
    11,965,000    

4.73%, 11/15/2028

    13,642,950  
 

Methanex Corp.

 
    10,290,000    

4.25%, 12/01/2024

    10,473,830  
    3,027,000    

5.65%, 12/01/2044

    2,875,759  
    390,000    

NOVA Chemicals Corp. 5.00%, 05/01/2025(2)

    391,950  
 

Nutrien Ltd.

 
    785,000    

3.00%, 04/01/2025

    804,913  
    8,655,000    

4.20%, 04/01/2029

    9,570,217  
 

OCP S.A.

 
    3,919,000    

4.50%, 10/22/2025(3)

    4,143,214  
    2,770,000    

5.63%, 04/25/2024(3)

    3,037,083  
    405,000    

Olin Corp. 5.00%, 02/01/2030

    397,912  
    390,000    

Praxair, Inc. 2.65%, 02/05/2025

    401,842  
 

Sherwin-Williams Co.

 

    9,630,000    

2.75%, 06/01/2022

    9,803,775  
    8,835,000    

2.95%, 08/15/2029

    8,930,455  
    380,000    

3.45%, 08/01/2025

    402,013  
    950,000    

4.55%, 08/01/2045

    1,084,670  
    3,000,000    

Syngenta Finance N.V. 4.89%, 04/24/2025(2)

    3,177,992  
    430,000    

Tronox Finance plc 5.75%, 10/01/2025(2)

    405,275  
     

 

 

 
    102,041,568  
 

 

 

 
      Coal - 0.0%  
    3,405,000    

Foresight Energy LLC / Foresight Energy Finance Corp. 11.50%, 04/01/2023(2)

    297,937  
     

 

 

 
      Commercial Banks - 10.5%  
    805,000    

ADCB Finance Cayman Ltd. 4.50%, 03/06/2023(3)

    845,250  
EUR     2,600,000    

Banco de Sabadell S.A. 6.50%, 05/18/2022, (6.50% fixed rate until 05/18/2022; 5 year EUR Swap + 6.414% thereafter)(3)(5)(6)

    2,971,427  
 

Banco do Brasil S.A.

 
$     845,000    

4.63%, 01/15/2025, 5 year EUR Swap + 7.591%(2)(6)

    882,602  
    1,680,000    

4.75%, 03/20/2024, 5 year EUR Swap + 7.591%(2)(6)

    1,759,800  
    210,000    

4.88%, 04/19/2023(2)

    220,238  
 

Bank of America Corp.

 

    8,185,000    

2.46%, 10/22/2025, (2.46% fixed rate until 10/22/2024; 3 mo. USD LIBOR + 0.870% thereafter)(6)

    8,229,091  
    18,260,000    

2.50%, 10/21/2022

    18,430,000  
    19,950,000    

2.82%, 07/21/2023, (2.82% fixed rate until 07/21/2022; 3 mo. USD LIBOR + 0.930% thereafter)(6)

    20,261,629  
    7,090,000    

2.88%, 10/22/2030, (2.88% fixed rate until 10/22/2029; 3 mo. USD LIBOR + 0.012% thereafter)(6)

    7,130,616  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Commercial Banks - 10.5% - (continued)  
$     9,905,000    

2.94%, 04/24/2023, 3 mo. USD LIBOR + 1.000%(1)

  $ 10,006,922  
    3,733,000    

3.00%, 12/20/2023, (3.00% fixed rate until 12/20/2022; 3 mo. USD LIBOR + 0.790% thereafter)(6)

    3,818,592  
    15,270,000    

3.09%, 10/01/2025, (3.09% fixed rate until 10/01/2024; 3 mo. USD LIBOR + 1.090% thereafter)(6)

    15,774,032  
    7,500,000    

3.12%, 01/20/2023, (3.12% fixed rate until 01/20/2022; 3 mo. USD LIBOR + 1.160% thereafter)(6)

    7,656,447  
    15,020,000    

3.37%, 01/23/2026, (3.37% fixed rate until 01/23/2025; 3 mo. USD LIBOR + 0.810% thereafter)(6)

    15,711,825  
    760,000    

3.46%, 03/15/2025, (3.46% fixed rate until 03/15/2024; 3 mo. USD LIBOR + 0.970% thereafter)(6)

    794,071  
    7,025,000    

3.56%, 04/23/2027, (3.56% fixed rate until 04/23/2026; 3 mo. USD LIBOR + 1.060% thereafter)(6)

    7,420,938  
    9,280,000    

3.71%, 04/24/2028, (3.71% fixed rate until 04/24/2027; 3 mo. USD LIBOR + 1.512% thereafter)(6)

    9,922,957  
    9,550,000    

3.82%, 01/20/2028, (3.82% fixed rate until 01/20/2027; 3 mo. USD LIBOR + 1.575% thereafter)(6)

    10,277,262  
    5,015,000    

3.86%, 07/23/2024, (3.86% fixed rate until 07/23/2023; 3 mo. USD LIBOR + 0.940% thereafter)(6)

    5,295,254  
    4,795,000    

3.97%, 02/07/2030, (3.97% fixed rate until 02/07/2029; 3 mo. USD LIBOR + 1.210% thereafter)(6)

    5,232,559  
    5,895,000    

4.00%, 01/22/2025

    6,287,719  
    4,260,000    

4.10%, 07/24/2023

    4,547,730  
    2,450,000    

4.20%, 08/26/2024

    2,637,759  
    9,195,000    

4.33%, 03/15/2050, (4.33% fixed rate until 03/15/2049; 3 mo. USD LIBOR + 1.52% thereafter)(6)

    10,923,917  
    1,760,000    

5.00%, 01/21/2044

    2,243,553  
    9,525,000    

7.75%, 05/14/2038

    14,686,850  
    24,100,000    

Bank of Montreal 2.90%, 03/26/2022

    24,591,832  
   

Bank of New York Mellon Corp.

 

    17,290,000    

2.10%, 10/24/2024

    17,358,348  
    15,380,000    

2.20%, 08/16/2023

    15,468,586  
    4,525,000    

2.66%, 05/16/2023, (2.66% fixed rate until 05/16/2022; 3 mo. USD LIBOR + 0.634% thereafter)(6)

    4,590,428  
    8,855,000    

2.99%, 10/30/2023, 3 mo. USD LIBOR + 1.050%(1)

    9,004,700  
   

Barclays plc

 

    2,205,000    

3.68%, 01/10/2023

    2,255,258  
    12,795,000    

3.93%, 05/07/2025, (3.93% fixed rate until 05/07/2024; 3 mo. USD LIBOR + 1.610% thereafter)(6)

    13,348,603  
   

BB&T Corp.

 

    4,005,000    

2.20%, 03/16/2023

    4,023,583  
    15,195,000    

2.50%, 08/01/2024

    15,395,011  
    16,265,000    

3.05%, 06/20/2022

    16,688,607  
    9,840,000    

Capital One Financial Corp. 3.75%, 07/28/2026

    10,383,582  
    375,000    

Citibank NA 3.65%, 01/23/2024

    398,260  
   

Citigroup, Inc.

 

    6,550,000    

2.70%, 10/27/2022

    6,658,740  
    5,290,000    

2.90%, 12/08/2021

    5,379,468  
    4,855,000    

2.98%, 11/05/2030, (2.98% fixed rate until 11/05/2029; 3 mo. USD LIBOR + 1.422% thereafter)(6)

    4,895,911  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  32  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Commercial Banks - 10.5% - (continued)  
$     7,420,000    

3.14%, 01/24/2023, (3.14% fixed rate until 01/24/2022; 3 mo. USD LIBOR + 0.722% thereafter)(6)

  $ 7,567,183  
    3,770,000    

3.20%, 10/21/2026

    3,909,935  
    14,050,000    

3.22%, 05/17/2024, 3 mo. USD LIBOR + 1.100%(1)

    14,223,452  
    17,135,000    

3.35%, 04/24/2025, (3.35% fixed rate until 04/24/2024; 3 mo. USD LIBOR + 0.897% thereafter)(6)

    17,826,562  
    10,570,000    

3.52%, 10/27/2028, (3.52% fixed rate until 10/27/2027; 3 mo. USD LIBOR + 1.151% thereafter)(6)

    11,126,991  
    38,350,000    

3.98%, 03/20/2030, (3.98% fixed rate until 03/20/2029; 3 mo. USD LIBOR + 1.338% thereafter)(6)

    41,805,469  
    7,440,000    

4.30%, 11/20/2026

    8,060,759  
    5,180,000    

4.45%, 09/29/2027

    5,698,942  
    2,585,000    

4.60%, 03/09/2026

    2,836,836  
   

Credit Suisse Group AG

 
    9,580,000    

3.00%, 12/14/2023, (3.00% fixed rate until 12/14/2022; 3 mo. USD LIBOR + 1.200% thereafter)(2)(6)

    9,717,934  
    9,725,000    

4.21%, 06/12/2024, (4.21% fixed rate until 06/12/2023; 3 mo. USD LIBOR + 1.240% thereafter)(2)(6)

    10,267,889  
    3,855,000    

6.25%, 12/18/2024, (6.25% fixed rate until 12/18/2024; 5 year USD Swap + 3.455% thereafter)(3)(5)(6)

    4,110,394  
   

Credit Suisse Group Funding Guernsey Ltd.

 
    5,870,000    

3.13%, 12/10/2020

    5,934,304  
    10,410,000    

3.80%, 09/15/2022

    10,848,785  
   

Discover Bank

 
    1,470,000    

3.35%, 02/06/2023

    1,517,511  
    5,855,000    

4.20%, 08/08/2023

    6,250,590  
    3,045,000    

Fifth Third Bancorp 2.38%, 01/28/2025

    3,059,301  
    19,000,000    

Fifth Third Bank 3.95%, 07/28/2025

    20,787,984  
    3,070,000    

Freedom Mortgage Corp. 8.13%, 11/15/2024(2)

    2,878,125  
   

Goldman Sachs Group, Inc.

 
    10,375,000    

2.35%, 11/15/2021

    10,412,784  
    9,635,000    

2.88%, 10/31/2022, (2.88% fixed rate until 10/31/2021; 3 mo. USD LIBOR + 0.821% thereafter)(6)

    9,766,614  
    14,115,000    

2.91%, 07/24/2023, (2.91% fixed rate until 07/24/2022; 3 mo. USD LIBOR + 0.990% thereafter)(6)

    14,331,430  
    18,540,000    

3.27%, 09/29/2025, (3.27% fixed rate until 09/29/2024; 3 mo. USD LIBOR + 1.201% thereafter)(6)

    19,169,127  
    7,115,000    

3.50%, 01/23/2025

    7,438,383  
    9,820,000    

3.50%, 11/16/2026

    10,231,247  
    7,105,000    

3.69%, 06/05/2028, (3.69% fixed rate until 06/05/2027; 3 mo. USD LIBOR + 1.510% thereafter)(6)

    7,503,682  
    6,425,000    

3.72%, 11/29/2023, 3 mo. USD LIBOR + 1.600%(1)

    6,635,125  
    6,800,000    

3.85%, 01/26/2027

    7,235,945  
    21,760,000    

4.02%, 10/31/2038, (4.02% fixed rate until 10/31/2037; 3 mo. USD LIBOR + 1.373% thereafter)(6)

    23,493,372  
    2,625,000    

4.80%, 07/08/2044

    3,191,894  
    1,835,000    

5.15%, 05/22/2045

    2,233,172  
    2,015,000    

Grupo Aval Ltd. 4.75%, 09/26/2022(3)

    2,090,159  
   

HSBC Holdings plc

 

    5,300,000    

2.65%, 01/05/2022

    5,357,022  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Commercial Banks - 10.5% - (continued)  
$     10,575,000    

3.03%, 11/22/2023, (3.03% fixed rate until 11/22/2022; 3 mo. USD LIBOR + 0.923% thereafter)(6)

  $ 10,811,718  
    4,695,000    

3.26%, 03/13/2023, (3.26% fixed rate until 03/13/2022; 3 mo. USD LIBOR + 1.055% thereafter)(6)

    4,798,487  
    13,270,000    

3.60%, 05/25/2023

    13,860,547  
    5,780,000    

3.97%, 05/22/2030, (3.97% fixed rate until 05/22/2029; 3 mo. USD LIBOR + 1.610% thereafter)(6)

    6,241,181  
    7,245,000    

4.25%, 03/14/2024

    7,693,580  
    6,755,000    

4.30%, 03/08/2026

    7,365,542  
    3,120,000    

4.58%, 06/19/2029, (4.58% fixed rate until 06/19/2028; 3 mo. USD LIBOR + 1.535% thereafter)(6)

    3,490,376  
    4,440,000    

6.80%, 06/01/2038

    6,251,797  
    1,205,000    

Industrial & Commercial Bank of China Ltd. 4.88%, 09/21/2025(3)

    1,320,596  
   

JP Morgan Chase & Co.

 
    16,200,000    

2.30%, 10/15/2025, (2.30% fixed rate until 10/15/2024; 3 mo. USD SOFR + 1.160% thereafter)(6)

    16,167,018  
    9,510,000    

2.60%, 02/01/2021, (2.60% fixed rate until 02/01/2020; 3 mo. USD LIBOR + 0.280% thereafter)(6)

    9,522,780  
    11,795,000    

2.74%, 10/15/2030, (2.74% fixed rate until 10/15/2029; 3 mo. USD SOFR + 1.510% thereafter)(6)

    11,764,567  
    8,300,000    

2.78%, 04/25/2023, (2.78% fixed rate until 04/25/2022; 3 mo. USD LIBOR + 0.935% thereafter)(6)

    8,419,341  
    22,475,000    

2.97%, 01/15/2023

    22,910,193  
    8,000,000    

3.17%, 10/24/2023, 3 mo. USD LIBOR + 1.230%(1)

    8,139,723  
    16,310,000    

3.21%, 04/01/2023, (3.21% fixed rate until 04/01/2022; 3 mo. USD LIBOR + 0.695% thereafter)(6)

    16,702,040  
    9,440,000    

3.22%, 03/01/2025, (3.22% fixed rate until 03/01/2024; 3 mo. USD LIBOR + 1.155% thereafter)(6)

    9,785,784  
    19,950,000    

3.30%, 04/01/2026

    20,966,300  
    8,740,000    

3.70%, 05/06/2030, (3.70% fixed rate until 05/06/2029; 3 mo. USD LIBOR + 1.160% thereafter)(6)

    9,401,863  
    19,130,000    

3.80%, 07/23/2024, (3.80% fixed rate until 07/23/2023; 3 mo. USD LIBOR + 0.890% thereafter)(6)

    20,233,728  
    20,290,000    

3.88%, 07/24/2038, (3.88% fixed rate until 07/24/2037; 3 mo. USD LIBOR + 1.360% thereafter)(6)

    22,224,382  
    10,685,000    

3.96%, 01/29/2027, (3.96% fixed rate until 01/29/2026; 3 mo. USD LIBOR + 1.245% thereafter)(6)

    11,566,874  
    20,000,000    

3.96%, 11/15/2048, (3.96% fixed rate until 11/15/2047; 3 mo. USD LIBOR + 1.380% thereafter)(6)

    22,381,577  
    745,000    

4.02%, 12/05/2024, (4.02% fixed rate until 12/05/2023; 3 mo. USD LIBOR + 1.000% thereafter)(6)

    795,509  
    4,055,000    

4.26%, 02/22/2048, (4.26% fixed rate until 02/22/2047; 3 mo. USD LIBOR + 1.580% thereafter)(6)

    4,732,354  
    12,025,000    

KeyCorp. 2.55%, 10/01/2029

    11,770,285  
   

Morgan Stanley

 

    4,505,000    

2.50%, 04/21/2021

    4,537,766  
    13,795,000    

2.63%, 11/17/2021

    13,951,571  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  33  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Commercial Banks - 10.5% - (continued)  
$     7,795,000    

2.72%, 07/22/2025, (2.72% fixed rate until 07/22/2024; 3 mo. USD SOFR + 1.152% thereafter)(6)

  $ 7,904,155  
    19,330,000    

2.75%, 05/19/2022

    19,628,575  
    2,945,000    

3.13%, 01/23/2023

    3,030,192  
    8,665,000    

3.13%, 07/27/2026

    8,998,499  
    7,125,000    

3.34%, 10/24/2023, 3 mo. USD LIBOR + 1.400%(1)

    7,268,809  
    13,070,000    

3.59%, 07/22/2028, (3.59% fixed rate until 07/22/2027; 3 mo. USD LIBOR + 1.340% thereafter)(6)

    13,792,897  
    8,040,000    

3.63%, 01/20/2027

    8,573,670  
    2,935,000    

3.70%, 10/23/2024

    3,122,589  
    7,260,000    

3.74%, 04/24/2024, (3.74% fixed rate until 04/24/2023; 3 mo. USD LIBOR + 0.847% thereafter)(6)

    7,602,929  
    6,320,000    

3.95%, 04/23/2027

    6,732,580  
    9,690,000    

4.00%, 07/23/2025

    10,508,836  
    2,300,000    

4.35%, 09/08/2026

    2,505,001  
    2,845,000    

4.38%, 01/22/2047

    3,355,827  
    2,555,000    

4.43%, 01/23/2030, (4.43% fixed rate until 01/23/2029; 3 mo. USD LIBOR + 1.628% thereafter)(6)

    2,869,485  
    15,825,000    

4.46%, 04/22/2039, (4.46% fixed rate until 04/22/2038; 3 mo. USD LIBOR + 1.431% thereafter)(6)

    18,367,787  
   

PNC Bank NA

 

    7,465,000    

2.70%, 11/01/2022

    7,598,286  
    3,600,000    

2.70%, 10/22/2029

    3,612,976  
   

PNC Financial Services Group, Inc.

 

    19,220,000    

3.45%, 04/23/2029

    20,700,739  
    4,310,000    

3.90%, 04/29/2024

    4,618,206  
    17,500,000    

Royal Bank of Canada 2.80%, 04/29/2022

    17,860,153  
   

Santander Holdings USA, Inc.

 

    6,970,000    

3.40%, 01/18/2023

    7,165,225  
    6,145,000    

3.70%, 03/28/2022

    6,317,043  
    8,700,000    

Santander UK Group Holdings plc 3.57%, 01/10/2023

    8,890,045  
   

State Street Corp.

 
    340,000    

3.70%, 11/20/2023

    362,732  
    7,445,000    

3.78%, 12/03/2024, (3.78% fixed rate until 12/03/2023; 3 mo. USD LIBOR + 0.770% thereafter)(6)

    7,891,570  
    13,325,000    

U.S. Bancorp 2.40%, 07/30/2024

    13,558,610  
    11,470,000    

UBS AG 2.45%, 12/01/2020(2)

    11,515,651  
    21,500,000    

UBS Group Funding Switzerland AG 2.65%, 02/01/2022(2)

    21,760,459  
    2,850,000    

Wachovia Corp. 5.50%, 08/01/2035

    3,618,595  
   

Wells Fargo & Co.

 
    8,500,000    

2.10%, 07/26/2021

    8,515,958  
    19,030,000    

2.41%, 10/30/2025, (2.41% fixed rate until 10/30/2024; 3 mo. USD LIBOR + 0.825% thereafter)(6)

    19,046,097  
    14,455,000    

2.63%, 07/22/2022

    14,650,459  
    4,885,000    

2.88%, 10/30/2030, (2.88% fixed rate until 10/30/2029; 3 mo. USD LIBOR + 1.170% thereafter)(6)

    4,900,590  
    7,285,000    

3.00%, 10/23/2026

    7,485,758  
    11,480,000    

3.07%, 01/24/2023

    11,705,246  
    7,100,000    

3.16%, 10/31/2023, 3 mo. USD LIBOR + 1.230%(1)

    7,224,404  
    9,965,000    

3.45%, 02/13/2023

    10,308,203  
    5,540,000    

3.75%, 01/24/2024

    5,862,255  
    4,080,000    

4.13%, 08/15/2023

    4,335,803  
    880,000    

4.40%, 06/14/2046

    997,787  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Commercial Banks - 10.5% - (continued)  
$     3,690,000    

4.65%, 11/04/2044

  $ 4,346,723  
    2,655,000    

4.75%, 12/07/2046

    3,171,218  
    3,026,000    

4.90%, 11/17/2045

    3,661,432  
    1,475,000    

5.38%, 11/02/2043

    1,868,220  
    4,408,000    

5.61%, 01/15/2044

    5,770,926  
   

Wells Fargo Bank NA

 
    10,000,000    

2.60%, 01/15/2021

    10,085,359  
    12,920,000    

3.55%, 08/14/2023

    13,583,082  
     

 

 

 
        1,366,987,979  
     

 

 

 
          Commercial Services - 0.4%  
    715,000    

Aeropuerto Internacional de Tocumen S.A. 6.00%, 11/18/2048(2)

    890,175  
   

APX Group, Inc.

 
    1,775,000    

7.63%, 09/01/2023(4)

    1,562,000  
    2,025,000    

7.88%, 12/01/2022

    2,022,469  
    2,620,000    

Ashtead Capital, Inc. 4.00%, 05/01/2028(2)

    2,629,825  
   

Atento Luxco 1 S.A.

 
    785,000    

6.13%, 08/10/2022(3)

    800,700  
    1,355,000    

6.13%, 08/10/2022(2)

    1,382,100  
    1,285,000    

Brand Industrial Services, Inc. 8.50%, 07/15/2025(2)

    1,246,450  
    190,000    

Cardtronics, Inc. / Cardtronics USA, Inc. 5.50%, 05/01/2025(2)

    196,175  
    1,410,000    

CommonSpirit Health 4.35%, 11/01/2042

    1,487,321  
    8,150,000    

Global Payments, Inc. 2.65%, 02/15/2025

    8,250,244  
    2,570,000    

Herc Holdings, Inc. 5.50%, 07/15/2027(2)

    2,663,162  
   

IHS Markit Ltd.

 
    385,000    

3.63%, 05/01/2024

    402,514  
    11,565,000    

4.13%, 08/01/2023

    12,216,456  
   

Moody’s Corp.

 
    11,195,000    

2.63%, 01/15/2023

    11,369,831  
    6,230,000    

2.75%, 12/15/2021

    6,326,425  
   

Service Corp. International

 

    775,000    

4.63%, 12/15/2027

    809,875  
    550,000    

5.13%, 06/01/2029

    585,750  
   

United Rentals North America, Inc.

 
    330,000    

3.88%, 11/15/2027

    333,382  
    2,035,000    

5.88%, 09/15/2026

    2,155,920  
     

 

 

 
        57,330,774  
     

 

 

 
          Construction Materials - 0.1%  
    2,971,000    

Johnson Controls International plc 4.63%, 07/02/2044

    3,210,331  
    1,280,000    

Norbord, Inc. 5.75%, 07/15/2027(2)

    1,324,800  
    3,925,000    

Standard Industries, Inc. 5.38%, 11/15/2024(2)

    4,038,040  
     

 

 

 
        8,573,171  
     

 

 

 
          Distribution/Wholesale - 0.0%  
   

American Builders & Contractors Supply Co., Inc.

 
    1,041,000    

4.00%, 01/15/2028(2)

    1,038,397  
    1,400,000    

5.75%, 12/15/2023(2)

    1,439,900  
    1,600,000    

Core & Main Holdings L.P. (8.63% Cash, 9.38% PIK) 8.63%, 09/15/2024(2)(7)

    1,592,000  
    950,000    

IAA, Inc. 5.50%, 06/15/2027(2)

    1,017,830  
    875,000    

Performance Food Group, Inc. 5.50%, 10/15/2027(2)

    925,313  
     

 

 

 
        6,013,440  
     

 

 

 
          Diversified Financial Services - 0.8%  
    9,020,000    

AIG Global Funding 2.15%, 07/02/2020(2)

    9,034,525  
    1,950,000    

Ally Financial, Inc. 3.88%, 05/21/2024

    2,036,580  
    6,740,000    

American Express Co. 3.70%, 11/05/2021

    6,972,670  
    1,325,000    

Credit Acceptance Corp. 6.63%, 03/15/2026(2)

    1,407,813  
    1,170,000    

Fly Leasing Ltd. 5.25%, 10/15/2024

    1,205,100  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  34  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Diversified Financial Services - 0.8% - (continued)  
$     10,404,000    

GE Capital International Funding Co. 4.42%, 11/15/2035

  $ 10,980,876  
    3,640,000    

goeasy Ltd. 7.88%, 11/01/2022(2)

    3,781,050  
    740,000    

Intercontinental Exchange, Inc. 3.75%, 12/01/2025

    799,499  
    625,000    

Minejesa Capital B.V. 5.63%, 08/10/2037(3)

    686,459  
   

Nasdaq, Inc.

 
    1,805,000    

3.85%, 06/30/2026

    1,940,847  
    16,765,000    

4.25%, 06/01/2024

    18,118,839  
   

National Rural Utilities Cooperative Finance Corp.

 
    6,625,000    

3.25%, 11/01/2025

    6,981,263  
    14,585,000    

3.70%, 03/15/2029

    16,133,980  
   

Navient Corp.

 
    1,687,000    

5.50%, 01/25/2023

    1,752,371  
    210,000    

5.63%, 08/01/2033

    182,700  
    1,816,000    

6.50%, 06/15/2022

    1,943,120  
   

Springleaf Finance Corp.

 
    1,430,000    

6.13%, 05/15/2022

    1,537,250  
    575,000    

6.13%, 03/15/2024

    628,906  
    255,000    

6.88%, 03/15/2025

    288,788  
    490,000    

7.13%, 03/15/2026

    558,600  
    1,610,000    

7.75%, 10/01/2021

    1,754,932  
    2,815,000    

8.25%, 12/15/2020

    2,994,456  
    4,330,000    

Tempo Acquisition LLC / Tempo Acquisition Finance Corp. 6.75%, 06/01/2025(2)

    4,454,488  
    3,665,000    

Visa, Inc. 3.15%, 12/14/2025

    3,917,960  
     

 

 

 
        100,093,072  
     

 

 

 
          Electric - 3.5%  
   

Abu Dhabi National Energy Co. PJSC

 
    785,000    

3.63%, 01/12/2023(3)

    806,588  
    340,000    

4.00%, 10/03/2049(2)

    345,644  
    300,000    

4.38%, 06/22/2026(3)

    323,631  
    285,000    

4.88%, 04/23/2030(2)

    322,546  
    613,000    

4.88%, 04/23/2030(3)

    693,757  
    527,000    

5.88%, 12/13/2021(3)

    562,140  
    4,430,000    

AEP Texas, Inc. 3.80%, 10/01/2047

    4,795,908  
    2,565,000    

AEP Transmission Co. LLC 3.10%, 12/01/2026

    2,682,140  
    4,100,000    

AES Corp. 5.13%, 09/01/2027

    4,407,418  
    2,663,000    

Alabama Power Co. 3.55%, 12/01/2023

    2,824,397  
    9,630,000    

Appalachian Power Co. 4.50%, 03/01/2049

    11,645,258  
    5,210,000    

Baltimore Gas & Electric Co. 3.50%, 11/15/2021

    5,350,874  
   

Berkshire Hathaway Energy Co.

 
    15,710,000    

3.25%, 04/15/2028

    16,658,568  
    370,000    

3.75%, 11/15/2023

    393,448  
    500,000    

5.95%, 05/15/2037

    689,404  
   

CenterPoint Energy, Inc.

 
    6,740,000    

2.50%, 09/01/2022

    6,800,333  
    810,000    

2.50%, 09/01/2024

    815,022  
    1,155,000    

Centrais Electricas Brasileiras S.A. 5.75%, 10/27/2021(3)

    1,209,141  
   

Cleco Corporate Holdings LLC

 
    5,340,000    

3.38%, 09/15/2029(2)

    5,331,824  
    3,770,000    

3.74%, 05/01/2026

    3,888,088  
   

Commonwealth Edison Co.

 
    605,000    

3.65%, 06/15/2046

    660,298  
    14,120,000    

3.70%, 08/15/2028

    15,502,084  
    1,120,000    

4.35%, 11/15/2045

    1,339,422  
   

Consolidated Edison Co. of New York, Inc.

 
    865,000    

4.50%, 12/01/2045

    1,031,193  
    5,050,000    

4.50%, 05/15/2058

    6,027,494  
    1,930,000    

Dominion Energy South Carolina, Inc. 5.30%, 05/15/2033

    2,454,669  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Electric - 3.5% - (continued)  
   

Dominion Energy, Inc.

 
$     11,710,000    

3.90%, 10/01/2025

  $ 12,592,526  
    8,512,000    

4.25%, 06/01/2028

    9,543,283  
    3,390,000    

7.00%, 06/15/2038

    4,772,884  
   

DTE Energy Co.

 
    655,000    

2.60%, 06/15/2022

    661,847  
    4,150,000    

3.80%, 03/15/2027

    4,472,434  
   

Duke Energy Carolinas LLC

 
    9,845,000    

2.95%, 12/01/2026

    10,311,192  
    3,270,000    

3.75%, 06/01/2045

    3,586,177  
    3,305,000    

3.88%, 03/15/2046

    3,720,717  
    3,000,000    

5.30%, 02/15/2040

    3,917,218  
   

Duke Energy Corp.

 
    4,000,000    

2.65%, 09/01/2026

    4,038,376  
    3,000,000    

3.95%, 10/15/2023

    3,192,484  
   

Duke Energy Progress LLC

 
    2,060,000    

4.10%, 05/15/2042

    2,347,083  
    1,940,000    

4.15%, 12/01/2044

    2,221,890  
    6,845,000    

4.20%, 08/15/2045

    7,928,785  
    2,730,000    

4.38%, 03/30/2044

    3,225,556  
   

Emera U.S. Finance L.P.

 
    385,000    

3.55%, 06/15/2026

    404,368  
    1,755,000    

4.75%, 06/15/2046

    2,060,098  
    460,000    

Empresa Electrica Guacolda S.A. 4.56%, 04/30/2025(3)

    396,335  
   

Entergy Corp.

 
    1,930,000    

2.95%, 09/01/2026

    1,979,653  
    355,000    

4.00%, 07/15/2022

    371,359  
    801,000    

Eskom Holdings SOC Ltd. 5.75%, 01/26/2021(3)

    806,174  
   

Evergy, Inc.

 
    5,805,000    

2.45%, 09/15/2024

    5,839,275  
    7,110,000    

2.90%, 09/15/2029

    7,149,344  
   

Eversource Energy

 
    2,775,000    

2.80%, 05/01/2023

    2,819,490  
    9,905,000    

3.80%, 12/01/2023

    10,491,732  
    2,105,000    

Exelon Corp. 3.40%, 04/15/2026

    2,214,360  
    6,525,000    

FirstEnergy Corp. 7.38%, 11/15/2031

    9,272,722  
   

FirstEnergy Transmission LLC

 
    7,260,000    

4.35%, 01/15/2025(2)

    7,881,508  
    3,150,000    

4.55%, 04/01/2049(2)

    3,701,108  
    2,790,000    

5.45%, 07/15/2044(2)

    3,546,779  
   

Fortis, Inc.

 
    4,960,000    

2.10%, 10/04/2021

    4,956,413  
    4,372,000    

3.06%, 10/04/2026

    4,503,813  
   

Georgia Power Co.

 
    405,000    

2.20%, 09/15/2024

    404,416  
    4,570,000    

2.40%, 04/01/2021

    4,588,685  
    2,600,000    

Infraestructura Energetica Nova S.A.B. de C.V. 4.88%, 01/14/2048(2)

    2,476,500  
    835,000    

Instituto Costarricense de Electricidad 6.95%, 11/10/2021(3)

    847,533  
    7,155,000    

IPALCO Enterprises, Inc. 3.70%, 09/01/2024

    7,429,802  
   

Israel Electric Corp. Ltd.

 
    6,240,000    

4.25%, 08/14/2028(2)(3)

    6,769,838  
    1,195,000    

5.00%, 11/12/2024(2)(3)

    1,313,902  
   

ITC Holdings Corp.

 
    7,280,000    

2.70%, 11/15/2022

    7,390,539  
    6,355,000    

3.25%, 06/30/2026

    6,628,836  
    850,000    

Lamar Funding Ltd. 3.96%, 05/07/2025(3)

    793,633  
    4,308,000    

Metropolitan Edison Co. 4.30%, 01/15/2029(2)

    4,841,803  
    6,590,000    

Mid-Atlantic Interstate Transmission LLC 4.10%, 05/15/2028(2)

    7,261,029  
   

MidAmerican Energy Co.

 
    9,015,000    

3.65%, 04/15/2029

    9,985,235  
    2,598,000    

4.40%, 10/15/2044

    3,146,648  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  35  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Electric - 3.5% - (continued)  
$     660,000    

Minejesa Capital B.V. 4.63%, 08/10/2030(3)

  $ 682,288  
    765,000    

Mong Duong Finance Holdings B.V. 5.13%, 05/07/2029(2)

    778,001  
    390,000    

National Rural Utilities Cooperative Finance Corp. 2.85%, 01/27/2025

    401,707  
   

NextEra Energy Capital Holdings, Inc.

 
    375,000    

2.80%, 01/15/2023

    382,852  
    15,470,000    

3.15%, 04/01/2024

    16,079,389  
    1,445,000    

NextEra Energy Operating Partners L.P. 4.25%, 07/15/2024(2)

    1,484,304  
    2,330,000    

Northern States Power Co. 3.60%, 09/15/2047

    2,535,527  
   

Oncor Electric Delivery Co. LLC

 
    10,782,000    

2.95%, 04/01/2025

    11,210,337  
    3,915,000    

4.10%, 06/01/2022

    4,109,106  
    430,000    

Pacific Gas & Electric Co. 6.05%, 03/01/2034

    431,075  
   

PacifiCorp.

 
    3,500,000    

4.10%, 02/01/2042

    3,981,119  
    3,825,000    

4.15%, 02/15/2050

    4,532,513  
    9,625,000    

PECO Energy Co. 3.90%, 03/01/2048

    10,886,395  
    7,975,000    

Pennsylvania Electric Co. 3.25%, 03/15/2028(2)

    8,272,339  
    2,700,000    

Potomac Electric Power Co. 4.15%, 03/15/2043

    3,047,726  
    380,000    

PSEG Power LLC 3.85%, 06/01/2023

    401,216  
   

Public Service Co. of Colorado

 
    2,195,000    

3.60%, 09/15/2042

    2,372,832  
    235,000    

3.80%, 06/15/2047

    264,407  
    90,000    

4.05%, 09/15/2049

    106,895  
    8,830,000    

Public Service Enterprise Group, Inc. 2.88%, 06/15/2024

    9,062,411  
    750,000    

Puget Energy, Inc. 5.63%, 07/15/2022

    804,980  
   

SCANA Corp.

 
    2,197,000    

4.13%, 02/01/2022

    2,267,635  
    750,000    

4.75%, 05/15/2021

    769,362  
   

Sempra Energy

 
    755,000    

3.75%, 11/15/2025

    796,486  
    3,115,000    

4.00%, 02/01/2048

    3,262,008  
    9,647,000    

Sierra Pacific Power Co. 2.60%, 05/01/2026

    9,853,163  
   

Southern California Edison Co.

 
    4,695,000    

2.85%, 08/01/2029

    4,704,115  
    4,585,000    

4.00%, 04/01/2047

    4,819,999  
    580,000    

4.65%, 10/01/2043

    648,363  
    595,000    

5.63%, 02/01/2036

    705,664  
    1,775,000    

5.95%, 02/01/2038

    2,192,218  
    67,000    

6.00%, 01/15/2034

    81,909  
   

Southern Co.

 
    20,545,000    

2.75%, 06/15/2020

    20,625,824  
    7,055,000    

2.95%, 07/01/2023

    7,227,394  
    3,000,000    

3.25%, 07/01/2026

    3,131,634  
    5,345,000    

4.40%, 07/01/2046

    6,026,802  
    552,000    

Star Energy Geothermal Wayang Windu Ltd. 6.75%, 04/24/2033(2)

    585,293  
    775,000    

Termocandelaria Power Ltd. 7.88%, 01/30/2029(2)

    850,570  
    765,000    

Xcel Energy, Inc. 3.30%, 06/01/2025

    802,194  
     

 

 

 
        457,544,723  
     

 

 

 
          Electronics - 0.1%  
    15,019,000    

Fortive Corp. 3.15%, 06/15/2026

    15,455,694  
     

 

 

 
          Energy-Alternate Sources - 0.0%  
    800,000    

Azure Power Energy Ltd. 5.50%, 11/03/2022(3)

    808,952  
   

Greenko Dutch B.V.

 

    840,000    

4.88%, 07/24/2022(3)

    845,259  
    805,000    

5.25%, 07/24/2024(3)

    810,844  
     

 

 

 
        2,465,055  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Engineering & Construction - 0.1%  
$     200,000    

Aeropuerto Internacional de Tocumen S.A. 6.00%, 11/18/2048(3)

  $ 249,000  
    375,000    

Aeropuertos Argentina 2000 S.A. 6.88%, 02/01/2027(3)

    346,875  
    2,845,000    

Bioceanico Sovereign Certificate Ltd. 0.00%, 06/05/2034(2)(8)

    1,970,163  
   

Fluor Corp.

 
    390,000    

3.50%, 12/15/2024

    388,489  
    12,570,000    

4.25%, 09/15/2028

    12,442,610  
    3,255,000    

Mexico City Airport Trust 4.25%, 10/31/2026(3)

    3,328,237  
     

 

 

 
        18,725,374  
     

 

 

 
          Entertainment - 0.2%  
    2,775,000    

Caesars Resort Collection LLC / CRC Finco, Inc. 5.25%, 10/15/2025(2)

    2,840,907  
   

Eldorado Resorts, Inc.

 
    2,045,000    

6.00%, 04/01/2025

    2,149,806  
    405,000    

6.00%, 09/15/2026

    443,981  
    7,180,000    

GLP Capital L.P. / GLP Financing II, Inc. 5.30%, 01/15/2029

    7,938,136  
    1,320,000    

Golden Entertainment, Inc. 7.63%, 04/15/2026(2)

    1,387,650  
    4,110,000    

Jacobs Entertainment, Inc. 7.88%, 02/01/2024(2)

    4,366,875  
    4,625,000    

Penn National Gaming, Inc. 5.63%, 01/15/2027(2)(4)

    4,763,750  
     

 

 

 
        23,891,105  
     

 

 

 
          Environmental Control - 0.3%  
   

Clean Harbors, Inc.

 
    2,042,000    

4.88%, 07/15/2027(2)

    2,128,663  
    905,000    

5.13%, 07/15/2029(2)

    963,825  
    19,005,000    

Republic Services, Inc. 2.50%, 08/15/2024

    19,321,831  
    1,535,000    

Stericycle, Inc. 5.38%, 07/15/2024(2)

    1,596,400  
    3,910,000    

Tervita Corp. 7.63%, 12/01/2021(2)

    3,861,125  
    5,365,000    

Waste Management, Inc. 2.95%, 06/15/2024

    5,561,311  
    1,170,000    

Waste Pro USA, Inc. 5.50%, 02/15/2026(2)

    1,208,025  
     

 

 

 
        34,641,180  
     

 

 

 
          Food - 0.7%  
    1,175,000    

B&G Foods, Inc. 5.25%, 09/15/2027

    1,172,062  
    1,030,000    

BRF S.A. 4.88%, 01/24/2030(2)

    1,027,322  
   

Conagra Brands, Inc.

 
    550,000    

4.30%, 05/01/2024

    590,097  
    1,880,000    

4.60%, 11/01/2025

    2,086,126  
    3,510,000    

5.30%, 11/01/2038

    4,116,867  
    6,705,000    

Danone S.A. 2.59%, 11/02/2023(2)

    6,821,459  
   

Hershey Co.

 
    7,500,000    

2.45%, 11/15/2029

    7,588,031  
    4,720,000    

3.13%, 11/15/2049

    4,815,030  
   

Kraft Heinz Foods Co.

 
    2,405,000    

4.38%, 06/01/2046

    2,349,771  
    1,870,000    

5.00%, 07/15/2035

    2,031,661  
    385,000    

McCormick & Co., Inc. 3.15%, 08/15/2024

    402,443  
   

Minerva Luxembourg S.A.

 
    880,000    

5.88%, 01/19/2028(3)

    897,160  
    265,000    

6.50%, 09/20/2026(2)

    276,594  
    960,000    

6.50%, 09/20/2026(3)

    1,002,000  
   

Nestle Holdings, Inc.

 
    12,065,000    

3.35%, 09/24/2023(2)

    12,695,854  
    11,500,000    

3.90%, 09/24/2038(2)

    13,180,984  
   

Post Holdings, Inc.

 
    3,010,000    

5.00%, 08/15/2026(2)

    3,130,701  
    1,320,000    

5.63%, 01/15/2028(2)

    1,412,400  
    2,865,000    

5.75%, 03/01/2027(2)

    3,050,165  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  36  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Food - 0.7% - (continued)  
   

TreeHouse Foods, Inc.

 
$     2,340,000    

4.88%, 03/15/2022

  $ 2,348,775  
    605,000    

6.00%, 02/15/2024(2)

    627,688  
   

Tyson Foods, Inc.

 
    5,000,000    

2.25%, 08/23/2021

    5,024,605  
    9,005,000    

4.00%, 03/01/2026

    9,834,763  
    9,330,000    

5.10%, 09/28/2048

    11,449,435  
     

 

 

 
        97,931,993  
     

 

 

 
          Food Service - 0.0%  
    1,450,000    

Aramark Services, Inc. 5.00%, 02/01/2028(2)

    1,515,250  
     

 

 

 
          Forest Products & Paper - 0.0%  
   

Celulosa Arauco y Constitucion S.A.

 
    335,000    

4.20%, 01/29/2030(2)

    334,330  
    870,000    

4.50%, 08/01/2024

    904,808  
    350,000    

5.15%, 01/29/2050(2)

    345,870  
    505,000    

5.50%, 04/30/2049(2)

    532,144  
    1,450,000    

Schweitzer-Mauduit International, Inc. 6.88%, 10/01/2026(2)

    1,547,875  
   

Suzano Austria GmbH

 
    530,000    

5.00%, 01/15/2030

    545,635  
    655,000    

6.00%, 01/15/2029

    723,775  
     

 

 

 
        4,934,437  
     

 

 

 
          Gas - 0.4%  
   

AmeriGas Partners L.P. / AmeriGas Finance Corp.

 
    692,000    

5.50%, 05/20/2025

    742,239  
    830,000    

5.75%, 05/20/2027

    908,850  
    2,738,000    

5.88%, 08/20/2026

    3,032,335  
    11,000,000    

Brooklyn Union Gas Co. 3.87%, 03/04/2029(2)

    12,156,901  
    6,070,000    

CenterPoint Energy Resources Corp. 4.50%, 01/15/2021

    6,211,865  
    15,000,000    

NiSource, Inc. 2.65%, 11/17/2022

    15,201,877  
    8,750,000    

Sempra Energy 2.40%, 02/01/2020

    8,754,198  
    405,000    

Southern Co. Gas Capital Corp. 2.45%, 10/01/2023

    408,195  
     

 

 

 
        47,416,460  
     

 

 

 
          Healthcare-Products - 0.8%  
   

Abbott Laboratories

 
    18,115,000    

2.90%, 11/30/2021

    18,480,539  
    5,425,000    

3.40%, 11/30/2023

    5,722,881  
    6,550,000    

4.75%, 11/30/2036

    8,050,348  
   

Alcon Finance Corp.

 
    400,000    

2.75%, 09/23/2026(2)

    408,373  
    1,565,000    

3.00%, 09/23/2029(2)

    1,597,173  
    2,785,000    

3.80%, 09/23/2049(2)

    2,897,238  
    5,340,000    

Avantor, Inc. 6.00%, 10/01/2024(2)

    5,707,819  
   

Becton Dickinson and Co.

 
    18,345,000    

2.89%, 06/06/2022

    18,704,050  
    16,390,000    

3.36%, 06/06/2024

    17,167,734  
   

Boston Scientific Corp.

 
    7,000,000    

3.38%, 05/15/2022

    7,231,927  
    7,160,000    

4.00%, 03/01/2028

    7,981,506  
    1,640,000    

Hill-Rom Holdings, Inc. 4.38%, 09/15/2027(2)

    1,689,200  
    2,465,000    

Sotera Health Holdings LLC 6.50%, 05/15/2023(2)

    2,511,219  
    1,680,000    

Stryker Corp. 4.63%, 03/15/2046

    2,053,961  
    4,055,000    

Thermo Fisher Scientific, Inc. 3.00%, 04/15/2023

    4,184,742  
     

 

 

 
        104,388,710  
     

 

 

 
          Healthcare-Services - 1.2%  
    10,165,000    

Aetna, Inc. 2.80%, 06/15/2023

    10,321,836  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Healthcare-Services - 1.2% - (continued)  
   

Anthem, Inc.

 

$     4,640,000    

2.38%, 01/15/2025

  $ 4,637,165  
    5,430,000    

2.88%, 09/15/2029

    5,378,266  
    4,760,000    

3.13%, 05/15/2022

    4,883,469  
    2,850,000    

3.30%, 01/15/2023

    2,958,536  
    3,175,000    

3.50%, 08/15/2024

    3,339,593  
    15,420,000    

3.65%, 12/01/2027

    16,308,478  
    5,325,000    

4.38%, 12/01/2047

    5,708,832  
    3,315,000    

4.63%, 05/15/2042

    3,656,210  
    415,000    

Catalent Pharma Solutions, Inc. 5.00%, 07/15/2027(2)

    433,675  
    510,000    

Charles River Laboratories International, Inc. 4.25%, 05/01/2028(2)

    519,614  
    1,560,000    

CHS/Community Health Systems, Inc. 8.13%, 06/30/2024(2)(4)

    1,185,600  
    3,165,000    

CommonSpirit Health 2.76%, 10/01/2024

    3,212,662  
    235,000    

Dignity Health 4.50%, 11/01/2042

    252,419  
    2,655,000    

HCA Healthcare, Inc. 6.25%, 02/15/2021

    2,781,112  
   

HCA, Inc.

 
    4,470,000    

4.13%, 06/15/2029

    4,735,540  
    4,840,000    

5.13%, 06/15/2039

    5,315,661  
    4,985,000    

5.38%, 02/01/2025

    5,477,269  
    1,500,000    

5.38%, 09/01/2026

    1,635,000  
    115,000    

5.63%, 09/01/2028

    129,231  
    2,125,000    

5.88%, 05/01/2023

    2,331,550  
    90,000    

5.88%, 02/01/2029

    102,038  
    1,627,000    

7.50%, 11/15/2095

    1,818,173  
   

Humana, Inc.

 
    3,555,000    

3.85%, 10/01/2024

    3,769,689  
    6,000,000    

3.95%, 03/15/2027

    6,429,389  
    385,000    

Laboratory Corp. of America Holdings 3.25%, 09/01/2024

    401,301  
   

UnitedHealth Group, Inc.

 
    6,505,000    

2.38%, 08/15/2024

    6,593,162  
    6,210,000    

2.88%, 08/15/2029

    6,383,737  
    1,200,000    

3.50%, 08/15/2039

    1,254,315  
    4,445,000    

3.70%, 12/15/2025

    4,821,179  
    2,280,000    

3.70%, 08/15/2049

    2,399,768  
    13,580,000    

3.88%, 12/15/2028

    15,052,866  
    3,605,000    

3.88%, 08/15/2059

    3,815,475  
    7,670,000    

4.63%, 07/15/2035

    9,290,707  
    1,981,000    

6.88%, 02/15/2038

    2,940,151  
    2,375,000    

West Street Merger Sub, Inc. 6.38%, 09/01/2025(2)

    2,262,187  
     

 

 

 
        152,535,855  
     

 

 

 
          Home Builders - 0.1%  
   

KB Home

 
    640,000    

4.80%, 11/15/2029

    645,200  
    1,450,000    

7.00%, 12/15/2021

    1,559,838  
   

M/I Homes, Inc.

 
    1,255,000    

5.63%, 08/01/2025

    1,305,200  
    2,440,000    

6.75%, 01/15/2021

    2,464,864  
    2,735,000    

Taylor Morrison Communities, Inc. 5.75%, 01/15/2028(2)

    3,029,012  
     

 

 

 
    9,004,114  
 

 

 

 
      Household Products - 0.0%  
    3,480,000    

Revlon Consumer Products Corp. 6.25%, 08/01/2024

    1,740,000  
     

 

 

 
      Household Products/Wares - 0.1%  
EUR     2,380,000    

Diamond (BC) B.V. 5.63%, 08/15/2025(3)

    2,429,319  
 

S.C. Johnson & Son, Inc.

 
$     2,520,000    

4.00%, 05/15/2043(2)

    2,708,682  
    1,840,000    

4.75%, 10/15/2046(2)

    2,265,494  
     

 

 

 
    7,403,495  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  37  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Housewares - 0.0%  
$     815,000    

Turkiye Sise ve Cam Fabrikalari AS 6.95%, 03/14/2026(3)

  $ 847,600  
     

 

 

 
      Insurance - 2.0%  
    1,905,000    

ACE Capital Trust II 9.70%, 04/01/2030

    2,838,450  
 

Acrisure LLC / Acrisure Finance, Inc.

 
    1,765,000    

7.00%, 11/15/2025(2)

    1,614,975  
    2,985,000    

8.13%, 02/15/2024(2)

    3,166,936  
    1,335,000    

10.13%, 08/01/2026(2)

    1,381,725  
 

American International Group, Inc.

 
    2,600,000    

3.30%, 03/01/2021

    2,642,256  
    750,000    

3.88%, 01/15/2035

    789,722  
    7,740,000    

4.25%, 03/15/2029

    8,593,255  
    1,182,000    

4.50%, 07/16/2044

    1,323,688  
    5,348,000    

4.70%, 07/10/2035

    6,139,598  
 

Aon plc

 
    4,775,000    

3.50%, 06/14/2024

    5,022,139  
    3,480,000    

3.88%, 12/15/2025

    3,764,343  
    2,300,000    

4.25%, 12/12/2042

    2,449,793  
    11,664,000    

4.75%, 05/15/2045

    13,869,813  
    21,555,000    

AXA Equitable Holdings, Inc. 4.35%, 04/20/2028

    23,240,492  
 

Berkshire Hathaway Finance Corp.

 
    7,845,000    

4.20%, 08/15/2048

    9,231,071  
    3,460,000    

4.40%, 05/15/2042

    4,119,526  
    9,800,000    

CNA Financial Corp. 3.45%, 08/15/2027

    10,236,531  
    840,000    

CNO Financial Group, Inc. 5.25%, 05/30/2029

    926,411  
 

Genworth Holdings, Inc.

 
    205,000    

4.80%, 02/15/2024

    190,137  
    900,000    

4.90%, 08/15/2023

    847,350  
    770,000    

7.20%, 02/15/2021

    787,325  
    1,250,000    

7.63%, 09/24/2021(4)

    1,296,875  
    65,000    

7.70%, 06/15/2020(4)

    66,300  
 

Lincoln National Corp.

 
    3,500,000    

3.05%, 01/15/2030

    3,535,549  
    380,000    

4.00%, 09/01/2023

    405,871  
 

Marsh & McLennan Cos., Inc.

 
    7,485,000    

2.75%, 01/30/2022

    7,603,251  
    3,290,000    

3.50%, 12/29/2020

    3,347,832  
    13,060,000    

3.88%, 03/15/2024

    13,944,133  
    3,900,000    

4.05%, 10/15/2023

    4,156,505  
    7,455,000    

4.75%, 03/15/2039

    9,047,043  
    1,625,000    

Massachusetts Mutual Life Insurance Co. 3.73%, 10/15/2070(2)

    1,608,578  
    8,334,000    

MassMutual Global Funding II 2.50%, 04/13/2022(2)

    8,444,476  
 

Metropolitan Life Global Funding I

 
    15,080,000    

2.40%, 01/08/2021(2)

    15,173,456  
    13,735,000    

3.00%, 09/19/2027(2)

    14,352,044  
    700,000    

MGIC Investment Corp. 5.75%, 08/15/2023

    769,125  
    4,940,000    

Nationwide Mutual Insurance Co. 9.38%, 08/15/2039(2)

    8,544,488  
   

New York Life Global Funding

 
    14,915,000    

1.95%, 09/28/2020(2)

    14,931,734  
    14,205,000    

3.00%, 01/10/2028(2)

    14,874,507  
    760,000    

Principal Financial Group, Inc. 3.40%, 05/15/2025

    799,052  
    1,345,000    

Radian Group, Inc. 4.50%, 10/01/2024

    1,407,206  
    4,715,000    

Trinity Acquisition plc 4.40%, 03/15/2026

    5,107,927  
   

Unum Group

 
    5,230,000    

4.00%, 06/15/2029

    5,497,713  
    4,640,000    

4.50%, 12/15/2049

    4,476,403  
   

Willis North America, Inc.

 
    755,000    

2.95%, 09/15/2029

    751,278  
    10,435,000    

3.60%, 05/15/2024

    10,921,076  
    5,525,000    

3.88%, 09/15/2049

    5,474,557  
     

 

 

 
        259,712,515  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Internet - 0.6%  
   

Alibaba Group Holding Ltd.

 
$     6,515,000    

3.40%, 12/06/2027

  $ 6,766,880  
    8,875,000    

4.00%, 12/06/2037

    9,578,808  
   

Amazon.com, Inc.

 
    13,385,000    

3.88%, 08/22/2037

    15,219,544  
    2,207,000    

4.80%, 12/05/2034

    2,755,260  
    5,535,000    

4.95%, 12/05/2044

    7,236,417  
   

Tencent Holdings Ltd.

 
    22,630,000    

3.60%, 01/19/2028(2)

    23,579,679  
    10,000,000    

3.98%, 04/11/2029(2)

    10,762,196  
     

 

 

 
        75,898,784  
     

 

 

 
          Iron/Steel - 0.1%  
    795,000    

ABJA Investment Co. Pte Ltd. 4.45%, 07/24/2023(3)

    798,529  
   

CSN Resources S.A.

 
    340,000    

7.63%, 02/13/2023(2)

    352,240  
    1,025,000    

7.63%, 04/17/2026(2)

    1,040,375  
   

JSW Steel Ltd.

 
    620,000    

5.25%, 04/13/2022(3)

    628,981  
    385,000    

5.95%, 04/18/2024(3)

    394,207  
    1,425,000    

Metinvest B.V. 7.75%, 10/17/2029(2)

    1,408,755  
   

Steel Dynamics, Inc.

 
    385,000    

4.13%, 09/15/2025

    393,701  
    1,770,000    

5.50%, 10/01/2024

    1,823,596  
    470,000    

United States Steel Corp. 6.25%, 03/15/2026(4)

    393,526  
     

 

 

 
        7,233,910  
     

 

 

 
          IT Services - 0.9%  
   

Apple, Inc.

 
    6,315,000    

1.80%, 09/11/2024

    6,295,418  
    4,475,000    

2.20%, 09/11/2029

    4,401,347  
    8,650,000    

2.90%, 09/12/2027

    9,053,081  
    5,015,000    

2.95%, 09/11/2049

    4,848,416  
    2,600,000    

3.75%, 11/13/2047

    2,930,629  
    1,300,000    

3.85%, 05/04/2043

    1,459,239  
    3,865,000    

3.85%, 08/04/2046

    4,359,391  
    2,895,000    

4.25%, 02/09/2047

    3,468,373  
    3,990,000    

4.38%, 05/13/2045

    4,828,645  
    1,120,000    

4.45%, 05/06/2044

    1,365,565  
    5,000,000    

4.65%, 02/23/2046

    6,266,230  
   

International Business Machines Corp.

 
    12,770,000    

2.85%, 05/13/2022

    13,064,669  
    16,230,000    

3.00%, 05/15/2024

    16,855,266  
    16,120,000    

3.50%, 05/15/2029

    17,328,192  
    12,435,000    

4.15%, 05/15/2039

    14,134,746  
    3,815,000    

4.25%, 05/15/2049

    4,346,866  
     

 

 

 
    115,006,073  
 

 

 

 
      Lodging - 0.3%  
    3,880,000    

Boyd Gaming Corp. 6.38%, 04/01/2026

    4,122,500  
    520,000    

Caesars Entertainment Corp. 5.00%, 10/01/2024

    920,531  
    3,895,000    

FelCor Lodging L.P. 6.00%, 06/01/2025

    4,065,406  
    3,267,000    

Hilton Domestic Operating Co., Inc. 4.25%, 09/01/2024

    3,324,173  
    2,720,000    

Jack Ohio Finance LLC / Jack Ohio Finance Corp. 6.75%, 11/15/2021(2)

    2,777,800  
 

Las Vegas Sands Corp.

 
    395,000    

3.20%, 08/08/2024

    404,166  
    10,205,000    

3.50%, 08/18/2026

    10,401,216  
    1,250,000    

MGM Resorts International 5.50%, 04/15/2027

    1,375,000  
    3,105,000    

Sugarhouse HSP Gaming Prop Mezz L.P. / Sugarhouse HSP Gaming Finance Corp. 5.88%, 05/15/2025(2)

    3,073,950  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  38  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Lodging - 0.3% - (continued)  
$     2,660,000    

Wynn Las Vegas LLC / Wynn Las Vegas Capital Corp. 5.50%, 03/01/2025(2)

  $ 2,826,250  
     

 

 

 
    33,290,992  
 

 

 

 
      Machinery-Construction & Mining - 0.1%  
 

Caterpillar Financial Services Corp.

 
    3,095,000    

2.55%, 11/29/2022

    3,161,798  
    11,770,000    

2.65%, 05/17/2021

    11,913,080  
    390,000    

2.85%, 05/17/2024

    402,117  
     

 

 

 
    15,476,995  
 

 

 

 
      Machinery-Diversified - 0.1%  
    439,000    

Cloud Crane LLC 10.13%, 08/01/2024(2)

    463,694  
    14,610,000    

Stanley Black & Decker, Inc. 3.40%, 03/01/2026

    15,550,843  
     

 

 

 
    16,014,537  
 

 

 

 
      Media - 3.3%  
 

Altice France S.A.

 
    4,020,000    

7.38%, 05/01/2026(2)

    4,304,797  
    2,975,000    

8.13%, 02/01/2027(2)

    3,298,531  
 

Altice Luxembourg S.A.

 
    2,020,000    

7.63%, 02/15/2025(2)

    2,083,125  
EUR     1,330,000    

8.00%, 05/15/2027(3)

    1,626,314  
$     200,000    

Cable Onda S.A. 4.50%, 01/30/2030(2)

    202,654  
 

CBS Corp.

 
    16,430,000    

2.90%, 06/01/2023

    16,724,802  
    10,305,000    

3.50%, 01/15/2025

    10,753,138  
    380,000    

3.70%, 08/15/2024

    399,625  
    2,810,000    

3.70%, 06/01/2028

    2,942,056  
 

CCO Holdings LLC / CCO Holdings Capital Corp.

 
    2,280,000    

5.13%, 05/01/2023(2)

    2,334,150  
    1,600,000    

5.25%, 09/30/2022

    1,622,000  
    2,510,000    

5.75%, 09/01/2023

    2,560,200  
    31,000    

5.75%, 01/15/2024

    31,766  
    1,550,000    

5.75%, 02/15/2026(2)

    1,636,800  
 

Charter Communications Operating LLC / Charter Communications Operating Capital

 
    4,635,000    

4.46%, 07/23/2022

    4,872,605  
    8,605,000    

4.91%, 07/23/2025

    9,480,818  
    6,230,000    

5.13%, 07/01/2049

    6,655,441  
    10,990,000    

5.38%, 05/01/2047

    12,073,804  
    4,595,000    

5.75%, 04/01/2048

    5,281,229  
    8,613,000    

6.48%, 10/23/2045

    10,591,653  
 

Comcast Corp.

 
    5,265,000    

2.65%, 02/01/2030

    5,315,965  
    10,280,000    

3.20%, 07/15/2036

    10,444,705  
    5,520,000    

3.25%, 11/01/2039

    5,596,265  
    5,005,000    

3.40%, 07/15/2046

    5,083,439  
    2,465,000    

3.45%, 02/01/2050

    2,529,343  
    6,797,000    

3.70%, 04/15/2024

    7,269,276  
    9,100,000    

3.95%, 10/15/2025

    9,975,500  
    10,468,000    

4.05%, 11/01/2052

    11,648,350  
    12,115,000    

4.25%, 10/15/2030

    13,914,133  
    4,530,000    

4.40%, 08/15/2035

    5,250,451  
    6,230,000    

4.60%, 10/15/2038

    7,402,607  
    5,000,000    

4.60%, 08/15/2045

    5,990,157  
    6,540,000    

4.95%, 10/15/2058

    8,447,947  
    446,000    

7.05%, 03/15/2033

    639,524  
 

Cox Communications, Inc.

 
    13,234,000    

3.15%, 08/15/2024(2)

    13,686,129  
    8,763,000    

4.50%, 06/30/2043(2)

    9,224,560  
    1,936,000    

4.70%, 12/15/2042(2)

    2,083,082  
    7,593,000    

4.80%, 02/01/2035(2)

    8,287,469  
    2,604,000    

6.45%, 12/01/2036(2)

    3,341,182  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Media - 3.3% - (continued)  
 

CSC Holdings LLC

 
$     2,510,000    

5.50%, 04/15/2027(2)

  $ 2,660,625  
    3,480,000    

6.50%, 02/01/2029(2)

    3,886,725  
 

Discovery Communications LLC

 
    3,786,000    

2.80%, 06/15/2020

    3,802,243  
    5,650,000    

2.95%, 03/20/2023

    5,755,060  
    380,000    

3.90%, 11/15/2024

    402,432  
    6,767,000    

3.95%, 06/15/2025

    7,155,224  
    2,443,000    

4.88%, 04/01/2043

    2,533,605  
    4,780,000    

5.00%, 09/20/2037

    5,190,841  
    14,845,000    

5.20%, 09/20/2047

    16,233,838  
 

DISH DBS Corp.

 
    1,645,000    

5.00%, 03/15/2023

    1,657,337  
    1,225,000    

5.88%, 07/15/2022

    1,281,117  
    895,000    

5.88%, 11/15/2024

    897,237  
    2,535,000    

6.75%, 06/01/2021

    2,661,750  
    830,000    

7.75%, 07/01/2026

    837,345  
 

Fox Corp.

 
    7,505,000    

4.03%, 01/25/2024(2)

    8,020,432  
    1,015,000    

4.71%, 01/25/2029(2)

    1,154,812  
    10,160,000    

5.48%, 01/25/2039(2)

    12,494,160  
 

Gray Television, Inc.

 
    2,160,000    

5.13%, 10/15/2024(2)

    2,238,300  
    630,000    

5.88%, 07/15/2026(2)

    662,300  
    1,345,000    

iHeartCommunications, Inc. 5.25%, 08/15/2027(2)

    1,387,636  
    685,000    

LCPR Senior Secured Financing DAC 6.75%, 10/15/2027(2)

    702,981  
    335,000    

Quebecor Media, Inc. 5.75%, 01/15/2023

    362,537  
 

Sinclair Television Group, Inc.

 
    825,000    

5.13%, 02/15/2027(2)(4)

    835,312  
    1,150,000    

5.63%, 08/01/2024(2)

    1,184,500  
    675,000    

5.88%, 03/15/2026(2)

    705,375  
    995,000    

6.13%, 10/01/2022

    1,007,428  
 

Sirius XM Radio, Inc.

 
    1,080,000    

4.63%, 07/15/2024(2)

    1,128,600  
    2,325,000    

5.50%, 07/01/2029(2)

    2,513,209  
    16,875,000    

Sky Ltd. 3.13%, 11/26/2022(2)

    17,428,238  
 

TEGNA, Inc.

 
    2,305,000    

4.88%, 09/15/2021(2)

    2,310,762  
    1,980,000    

6.38%, 10/15/2023

    2,036,925  
   

Time Warner Cable LLC

 
    295,000    

4.00%, 09/01/2021

    302,927  
    1,875,000    

4.50%, 09/15/2042

    1,876,562  
    1,300,000    

5.50%, 09/01/2041

    1,433,404  
    10,340,000    

5.88%, 11/15/2040

    11,817,266  
    2,825,000    

6.75%, 06/15/2039

    3,469,294  
    1,565,000    

Time Warner Entertainment Co. L.P. 8.38%, 07/15/2033

    2,171,798  
   

Viacom, Inc.

 
    2,840,000    

4.25%, 09/01/2023

    3,019,846  
    12,190,000    

4.38%, 03/15/2043

    12,571,329  
    11,655,000    

4.50%, 03/01/2021

    12,013,967  
    6,040,000    

5.85%, 09/01/2043

    7,394,602  
    1,320,000    

Videotron Ltd. 5.00%, 07/15/2022

    1,389,300  
   

Walt Disney Co.

 
    5,390,000    

3.38%, 11/15/2026(2)

    5,831,799  
    355,000    

4.00%, 10/01/2023(2)

    378,767  
    3,890,000    

4.95%, 10/15/2045(2)

    5,168,119  
    1,177,000    

5.40%, 10/01/2043(2)

    1,633,527  
    2,440,000    

6.40%, 12/15/2035(2)

    3,511,548  
    520,000    

6.65%, 11/15/2037(2)

    778,199  
    2,890,000    

WMG Acquisition Corp. 5.50%, 04/15/2026(2)

    3,034,500  
   

Ziggo B.V.

 
    435,000    

4.88%, 01/15/2030(2)

    442,752  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  39  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Media - 3.3% - (continued)  
$     2,815,000    

5.50%, 01/15/2027(2)

  $ 2,969,825  
     

 

 

 
        427,943,809  
     

 

 

 
          Metal Fabricate/Hardware - 0.1%  
    470,000    

Advanced Drainage Systems, Inc. 5.00%, 09/30/2027(2)

    480,575  
   

Novelis Corp.

 
    1,045,000    

5.88%, 09/30/2026(2)

    1,097,355  
    4,235,000    

6.25%, 08/15/2024(2)

    4,436,162  
    630,000    

TriMas Corp. 4.88%, 10/15/2025(2)

    641,025  
     

 

 

 
        6,655,117  
     

 

 

 
          Mining - 0.3%  
   

Anglo American Capital plc

 

    4,340,000    

4.00%, 09/11/2027(2)

    4,506,396  
    6,120,000    

4.50%, 03/15/2028(2)

    6,516,021  
    7,875,000    

4.75%, 04/10/2027(2)

    8,548,894  
    4,630,000    

4.88%, 05/14/2025(2)

    5,028,509  
    2,640,000    

Constellium SE 5.88%, 02/15/2026(2)

    2,752,200  
    495,000    

Corp. Nacional del Cobre de Chile 4.38%, 02/05/2049(2)

    548,143  
   

Glencore Finance Canada Ltd.

 
    330,000    

5.55%, 10/25/2042(2)

    353,697  
    5,030,000    

6.00%, 11/15/2041(2)

    5,696,976  
   

Glencore Funding LLC

 
    5,395,000    

4.00%, 03/27/2027(2)

    5,595,638  
    5,015,000    

4.13%, 03/12/2024(2)

    5,269,538  
    855,000    

MMC Norilsk Nickel OJSC Via MMC Finance DAC 3.38%, 10/28/2024(2)

    857,213  
     

 

 

 
        45,673,225  
     

 

 

 
          Miscellaneous Manufacturing - 0.1%  
    367,000    

General Electric Co. 4.13%, 10/09/2042

    374,611  
    13,030,000    

Ingersoll-Rand Global Holding Co., Ltd. 2.90%, 02/21/2021

    13,154,835  
    380,000    

Ingersoll-Rand Luxembourg Finance S.A. 3.55%, 11/01/2024

    399,164  
     

 

 

 
        13,928,610  
     

 

 

 
          Office/Business Equipment - 0.1%  
    1,050,000    

CDW LLC / CDW Finance Corp. 4.25%, 04/01/2028

    1,086,855  
   

Pitney Bowes, Inc.

 
    570,000    

4.63%, 03/15/2024(4)

    535,743  
    1,760,000    

5.20%, 04/01/2023

    1,733,600  
   

Xerox Corp.

 
    400,000    

3.80%, 05/15/2024

    402,000  
    4,050,000    

4.13%, 03/15/2023

    4,136,062  
     

 

 

 
        7,894,260  
     

 

 

 
          Oil & Gas - 1.6%  
    500,000    

Antero Resources Corp. 5.13%, 12/01/2022

    374,375  
    3,865,000    

BG Energy Capital plc 4.00%, 10/15/2021(2)

    4,005,353  
    3,690,000    

Blue Racer Midstream LLC / Blue Racer Finance Corp. 6.13%, 11/15/2022(2)

    3,625,425  
    8,835,000    

BP Capital Markets America, Inc. 3.22%, 11/28/2023

    9,211,735  
    1,560,000    

California Resources Corp. 8.00%, 12/15/2022(2)

    483,600  
    10,300,000    

Canadian Natural Resources Ltd. 3.85%, 06/01/2027

    10,899,244  
    2,050,000    

Centennial Resource Production LLC 5.38%, 01/15/2026(2)

    1,921,875  
   

Chesapeake Energy Corp.

 
    3,705,000    

7.00%, 10/01/2024

    2,500,875  
    1,575,000    

7.50%, 10/01/2026

    1,008,000  
    1,690,000    

8.00%, 06/15/2027(4)

    1,056,250  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Oil & Gas - 1.6% - (continued)  
$     1,925,000    

Cimarex Energy Co. 4.38%, 03/15/2029

  $ 2,006,430  
   

CNOOC Finance Ltd.

 
    3,030,000    

2.88%, 09/30/2029

    3,016,736  
    3,610,000    

3.00%, 05/09/2023

    3,662,368  
   

Continental Resources, Inc.

 
    5,665,000    

3.80%, 06/01/2024

    5,793,708  
    3,335,000    

4.38%, 01/15/2028

    3,436,508  
    450,000    

4.50%, 04/15/2023

    468,744  
   

Devon Energy Corp.

 
    2,735,000    

4.75%, 05/15/2042

    3,001,247  
    1,085,000    

5.00%, 06/15/2045

    1,234,490  
    1,010,000    

Ecopetrol S.A. 5.88%, 09/18/2023

    1,119,534  
    2,055,000    

Energen Corp. 4.63%, 09/01/2021

    2,085,825  
    440,000    

EP Energy LLC / Everest Acquisition Finance, Inc. 7.75%, 05/15/2026(2)

    305,800  
    4,520,000    

Equinor ASA 2.65%, 01/15/2024

    4,647,397  
    495,000    

Gazprom OAO Via Gaz Capital S.A. 3.85%, 02/06/2020(3)

    496,333  
   

Hess Corp.

 
    5,125,000    

4.30%, 04/01/2027

    5,385,636  
    5,528,000    

5.60%, 02/15/2041

    6,196,591  
    773,000    

5.80%, 04/01/2047

    898,045  
    1,445,000    

6.00%, 01/15/2040

    1,645,364  
    7,742,000    

7.30%, 08/15/2031

    9,754,772  
    700,000    

7.88%, 10/01/2029

    897,147  
   

Hunt Oil Co. of Peru LLC Sucursal Del Peru

 
    870,000    

6.38%, 06/01/2028(2)

    958,087  
    360,000    

6.38%, 06/01/2028(3)

    396,450  
    2,960,000    

Jagged Peak Energy LLC 5.88%, 05/01/2026

    2,989,600  
    2,640,000    

Matador Resources Co. 5.88%, 09/15/2026

    2,531,100  
    1,160,000    

Medco Oak Tree Pte Ltd. 7.38%, 05/14/2026(2)

    1,180,934  
   

MEG Energy Corp.

 
    1,765,000    

6.38%, 01/30/2023(2)

    1,667,925  
    1,485,000    

6.50%, 01/15/2025(2)

    1,544,400  
    690,000    

7.00%, 03/31/2024(2)

    646,875  
   

Noble Energy, Inc.

 
    7,665,000    

6.00%, 03/01/2041

    8,880,427  
    2,020,000    

8.00%, 04/01/2027

    2,519,216  
    1,100,000    

Noble Holding International Ltd. 7.88%, 02/01/2026(2)

    726,000  
   

Occidental Petroleum Corp.

 
    4,610,000    

3.50%, 08/15/2029

    4,671,178  
    2,571,000    

4.50%, 07/15/2044

    2,602,813  
    4,160,000    

6.45%, 09/15/2036

    5,099,104  
   

Petrobras Global Finance B.V.

 
    3,126,000    

5.09%, 01/15/2030(2)

    3,312,778  
    625,000    

6.90%, 03/19/2049

    726,438  
   

Petroleos de Venezuela S.A.

 
    435,000    

6.00%, 05/16/2024(3)(9)

    26,100  
    190,000    

9.00%, 11/17/2021(3)(9)

    11,400  
   

Petroleos Mexicanos

 
    2,300,000    

5.35%, 02/12/2028

    2,271,250  
    5,410,000    

6.50%, 01/23/2029

    5,642,630  
    2,720,000    

6.84%, 01/23/2030(2)

    2,903,600  
    1,730,000    

7.69%, 01/23/2050(2)

    1,879,887  
   

QEP Resources, Inc.

 
    3,265,000    

5.25%, 05/01/2023

    3,101,750  
    1,575,000    

5.63%, 03/01/2026(4)

    1,409,625  
    230,000    

6.80%, 03/01/2020

    233,048  
   

Saudi Arabian Oil Co.

 
    2,240,000    

2.75%, 04/16/2022(2)

    2,265,335  
    13,859,000    

2.88%, 04/16/2024(2)

    14,070,682  
   

Shell International Finance B.V.

 
    2,040,000    

4.38%, 05/11/2045

    2,474,895  
    3,250,000    

4.55%, 08/12/2043

    3,981,322  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  40  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Oil & Gas - 1.6% - (continued)  
   

Sinopec Group Overseas Development Ltd.

 
$     6,155,000    

2.50%, 08/08/2024(2)

  $ 6,135,080  
    1,330,000    

2.95%, 08/08/2029(2)

    1,333,641  
   

SM Energy Co.

 
    2,550,000    

5.00%, 01/15/2024

    2,256,750  
    700,000    

5.63%, 06/01/2025

    593,264  
    355,000    

6.13%, 11/15/2022

    338,138  
    1,000,000    

6.63%, 01/15/2027(4)

    842,500  
    1,175,000    

6.75%, 09/15/2026(4)

    1,007,562  
    725,000    

State Oil Co. of the Azerbaijan Republic 4.75%, 03/13/2023(3)

    754,768  
   

Suncor Energy, Inc.

 
    350,000    

3.60%, 12/01/2024

    369,818  
    4,235,000    

4.00%, 11/15/2047

    4,534,163  
   

Sunoco L.P. / Sunoco Finance Corp.

 
    1,425,000    

5.50%, 02/15/2026

    1,473,236  
    820,000    

6.00%, 04/15/2027

    861,000  
    3,625,000    

Transocean, Inc. 6.80%, 03/15/2038

    2,233,906  
   

Valero Energy Corp.

 
    9,965,000    

4.00%, 04/01/2029

    10,650,402  
    1,800,000    

4.35%, 06/01/2028

    1,959,697  
    1,380,000    

6.63%, 06/15/2037

    1,800,751  
    2,670,000    

Vine Oil & Gas L.P. / Vine Oil & Gas Finance Corp. 8.75%, 04/15/2023(2)(4)

    1,014,600  
   

WPX Energy, Inc.

 
    1,220,000    

5.25%, 09/15/2024

    1,232,200  
    410,000    

5.75%, 06/01/2026

    412,050  
    1,240,000    

8.25%, 08/01/2023

    1,382,600  
    540,000    

YPF S.A. 6.95%, 07/21/2027(3)

    403,115  
     

 

 

 
        213,453,497  
     

 

 

 
          Packaging & Containers - 0.2%  
    3,780,000    

ARD Finance S.A. (7.13% Cash, 7.88% PIK) 7.13%, 09/15/2023(7)

    3,926,475  
   

Ardagh Packaging Finance plc / Ardagh Holdings USA, Inc.

 
    1,040,000    

4.13%, 08/15/2026(2)

    1,051,388  
    3,135,000    

5.25%, 08/15/2027(2)

    3,213,375  
    725,000    

6.00%, 02/15/2025(2)

    761,250  
    2,055,000    

Crown Americas LLC / Crown Americas Capital Corp. 4.75%, 02/01/2026

    2,156,312  
    4,355,000    

Flex Acquisition Co., Inc. 6.88%, 01/15/2025(2)

    4,082,812  
    390,000    

OI European Group B.V. 4.00%, 03/15/2023(2)

    388,050  
   

Owens-Brockway Glass Container, Inc.

 
    2,960,000    

5.88%, 08/15/2023(2)

    3,126,500  
    2,710,000    

6.38%, 08/15/2025(2)

    2,855,662  
   

Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC / Reynolds Group Issuer Lu

 
    3,240,000    

5.13%, 07/15/2023(2)

    3,324,078  
    1,155,000    

7.00%, 07/15/2024(2)

    1,195,425  
    415,000    

Trivium Packaging Finance B.V. 5.50%, 08/15/2026(2)

    434,713  
     

 

 

 
        26,516,040  
     

 

 

 
          Pharmaceuticals - 2.6%  
    3,990,000    

Abbott Laboratories 2.55%, 03/15/2022

    4,053,797  
    14,100,000    

AbbVie, Inc. 2.50%, 05/14/2020

    14,139,138  
    2,840,000    

Allergan Finance LLC 4.63%, 10/01/2042

    2,967,865  
   

Allergan Funding SCS

 
    19,545,000    

3.45%, 03/15/2022

    20,026,825  
    385,000    

3.80%, 03/15/2025

    404,992  
    2,500,000    

4.85%, 06/15/2044

    2,692,510  
   

AstraZeneca plc

 
    5,100,000    

2.38%, 11/16/2020

    5,123,097  
    11,865,000    

3.38%, 11/16/2025

    12,548,973  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Pharmaceuticals - 2.6% - (continued)  
   

Bausch Health Cos., Inc.

 
$     327,000    

5.50%, 03/01/2023(2)

  $ 329,861  
    3,685,000    

5.88%, 05/15/2023(2)

    3,740,275  
    1,970,000    

6.13%, 04/15/2025(2)

    2,045,106  
    2,550,000    

7.00%, 01/15/2028(2)

    2,750,812  
    360,000    

9.00%, 12/15/2025(2)

    404,172  
    390,000    

Baxalta, Inc. 3.60%, 06/23/2022

    400,710  
   

Bayer U.S. Finance LLC

 
    1,235,000    

2.85%, 04/15/2025(2)

    1,204,337  
    2,900,000    

4.20%, 07/15/2034(2)

    3,045,828  
    7,820,000    

4.25%, 12/15/2025(2)

    8,410,537  
    7,276,000    

Bristol-Myers Squibb Co. 2.55%, 05/14/2021(2)

    7,356,751  
    575,000    

Cardinal Health, Inc. 4.37%, 06/15/2047

    565,993  
    535,000    

Catalent Pharma Solutions, Inc. 4.88%, 01/15/2026(2)

    552,387  
   

Cigna Corp.

 
    6,445,000    

3.05%, 10/15/2027(2)

    6,489,100  
    4,305,000    

3.25%, 04/15/2025(2)

    4,433,174  
    5,320,000    

3.88%, 10/15/2047(2)

    5,216,509  
    13,680,000    

4.13%, 11/15/2025

    14,816,388  
    18,500,000    

4.38%, 10/15/2028

    20,317,911  
   

CVS Health Corp.

 
    3,680,000    

3.00%, 08/15/2026

    3,741,761  
    8,875,000    

3.25%, 08/15/2029

    8,966,753  
    14,100,000    

4.10%, 03/25/2025

    15,147,600  
    16,780,000    

4.78%, 03/25/2038

    18,624,366  
    9,435,000    

5.13%, 07/20/2045

    10,875,337  
   

Endo Dac / Endo Finance LLC / Endo Finco, Inc.

 
    2,830,000    

5.88%, 10/15/2024(2)

    2,582,375  
    774,000    

6.00%, 07/15/2023(2)

    511,808  
    1,780,000    

6.00%, 02/01/2025(2)

    1,134,750  
   

GlaxoSmithKline Capital plc

 
    16,385,000    

2.88%, 06/01/2022

    16,766,960  
    6,225,000    

3.00%, 06/01/2024

    6,485,942  
    10,000,000    

GlaxoSmithKline Capital, Inc. 3.63%, 05/15/2025

    10,793,124  
    6,420,000    

Johnson & Johnson 3.63%, 03/03/2037

    7,196,474  
    17,275,000    

McKesson Corp. 3.65%, 11/30/2020

    17,571,258  
   

Merck & Co., Inc.

 
    10,135,000    

3.40%, 03/07/2029

    11,054,168  
    12,035,000    

3.90%, 03/07/2039

    13,946,430  
    5,840,000    

Mylan N.V. 5.25%, 06/15/2046

    6,262,574  
    3,600,000    

Mylan, Inc. 5.20%, 04/15/2048

    3,862,483  
    4,525,000    

Pfizer, Inc. 4.00%, 12/15/2036

    5,101,677  
    18,890,000    

Shire Acquisitions Investments Ireland DAC 2.40%, 09/23/2021

    19,007,603  
   

Teva Pharmaceutical Finance Netherlands B.V.

 
    1,450,000    

2.80%, 07/21/2023

    1,254,250  
    15,400,000    

3.15%, 10/01/2026

    11,588,500  
    1,735,000    

6.75%, 03/01/2028(4)

    1,556,499  
     

 

 

 
        338,069,740  
     

 

 

 
          Pipelines - 1.8%  
   

Cheniere Corpus Christi Holdings LLC

 
    3,917,000    

5.13%, 06/30/2027

    4,220,567  
    485,000    

5.88%, 03/31/2025

    537,787  
    1,154,000    

Cheniere Energy Partners L.P. 4.50%, 10/01/2029(2)

    1,175,638  
    3,725,000    

DCP Midstream Operating L.P. 5.38%, 07/15/2025

    3,917,024  
   

Energy Transfer Operating L.P.

 
    70,000    

4.25%, 03/15/2023

    73,376  
    7,330,000    

4.50%, 04/15/2024

    7,825,517  
    2,275,000    

4.90%, 03/15/2035

    2,376,536  
    1,190,000    

5.15%, 03/15/2045

    1,240,556  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  41  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Pipelines - 1.8% - (continued)  
$     6,000,000    

5.25%, 04/15/2029

  $ 6,748,718  
    895,000    

5.30%, 04/15/2047

    942,775  
    1,480,000    

5.50%, 06/01/2027

    1,661,634  
    1,710,000    

6.00%, 06/15/2048

    1,979,932  
    940,000    

6.05%, 06/01/2041

    1,060,156  
    2,895,000    

6.25%, 04/15/2049

    3,457,425  
    425,000    

7.50%, 10/15/2020

    445,934  
    265,000    

7.50%, 07/01/2038

    337,608  
    1,310,000    

EnLink Midstream Partners L.P. 4.15%, 06/01/2025

    1,182,105  
   

Enterprise Products Operating LLC

 
    3,085,000    

3.13%, 07/31/2029

    3,167,308  
    1,430,000    

4.20%, 01/31/2050

    1,512,244  
    730,000    

4.45%, 02/15/2043

    795,573  
    1,516,000    

4.85%, 08/15/2042

    1,746,152  
    3,310,000    

4.85%, 03/15/2044

    3,779,481  
    1,025,000    

5.10%, 02/15/2045

    1,196,485  
    1,300,000    

5.95%, 02/01/2041

    1,650,212  
   

EQM Midstream Partners L.P.

 
    5,540,000    

4.13%, 12/01/2026

    5,054,572  
    6,610,000    

4.75%, 07/15/2023

    6,540,759  
    5,985,000    

5.50%, 07/15/2028

    5,837,407  
    3,155,000    

Kinder Morgan Energy Partners L.P. 5.80%, 03/15/2035

    3,698,908  
    380,000    

Kinder Morgan, Inc. 5.30%, 12/01/2034

    437,345  
   

MPLX L.P.

 
    10,925,000    

4.25%, 12/01/2027(2)

    11,488,382  
    6,900,000    

4.90%, 04/15/2058

    6,851,485  
    1,990,000    

5.20%, 03/01/2047

    2,135,095  
    4,780,000    

5.20%, 12/01/2047(2)

    5,109,452  
    7,835,000    

ONEOK, Inc. 3.40%, 09/01/2029

    7,796,801  
   

Peru LNG Srl

 
    3,110,000    

5.38%, 03/22/2030(2)

    3,184,640  
    200,000    

5.38%, 03/22/2030(3)

    204,800  
    13,305,000    

Phillips 66 Partners L.P. 3.15%, 12/15/2029

    13,144,004  
    3,495,000    

Plains All American Pipeline L.P. / PAA Finance Corp. 4.30%, 01/31/2043

    3,073,564  
   

Sabine Pass Liquefaction LLC

 
    5,670,000    

5.00%, 03/15/2027

    6,227,944  
    10,695,000    

5.63%, 03/01/2025

    12,000,943  
    4,850,000    

5.88%, 06/30/2026

    5,569,020  
   

Sunoco Logistics Partners Operations L.P.

 
    1,520,000    

4.00%, 10/01/2027

    1,572,876  
    5,100,000    

5.30%, 04/01/2044

    5,411,019  
   

Tallgrass Energy Partners L.P. / Tallgrass Energy Finance Corp.

 
    1,145,000    

4.75%, 10/01/2023(2)

    1,116,375  
    400,000    

5.50%, 09/15/2024(2)

    389,000  
    5,750,000    

Targa Resources Partners L.P. / Targa Resources Partners Finance Corp. 6.50%, 07/15/2027(2)

    6,152,615  
    6,195,000    

Texas Eastern Transmission L.P. 3.50%, 01/15/2028(2)

    6,446,954  
   

TransCanada PipeLines Ltd.

 
    5,840,000    

4.63%, 03/01/2034

    6,666,520  
    10,590,000    

5.10%, 03/15/2049

    12,713,432  
    1,080,000    

6.20%, 10/15/2037

    1,384,696  
    380,000    

Transcanada Trust 5.50%, 09/15/2079, (5.50% fixed rate until 09/15/2029; 3 mo. USD LIBOR + 4.154% thereafter)(6)

    405,650  
    1,395,000    

Transportadora de Gas Internacional S.A. ESP 5.55%, 11/01/2028(2)

    1,612,969  
   

Valero Energy Partners L.P.

 
    5,310,000    

4.38%, 12/15/2026

    5,783,437  
    3,235,000    

4.50%, 03/15/2028

    3,545,659  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Pipelines - 1.8% - (continued)  
   

Western Midstream Operating L.P.

 
$     815,000    

3.95%, 06/01/2025

  $ 794,189  
    5,980,000    

4.50%, 03/01/2028

    5,705,394  
    460,000    

4.75%, 08/15/2028

    446,134  
    13,911,000    

5.30%, 03/01/2048

    11,790,232  
    2,055,000    

5.50%, 08/15/2048

    1,782,164  
   

Williams Cos., Inc.

 
    2,915,000    

4.50%, 11/15/2023

    3,115,748  
    4,205,000    

4.85%, 03/01/2048

    4,502,580  
    4,100,000    

5.40%, 03/04/2044

    4,550,667  
    2,120,000    

6.30%, 04/15/2040

    2,573,381  
     

 

 

 
        239,847,555  
     

 

 

 
          Real Estate - 0.0%  
    415,000    

Alpha Star Holding V Ltd. 6.63%, 04/18/2023(3)

    387,934  
     

 

 

 
          Real Estate Investment Trusts - 0.5%  
   

American Tower Corp.

 
    9,250,000    

2.25%, 01/15/2022

    9,286,855  
    390,000    

2.95%, 01/15/2025

    399,531  
   

Boston Properties L.P.

 
    5,720,000    

2.90%, 03/15/2030

    5,745,188  
    360,000    

3.85%, 02/01/2023

    378,257  
    385,000    

Brixmor Operating Partnership L.P. 3.65%, 06/15/2024

    401,708  
    8,745,000    

Crown Castle International Corp. 3.20%, 09/01/2024

    9,078,132  
    1,950,000    

HCP, Inc. 3.25%, 07/15/2026

    2,036,624  
    4,920,000    

Iron Mountain, Inc. 4.88%, 09/15/2029(2)

    5,036,850  
    780,000    

Kimco Realty Corp. 3.13%, 06/01/2023

    802,961  
   

Simon Property Group L.P.

 
    405,000    

2.00%, 09/13/2024

    404,200  
    5,450,000    

2.45%, 09/13/2029

    5,385,582  
    1,755,000    

3.25%, 09/13/2049

    1,739,347  
    365,000    

VEREIT Operating Partnership L.P. 4.63%, 11/01/2025

    400,776  
    780,000    

Vornado Realty L.P. 3.50%, 01/15/2025

    810,955  
    18,460,000    

Welltower, Inc. 3.63%, 03/15/2024

    19,480,934  
     

 

 

 
        61,387,900  
     

 

 

 
          Retail - 1.2%  
   

1011778 BC ULC / New Red Finance, Inc.

 
    455,000    

3.88%, 01/15/2028(2)

    457,412  
    5,230,000    

5.00%, 10/15/2025(2)

    5,360,750  
   

Beacon Roofing Supply, Inc.

 
    65,000    

4.50%, 11/15/2026(2)

    66,300  
    3,125,000    

4.88%, 11/01/2025(2)

    3,070,469  
   

CVS Health Corp.

 
    5,330,000    

2.75%, 12/01/2022

    5,421,447  
    3,407,000    

2.88%, 06/01/2026

    3,432,242  
    2,985,000    

3.70%, 03/09/2023

    3,112,180  
   

CVS Pass-Through Trust

 
    11,476    

6.04%, 12/10/2028

    12,924  
    25,991    

6.94%, 01/10/2030

    30,669  
   

Ferrellgas L.P. / Ferrellgas Finance Corp.

 
    466,000    

6.50%, 05/01/2021(4)

    391,440  
    1,470,000    

6.75%, 01/15/2022(4)

    1,231,125  
    1,112,000    

6.75%, 06/15/2023(4)

    939,640  
   

Home Depot, Inc.

 
    2,742,000    

3.50%, 09/15/2056

    2,929,136  
    9,050,000    

5.88%, 12/16/2036

    12,581,777  
   

KFC Holding Co. / Pizza Hut Holdings LLC / Taco Bell of America LLC

 
    1,275,000    

4.75%, 06/01/2027(2)

    1,330,399  
    1,600,000    

5.25%, 06/01/2026(2)

    1,692,000  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  42  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Retail - 1.2% - (continued)  
   

L Brands, Inc.

 
$     2,295,000    

5.25%, 02/01/2028

  $ 2,128,612  
    340,000    

6.75%, 07/01/2036

    282,200  
    150,000    

6.88%, 11/01/2035

    127,500  
    1,315,000    

Lithia Motors, Inc. 5.25%, 08/01/2025(2)

    1,377,462  
   

Lowe’s Cos., Inc.

 
    385,000    

3.13%, 09/15/2024

    400,290  
    11,540,000    

3.38%, 09/15/2025

    12,226,697  
    7,370,000    

3.70%, 04/15/2046

    7,460,011  
    1,586,000    

3.80%, 11/15/2021

    1,635,062  
    5,365,000    

4.05%, 05/03/2047

    5,723,294  
    2,520,000    

4.55%, 04/05/2049

    2,891,786  
   

McDonald’s Corp.

 
    2,500,000    

3.35%, 04/01/2023

    2,612,957  
    5,262,000    

3.38%, 05/26/2025

    5,582,812  
    9,030,000    

4.60%, 05/26/2045

    10,524,339  
    5,000,000    

6.30%, 10/15/2037

    6,839,695  
   

O’Reilly Automotive, Inc.

 
    385,000    

3.55%, 03/15/2026

    407,663  
    7,340,000    

3.90%, 06/01/2029

    8,067,700  
   

Starbucks Corp.

 
    4,380,000    

3.80%, 08/15/2025

    4,762,730  
    7,450,000    

3.85%, 10/01/2023

    7,929,726  
    4,205,000    

United Rentals North America, Inc. 4.88%, 01/15/2028

    4,341,662  
   

Walmart, Inc.

 
    5,475,000    

3.05%, 07/08/2026

    5,832,641  
    12,365,000    

3.40%, 06/26/2023

    13,064,727  
    2,050,000    

3.63%, 12/15/2047

    2,281,498  
    2,600,000    

3.95%, 06/28/2038

    3,036,712  
    690,000    

Yum! Brands, Inc. 4.75%, 01/15/2030(2)

    723,638  
     

 

 

 
        152,321,324  
     

 

 

 
          Semiconductors - 1.0%  
   

Broadcom Corp. / Broadcom Cayman Finance Ltd.

 
    3,545,000    

3.50%, 01/15/2028

    3,466,691  
    28,750,000    

3.63%, 01/15/2024

    29,598,262  
    19,335,000    

3.88%, 01/15/2027

    19,524,429  
   

Broadcom, Inc.

 
    4,050,000    

3.13%, 04/15/2021(2)

    4,097,586  
    385,000    

3.63%, 10/15/2024(2)

    395,551  
    780,000    

4.25%, 04/15/2026(2)

    814,280  
    2,960,000    

Entegris, Inc. 4.63%, 02/10/2026(2)

    3,047,401  
    1,700,000    

Intel Corp. 4.10%, 05/19/2046

    1,980,852  
    380,000    

Marvell Technology Group Ltd. 4.20%, 06/22/2023

    399,917  
   

Micron Technology, Inc.

 
    920,000    

4.64%, 02/06/2024

    989,247  
    14,655,000    

4.98%, 02/06/2026

    15,927,380  
    1,175,000    

5.50%, 02/01/2025

    1,208,635  
    12,955,000    

NXP B.V. / NXP Funding LLC 4.88%, 03/01/2024(2)

    14,077,448  
    765,000    

NXP B.V. / NXP Funding LLC / NXP USA, Inc. 3.88%, 06/18/2026(2)

    805,463  
   

Qorvo, Inc.

 
    755,000    

4.38%, 10/15/2029(2)

    759,247  
    2,810,000    

5.50%, 07/15/2026

    2,999,619  
    23,415,000    

QUALCOMM, Inc. 2.90%, 05/20/2024

    24,187,905  
   

Sensata Technologies B.V.

 

    1,020,000    

5.00%, 10/01/2025(2)

    1,099,254  
    1,475,000    

5.63%, 11/01/2024(2)

    1,618,813  
     

 

 

 
        126,997,980  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Software - 1.2%  
$     1,215,000    

CDK Global, Inc. 5.25%, 05/15/2029(2)

  $ 1,290,178  
    1,675,000    

Change Healthcare Holdings LLC / Change Healthcare Finance, Inc. 5.75%, 03/01/2025(2)

    1,713,860  
   

Fidelity National Information Services, Inc.

 
    9,065,000    

3.00%, 08/15/2026

    9,370,403  
    2,065,000    

3.75%, 05/21/2029

    2,248,489  
    5,180,000    

4.50%, 08/15/2046

    5,901,578  
   

Fiserv, Inc.

 
    4,630,000    

3.20%, 07/01/2026

    4,837,517  
    6,695,000    

3.50%, 07/01/2029

    7,082,119  
    15,015,000    

3.80%, 10/01/2023

    15,913,785  
    2,828,000    

Infor U.S., Inc. 6.50%, 05/15/2022

    2,866,885  
 

IQVIA, Inc.

 
EUR     820,000    

2.25%, 01/15/2028(2)

    934,208  
$     1,390,000    

5.00%, 05/15/2027(2)

    1,473,400  
 

Microsoft Corp.

 
    11,125,000    

3.45%, 08/08/2036

    12,211,007  
    3,805,000    

3.50%, 02/12/2035

    4,172,022  
    5,955,000    

3.95%, 08/08/2056

    7,048,931  
    6,395,000    

4.10%, 02/06/2037

    7,572,092  
    2,815,000    

4.45%, 11/03/2045

    3,575,147  
 

Oracle Corp.

 
    6,000,000    

2.65%, 07/15/2026

    6,146,344  
    10,835,000    

2.95%, 11/15/2024

    11,283,227  
    2,100,000    

3.85%, 07/15/2036

    2,321,370  
    15,105,000    

3.90%, 05/15/2035

    16,856,215  
    5,835,000    

4.00%, 11/15/2047

    6,540,428  
    4,300,000    

6.50%, 04/15/2038

    6,210,840  
    10,660,000    

salesforce.com, Inc. 3.25%, 04/11/2023

    11,118,267  
    2,820,000    

SS&C Technologies, Inc. 5.50%, 09/30/2027(2)

    3,017,400  
    1,293,000    

Western Digital Corp. 4.75%, 02/15/2026

    1,321,317  
     

 

 

 
    153,027,029  
 

 

 

 
      Telecommunications - 2.9%  
 

Altice Financing S.A.

 
    505,000    

6.63%, 02/15/2023(2)

    518,736  
    2,380,000    

7.50%, 05/15/2026(2)

    2,528,750  
    660,000    

Altice France S.A. 5.50%, 01/15/2028(2)

    672,375  
 

AT&T, Inc.

 
    6,580,000    

2.80%, 02/17/2021

    6,646,101  
    15,175,000    

3.60%, 07/15/2025

    15,996,337  
    5,545,000    

3.88%, 01/15/2026

    5,931,728  
    24,005,000    

4.10%, 02/15/2028

    26,164,730  
    3,335,000    

4.13%, 02/17/2026

    3,626,937  
    9,485,000    

4.25%, 03/01/2027

    10,417,427  
    21,650,000    

4.30%, 02/15/2030

    23,811,759  
    1,045,000    

4.30%, 12/15/2042

    1,106,117  
    1,870,000    

4.35%, 03/01/2029

    2,067,569  
    3,490,000    

4.35%, 06/15/2045

    3,696,573  
    905,000    

4.50%, 05/15/2035

    998,346  
    3,024,000    

4.50%, 03/09/2048

    3,234,145  
    3,965,000    

4.55%, 03/09/2049

    4,266,275  
    14,820,000    

4.85%, 03/01/2039

    16,798,306  
    315,000    

5.15%, 03/15/2042

    365,961  
    6,545,000    

5.35%, 12/15/2043

    7,822,658  
    200,000    

Bharti Airtel International Netherlands B.V. 5.35%, 05/20/2024(3)

    210,530  
    795,000    

Bharti Airtel Ltd. 4.38%, 06/10/2025(3)

    797,870  
 

CenturyLink, Inc.

 
    4,151,000    

5.63%, 04/01/2025

    4,374,531  
    605,000    

5.80%, 03/15/2022

    639,031  
    639,000    

7.50%, 04/01/2024

    725,265  
    2,622,000    

Cisco Systems, Inc. 5.90%, 02/15/2039

    3,712,352  
    695,000    

Deutsche Telekom International Finance B.V. 8.75%, 06/15/2030

    1,027,248  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  43  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
      Telecommunications - 2.9% - (continued)  
$     400,000    

Digicel International Finance Ltd. / Digicel Holdings Bermuda Ltd. 8.75%, 05/25/2024(2)

  $ 379,000  
    1,835,000    

Embarq Corp. 8.00%, 06/01/2036

    1,816,650  
   

Frontier Communications Corp.

 
    1,955,000    

6.88%, 01/15/2025

    874,862  
    2,480,000    

8.50%, 04/01/2026(2)

    2,486,200  
    1,190,000    

10.50%, 09/15/2022

    560,788  
    4,685,000    

Intelsat Jackson Holdings S.A. 8.50%, 10/15/2024(2)

    4,721,074  
    670,000    

Millicom International Cellular S.A. 6.25%, 03/25/2029(2)

    731,124  
    775,000    

MTN Mauritius Investments Ltd. 5.37%, 02/13/2022(3)

    800,521  
    5,200,000    

Rogers Communications, Inc. 3.70%, 11/15/2049

    5,310,879  
    1,125,000    

Sprint Capital Corp. 8.75%, 03/15/2032

    1,371,802  
 

Sprint Corp.

 
    3,253,000    

7.13%, 06/15/2024

    3,529,505  
    790,000    

7.63%, 02/15/2025

    868,012  
    6,357,000    

7.88%, 09/15/2023

    7,016,539  
   

Sprint Spectrum Co. LLC / Sprint Spectrum Co. II LLC / Sprint Spectrum Co. III LLC

 
    4,000,000    

3.36%, 03/20/2023(2)

    4,025,000  
    13,015,000    

5.15%, 09/20/2029(2)

    14,169,300  
    795,000    

TBG Global Pte Ltd. 5.25%, 02/10/2022(3)

    806,327  
    1,155,000    

Telecom Argentina S.A. 8.00%, 07/18/2026(3)

    1,032,582  
    670,000    

Telecom Italia Capital S.A. 7.20%, 07/18/2036

    783,900  
    1,470,000    

Telecom Italia S.p.A. 5.30%, 05/30/2024(2)

    1,572,900  
    500,000    

Telefonica Celular del Paraguay S.A. 5.88%, 04/15/2027(2)

    538,530  
 

Telefonica Emisiones S.A.

 
    1,150,000    

4.57%, 04/27/2023

    1,243,193  
    4,465,000    

4.67%, 03/06/2038

    4,882,357  
    7,690,000    

4.90%, 03/06/2048

    8,607,248  
    12,290,000    

5.21%, 03/08/2047

    14,292,614  
    11,395,000    

5.46%, 02/16/2021

    11,887,763  
    1,705,000    

5.52%, 03/01/2049

    2,075,239  
    415,000    

Turkcell Iletisim Hizmetleri AS 5.80%, 04/11/2028(3)

    402,567  
 

Verizon Communications, Inc.

 
    5,050,000    

2.95%, 03/15/2022

    5,178,513  
    9,685,000    

3.38%, 02/15/2025

    10,309,366  
    9,585,000    

4.13%, 08/15/2046

    10,785,754  
    12,585,000    

4.50%, 08/10/2033

    14,692,598  
    6,878,000    

4.52%, 09/15/2048

    8,182,184  
    6,622,000    

4.67%, 03/15/2055

    8,135,020  
    4,790,000    

4.81%, 03/15/2039

    5,824,918  
    7,206,000    

4.86%, 08/21/2046

    8,932,285  
    9,240,000    

5.01%, 04/15/2049

    11,930,953  
    10,000,000    

5.01%, 08/21/2054

    12,948,341  
    9,155,000    

5.25%, 03/16/2037

    11,531,438  
 

Vodafone Group plc

 
    15,225,000    

3.75%, 01/16/2024

    16,049,769  
    6,355,000    

5.25%, 05/30/2048

    7,403,429  
     

 

 

 
        376,848,701  
     

 

 

 
          Toys/Games/Hobbies - 0.0%  
    2,570,000    

Mattel, Inc. 6.75%, 12/31/2025(2)

    2,682,437  
     

 

 

 
          Transportation - 0.7%  
    8,215,000    

Burlington Northern Santa Fe LLC 4.55%, 09/01/2044

    9,828,011  
    390,000    

Canadian National Railway Co. 2.95%, 11/21/2024

    406,681  
    390,000    

Canadian Pacific Railway Co. 2.90%, 02/01/2025

    402,241  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 46.3% - (continued)  
          Transportation - 0.7% - (continued)  
 

CSX Corp.

 
$     11,905,000    

2.40%, 02/15/2030

  $ 11,675,773  
    6,315,000    

2.60%, 11/01/2026

    6,432,286  
    1,350,000    

3.35%, 09/15/2049

    1,334,373  
    1,000,000    

4.50%, 03/15/2049

    1,178,684  
    1,000,000    

4.75%, 05/30/2042

    1,171,777  
    7,000,000    

FedEx Corp. 3.10%, 08/05/2029

    7,005,166  
    600,000    

Lima Metro Line 2 Finance Ltd. 4.35%, 04/05/2036(2)

    637,500  
 

Norfolk Southern Corp.

 
    3,420,000    

2.55%, 11/01/2029

    3,430,844  
    775,000    

3.40%, 11/01/2049

    776,050  
    3,734,000    

4.65%, 01/15/2046

    4,473,152  
 

Penske Truck Leasing Co. L.P. / PTL Finance Corp.

 
    4,520,000    

3.45%, 07/01/2024(2)

    4,709,873  
    9,895,000    

4.88%, 07/11/2022(2)

    10,567,385  
 

Rumo Luxembourg S.a.r.l.

 
    566,000    

5.88%, 01/18/2025(2)

    599,960  
    800,000    

5.88%, 01/18/2025(3)

    848,000  
    320,000    

7.38%, 02/09/2024(3)

    345,216  
    200,000    

Russian Railways Via RZD Capital plc 4.38%, 03/01/2024(3)

    210,301  
 

Union Pacific Corp.

 
    385,000    

3.25%, 01/15/2025

    403,490  
    4,760,000    

3.70%, 03/01/2029

    5,209,172  
    3,970,000    

4.38%, 11/15/2065

    4,302,640  
    10,385,000    

4.80%, 09/10/2058

    12,829,970  
     

 

 

 
    88,778,545  
 

 

 

 
      Trucking & Leasing - 0.0%  
 

Avolon Holdings Funding Ltd.

 
    690,000    

3.95%, 07/01/2024(2)

    716,358  
    285,000    

4.38%, 05/01/2026(2)

    301,513  
    1,895,000    

5.25%, 05/15/2024(2)

    2,066,497  
     

 

 

 
    3,084,368  
 

 

 

 
 

Total Corporate Bonds
(cost $5,695,068,508)

  $ 6,038,444,236  
   

 

 

 
FOREIGN GOVERNMENT OBLIGATIONS - 3.4%  
      Angola - 0.0%  
 

Angolan Government International Bond

 
    361,000    

8.25%, 05/09/2028(3)

  $ 376,851  
    660,000    

9.38%, 05/08/2048(3)

    697,257  
    1,070,000    

9.50%, 11/12/2025(3)

    1,203,686  
     

 

 

 
    2,277,794  
 

 

 

 
      Argentina - 0.3%  
 

Argentine Republic Government International Bond

 
EUR     7,720,000    

3.38%, 12/31/2038(10)

    3,357,944  
$     17,750,000    

3.75%, 12/31/2038(10)

    7,082,250  
    655,000    

4.63%, 01/11/2023

    262,007  
EUR     6,995,000    

5.25%, 01/15/2028

    2,945,074  
$     1,055,000    

5.63%, 01/26/2022

    443,100  
    4,715,000    

5.88%, 01/11/2028

    1,791,747  
    375,000    

6.63%, 07/06/2028

    145,313  
    12,210,000    

6.88%, 01/26/2027

    4,792,547  
    7,045,000    

6.88%, 01/11/2048

    2,747,621  
    1,440,000    

7.13%, 07/06/2036

    561,614  
    8,060,000    

7.50%, 04/22/2026

    3,417,521  
EUR     1,527,475    

7.82%, 12/31/2033

    799,155  
$     2,986,341    

8.28%, 12/31/2033

    1,493,200  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  44  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 3.4% - (continued)  
      Argentina - 0.3% - (continued)  
 

Autonomous City of Buenos Aires Argentina

 
$     1,192,600    

8.95%, 02/19/2021(3)

  $ 1,073,352  
    399,320    

8.95%, 02/19/2021(2)(4)

    359,392  
 

Provincia de Cordoba

 
    425,000    

7.13%, 06/10/2021(2)

    316,629  
    1,630,000    

7.13%, 08/01/2027(3)

    1,026,916  
    1,675,000    

7.45%, 09/01/2024(3)

    1,065,317  
     

 

 

 
    33,680,699  
 

 

 

 
      Armenia - 0.0%  
    1,410,000    

Republic of Armenia International Bond 7.15%, 03/26/2025(3)

    1,638,930  
     

 

 

 
      Azerbaijan - 0.1%  
 

Republic of Azerbaijan International Bond

 
    681,000    

3.50%, 09/01/2032(2)

    659,712  
    5,667,000    

3.50%, 09/01/2032(3)

    5,489,849  
    865,000    

5.13%, 09/01/2029(3)

    938,598  
 

Southern Gas Corridor CJSC

 
    1,394,000    

6.88%, 03/24/2026(2)

    1,624,010  
    1,925,000    

6.88%, 03/24/2026(3)

    2,242,625  
     

 

 

 
    10,954,794  
 

 

 

 
      Bermuda - 0.0%  
    1,525,000    

Bermuda Government International Bond 4.75%, 02/15/2029(2)

    1,723,250  
     

 

 

 
      Brazil - 0.1%  
 

Brazil Notas do Tesouro Nacional

 

BRL     252,000    

10.00%, 01/01/2027

    75,876  
    7,738,000    

10.00%, 01/01/2029

    2,380,079  
 

Brazilian Government International Bond

 
$     2,585,000    

4.50%, 05/30/2029

    2,722,031  
    2,354,000    

5.00%, 01/27/2045

    2,447,007  
    1,520,000    

5.63%, 02/21/2047

    1,709,255  
     

 

 

 
    9,334,248  
 

 

 

 
      Colombia - 0.1%  
 

Colombia Government International Bond

 

    1,810,000    

3.88%, 04/25/2027

    1,922,220  
    5,155,000    

5.00%, 06/15/2045

    6,000,420  
     

 

 

 
    7,922,640  
 

 

 

 
      Costa Rica - 0.0%  
    1,140,000    

Costa Rica Government International Bond 9.20%, 02/21/2024(2)

    1,276,599  
     

 

 

 
      Croatia - 0.1%  
 

Croatia Government International Bond

 
EUR     1,810,000    

2.75%, 01/27/2030(3)

    2,439,671  
$     920,000    

5.50%, 04/04/2023(3)

    1,016,512  
    3,520,000    

6.00%, 01/26/2024(3)

    4,045,606  
    2,750,000    

6.38%, 03/24/2021(3)

    2,902,856  
     

 

 

 
    10,404,645  
 

 

 

 
      Dominican Republic - 0.0%  
 

Dominican Republic International Bond

 
    1,785,000    

6.40%, 06/05/2049(2)

    1,934,511  
    210,000    

6.85%, 01/27/2045(3)

    236,515  
    237,000    

7.45%, 04/30/2044(3)

    283,810  
     

 

 

 
    2,454,836  
 

 

 

 
      Ecuador - 0.0%  
 

Ecuador Government International Bond

 
    200,000    

7.88%, 01/23/2028(3)

    179,200  
    400,000    

8.88%, 10/23/2027(3)

    372,600  
    1,285,000    

9.50%, 03/27/2030(2)

    1,236,812  
     

 

 

 
    1,788,612  
 

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 3.4% - (continued)  
      Egypt - 0.1%  
 

Egypt Government International Bond

 
EUR     250,000    

5.63%, 04/16/2030(2)

  $ 279,383  
    380,000    

5.63%, 04/16/2030(3)

    424,661  
    136,000    

6.38%, 04/11/2031(2)

    157,558  
$     1,790,000    

7.60%, 03/01/2029(2)

    1,891,937  
    1,396,000    

7.60%, 03/01/2029(3)

    1,475,499  
    955,000    

7.90%, 02/21/2048(3)

    955,640  
    1,110,000    

8.70%, 03/01/2049(3)

    1,188,111  
     

 

 

 
    6,372,789  
 

 

 

 
      Ethiopia - 0.0%  
    2,870,000    

Ethiopia International Bond 6.63%, 12/11/2024(3)

    3,006,325  
     

 

 

 
      Gabon - 0.0%  
 

Gabon Government International Bond

 
    3,005,000    

6.38%, 12/12/2024(3)

    2,989,073  
    1,145,000    

6.95%, 06/16/2025(3)

    1,155,019  
     

 

 

 
    4,144,092  
 

 

 

 
      Ghana - 0.0%  
    2,565,000    

Ghana Government International Bond 8.13%, 01/18/2026(3)

    2,717,977  
     

 

 

 
      Greece - 0.1%  
 

Hellenic Republic Government Bond

 
EUR     2,610,000    

3.45%, 04/02/2024(2)(3)

    3,298,405  
    2,825,000    

3.50%, 01/30/2023(3)

    3,475,403  
    1,440,000    

4.38%, 08/01/2022(2)(3)

    1,786,614  
     

 

 

 
    8,560,422  
 

 

 

 
      Honduras - 0.0%  
$     1,385,000    

Honduras Government International Bond
6.25%, 01/19/2027(3)

    1,481,964  
     

 

 

 
      Hungary - 0.1%  
 

Hungary Government International Bond

 
    5,950,000    

5.38%, 02/21/2023

    6,512,037  
    2,928,000    

5.75%, 11/22/2023

    3,308,054  
    2,266,000    

6.38%, 03/29/2021

    2,399,694  
     

 

 

 
    12,219,785  
 

 

 

 
      Indonesia - 0.3%  
 

Indonesia Government International Bond

 
    910,000    

3.85%, 07/18/2027(3)

    964,804  
    1,400,000    

4.35%, 01/08/2027(3)

    1,525,243  
    3,310,000    

4.63%, 04/15/2043(3)

    3,672,947  
    5,212,000    

4.75%, 01/08/2026(3)

    5,744,759  
    9,214,000    

5.13%, 01/15/2045(3)

    10,943,260  
    3,060,000    

5.25%, 01/08/2047(3)

    3,734,135  
    1,246,000    

6.63%, 02/17/2037(3)

    1,673,056  
    900,000    

6.75%, 01/15/2044(3)

    1,284,811  
 

Perusahaan Penerbit SBSN Indonesia III

 
    886,000    

4.15%, 03/29/2027(2)

    948,020  
    3,415,000    

4.33%, 05/28/2025(3)

    3,671,125  
     

 

 

 
    34,162,160  
 

 

 

 
      Ivory Coast - 0.0%  
 

Ivory Coast Government International Bond

 
EUR     1,196,000    

5.25%, 03/22/2030(2)

    1,318,892  
    670,000    

5.88%, 10/17/2031(2)

    756,046  
$     670,000    

6.13%, 06/15/2033(3)

    656,734  
EUR     295,000    

6.63%, 03/22/2048(3)

    324,183  
     

 

 

 
    3,055,855  
 

 

 

 
      Jamaica - 0.0%  
 

Jamaica Government International Bond

 
$     740,000    

7.88%, 07/28/2045

    975,883  
    1,245,000    

8.00%, 03/15/2039

    1,648,081  
     

 

 

 
    2,623,964  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  45  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 3.4% - (continued)  
      Jordan - 0.1%  
 

Jordan Government International Bond

 
$     1,350,000    

5.75%, 01/31/2027(3)

  $ 1,394,653  
    1,835,000    

6.13%, 01/29/2026(3)

    1,935,441  
    1,557,000    

7.38%, 10/10/2047(3)

    1,639,287  
     

 

 

 
    4,969,381  
 

 

 

 
      Kenya - 0.0%  
 

Kenya Government International Bond

 
    2,040,000    

7.00%, 05/22/2027(2)

    2,137,455  
    720,000    

8.00%, 05/22/2032(3)

    766,938  
     

 

 

 
    2,904,393  
 

 

 

 
      Macedonia - 0.0%  
EUR     3,465,000    

Former Yugoslav Republic of Macedonia 3.98%, 07/24/2021(3)

    4,087,658  
     

 

 

 
      Mexico - 0.3%  
 

Mexico Government International Bond

 
$     810,000    

3.75%, 01/11/2028

    844,425  
    1,980,000    

4.50%, 04/22/2029

    2,178,020  
    28,388,000    

4.50%, 01/31/2050

    30,165,372  
     

 

 

 
    33,187,817  
 

 

 

 
      Mongolia - 0.0%  
    2,165,000    

Mongolia Government International Bond 5.13%, 12/05/2022(3)

    2,195,227  
     

 

 

 
      Morocco - 0.0%  
 

Morocco Government International Bond

 
EUR     190,000    

3.50%, 06/19/2024(3)

    240,676  
$     200,000    

4.25%, 12/11/2022(3)

    209,494  
     

 

 

 
    450,170  
 

 

 

 
      Oman - 0.0%  
 

Oman Government International Bond

 
    790,000    

4.88%, 02/01/2025(2)

    793,694  
    765,000    

6.00%, 08/01/2029(2)

    764,044  
    400,000    

6.75%, 01/17/2048(3)

    375,000  
     

 

 

 
    1,932,738  
 

 

 

 
      Pakistan - 0.0%  
    1,300,000    

Second Pakistan International Sukuk Co., Ltd. 6.75%, 12/03/2019(3)

    1,300,208  
     

 

 

 
      Panama - 0.1%  
 

Panama Government International Bond

 
    390,000    

3.16%, 01/23/2030

    402,675  
    1,320,000    

3.75%, 03/16/2025

    1,394,263  
    1,490,000    

7.13%, 01/29/2026

    1,869,965  
    2,130,000    

Panama Notas del Tesoro 3.75%, 04/17/2026(2)

    2,218,395  
     

 

 

 
    5,885,298  
 

 

 

 
      Paraguay - 0.0%  
 

Paraguay Government International Bond

 
    855,000    

5.00%, 04/15/2026(3)

    941,577  
    645,000    

5.60%, 03/13/2048(2)

    743,369  
    1,205,000    

5.60%, 03/13/2048(3)

    1,388,775  
    695,000    

6.10%, 08/11/2044(3)

    844,432  
     

 

 

 
    3,918,153  
 

 

 

 
      Qatar - 0.1%  
 

Qatar Government International Bond

 
    320,000    

3.38%, 03/14/2024(3)

    334,400  
    1,465,000    

3.88%, 04/23/2023(3)

    1,545,259  
    3,115,000    

4.00%, 03/14/2029(2)

    3,453,781  
    670,000    

4.00%, 03/14/2029(3)

    742,868  
    890,000    

4.50%, 04/23/2028(3)

    1,016,896  
    985,000    

5.10%, 04/23/2048(2)

    1,255,481  
    8,125,000    

Qatari Diar Finance QSC 5.00%, 07/21/2020(3)

    8,267,350  
     

 

 

 
    16,616,035  
 

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 3.4% - (continued)  
      Romania - 0.1%  
 

Romanian Government International Bond

 

EUR     2,235,000    

2.12%, 07/16/2031(2)

  $ 2,579,939  
    585,000    

2.12%, 07/16/2031(3)

    675,286  
    312,000    

2.50%, 02/08/2030(2)

    381,118  
    491,000    

2.50%, 02/08/2030(3)

    599,772  
    970,000    

2.88%, 03/11/2029(3)

    1,230,594  
    2,465,000    

3.38%, 02/08/2038(3)

    3,110,185  
    3,557,000    

3.88%, 10/29/2035(3)

    4,723,900  
    825,000    

4.63%, 04/03/2049(2)

    1,197,079  
     

 

 

 
    14,497,873  
 

 

 

 
      Russia - 0.5%  
 

Russian Federal Bond - OFZ

 

RUB     92,085,000    

6.90%, 05/23/2029

    1,489,372  
    175,030,000    

7.95%, 10/07/2026

    2,984,866  
 

Russian Foreign Bond - Eurobond

 

$     12,200,000    

4.25%, 06/23/2027(3)

    13,072,447  
    2,200,000    

4.25%, 06/23/2027(2)

    2,357,326  
    6,200,000    

4.38%, 03/21/2029(2)

    6,705,275  
    6,200,000    

4.38%, 03/21/2029(3)

    6,705,275  
    2,800,000    

4.75%, 05/27/2026(3)

    3,078,869  
    5,000,000    

5.10%, 03/28/2035(2)

    5,749,310  
    10,800,000    

5.10%, 03/28/2035(3)

    12,418,510  
    11,600,000    

5.25%, 06/23/2047(3)

    13,853,880  
    1,200,000    

5.63%, 04/04/2042(3)

    1,482,084  
     

 

 

 
    69,897,214  
 

 

 

 
      Saudi Arabia - 0.0%  
 

Saudi Government International Bond

 

    340,000    

3.25%, 10/26/2026(3)

    351,475  
    370,000    

4.00%, 04/17/2025(2)

    397,391  
     

 

 

 
    748,866  
 

 

 

 
      Senegal - 0.0%  
 

Senegal Government International Bond

 

    485,000    

6.25%, 07/30/2024(3)

    529,717  
    385,000    

6.25%, 05/23/2033(3)

    392,997  
    973,000    

6.75%, 03/13/2048(2)

    953,735  
    2,175,000    

6.75%, 03/13/2048(3)

    2,131,935  
     

 

 

 
    4,008,384  
 

 

 

 
      South Africa - 0.0%  
    2,990,000    

Republic of South Africa Government International Bond
5.75%, 09/30/2049

    2,893,184  
     

 

 

 
      Sri Lanka - 0.0%  
 

Sri Lanka Government International Bond

 

    200,000    

6.20%, 05/11/2027(2)

    192,175  
    1,185,000    

6.20%, 05/11/2027(3)

    1,138,633  
    355,000    

6.83%, 07/18/2026(3)

    357,469  
     

 

 

 
    1,688,277  
 

 

 

 
      Supranational - 0.0%  
 

International Finance Corp.

 

MXN     154,000,000    

0.00%, 02/22/2038(8)

    2,242,693  
IDR     25,000,000,000    

8.00%, 10/09/2023

    1,860,084  
     

 

 

 
    4,102,777  
 

 

 

 
      Tunisia - 0.0%  
 

Banque Centrale de Tunisie International Bond

 

EUR     1,020,000    

5.63%, 02/17/2024(3)

    1,111,645  
$     900,000    

5.75%, 01/30/2025(3)

    820,764  
EUR     525,000    

6.38%, 07/15/2026(2)

    571,070  
    170,000    

6.75%, 10/31/2023(2)

    191,099  
     

 

 

 
    2,694,578  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  46  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 3.4% - (continued)  
      Turkey - 0.5%  
$     985,000    

Export Credit Bank of Turkey
8.25%, 01/24/2024(2)

  $ 1,050,601  
 

Turkey Government International Bond

 

    2,705,000    

3.25%, 03/23/2023

    2,560,607  
    460,000    

4.25%, 04/14/2026

    419,129  
EUR     635,000    

4.63%, 03/31/2025

    729,462  
$     3,735,000    

4.88%, 10/09/2026

    3,497,312  
    10,440,000    

4.88%, 04/16/2043

    8,297,837  
    6,300,000    

5.13%, 02/17/2028

    5,859,000  
    15,320,000    

5.75%, 03/22/2024

    15,434,349  
    10,080,000    

5.75%, 05/11/2047

    8,631,000  
    5,775,000    

6.00%, 03/25/2027

    5,713,785  
    8,175,000    

6.00%, 01/14/2041

    7,316,625  
     

 

 

 
    59,509,707  
 

 

 

 
      Ukraine - 0.2%  
 

Ukraine Government International Bond

 

    1,515,000    

7.38%, 09/25/2032(2)

    1,584,687  
    5,970,000    

7.38%, 09/25/2032(3)

    6,244,608  
    1,260,000    

7.75%, 09/01/2020(3)

    1,293,390  
    427,000    

7.75%, 09/01/2021(2)

    446,215  
    545,000    

7.75%, 09/01/2021(3)

    569,525  
    6,390,000    

7.75%, 09/01/2022(3)

    6,795,765  
    1,415,000    

7.75%, 09/01/2023(3)

    1,512,281  
    2,650,000    

7.75%, 09/01/2025(3)

    2,842,125  
    620,000    

7.75%, 09/01/2026(2)

    665,725  
    1,260,000    

7.75%, 09/01/2026(3)

    1,352,925  
    4,715,000    

7.75%, 09/01/2027(3)

    5,068,154  
     

 

 

 
    28,375,400  
 

 

 

 
      United Arab Emirates - 0.1%  
 

Abu Dhabi Government International Bond

 

    3,670,000    

2.13%, 09/30/2024(2)

    3,650,402  
    385,000    

3.13%, 05/03/2026(3)

    400,881  
    2,155,000    

3.13%, 09/30/2049(2)

    2,073,714  
    1,830,000    

Emirate of Dubai Government International Bonds 5.25%, 01/30/2043(3)

    1,743,029  
     

 

 

 
    7,868,026  
 

 

 

 
      Uruguay - 0.0%  
    2,645,000    

Uruguay Government International Bond
4.98%, 04/20/2055

    3,094,676  
     

 

 

 
      Venezuela - 0.1%  
 

Venezuela Government International Bond

 

    345,000    

6.00%, 12/09/2020(3)(9)

    35,363  
    1,015,000    

7.00%, 12/01/2018(3)(9)

    105,306  
    3,170,000    

7.00%, 03/31/2038(3)(9)

    328,887  
    4,085,000    

7.65%, 04/21/2025(9)

    423,819  
    4,765,000    

7.75%, 10/13/2019(3)(9)

    494,369  
    11,205,000    

8.25%, 10/13/2024(3)(9)

    1,162,519  
    11,937,200    

9.00%, 05/07/2023(3)(9)

    1,238,484  
    12,825,000    

9.25%, 05/07/2028(3)(9)

    1,330,594  
     

 

 

 
    5,119,341  
 

 

 

 
 

Total Foreign Government Obligations
(cost $471,847,475)

  $ 443,747,761  
   

 

 

 
MUNICIPAL BONDS - 0.4%      
          General Obligation - 0.2%  
    2,265,000    

California State, GO Taxable
7.55%, 04/01/2039

  $ 3,714,940  
    18,325,000    

State of California
3.05%, 04/01/2029

    19,366,043  
     

 

 

 
        23,080,983  
     

 

 

 
Shares or Principal Amount   Market Value  
MUNICIPAL BONDS - 0.4% - (continued)      
          Higher Education - 0.1%  
$     12,000,000    

Rutgers The State Univ. of New Jersey
3.92%, 05/01/2119

  $ 12,017,520  
     

 

 

 
          Transportation - 0.1%  
    5,645,000    

Bay Area Toll Auth, CA
2.57%, 04/01/2031

    5,609,098  
    5,015,000    

New York State Thruway Auth Rev
2.90%, 01/01/2035

    5,070,767  
     

 

 

 
        10,679,865  
     

 

 

 
   

Total Municipal Bonds
(cost $44,539,830)

  $ 45,778,368  
     

 

 

 
SENIOR FLOATING RATE INTERESTS - 0.2%(11)      
          Auto Parts & Equipment - 0.0%  
    1,595,000    

Panther BF Aggregator L.P.
5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

  $ 1,571,745  
     

 

 

 
          Commercial Services - 0.1%  
    1,545,438    

Blackhawk Network Holdings, Inc.
4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    1,529,983  
    4,460,000    

Dun & Bradstreet Corp.
6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    4,470,213  
    1,170,188    

Trans Union LLC
4.04%, 06/19/2025, 1 mo. USD LIBOR + 2.000%

    1,171,288  
     

 

 

 
        7,171,484  
     

 

 

 
          Diversified Financial Services - 0.0%  
    1,708,838    

Crown Finance U.S., Inc.
4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    1,684,572  
     

 

 

 
          Food Service - 0.0%  
    533,250    

CHG PPC Parent LLC
4.54%, 03/31/2025, 1 mo. USD LIBOR + 2.750%

    530,584  
     

 

 

 
          Healthcare-Services - 0.0%  
    1,140,202    

Syneos Health, Inc.
3.79%, 08/01/2024, 1 mo. USD LIBOR + 2.000%

    1,140,441  
     

 

 

 
          Household Products - 0.0%  
    844,950    

Diamond (BC) B.V.
4.93%, 09/06/2024, 2 mo. USD LIBOR + 3.000%

    785,381  
     

 

 

 
          Insurance - 0.1%  
    4,516,464    

Asurion LLC
4.79%, 11/03/2024, 1 mo. USD LIBOR + 3.000%

    4,519,309  
    384,150    

Genworth Holdings, Inc.
6.32%, 03/07/2023, 1 mo. USD LIBOR + 4.500%

    383,190  
    1,683,688    

Hub International Ltd.
4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    1,645,501  
     

 

 

 
        6,548,000  
     

 

 

 
          Leisure Time - 0.0%  
    3,517,425    

Golden Entertainment, Inc.
4.81%, 10/21/2024, 1 mo. USD LIBOR + 3.000%

    3,519,641  
     

 

 

 
          Machinery-Diversified - 0.0%  
    956,880    

Gardner Denver, Inc.
4.54%, 07/30/2024, 3 mo. USD LIBOR + 2.750%

    958,277  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  47  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 0.2%(11) - (continued)      
          Media - 0.0%  
$     3,068,275    

PSAV Holdings LLC
5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

  $ 2,947,477  
     

 

 

 
          Semiconductors - 0.0%  
    747,359    

Microchip Technology, Inc.
3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

    748,293  
     

 

 

 
          Software - 0.0%  
    446,105    

SS&C Technologies Holdings Europe S.a.r.l.
4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    446,850  
    925,915    

SS&C Technologies, Inc.
4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    927,634  
     

 

 

 
        1,374,484  
     

 

 

 
   

Total Senior Floating Rate Interests
(cost $29,093,571)

  $ 28,980,379  
     

 

 

 
U.S. GOVERNMENT AGENCIES - 0.1%      
          Mortgage-Backed Agencies - 0.1%      
          FNMA - 0.1%  
    13,809,387    

1.50%, 06/25/2042

  $ 13,878,337  
     

 

 

 
          GNMA - 0.0%  
    5,710,219    

1.70%, 10/20/2045

    5,666,055  
     

 

 

 
   

Total U.S. Government Agencies
(cost $19,327,288)

  $ 19,544,392  
     

 

 

 
U.S. GOVERNMENT SECURITIES - 1.4%      
          U.S. Treasury Securities - 1.4%  
          U.S. Treasury Bonds - 0.7%  
    17,370,000    

3.00%, 11/15/2045(12)

  $ 20,258,441  
    5,000,000    

3.00%, 08/15/2048

    5,877,539  
    7,090,000    

4.25%, 11/15/2040(13)

    9,729,917  
    14,345,000    

4.38%, 02/15/2038

    19,734,461  
    25,842,000    

4.38%, 05/15/2040

    35,957,730  
     

 

 

 
        91,558,088  
     

 

 

 
          U.S. Treasury Notes - 0.7%  
    5,410,000    

1.25%, 08/31/2024

    5,343,009  
    5,000,000    

1.38%, 10/31/2020(13)

    4,988,086  
    14,730,000    

1.50%, 08/31/2021

    14,713,314  
    6,460,000    

1.50%, 09/15/2022

    6,458,738  
    25,625,000    

2.38%, 03/15/2022(14)

    26,138,501  
    26,930,000    

2.88%, 11/30/2023

    28,356,448  
     

 

 

 
        85,998,096  
     

 

 

 
   

Total U.S. Government Securities
(cost $169,169,330)

  $ 177,556,184  
     

 

 

 
CONVERTIBLE BONDS - 0.0%      
          Commercial Services - 0.0%  
    1,200,000    

Cardtronics, Inc.
1.00%, 12/01/2020

  $ 1,191,637  
     

 

 

 
          Media - 0.0%  
    2,130,000    

Scripps Escrow, Inc.
5.88%, 07/15/2027(2)

    2,182,611  
     

 

 

 
          Software - 0.0%  
    2,226,000    

Western Digital Corp.
1.50%, 02/01/2024

    2,110,979  
     

 

 

 
   

Total Convertible Bonds
(cost $5,627,978)

  $ 5,485,227  
     

 

 

 
Shares or Principal Amount   Market Value  
ESCROWS - 0.0%(15)      
          Materials - 0.0%  
$     1,410,000    

Berry Global, Inc.*(2)

  $ 1,484,025  
     

 

 

 
          Telecommunication Services - 0.0%  
    1,605,000    

Nexstar Broadcasting, Inc.*(2)

    1,692,794  
     

 

 

 
   

Total Escrows
(cost $3,015,000)

  $ 3,176,819  
     

 

 

 
   

Total Long-Term Investments
(cost $11,187,142,453)

  $ 12,460,196,779  
     

 

 

 
SHORT-TERM INVESTMENTS - 4.1%      
          Other Investment Pools & Funds - 4.0%  
    521,223,189    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(16)

  $ 521,223,189  
     

 

 

 
          Securities Lending Collateral - 0.1%  
    728,396    

Citibank NA DDCA, 1.80%, 11/1/2019(16)

    728,396  
    10,219,523    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(16)

    10,219,523  
    163,938    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(16)

    163,938  
    1,355,590    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(16)

    1,355,590  
    1,969,505    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(16)

    1,969,505  
    130,966    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(16)

    130,966  
     

 

 

 
        14,567,918  
     

 

 

 
   

Total Short-Term Investments
(cost $535,791,107)

  $ 535,791,107  
     

 

 

 
   
                            

Total Investments
(cost $11,722,933,560)

    99.6   $ 12,995,987,886  
   

Other Assets and Liabilities

    0.4     53,862,591  
     

 

 

   

 

 

 
   

Total Net Assets

    100.0   $ 13,049,850,477  
     

 

 

   

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  48  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

*

Non-income producing.

 

(1) 

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(2) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $1,012,291,342, representing 7.8% of net assets.

 

(3) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $277,250,603, representing 2.1% of net assets.

 

(4) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(5) 

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

(6) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(7) 

Security has the ability to pay in kind (“PIK”) or pay income in cash. When applicable, separate rates of such payments are disclosed.

 

(8) 

Security is a zero-coupon bond.

 

(9) 

Non-income producing. For long-term debt securities, items identified are in default as to payment of interest and/or principal.

(10) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(11) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(12) 

All, or a portion of the security, was pledged as collateral in connection with OTC swap contracts. As of October 31, 2019, the market value of securities pledged was $337,058.

 

(13) 

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $6,984,846.

 

(14) 

All, or a portion of the security, was pledged as collateral in connection with centrally cleared swap contracts. As of October 31, 2019, the market value of securities pledged was $1,377,053.

 

(15) 

Share amount represents shares of the issuer previously held that resulted in receipt of the escrow.

 

(16) 

Current yield as of period end.

 
Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

U.S. Treasury 2-Year Note Future

     982        12/31/2019      $     211,720,734      $ (373,861

U.S. Treasury 5-Year Note Future

     1,362        12/31/2019        162,354,656        (648,355

U.S. Treasury Long Bond Future

     1,128        12/19/2019        182,031,000        (1,716,353

U.S. Treasury Ultra Bond Future

     688        12/19/2019        130,548,000        (4,320,133
           

 

 

 

Total

 

   $ (7,058,702
           

 

 

 
Short position contracts:  

Euro-BOBL Future

     43        12/06/2019      $ 6,456,091      $ 96,833  

Euro BUXL 30-Year Bond Future

     21        12/06/2019        4,917,535        255,653  

Euro-Bund Future

     114        12/06/2019        21,838,281        574,877  

U.S. Treasury 10-Year Note Future

     2,953        12/19/2019        384,766,672        17,866  

U.S. Treasury 10-Year Ultra Future

     269        12/19/2019        38,227,422        513,055  
           

 

 

 

Total

 

   $ 1,458,284  
           

 

 

 

Total futures contracts

 

   $     (5,600,418
           

 

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counterparty    Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Market
Value
     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on single-name issues:  
Buy protection:  

Deutsche Bank AG

   JPM      EUR       8,000,000      (1.00%)      06/20/24        Quarterly      $     361,766      $     —      $     169,934      $     (191,832

Deutsche Bank AG

   MSC      EUR       9,000,000      (1.00%)      06/20/24        Quarterly        398,568               191,176        (207,392

Deutsche Bank AG

   JPM      EUR       10,000,000      (1.00%)      06/20/24        Quarterly        428,158               212,185        (215,973

 

The accompanying notes are an integral part of these financial statements.

 

 

  49  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019 – (continued)  

Reference Entity

   Counterparty    Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
     Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on single-name issues – (continued):  
Buy protection – (continued):  

Deutsche Bank AG

   CBK      EUR       9,000,000        (1.00%)        06/20/24        Quarterly      $ 407,356      $     $ 191,176     $ (216,180

Deutsche Bank AG

   JPM      EUR       7,000,000        (1.00%)        06/20/24        Quarterly        982,702              741,010       (241,692

Deutsche Bank AG

   HSBC      EUR       7,000,000        (1.00%)        06/20/24        Quarterly        1,021,857              741,010       (280,847

Targa Resources Partners L.P.

   BCY      USD       1,610,000        (5.00%)        12/20/24        Quarterly               (321,496     (336,312     (14,816
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total single-name issues

 

      $ 3,600,407      $ (321,496   $ 1,910,179     $ (1,368,732
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total OTC contracts

              $     3,600,407      $     (321,496   $     1,910,179     $     (1,368,732
                   

 

 

    

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

Centrally Cleared Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Notional
Amount (a)
    (Pay)/Receive
Fixed Rate
    Expiration
Date
     Periodic
Payment
Frequency
     Cost Basis     Value     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

CDX.EMS.32.V1

   USD      17,554,000       (1.00 %)      12/20/24        Quarterly      $ 883,967     $ 794,749     $ (89,218
               

 

 

   

 

 

   

 

 

 
Sell protection:  

CDX.NA.HY.33.V1

   USD      8,450,000       5.00     12/20/24        Quarterly      $ 614,864     $ 649,657     $ 34,793  
               

 

 

   

 

 

   

 

 

 
Credit default swaps on single-name issues:  
Buy protection:  

Beazer Homes USA, Inc.

   USD      1,455,000       (5.00 %)      12/20/24        Quarterly      $ (166,303   $ (153,859   $ 12,444  

Republic of Turkey

   USD      1,025,000       (1.00 %)      12/20/24        Quarterly        133,123       108,015       (25,108

YUM! Brands, Inc.

   USD      1,580,000       (1.00 %)      12/20/24        Quarterly        (34,761     (34,489     272  
               

 

 

   

 

 

   

 

 

 

Total single-name issues

 

        $ (67,941   $ (80,333   $ (12,392
               

 

 

   

 

 

   

 

 

 

Total

 

        $     1,430,890     $     1,364,073     $ (66,817
               

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  11,095,000      BRL      2,687,433      USD    DEUT      12/03/19     $     73,351     $     —  
  4,945,400,000      COP      1,442,990      USD    UBS      12/18/19       17,467        
  2,374,300,000      COP      688,221      USD    JPM      12/18/19       12,949        
  33,870,000      CZK      1,445,274      USD    GSC      12/18/19       36,290        
  15,410,000      CZK      671,588      USD    JPM      12/18/19       2,486        
  31,630,000      EGP      1,875,593      USD    CBK      12/18/19       58,538        
  1,768,000      EUR      1,969,617      USD    BNP      11/29/19       5,931        
  412,000      EUR      459,915      USD    SSG      11/29/19       450        
  3,097,000      EUR      3,418,907      USD    MSC      12/18/19       47,323        
  4,151,000      EUR      4,606,010      USD    BCLY      12/18/19       39,880        
  1,793,000      EUR      1,996,772      USD    JPM      12/18/19       9,994        
  1,209,000      EUR      1,347,449      USD    GSC      12/18/19       5,690        
  300,000      EUR      331,989      USD    SSG      12/18/19       3,777        
  1,605,000      EUR      1,794,234      USD    BNP      12/18/19       2,117        
  257,000      EUR      285,601      USD    SCB      12/18/19       2,039        
  109,000      EUR      121,244      USD    HSBC      12/18/19       751        
  375,100,000      HUF      1,252,045      USD    GSC      12/18/19       24,697        
  10,275,000,000      IDR      726,251      USD    BNP      12/18/19       2,173        
  13,480,000      MXN      697,666      USD    JPM      12/18/19             (2,179

 

The accompanying notes are an integral part of these financial statements.

 

 

  50  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019 – (continued)  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  18,620,000      MXN      964,128      USD    BNP      12/18/19     $     $ (3,447
  8,600,000      PEN      2,572,157      USD    CBK      12/18/19       768       (5,600
  5,105,000      PLN      1,301,031      USD    CBK      12/18/19       35,639        
  3,120,000      PLN      813,298      USD    JPM      12/18/19       3,629        
  77,820,000      RUB      1,207,822      USD    GSC      12/18/19             (2,448
  44,300,000      RUB      689,816      USD    BNP      12/18/19             (3,642
  1,141,029      USD      1,660,000      AUD    JPM      12/18/19             (4,806
  2,299,660      USD      3,340,000      AUD    CBA      12/18/19             (5,814
  827,825      USD      3,469,000      BRL    CBK      12/03/19             (35,371
  996,293      USD      1,305,000      CAD    UBS      12/18/19       5,221        
  2,001,408      USD      2,630,000      CAD    GSC      12/18/19       4,075        
  11,777,900      USD      10,595,000      EUR    CBK      11/29/19             (60,857
  1,111      USD      1,000      EUR    CBA      12/18/19             (8
  326,984      USD      294,000      EUR    BMO      12/18/19             (2,067
  593,025      USD      535,000      EUR    BCLY      12/18/19             (5,759
  56,827,322      USD      51,198,000      EUR    JPM      12/18/19             (474,597
  20,560      USD      16,000      GBP    BCLY      11/29/19             (185
  1,254,566      USD      375,100,000      HUF    BCLY      12/18/19             (22,175
  1,698,948      USD      33,700,000      MXN    BCLY      12/18/19             (39,769
  2,235,464      USD      3,475,000      NZD    WEST      12/18/19       5,445        
  1,212,383      USD      1,895,000      NZD    UBS      12/18/19             (3,699
  4,232,068      USD      279,909,000      RUB    GSC      12/18/19             (103,515
                

 

 

   

 

 

 
 

Total

    $     400,680     $     (775,938
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 41,060,178      $      $ 41,060,178      $     —  

Banks

     773,739,440        773,739,440                

Capital Goods

     444,331,367        344,153,603        100,177,764         

Consumer Services

     35,102,689        35,102,689                

Diversified Financials

     32,221,581        32,221,581                

Energy

     563,546,436        563,546,436                

Food & Staples Retailing

     25,478,849        25,478,849                

Food, Beverage & Tobacco

     446,339,309        397,845,108        48,494,201         

Health Care Equipment & Services

     263,910,921        182,721,559        81,189,362         

Household & Personal Products

     211,078,824        211,078,824                

Insurance

     394,443,035        394,443,035                

Materials

     96,219,281        96,219,281                

Media & Entertainment

     152,749,877        152,749,877                

Pharmaceuticals, Biotechnology & Life Sciences

     712,972,407        556,604,650        156,367,757         

Real Estate

     132,969,147        132,969,147                

Retailing

     121,811,060        121,811,060                

Semiconductors & Semiconductor Equipment

     261,256,392        261,256,392                

Technology Hardware & Equipment

     216,260,656        216,260,656                

Telecommunication Services

     215,459,357        215,459,357                

Transportation

     67,132,582        67,132,582                

Utilities

     488,620,930            488,620,930                

Preferred Stocks

     779,095        779,095                

Corporate Bonds

         6,038,444,236                   6,038,444,236         

Foreign Government Obligations

     443,747,761               443,747,761         

Municipal Bonds

     45,778,368               45,778,368         

Senior Floating Rate Interests

     28,980,379               28,980,379         

U.S. Government Agencies

     19,544,392               19,544,392         

U.S. Government Securities

     177,556,184               177,556,184         

Convertible Bonds

     5,485,227               5,485,227         

 

The accompanying notes are an integral part of these financial statements.

 

 

  51  

 


The Hartford Balanced Income Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Escrows

   $ 3,176,819     $     $ 3,176,819     $  

Short-Term Investments

     535,791,107       535,791,107              

Foreign Currency Contracts(2)

     400,680             400,680        

Futures Contracts(2)

     1,458,284       1,458,284              

Swaps - Credit Default(2)

     47,509             47,509        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     12,997,894,359     $     5,807,443,542     $     7,190,450,817     $     —  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (775,938   $     $ (775,938   $  

Futures Contracts(2)

     (7,058,702     (7,058,702            

Swaps - Credit Default(2)

     (1,483,058           (1,483,058      
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (9,317,698   $ (7,058,702   $ (2,258,996   $  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  52  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 4.2%  
          Asset-Backed - Automobile - 0.2%  
$     20,000    

AmeriCredit Automobile Receivables Trust 2.58%, 09/18/2025

  $ 20,033  
    90,000    

CarMax Auto Owner Trust 2.02%, 11/15/2024

    90,212  
    15,000    

Drive Auto Receivables Trust 2.70%, 02/16/2027

    14,981  
    70,000    

Exeter Automobile Receivables Trust 2.58%, 09/15/2025(1)

    69,768  
    50,000    

First Investors Auto Owner Trust 2.21%, 09/16/2024(1)

    50,035  
    50,000    

Nissan Automotive Receivables Owner Trust 1.93%, 07/15/2024

    49,997  
    30,000    

Santander Drive Auto Receivables Trust 2.68%, 10/15/2025

    30,059  
    50,000    

Westlake Automobile Receivables Trust 2.72%, 11/15/2024(1)

    50,082  
     

 

 

 
        375,167  
     

 

 

 
          Asset-Backed - Finance & Insurance - 0.8%  
    70,000    

CNH Equipment Trust 2.01%, 12/16/2024

    70,135  
   

Domino’s Pizza Master Issuer LLC

 

    49,000    

3.08%, 07/25/2047(1)

    49,179  
    147,750    

4.12%, 07/25/2048(1)

    154,167  
    50,000    

GLS Auto Receivables Issuer Trust 2.47%, 11/15/2023(1)(2)

    49,996  
    100,000    

Lendmark Funding Trust 2.78%, 04/20/2028(1)

    99,974  
    31,684    

Long Beach Mortgage Loan Trust 1.99%, 12/25/2036, 1 mo. USD LIBOR + 0.170%(3)

    16,795  
    14,964    

SoFi Consumer Loan Program LLC 3.05%, 12/26/2025(1)

    15,030  
    96,278    

SoFi Consumer Loan Program Trust 2.45%, 08/25/2028(1)

    96,524  
    100,000    

SPS Servicer Advance Receivables Trust 2.32%, 10/15/2052(1)(4)(5)

    99,981  
    255,000    

Symphony CLO Ltd. 2.95%, 07/14/2026, 3 mo. USD LIBOR + 0.950%(1)(3)

    254,998  
   

Towd Point Mortgage Trust

 

    54,229    

2.75%, 10/25/2056(1)(6)

    54,870  
    66,826    

2.75%, 06/25/2057(1)(6)

    67,610  
    78,299    

3.25%, 03/25/2058(1)(6)

    80,030  
    108,225    

3.25%, 07/25/2058(1)(6)

    111,590  
   

Vantage Data Centers Issuer LLC

 

    24,958    

3.19%, 07/15/2044(1)

    25,325  
    34,417    

4.07%, 02/16/2043(1)

    35,753  
     

 

 

 
        1,281,957  
     

 

 

 
          Asset-Backed - Home Equity - 0.3%  
    100,000    

CPT Mortgage Trust 2.87%, 11/13/2039(1)

    102,998  
    106,867    

GSAA Home Equity Trust 1.91%, 12/25/2036, 1 mo. USD LIBOR + 0.090%(3)

    47,359  
    993,775    

Morgan Stanley Capital Trust 0.84%, 07/15/2051(6)(7)

    56,818  
    361,950    

Renaissance Home Equity Loan Trust 5.91%, 04/25/2037(8)

    170,464  
    40,000    

Soundview Home Loan Trust 2.07%, 11/25/2036, 1 mo. USD LIBOR + 0.250%(3)

    37,570  
     

 

 

 
        415,209  
     

 

 

 
          Commercial Mortgage - Backed Securities - 0.4%  
    963,427    

Benchmark Mortgage Trust 0.54%, 07/15/2051(6)(7)

    33,982  
    100,000    

Commercial Mortgage Trust 2.90%, 10/15/2036, 1 mo. USD LIBOR + 0.900%(1)(3)

    100,003  
    1,596,821    

DBGS Mortgage Trust 0.21%, 10/15/2051(6)(7)

    26,161  
   

GS Mortgage Securities Trust

 

    62,000    

2.78%, 10/10/2049

    63,607  
    46,000    

3.14%, 06/10/2046

    47,453  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 4.2% - (continued)  
          Commercial Mortgage - Backed Securities - 0.4% - (continued)  
$     65,000    

JPMDB Commercial Mortgage Securities Trust 2.99%, 12/15/2049

  $ 67,106  
   

Morgan Stanley Bank of America Merrill Lynch Trust

 
    40,000    

3.74%, 08/15/2047

    42,626  
    45,000    

3.77%, 11/15/2046

    47,562  
    309,411    

Morgan Stanley Capital I Trust 1.44%, 06/15/2050(6)(7)

    23,359  
    40,000    

Morgan Stanley Capital Trust 3.78%, 05/15/2048(6)

    43,147  
   

Wells Fargo Commercial Mortgage Trust

 

    65,000    

2.79%, 07/15/2048

    66,613  
    15,000    

4.10%, 05/15/2048(6)

    15,254  
   

WF-RBS Commercial Mortgage Trust

 

    48,001    

2.87%, 11/15/2045

    49,020  
    39,000    

3.07%, 06/15/2046

    40,173  
     

 

 

 
        666,066  
     

 

 

 
          Diversified Financial Services - 0.2%  
    250,000    

Carlyle Global Market Strategies 2.99%, 07/27/2031(1)

    247,249  
    100,000    

Marlette Funding Trust 2.39%, 12/17/2029(1)

    100,070  
     

 

 

 
        347,319  
     

 

 

 
          Other ABS - 0.5%  
    250,000    

Dewolf Park CLO Ltd. 3.21%, 10/15/2030, 3 mo. USD LIBOR + 1.210%(1)(3)

    249,260  
    250,000    

Madison Park Funding Ltd. 2.92%, 04/19/2030, 3 mo. USD LIBOR + 0.950%(1)(3)

    249,006  
    93,298    

Mill City Mortgage Loan Trust 3.25%, 10/25/2069(1)(6)

    95,285  
    104,031    

Towd Point Mortgage Trust 3.25%, 07/25/2058(1)(6)

    106,629  
     

 

 

 
        700,180  
     

 

 

 
          Whole Loan Collateral CMO - 1.8%  
   

Alternative Loan Trust

 

    48,690    

1.96%, 04/25/2047, 1 mo. USD LIBOR + 0.140%(3)

    46,620  
    36,287    

2.27%, 04/25/2035, 1 mo. USD LIBOR + 0.450%(3)

    32,667  
    43,439    

3.74%, 08/25/2035, 12 mo. USD MTA + 1.350%(3)

    39,606  
   

Angel Oak Mortgage Trust LLC

 

    65,000    

2.59%, 10/25/2049(1)(6)

    65,091  
    108,896    

2.93%, 05/25/2059(1)(6)

    109,543  
    87,645    

2.99%, 07/26/2049(1)(6)

    88,286  
    39,586    

3.65%, 09/25/2048(1)

    40,019  
    93,965    

Arroyo Mortgage Trust 2.96%, 10/25/2048(1)(6)

    94,736  
    41,525    

Bear Stearns Alt-A Trust 2.14%, 08/25/2036, 1 mo. USD LIBOR + 0.320%(3)

    44,547  
    42,910    

Bunker Hill Loan Depositary Trust 2.88%, 07/25/2049

    43,194  
    13,383    

CHL Mortgage Pass-Through Trust 3.96%, 03/20/2036(6)

    12,789  
    100,000    

Citigroup Mortgage Loan Trust 3.23%, 11/25/2070(1)

    100,000  
   

COLT Mortgage Loan Trust

 
    98,278    

2.58%, 11/25/2049(1)(6)

    98,415  
    42,852    

3.47%, 07/27/2048(1)(6)

    43,031  
    55,912    

3.69%, 10/26/2048(1)(6)

    56,305  
    92,973    

Deephaven Residential Mortgage Trust 2.96%, 07/25/2059(1)(6)

    93,427  
   

Fannie Mae Connecticut Avenue Securities

 
    52,875    

6.82%, 11/25/2024, 1 mo. USD LIBOR + 5.000%(3)

    56,349  
    54,157    

7.37%, 04/25/2028, 1 mo. USD LIBOR + 5.550%(3)

    57,708  
    91,821    

GCAT LLC 2.99%, 02/25/2059(1)(8)

    92,269  
    97,871    

GCAT Trust 2.65%, 10/25/2068(1)(6)

    97,932  
   

Mill City Mortgage Loan Trust

 
    113,307    

2.75%, 07/25/2059(1)(6)

    113,808  
    62,709    

2.75%, 01/25/2061(1)(6)

    63,313  
    85,146    

3.50%, 08/25/2058(1)(6)

    87,629  
    100,000    

3.50%, 04/25/2066(1)

    103,395  
   

New Residential Advance Receivables Trust

 
    100,000    

2.33%, 10/15/2051(1)

    100,092  
    110,000    

2.43%, 10/15/2051(1)

    110,000  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  53  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 4.2% - (continued)  
          Whole Loan Collateral CMO - 1.8% - (continued)  
   

New Residential Mortgage Loan Trust

 
$     74,476    

3.25%, 09/25/2056(1)(6)

  $ 76,254  
    83,392    

3.50%, 12/25/2057(1)(6)

    86,744  
    85,379    

3.60%, 04/25/2049(1)

    86,525  
    84,244    

3.68%, 01/25/2049(1)(6)

    85,405  
    60,290    

3.75%, 11/25/2056(1)(6)

    62,884  
    83,050    

Nomura Asset Acceptance Corp. Alternative Loan Trust 4.45%, 06/25/2036(6)

    73,425  
    49,944    

Residential Accredit Loans, Inc. 2.07%, 08/25/2037, 1 mo. USD LIBOR + 0.250%(3)

    48,027  
    35,476    

Residential Asset Securitization Trust 5.50%, 06/25/2035

    32,365  
    9,912    

Seasoned Credit Risk Transfer Trust 3.50%, 10/25/2058

    10,577  
   

Towd Point Mortgage Trust

 
    107,408    

2.42%, 02/25/2057, 1 mo. USD LIBOR + 0.600%(1)(3)

    107,158  
    18,361    

3.00%, 11/25/2057(1)(6)

    18,418  
   

Verus Securitization Trust

 
    96,226    

2.78%, 07/25/2059(1)(8)

    96,600  
    100,000    

3.14%, 11/25/2059(1)(6)

    100,664  
    78,060    

3.84%, 02/25/2059(1)(6)

    79,019  
    13,012    

Wells Fargo Mortgage Backed Securities Trust 4.93%, 03/25/2036(6)

    13,056  
    976,648    

Wells Fargo N.A. 0.52%, 08/15/2061(6)(7)

    32,944  
     

 

 

 
        2,900,836  
     

 

 

 
   

Total Asset & Commercial Mortgage Backed Securities
(cost $6,699,308)

  $ 6,686,734  
     

 

 

 
CORPORATE BONDS - 6.8%  
          Aerospace/Defense - 0.1%  
    40,000    

Boeing Co. 3.25%, 02/01/2035

  $ 41,906  
    10,000    

General Dynamics Corp. 2.63%, 11/15/2027

    10,374  
    40,000    

L3Harris Technologies, Inc. 3.85%, 06/15/2023(1)

    42,242  
   

Lockheed Martin Corp.

 
    15,000    

3.60%, 03/01/2035

    16,284  
    10,000    

3.80%, 03/01/2045

    11,004  
   

United Technologies Corp.

 
    10,000    

3.75%, 11/01/2046

    11,090  
    40,000    

4.45%, 11/16/2038

    47,459  
     

 

 

 
        180,359  
     

 

 

 
          Agriculture - 0.1%  
   

Altria Group, Inc.

 
    95,000    

2.63%, 09/16/2026

    93,073  
    45,000    

3.88%, 09/16/2046

    41,706  
   

Reynolds American, Inc.

 
    55,000    

4.85%, 09/15/2023

    59,500  
    30,000    

5.85%, 08/15/2045

    33,356  
     

 

 

 
        227,635  
     

 

 

 
          Auto Manufacturers - 0.2%  
    25,000    

Ford Motor Co. 4.75%, 01/15/2043

    21,735  
   

General Motors Co.

 
    30,000    

5.40%, 04/01/2048

    30,456  
    10,000    

6.60%, 04/01/2036

    11,609  
    110,000    

6.75%, 04/01/2046

    126,954  
    75,000    

General Motors Financial Co., Inc. 4.00%, 10/06/2026

    76,583  
     

 

 

 
        267,337  
     

 

 

 
          Beverages - 0.2%  
   

Anheuser-Busch InBev Worldwide, Inc.

 
    223,000    

3.75%, 07/15/2042

    228,559  
    40,000    

4.75%, 01/23/2029

    46,488  
    25,000    

Constellation Brands, Inc. 3.60%, 02/15/2028

    26,399  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.8% - (continued)  
          Beverages - 0.2% - (continued)  
$     17,000    

Molson Coors Brewing Co. 3.00%, 07/15/2026

  $ 17,159  
     

 

 

 
        318,605  
     

 

 

 
          Biotechnology - 0.0%  
   

Amgen, Inc.

 
    20,000    

2.65%, 05/11/2022

    20,327  
    5,000    

4.40%, 05/01/2045

    5,625  
    40,000    

Gilead Sciences, Inc. 2.55%, 09/01/2020

    40,220  
     

 

 

 
        66,172  
     

 

 

 
          Chemicals - 0.1%  
    70,000    

DuPont de Nemours, Inc. 4.21%, 11/15/2023

    74,999  
    15,000    

Methanex Corp. 5.65%, 12/01/2044

    14,251  
   

Sherwin-Williams Co.

 

    5,000    

2.95%, 08/15/2029

    5,054  
    40,000    

3.13%, 06/01/2024

    41,494  
     

 

 

 
        135,798  
     

 

 

 
          Commercial Banks - 1.8%  
   

Bank of America Corp.

 
    120,000    

2.46%, 10/22/2025, (2.46% fixed rate until 10/22/2024; 3 mo. USD LIBOR + 0.870% thereafter)(9)

    120,646  
    70,000    

3.37%, 01/23/2026, (3.37% fixed rate until 01/23/2025; 3 mo. USD LIBOR + 0.810% thereafter)(9)

    73,224  
    50,000    

3.95%, 01/23/2049, (3.95% fixed rate until 01/23/2048; 3 mo. USD LIBOR + 1.190% thereafter)(9)

    56,431  
    165,000    

3.97%, 02/07/2030, (3.97% fixed rate until 02/07/2029; 3 mo. USD LIBOR + 1.210% thereafter)(9)

    180,057  
   

Bank of New York Mellon Corp.

 
    5,000    

1.95%, 08/23/2022

    5,011  
    65,000    

2.10%, 10/24/2024

    65,257  
    10,000    

2.45%, 08/17/2026

    10,104  
    20,000    

2.66%, 05/16/2023, (2.66% fixed rate until 05/16/2022; 3 mo. USD LIBOR + 0.634% thereafter)(9)

    20,289  
   

Citigroup, Inc.

 
    120,000    

2.88%, 07/24/2023, (2.88% fixed rate until 07/24/2022; 3 mo. USD LIBOR + 0.950% thereafter)(9)

    121,963  
    10,000    

2.98%, 11/05/2030, (2.98% fixed rate until 11/05/2029; 3 mo. USD LIBOR + 1.422% thereafter)(2)(9)

    10,084  
    45,000    

3.20%, 10/21/2026

    46,670  
    135,000    

3.98%, 03/20/2030, (3.98% fixed rate until 03/20/2029; 3 mo. USD LIBOR + 1.338% thereafter)(9)

    147,164  
    30,000    

Fifth Third Bancorp 2.38%, 01/28/2025

    30,141  
   

Goldman Sachs Group, Inc.

 
    75,000    

2.93%, 12/13/2019, 3 mo. USD LIBOR + 0.800%(3)

    75,071  
    120,000    

3.50%, 01/23/2025

    125,454  
    80,000    

3.50%, 11/16/2026

    83,350  
    60,000    

4.02%, 10/31/2038, (4.02% fixed rate until 10/31/2037; 3 mo. USD LIBOR + 1.373% thereafter)(9)

    64,780  
   

JP Morgan Chase & Co.

 

    150,000    

2.30%, 10/15/2025, (2.30% fixed rate until 10/15/2024; 3 mo. USD SOFR + 1.160% thereafter)(9)

    149,695  
    170,000    

2.95%, 10/01/2026

    175,463  
    10,000    

3.90%, 01/23/2049, (3.90% fixed rate until 01/23/2048; 3 mo. USD LIBOR + 1.220% thereafter)(9)

    11,098  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  54  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.8% - (continued)  
          Commercial Banks - 1.8% - (continued)  
$     30,000    

KeyCorp. 2.55%, 10/01/2029

  $ 29,365  
   

Morgan Stanley

 
    215,000    

2.72%, 07/22/2025, (2.72% fixed rate until 07/22/2024; 3 mo. USD SOFR + 1.152% thereafter)(9)

    218,011  
    75,000    

3.08%, 01/27/2020, 3 mo. USD LIBOR +
1.140%(3)

    75,171  
    30,000    

3.95%, 04/23/2027

    31,958  
    35,000    

3.97%, 07/22/2038, (3.97% fixed rate until 07/22/2037; 3 mo. USD LIBOR + 1.455%
thereafter)(9)

    38,322  
    250,000    

PNC Bank NA 2.60%, 07/21/2020

    251,106  
    20,000    

PNC Financial Services Group, Inc. 3.45%, 04/23/2029

    21,541  
   

Royal Bank of Canada

 
    55,000    

2.55%, 07/16/2024

    55,847  
    50,000    

2.80%, 04/29/2022

    51,029  
    35,000    

Santander Holdings USA, Inc. 3.40%, 01/18/2023

    35,980  
   

State Street Corp.

 
    30,000    

2.35%, 11/01/2025, (2.35% fixed rate until 11/01/2024; 3 mo. SOFR + 0.940% thereafter)(2)(9)

    30,198  
    10,000    

3.78%, 12/03/2024, (3.78% fixed rate until 12/03/2023; 3 mo. USD LIBOR + 0.770% thereafter)(9)

    10,600  
    69,000    

Toronto-Dominion Bank 2.65%, 06/12/2024

    70,618  
   

Wells Fargo & Co.

 
    135,000    

2.41%, 10/30/2025, (2.41% fixed rate until 10/30/2024; 3 mo. USD LIBOR + 0.825% thereafter)(9)

    135,114  
    125,000    

3.00%, 02/19/2025

    128,654  
    50,000    

3.00%, 10/23/2026

    51,378  
    20,000    

4.75%, 12/07/2046

    23,889  
     

 

 

 
        2,830,733  
     

 

 

 
          Commercial Services - 0.0%  
    10,000    

ERAC USA Finance LLC 7.00%, 10/15/2037(1)

    14,177  
    15,000    

Global Payments, Inc. 3.20%, 08/15/2029

    15,266  
     

 

 

 
        29,443  
     

 

 

 
          Diversified Financial Services - 0.1%  
   

American Express Co.

 
    12,000    

3.63%, 12/05/2024

    12,758  
    20,000    

4.20%, 11/06/2025

    22,108  
    35,000    

Visa, Inc. 3.15%, 12/14/2025

    37,416  
     

 

 

 
        72,282  
     

 

 

 
          Electric - 0.6%  
    25,000    

Berkshire Hathaway Energy Co. 3.25%, 04/15/2028

    26,510  
    35,000    

CenterPoint Energy, Inc. 2.50%, 09/01/2022

    35,313  
    95,000    

Commonwealth Edison Co. 2.55%, 06/15/2026

    96,581  
    20,000    

Dominion Energy South Carolina, Inc. 5.10%, 06/01/2065

    26,596  
    85,000    

Dominion Energy, Inc. 2.85%, 08/15/2026

    86,484  
    100,000    

Duke Energy Corp. 2.65%, 09/01/2026

    100,959  
    50,000    

Duke Energy Florida LLC 3.40%, 10/01/2046

    51,474  
    20,000    

Duke Energy Indiana LLC 3.25%, 10/01/2049

    20,125  
   

Evergy, Inc.

 
    5,000    

2.45%, 09/15/2024

    5,030  
    25,000    

2.90%, 09/15/2029

    25,138  
    15,000    

Exelon Corp. 2.45%, 04/15/2021

    15,098  
    5,000    

Fortis, Inc. 3.06%, 10/04/2026

    5,151  
    10,000    

Georgia Power Co. 4.30%, 03/15/2042

    10,984  
    35,000    

NextEra Energy Capital Holdings, Inc. 3.15%, 04/01/2024

    36,379  
    50,000    

Oglethorpe Power Corp. 5.05%, 10/01/2048

    60,519  
    15,000    

Oncor Electric Delivery Co. LLC 2.95%, 04/01/2025

    15,596  
    40,000    

Puget Energy, Inc. 3.65%, 05/15/2025

    41,620  
    50,000    

SCANA Corp. 4.13%, 02/01/2022

    51,608  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.8% - (continued)  
          Electric - 0.6% - (continued)  
$     5,000    

Sempra Energy 4.00%, 02/01/2048

  $ 5,236  
    40,000    

Sierra Pacific Power Co. 2.60%, 05/01/2026

    40,855  
   

Southern California Edison Co.

 
    25,000    

2.85%, 08/01/2029

    25,049  
    5,000    

4.00%, 04/01/2047

    5,256  
    15,000    

4.13%, 03/01/2048

    16,049  
    55,000    

Southern Co. 3.25%, 07/01/2026

    57,413  
     

 

 

 
        861,023  
     

 

 

 
          Engineering & Construction - 0.0%  
    25,000    

Fluor Corp. 4.25%, 09/15/2028

    24,747  
     

 

 

 
          Entertainment - 0.0%  
    20,000    

GLP Capital L.P. / GLP Financing II, Inc. 5.30%, 01/15/2029

    22,112  
     

 

 

 
          Environmental Control - 0.0%  
   

Waste Management, Inc.

 
    15,000    

3.45%, 06/15/2029

    16,243  
    10,000    

4.15%, 07/15/2049

    11,606  
     

 

 

 
        27,849  
     

 

 

 
          Food - 0.0%  
    5,000    

Conagra Brands, Inc. 4.60%, 11/01/2025

    5,548  
     

 

 

 
          Gas - 0.0%  
    25,000    

Sempra Energy 3.40%, 02/01/2028

    25,585  
     

 

 

 
          Healthcare - Products - 0.1%  
    29,000    

Becton Dickinson and Co. 3.36%, 06/06/2024

    30,376  
    30,000    

Boston Scientific Corp. 4.00%, 03/01/2028

    33,442  
    27,000    

Thermo Fisher Scientific, Inc. 2.95%, 09/19/2026

    28,065  
     

 

 

 
        91,883  
     

 

 

 
          Healthcare-Services - 0.2%  
   

Anthem, Inc.

 

    80,000    

2.88%, 09/15/2029

    79,238  
    60,000    

3.30%, 01/15/2023

    62,285  
    5,000    

4.38%, 12/01/2047

    5,360  
    15,000    

CommonSpirit Health 2.76%, 10/01/2024

    15,226  
    32,000    

HCA, Inc. 4.13%, 06/15/2029

    33,901  
   

UnitedHealth Group, Inc.

 

    15,000    

2.38%, 08/15/2024

    15,203  
    60,000    

2.88%, 08/15/2029

    61,678  
    10,000    

3.50%, 08/15/2039

    10,453  
    5,000    

3.70%, 08/15/2049

    5,263  
    10,000    

4.75%, 07/15/2045

    12,216  
     

 

 

 
        300,823  
     

 

 

 
          Insurance - 0.1%  
    36,000    

Berkshire Hathaway Finance Corp. 4.20%, 08/15/2048

    42,361  
    26,000    

CNA Financial Corp. 3.45%, 08/15/2027

    27,158  
   

Marsh & McLennan Cos., Inc.

 

    73,000    

3.88%, 03/15/2024

    77,942  
    10,000    

4.75%, 03/15/2039

    12,135  
    8,000    

Massachusetts Mutual Life Insurance Co. 3.73%, 10/15/2070(1)

    7,919  
    15,000    

Willis North America, Inc. 2.95%, 09/15/2029

    14,926  
     

 

 

 
        182,441  
     

 

 

 
          Internet - 0.2%  
    110,000    

Amazon.com, Inc. 3.15%, 08/22/2027

    117,361  
    200,000    

Tencent Holdings Ltd. 2.99%, 01/19/2023(1)

    203,666  
     

 

 

 
        321,027  
     

 

 

 
          Iron/Steel - 0.1%  
    170,000    

United States Steel Corp. 6.25%, 03/15/2026

    142,339  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  55  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.8% - (continued)  
          IT Services - 0.2%  
   

Apple, Inc.

 

$     85,000    

2.20%, 09/11/2029

  $ 83,601  
    40,000    

3.35%, 02/09/2027

    42,925  
   

International Business Machines Corp.

 

    100,000    

3.30%, 05/15/2026

    105,799  
    30,000    

4.00%, 06/20/2042

    32,552  
     

 

 

 
        264,877  
     

 

 

 
          Lodging - 0.0%  
    20,000    

Las Vegas Sands Corp. 3.50%, 08/18/2026

    20,385  
     

 

 

 
          Machinery - Diversified - 0.0%  
    55,000    

John Deere Capital Corp. 2.60%, 03/07/2024

    56,438  
     

 

 

 
          Media - 0.4%  
    21,000    

CBS Corp. 4.20%, 06/01/2029

    22,787  
   

Charter Communications Operating LLC / Charter Communications Operating Capital

 
    45,000    

4.20%, 03/15/2028

    47,789  
    5,000    

4.80%, 03/01/2050

    5,118  
    35,000    

5.13%, 07/01/2049

    37,390  
   

Comcast Corp.

 

    110,000    

2.35%, 01/15/2027

    110,306  
    15,000    

2.65%, 02/01/2030(2)

    15,145  
    70,000    

3.20%, 07/15/2036

    71,122  
    15,000    

3.25%, 11/01/2039(2)

    15,207  
   

Cox Communications, Inc.

 

    7,000    

3.15%, 08/15/2024(1)

    7,239  
    35,000    

3.35%, 09/15/2026(1)

    36,589  
    21,000    

4.50%, 06/30/2043(1)

    22,106  
   

Discovery Communications LLC

 

    40,000    

3.95%, 03/20/2028

    42,125  
    15,000    

5.30%, 05/15/2049

    16,863  
    65,000    

Time Warner Cable LLC 4.50%, 09/15/2042

    65,054  
   

Viacom, Inc.

 

    40,000    

4.25%, 09/01/2023

    42,533  
    8,000    

4.38%, 03/15/2043

    8,250  
     

 

 

 
        565,623  
     

 

 

 
          Miscellaneous Manufacturing - 0.0%  
    19,000    

Parker-Hannifin Corp. 2.70%, 06/14/2024

    19,348  
     

 

 

 
          Oil & Gas - 0.8%  
    40,000    

BP Capital Markets America, Inc. 3.79%, 02/06/2024

    42,700  
    15,000    

Canadian Natural Resources Ltd. 6.50%, 02/15/2037

    19,289  
    165,000    

Carrizo Oil & Gas, Inc. 6.25%, 04/15/2023(10)

    153,450  
    10,000    

Cimarex Energy Co. 4.38%, 03/15/2029

    10,423  
    85,000    

Diamondback Energy, Inc. 4.75%, 11/01/2024

    87,869  
    25,000    

EnCana Corp. 3.90%, 11/15/2021

    25,659  
    30,000    

Hess Corp. 5.60%, 02/15/2041

    33,628  
    165,000    

Laredo Petroleum, Inc. 6.25%, 03/15/2023(10)

    150,563  
    25,000    

Marathon Oil Corp. 3.85%, 06/01/2025

    26,258  
    85,000    

Matador Resources Co. 5.88%, 09/15/2026

    81,494  
   

Noble Energy, Inc.

 

    10,000    

5.05%, 11/15/2044

    10,578  
    15,000    

6.00%, 03/01/2041

    17,379  
    225,000    

Nostrum Oil & Gas Finance B.V. 8.00%, 07/25/2022(11)

    120,600  
   

Occidental Petroleum Corp.

 

    30,000    

3.50%, 08/15/2029

    30,398  
    10,000    

6.45%, 09/15/2036

    12,257  
   

PDC Energy, Inc.

 

    120,000    

5.75%, 05/15/2026

    112,200  
    40,000    

6.13%, 09/15/2024

    38,825  
   

Petroleos Mexicanos

 

    65,000    

5.35%, 02/12/2028

    64,188  
    40,000    

6.84%, 01/23/2030(1)

    42,700  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.8% - (continued)  
          Oil & Gas - 0.8% - (continued)  
   

Shell International Finance B.V.

 

$     7,000    

3.75%, 09/12/2046

  $ 7,797  
    5,000    

4.38%, 05/11/2045

    6,066  
   

Southwestern Energy Co.

 

    115,000    

7.50%, 04/01/2026

    100,923  
    50,000    

7.75%, 10/01/2027

    43,000  
    20,000    

Suncor Energy, Inc. 3.60%, 12/01/2024

    21,132  
    18,000    

Valero Energy Corp. 3.40%, 09/15/2026

    18,664  
     

 

 

 
        1,278,040  
     

 

 

 
          Pharmaceuticals - 0.3%  
    5,000    

Allergan Funding SCS 4.55%, 03/15/2035

    5,348  
   

Bristol-Myers Squibb Co.

 

    15,000    

3.20%, 06/15/2026(1)

    15,931  
    15,000    

3.40%, 07/26/2029(1)

    16,134  
    4,000    

Cardinal Health, Inc. 3.41%, 06/15/2027

    4,071  
   

Cigna Corp.

 

    99,000    

3.05%, 10/15/2027(1)

    99,677  
    45,000    

3.75%, 07/15/2023

    47,139  
    15,000    

3.88%, 10/15/2047(1)

    14,708  
   

CVS Health Corp.

 

    90,000    

3.00%, 08/15/2026

    91,510  
    40,000    

5.13%, 07/20/2045

    46,106  
    50,000    

GlaxoSmithKline Capital, Inc. 3.63%, 05/15/2025

    53,966  
   

Johnson & Johnson

 

    35,000    

2.45%, 03/01/2026

    35,903  
    20,000    

3.55%, 03/01/2036

    22,032  
    31,000    

Merck & Co., Inc. 3.40%, 03/07/2029

    33,812  
    5,000    

Mylan, Inc. 5.20%, 04/15/2048

    5,365  
    12,000    

Shire Acquisitions Investments Ireland DAC
2.88%, 09/23/2023

    12,247  
     

 

 

 
        503,949  
     

 

 

 
          Pipelines - 0.3%  
    100,000    

Antero Midstream Partners L.P. / Antero Midstream Finance Corp. 5.75%, 03/01/2027(1)

    74,375  
    10,000    

Energy Transfer Operating L.P. 6.25%, 04/15/2049

    11,943  
   

Enterprise Products Operating LLC

 

    60,000    

3.13%, 07/31/2029

    61,601  
    25,000    

4.80%, 02/01/2049

    28,867  
   

MPLX L.P.

 

    20,000    

4.00%, 03/15/2028

    20,791  
    30,000    

4.13%, 03/01/2027

    31,485  
    5,000    

5.20%, 12/01/2047(1)

    5,345  
    16,000    

ONEOK, Inc. 3.40%, 09/01/2029

    15,922  
   

Phillips 66 Partners L.P.

 

    15,000    

2.45%, 12/15/2024

    14,969  
    5,000    

3.15%, 12/15/2029

    4,939  
   

Sabine Pass Liquefaction LLC

 

    15,000    

4.20%, 03/15/2028

    15,825  
    5,000    

5.63%, 03/01/2025

    5,611  
   

Sunoco Logistics Partners Operations L.P.

 

    15,000    

5.30%, 04/01/2044

    15,915  
    10,000    

5.35%, 05/15/2045

    10,711  
   

Texas Eastern Transmission L.P.

 

    15,000    

2.80%, 10/15/2022(1)

    15,104  
    5,000    

3.50%, 01/15/2028(1)

    5,203  
   

TransCanada PipeLines Ltd.

 

    35,000    

4.75%, 05/15/2038

    39,625  
    17,000    

5.10%, 03/15/2049

    20,409  
    42,000    

Valero Energy Partners L.P. 4.50%, 03/15/2028

    46,033  
    40,000    

Western Midstream Operating L.P. 5.50%, 08/15/2048

    34,689  
     

 

 

 
        479,362  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  56  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.8% - (continued)  
          REITS - 0.0%  
$     25,000    

SBA Tower Trust 2.84%, 01/15/2025(1)

  $ 25,249  
     

 

 

 
          Retail - 0.1%  
   

Home Depot, Inc.

 
    35,000    

3.35%, 09/15/2025

    37,735  
    11,000    

3.50%, 09/15/2056

    11,751  
    10,000    

Lowe’s Cos., Inc. 3.70%, 04/15/2046

    10,122  
   

McDonald’s Corp.

 
    50,000    

3.35%, 04/01/2023

    52,259  
    7,000    

3.70%, 02/15/2042

    7,213  
    20,000    

Starbucks Corp. 3.80%, 08/15/2025

    21,747  
    20,000    

Walmart, Inc. 3.40%, 06/26/2023

    21,132  
     

 

 

 
        161,959  
     

 

 

 
          Semiconductors - 0.2%  
   

Broadcom Corp. / Broadcom Cayman Finance Ltd.

 
    10,000    

3.63%, 01/15/2024

    10,295  
    100,000    

3.88%, 01/15/2027

    100,980  
   

Intel Corp.

 
    15,000    

2.60%, 05/19/2026

    15,458  
    10,000    

3.73%, 12/08/2047

    11,263  
    30,000    

Micron Technology, Inc. 4.98%, 02/06/2026

    32,605  
    55,000    

NXP B.V. / NXP Funding LLC 4.88%, 03/01/2024(1)

    59,765  
     

 

 

 
        230,366  
     

 

 

 
          Software - 0.1%  
    15,000    

Fidelity National Information Services, Inc. 3.00%, 08/15/2026

    15,505  
    30,000    

Fiserv, Inc. 3.20%, 07/01/2026

    31,345  
   

Microsoft Corp.

 
    10,000    

3.50%, 11/15/2042

    10,934  
    25,000    

4.25%, 02/06/2047

    31,047  
   

Oracle Corp.

 
    40,000    

2.65%, 07/15/2026

    40,976  
    25,000    

3.80%, 11/15/2037

    27,510  
    10,000    

salesforce.com, Inc. 3.25%, 04/11/2023

    10,430  
     

 

 

 
        167,747  
     

 

 

 
          Telecommunications - 0.4%  
   

AT&T, Inc.

 
    65,000    

2.95%, 07/15/2026

    66,249  
    50,000    

3.80%, 02/15/2027

    53,629  
    25,000    

4.30%, 02/15/2030

    27,496  
    40,000    

4.35%, 06/15/2045

    42,368  
    160,000    

Nokia Oyj 6.63%, 05/15/2039

    182,800  
   

Verizon Communications, Inc.

 
    110,000    

4.13%, 03/16/2027

    122,667  
    75,000    

4.13%, 08/15/2046

    84,396  
    10,000    

4.50%, 08/10/2033

    11,675  
   

Vodafone Group plc

 
    10,000    

4.25%, 09/17/2050

    10,255  
    6,000    

4.38%, 02/19/2043

    6,269  
     

 

 

 
        607,804  
     

 

 

 
          Transportation - 0.1%  
   

CSX Corp.

 
    45,000    

2.40%, 02/15/2030

    44,133  
    20,000    

3.25%, 06/01/2027

    21,088  
    10,000    

4.50%, 03/15/2049

    11,787  
    10,000    

Norfolk Southern Corp. 3.40%, 11/01/2049(2)

    10,014  
   

Union Pacific Corp.

 
    60,000    

3.70%, 03/01/2029

    65,662  
    17,000    

4.10%, 09/15/2067

    17,642  
     

 

 

 
    170,326  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 6.8% - (continued)  
      Water - 0.0%  
   

American Water Capital Corp.

 
$     15,000    

3.75%, 09/01/2028

  $ 16,436  
    10,000    

4.15%, 06/01/2049

    11,615  
     

 

 

 
    28,051  
     

 

 

 
   

Total Corporate Bonds
(cost $10,633,350)

  $ 10,713,265  
     

 

 

 
FOREIGN GOVERNMENT OBLIGATIONS - 6.1%  
      Canada - 0.9%  
CAD     358,271    

Canadian Government Real Return Bond 4.25%, 12/01/2026(12)

  $ 349,893  
    1,525,000    

Canadian When Issued Government Bond 1.50%, 09/01/2024

    1,161,841  
     

 

 

 
    1,511,734  
     

 

 

 
      Germany - 1.7%  
 

Deutsche Bundesrepublik Inflation Linked Bond

 
EUR     1,064,510    

0.10%, 04/15/2026(11)(12)

    1,301,567  
    1,019,783    

0.50%, 04/15/2030(11)(12)

    1,366,170  
     

 

 

 
    2,667,737  
     

 

 

 
      Greece - 0.1%  
    50,935,000    

Hellenic Republic Government Bond 0.00%, 10/15/2042(6)

    213,029  
     

 

 

 
          Hungary - 0.0%  
$     6,000    

Hungary Government International Bond 6.38%, 03/29/2021

    6,354  
     

 

 

 
          Israel - 0.3%  
ILS     1,684,902    

Israel Government Bond - CPI Linked 1.00%, 05/31/2045(12)

    512,663  
     

 

 

 
          Italy - 0.1%  
EUR     104,470    

Italy Buoni Poliennali Del Tesoro 1.25%, 09/15/2032(1)(11)(12)

    128,115  
     

 

 

 
          Japan - 1.1%  
JPY     186,531,752    

Japanese Government CPI Linked Bond 0.10%, 03/10/2029(12)

    1,790,352  
     

 

 

 
      Mexico - 0.5%  
MXN     13,207,600    

Mexican Bonos 8.00%, 11/07/2047

    756,026  
     

 

 

 
      Norway - 0.2%  
NOK     2,865,000    

Norway Government Bond 1.75%, 09/06/2029(1)(11)

    322,488  
     

 

 

 
      Russia - 1.0%  
RUB     105,716,138    

Russian Federal Inflation Linked Bond - OFZ 2.50%, 02/02/2028(12)

    1,545,882  
     

 

 

 
      South Africa - 0.2%  
ZAR     4,429,498    

Republic of South Africa Government Bond - CPI Linked 1.88%, 03/31/2029(12)

    255,777  
     

 

 

 
   

Total Foreign Government Obligations
(cost $9,632,828)

  $ 9,710,157  
     

 

 

 
MUNICIPAL BONDS - 0.1%  
          Development - 0.0%  
$     30,000    

California State, GO Taxable 7.30%, 10/01/2039

  $ 46,410  
     

 

 

 
          General - 0.1%  
    40,000    

Philadelphia Auth for Industrial Dev 6.55%, 10/15/2028

    50,849  
     

 

 

 
          Transportation - 0.0%  
    15,000    

New York State Thruway Auth Rev 2.90%, 01/01/2035

    15,167  
     

 

 

 
   

Total Municipal Bonds
(cost $110,492)

  $ 112,426  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  57  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 0.0%(13)  
          Oil & Gas - 0.0%  
$     62,500    

Ascent Resources - Marcellus LLC 8.59%, 03/30/2023, 1 mo. USD LIBOR + 6.500%

  $ 59,375  
     

 

 

 
   

Total Senior Floating Rate Interests
(cost $60,983)

  $ 59,375  
     

 

 

 
U.S. GOVERNMENT AGENCIES - 8.7%  
          FHLMC - 0.1%  
    4,321,626    

0.08%, 10/25/2026(6)(7)

  $ 27,094  
    1,412,007    

0.27%, 11/25/2023(6)(7)

    13,764  
    747,765    

0.61%, 03/25/2027(6)(7)

    29,529  
    34,084    

1.70%, 10/15/2039

    33,847  
     

 

 

 
        104,234  
     

 

 

 
          FNMA - 1.7%  
    369,998    

1.33%, 06/25/2034(4)(5)(6)(7)

    47,001  
    35,402    

1.50%, 08/25/2041

    34,787  
    61,519    

1.50%, 06/25/2042

    61,827  
    33,877    

1.70%, 06/25/2043

    33,640  
    422,584    

2.50%, 08/01/2023

    427,150  
    43,657    

2.50%, 09/25/2049

    44,156  
    24,200    

2.50%, 03/25/2053

    24,355  
    150,000    

3.04%, 06/01/2029

    159,682  
    74,345    

3.48%, 03/01/2029

    81,274  
    240,191    

3.50%, 06/01/2049

    246,403  
    244,629    

3.50%, 08/01/2049

    251,172  
    545,961    

3.50%, 09/01/2049

    560,703  
    103,692    

3.50%, 04/25/2053

    107,012  
    9,885    

3.86%, 12/01/2025

    10,887  
    18,116    

3.87%, 10/01/2025

    19,871  
    28,247    

3.89%, 05/01/2030

    31,703  
    9,194    

3.96%, 05/01/2034

    10,484  
    247,565    

4.00%, 09/01/2048

    257,272  
    282,276    

4.00%, 08/01/2049

    293,247  
    49,138    

4.00%, 07/25/2053

    51,631  
     

 

 

 
        2,754,257  
     

 

 

 
          GNMA - 2.6%  
    51,967    

1.50%, 04/16/2040

    51,383  
    35,440    

1.70%, 10/20/2045

    35,166  
    1,875,000    

3.00%, 11/01/2049(14)

    1,929,962  
    1,025,000    

3.00%, 12/01/2049(14)

    1,054,630  
    475,000    

3.50%, 11/01/2049(14)

    494,965  
    497,935    

4.00%, 07/20/2049

    519,196  
     

 

 

 
        4,085,302  
     

 

 

 
          UMBS - 4.3%  
    650,000    

2.50%, 11/01/2034(14)

    656,982  
    400,000    

3.00%, 11/01/2034(14)

    409,578  
    1,507,000    

3.00%, 11/01/2049(14)

    1,531,314  
    1,925,000    

3.00%, 12/01/2049(14)

    1,954,060  
    625,000    

3.50%, 11/01/2049(14)

    641,699  
    600,000    

3.50%, 12/01/2049(14)

    616,148  
    600,000    

4.00%, 11/01/2049(14)

    622,641  
    400,000    

4.50%, 12/01/2049(14)

    421,071  
     

 

 

 
        6,853,493  
     

 

 

 
   

Total U.S. Government Agencies
(cost $13,754,717)

  $ 13,797,286  
     

 

 

 
U.S. GOVERNMENT SECURITIES - 12.7%  
          U.S. Treasury Securities - 12.7%  
          U.S. Treasury Bonds - 2.5%  
    733,353    

0.88%, 02/15/2047(12)

  $ 793,181  
    280,000    

2.50%, 02/15/2046

    298,112  
    80,000    

3.00%, 08/15/2048

    94,041  
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT SECURITIES - 12.7% - (continued)  
          U.S. Treasury Securities - 12.7% - (continued)  
          U.S. Treasury Bonds - 2.5% - (continued)  
$     405,000    

3.00%, 02/15/2049

  $ 477,457  
    285,000    

3.13%, 02/15/2043

    335,910  
    420,000    

3.13%, 08/15/2044(15)

    497,667  
    640,000    

3.63%, 08/15/2043

    815,875  
    540,000    

3.75%, 11/15/2043(16)

    702,042  
     

 

 

 
        4,014,285  
     

 

 

 
          U.S. Treasury Notes - 10.2%  
    2,772,006    

0.50%, 04/15/2024(12)

    2,808,449  
    3,279,394    

0.63%, 04/15/2023(12)

    3,312,949  
    2,013,715    

0.63%, 01/15/2026(12)(15)

    2,067,977  
    71,124    

0.88%, 01/15/2029(12)

    75,644  
    20,391    

1.00%, 02/15/2049(12)

    22,928  
    500,000    

2.00%, 08/15/2025

    511,621  
    3,205,000    

2.13%, 08/15/2021

    3,235,673  
    870,000    

2.13%, 05/15/2022

    882,744  
    700,000    

2.25%, 04/15/2022

    711,976  
    965,000    

2.38%, 08/15/2024

    1,001,941  
    745,000    

2.63%, 02/15/2029(15)

    805,473  
    600,000    

2.88%, 07/31/2025

    642,633  
     

 

 

 
        16,080,008  
     

 

 

 
        20,094,293  
     

 

 

 
   

Total U.S. Government Securities
(cost $19,670,852)

  $ 20,094,293  
     

 

 

 
COMMON STOCKS - 27.6%  
          Banks - 1.1%  
    14,183    

Bank of Nova Scotia

  $ 813,112  
    5,773    

PNC Financial Services Group, Inc.

    846,899  
     

 

 

 
        1,660,011  
     

 

 

 
          Capital Goods - 2.4%  
    17,570    

Assa Abloy AB Class B

    417,259  
    7,444    

Fortive Corp.

    513,636  
    2,177    

Lockheed Martin Corp.

    820,033  
    6,509    

United Technologies Corp.

    934,562  
    9,358    

Vinci S.A.

    1,049,932  
     

 

 

 
        3,735,422  
     

 

 

 
          Commercial & Professional Services - 0.2%  
    12,185    

Experian plc

    384,087  
     

 

 

 
          Consumer Durables & Apparel - 0.5%  
    8,173    

NIKE, Inc. Class B

    731,892  
     

 

 

 
          Consumer Services - 1.0%  
    23,905    

Compass Group plc

    636,449  
    5,179    

McDonald’s Corp.

    1,018,709  
     

 

 

 
        1,655,158  
     

 

 

 
          Diversified Financials - 0.0%  
    214    

Berkshire Hathaway, Inc. Class B*

    45,492  
     

 

 

 
          Energy - 4.4%  
    44,900    

Ascent Resources - Marcellus LLC Class A*(4)(5)

    89,800  
    73,097    

BP plc

    463,534  
    3,647    

Cabot Oil & Gas Corp.

    67,980  
    25,334    

Canacol Energy Ltd.*

    93,288  
    1,156    

Cheniere Energy, Inc.*

    71,152  
    4,404    

Chevron Corp.

    511,481  
    167    

Concho Resources, Inc.

    11,276  
    3,645    

ConocoPhillips

    201,204  
    3,717    

Devon Energy Corp.

    75,381  
    1,937    

Diamondback Energy, Inc.

    166,117  
    7,472    

Enbridge, Inc.

    272,137  
    28,216    

Encana Corp.

    110,542  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  58  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 27.6% - (continued)  
          Energy - 4.4% - (continued)  
$     145    

EOG Resources, Inc.

  $ 10,050  
    3,180    

Equinor ASA

    59,039  
    5,728    

Exxon Mobil Corp.

    387,041  
    9,109    

Galp Energia SGPS S.A.

    145,696  
    1,915    

Gazprom Neft PJSC ADR

    61,947  
    20,164    

Imperial Oil Ltd.

    502,148  
    120,026    

Karoon Energy Ltd.*

    76,948  
    17,689    

Kosmos Energy Ltd.

    109,672  
    1,918    

Liberty Oilfield Services, Inc. Class A

    17,665  
    2,564    

Lundin Petroleum AB

    84,915  
    4,370    

Marathon Petroleum Corp.

    279,461  
    7,206    

Noble Energy, Inc.

    138,788  
    1,117    

Paragon Offshore Ltd., Litigation*

    5,729  
    2,202    

Petroleo Brasileiro S.A. ADR

    35,760  
    1,125    

Pioneer Natural Resources Co.

    138,397  
    2,342    

Plains GP Holdings L.P. Class A*

    43,468  
    19,209    

Royal Dutch Shell plc Class A

    556,832  
    4,772    

Schlumberger Ltd.

    155,997  
    8,864    

Suncor Energy, Inc.

    263,544  
    1,732    

Targa Resources Corp.

    67,340  
    5,346    

TC Energy Corp.

    269,472  
    2,425    

TechnipFMC plc

    47,845  
    3,301    

Tenaris S.A.

    33,790  
    20,103    

Total S.A.

    1,062,809  
    1,741    

Valero Energy Corp.

    168,842  
    4,994    

YPF S.A. ADR

    46,744  
     

 

 

 
        6,903,831  
     

 

 

 
          Food, Beverage & Tobacco - 2.0%      
    12,571    

Coca-Cola Co.

    684,240  
    12,674    

Diageo plc

    518,759  
    7,907    

Heineken N.V.

    807,458  
    5,636    

Nestle S.A.

    602,947  
    4,335    

PepsiCo., Inc.

    594,632  
     

 

 

 
        3,208,036  
     

 

 

 
          Health Care Equipment & Services - 2.4%      
    7,966    

Baxter International, Inc.

    610,992  
    16,959    

Koninklijke Philips N.V.

    744,060  
    9,689    

Medtronic plc

    1,055,132  
    5,310    

Sysmex Corp.

    346,467  
    3,905    

UnitedHealth Group, Inc.

    986,794  
     

 

 

 
        3,743,445  
     

 

 

 
          Household & Personal Products - 1.6%      
    12,651    

Colgate-Palmolive Co.

    867,859  
    6,851    

Procter & Gamble Co.

    853,018  
    11,379    

Reckitt Benckiser Group plc

    880,525  
     

 

 

 
        2,601,402  
     

 

 

 
          Insurance - 1.4%      
    85,315    

AIA Group Ltd.

    849,585  
    18,931    

AXA S.A.

    501,127  
    5,214    

Chubb Ltd.

    794,718  
     

 

 

 
        2,145,430  
     

 

 

 
          Materials - 2.4%  
    3,792    

Agnico Eagle Mines Ltd.

    233,071  
    3,222    

Alcoa Corp.*

    66,985  
    9,805    

Anglo American plc

    252,352  
    11,136    

Antofagasta plc

    125,422  
    6,723    

ArcelorMittal

    99,879  
    16,318    

Barrick Gold Corp.

    283,370  
    1,879    

BHP Group Ltd.

    46,059  
    26,953    

BHP Group plc

    571,688  
    7,591    

BlueScope Steel Ltd.

    69,489  
    50,570    

Glencore plc*

    152,639  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 27.6% - (continued)  
          Materials - 2.4% - (continued)  
$     6,484    

KAZ Minerals plc

  $ 39,626  
    128    

Korea Zinc Co., Ltd.

    47,697  
    3,485    

Linde plc

    691,250  
    16,615    

Lucara Diamond Corp.

    13,624  
    3,845    

MMC Norilsk Nickel PJSC ADR

    106,672  
    9,844    

Newcrest Mining Ltd.

    214,878  
    1,271    

Newmont Goldcorp Corp.

    50,497  
    5,050    

Nippon Steel Corp.

    73,707  
    9,770    

Norsk Hydro ASA

    34,523  
    829    

Reliance Steel & Aluminum Co.

    96,197  
    8,774    

Rio Tinto plc

    456,790  
    1,319    

Southern Copper Corp.

    46,930  
    2,821    

Steel Dynamics, Inc.

    85,646  
     

 

 

 
        3,858,991  
     

 

 

 
          Media & Entertainment - 0.0%  
    1,456    

Comcast Corp. Class A

    65,258  
     

 

 

 
          Pharmaceuticals, Biotechnology & Life Sciences - 2.4%  
    10,771    

AstraZeneca plc ADR

    528,102  
    7,688    

Johnson & Johnson

    1,015,124  
    8,239    

Merck & Co., Inc.

    713,992  
    8,555    

Novartis AG

    747,495  
    2,413    

Roche Holding AG

    726,206  
     

 

 

 
        3,730,919  
     

 

 

 
          Real Estate - 0.7%  
    1,813    

American Tower Corp. REIT

    395,379  
    881    

Equity LifeStyle Properties, Inc. REIT

    61,617  
    2,877    

Public Storage REIT

    641,168  
     

 

 

 
        1,098,164  
     

 

 

 
          Retailing - 0.3%  
    5,300    

Petrobras Distribuidora S.A.

    37,373  
    8,575    

TJX Cos., Inc.

    494,349  
     

 

 

 
        531,722  
     

 

 

 
          Semiconductors & Semiconductor Equipment - 0.0%  
    1,040    

First Solar, Inc.*

    53,862  
     

 

 

 
          Software & Services - 2.1%  
    3,322    

Accenture plc Class A

    615,965  
    2,917    

Automatic Data Processing, Inc.

    473,225  
    7,603    

Capgemini SE

    857,087  
    6,034    

Microsoft Corp.

    865,095  
    2,865    

Visa, Inc. Class A

    512,434  
     

 

 

 
        3,323,806  
     

 

 

 
          Telecommunication Services - 0.5%  
    13,723    

BT Group plc

    36,419  
    254,000    

China Tower Corp. Ltd. Class H(1)

    55,903  
    26,226    

KDDI Corp.

    725,703  
    965    

NTT DOCOMO, Inc.

    26,456  
     

 

 

 
        844,481  
     

 

 

 
          Transportation - 1.0%  
    9,773    

Canadian National Railway Co.

    874,087  
    1,070    

Japan Airport Terminal Co., Ltd.

    52,854  
    3,961    

United Parcel Service, Inc. Class B

    456,188  
    4,556    

Uber Technologies, Inc.(4)(17)

    143,036  
     

 

 

 
    1,526,165  
     

 

 

 
          Utilities - 1.2%  
    967    

Avangrid, Inc.

    48,398  
    8,430    

Beijing Enterprises Holdings Ltd.

    39,692  
    88,838    

China Longyuan Power Group Corp. Ltd. Class H

    47,993  
    1,127    

Cia de Saneamento do Parana

    25,628  
    7,816    

CK Infrastructure Holdings Ltd.

    56,250  
    501    

Duke Energy Corp.

    47,224  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  59  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 27.6% - (continued)  
          Utilities - 1.2% - (continued)  
$     5,115    

E.ON SE

  $ 51,582  
    808    

Edison International

    50,823  
    25,753    

Enel Americas S.A.

    4,825  
    8,467    

Enel S.p.A.

    65,622  
    3,784    

Engie S.A.

    63,362  
    9,087    

ENN Energy Holdings Ltd.

    103,670  
    1,003    

Exelon Corp.

    45,627  
    11,450    

Guangdong Investment Ltd.

    24,781  
    130,700    

Huaneng Renewables Corp. Ltd. Class H

    49,898  
    6,918    

Iberdrola S.A.

    71,110  
    81,268    

National Grid plc

    950,208  
    212    

NextEra Energy Partners L.P.

    11,173  
    347    

Sempra Energy

    50,145  
    575    

Severn Trent plc

    16,796  
    6,638    

Snam S.p.A.

    34,079  
    914    

UGI Corp.

    43,570  
     

 

 

 
    1,902,456  
     

 

 

 
 

Total Common Stocks
(cost $42,228,209)

  $ 43,750,030  
     

 

 

 
CONVERTIBLE BONDS - 0.1%  
      Oil & Gas - 0.1%  
    45,000    

Oasis Petroleum, Inc. 2.63%, 09/15/2023

  $ 31,007  
    85,000    

PDC Energy, Inc. 1.13%, 09/15/2021

    76,491  
     

 

 

 
    107,498  
     

 

 

 
      Oil & Gas Services - 0.0%  
EUR     100,000    

Fugro N.V. 4.00%, 10/26/2021(11)

    90,652  
     

 

 

 
 

Total Convertible Bonds
(cost $233,499)

  $ 198,150  
     

 

 

 
EXCHANGE-TRADED FUNDS - 6.0%  
      Other Investment Pools & Funds - 6.0%  
$     5,300    

iShares iBoxx $ Investment Grade Corporate Bond ETF

  $ 676,863  
    15,000    

iShares iBoxx High Yield Corporate Bond ETF

    1,302,150  
    16,760    

iShares JP Morgan USD Emerging Markets Bond ETF

    1,903,936  
    6,700    

SPDR Barclays Convertible Securities ETF

    356,775  
    72,300    

SPDR Blackstone / GSO Senior Loan ETF(10)

    3,316,401  
    55,050    

VanEck Vectors JP Morgan EM Local Currency Bond ETF

    1,868,397  
     

 

 

 
    9,424,522  
     

 

 

 
 

Total Exchange-Traded Funds
(cost $9,383,598)

  $ 9,424,522  
     

 

 

 
PREFERRED STOCKS - 0.0%  
          Materials - 0.0%      
    8,200    

Gerdau S.A.

  $ 27,459  
     

 

 

 
   

Total Preferred Stocks
(cost $30,250)

  $ 27,459  
     

 

 

 
CONVERTIBLE PREFERRED STOCKS - 0.1%  
          Consumer Services - 0.1%      
    655    

Airbnb, Inc. Series E(4)(5)(17)

  $ 82,458  
     

 

 

 
   

Total Convertible Preferred Stocks
(cost $60,977)

  $ 82,458  
     

 

 

 
WARRANTS - 0.0%  
          Energy - 0.0%      
    11,625    

Ascent Resources - Marcellus LLC

Expires 3/30/23*(4)(5)

  $ 116  
     

 

 

 
   

Total Warrants
(cost $930)

  $ 116  
     

 

 

 
Shares or Principal Amount   Market Value  
AFFILIATED INVESTMENT COMPANIES - 22.4%  
          Domestic Equity Funds - 5.2%      
$     251,502    

Hartford Multifactor US Equity ETF

  $ 8,176,331  
     

 

 

 
   

Total Domestic Equity Funds
(cost $8,115,905)

  $ 8,176,331  
     

 

 

 
          International/Global Equity Funds - 7.7%      
    317,420    

Hartford Multifactor Developed Markets (ex-US) ETF(10)

    9,071,863  
    139,903    

Hartford Multifactor Emerging Markets ETF

    3,180,779  
     

 

 

 
   

Total International/Global Equity Funds
(cost $12,128,076)

  $ 12,252,642  
     

 

 

 
          Taxable Fixed Income Funds - 9.5%      
    1,380,015    

The Hartford World Bond Fund, Class F

    14,973,164  
     

 

 

 
   

Total Taxable Fixed Income Funds
(cost $14,943,716)

  $ 14,973,164  
     

 

 

 
   

Total Affiliated Investment Companies
(cost $35,187,697)

  $ 35,402,137  
     

 

 

 
   

Total Long-Term Investments
(cost $147,687,690)

  $ 150,058,408  
     

 

 

 
SHORT-TERM INVESTMENTS - 13.3%  
          Commercial Paper - 0.2%      
    300,000    

Societe Generale S.A. 2.33%, 02/24/2020, 3 mo. USD LIBOR + 0.200%(1)(3)(18)

  $ 300,147  
     

 

 

 
          Other Investment Pools & Funds - 11.5%      
    18,169,741    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(19)

    18,169,741  
     

 

 

 
          Securities Lending Collateral - 1.6%      
    129,621    

Citibank NA DDCA, 1.80%, 11/1/2019(19)

    129,621  
    1,818,615    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(19)

    1,818,615  
    29,174    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(19)

    29,174  
    241,234    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(19)

    241,234  
    350,483    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(19)

    350,483  
    23,306    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(19)

    23,306  
     

 

 

 
        2,592,433  
     

 

 

 
   

Total Short-Term Investments
(cost $21,062,174)

  $ 21,062,321  
     

 

 

 
                          

Total Investments Excluding Purchased Options
(cost $168,749,865)

    108.1    $ 171,120,729  
   

Total Purchased Options
(cost $477,849)

    0.2    $ 334,605  
     

 

 

    

 

 

 
   

Total Investments
(cost $169,227,713)

    108.3    $ 171,455,334  
   

Other Assets and Liabilities

    (8.3 )%       (13,186,188
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $ 158,269,146  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  60  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes. See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1)

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $6,487,156, representing 4.1% of net assets.

 

(2)

This security, or a portion of this security, was purchased on a when-issued, delayed-delivery or delayed-draw basis. The cost of these securities was $129,854 at October 31, 2019.

 

(3)

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(4)

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $462,392, which represented 0.3% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(5) 

Investment valued using significant unobservable inputs.

 

(6) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(7) 

Securities disclosed are interest-only strips.

 

(8) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(9) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(10) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

(11) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $3,329,592, representing 2.1% of net assets.

 

(12) 

The principal amount for these securities are adjusted for inflation and the interest payments equal a fixed percentage of the inflation-adjusted principal amount.

 

(13) 

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(14) 

Represents or includes a TBA transaction.

 

(15) 

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $952,651.

 

(16) 

All, or a portion of the security, was pledged as collateral in connection with centrally cleared swap contracts. As of October 31, 2019, the market value of securities pledged was $598,036.

 

(17) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $225,494 or 0.1% of net assets.

 

Period
Acquired
    

Security Name

   Shares/
Par Value
     Base
Total Cost
     Base
Market Value
 
  06/2015      Airbnb, Inc. Series E Preferred      655      $ 60,977      $ 82,458  
  06/2014      Uber Technologies, Inc.      4,556        70,677        143,036  
        

 

 

    

 

 

 
         $     131,654      $     225,494  
        

 

 

    

 

 

 

 

(18) 

The rate shown represents current yield to maturity.

 

(19) 

Current yield as of period end.

 
OTC Option Contracts Outstanding at October 31, 2019  

Description

  

Counter-
party

  

Exercise Price/
FX Rate/Rate

   Expiration
Date
     Number of
Contracts
    

Notional
Amount

     Market
Value
     Premiums
Paid
(Received)
by Fund
     Unrealized
Appreciation/
(Depreciation)
 
Purchased option contracts:                                                        
Puts                                                        

USD Put/CAD Call

   BOA    1.28 CAD per USD      04/21/20        800,000      USD     800,000      $ 3,101      $ 4,722      $ (1,621
                

 

 

    

 

 

    

 

 

    

 

 

 

Total purchased option contracts

             800,000      $     3,101      $     4,722      $     (1,621
                

 

 

    

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  61  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Exchange-Traded Option Contracts Outstanding at October 31, 2019         

Description

   Exercise Price/
FX Rate/ Rate
     Expiration
Date
     Number of
Contracts
     Notional
Amount
     Market
Value
     Premiums
Paid
(Received)
by Fund
     Unrealized
Appreciation/
(Depreciation)
 
Purchased option contracts:                                                       
Puts                                                       

iShares MSCI EAFE ETF Option

     59.00    USD        03/20/20        273        USD       1,610,700      $ 11,193      $ 25,038      $ (13,845

iShares MSCI EAFE ETF Option

     59.00    USD        06/19/20        273        USD       1,610,700        25,935        41,976        (16,041

iShares MSCI EAFE ETF Option

     59.00    USD        09/18/20        273        USD       1,610,700        35,763        50,594        (14,831

iShares MSCI Emerging Markets Option

     38.00    USD        03/20/20        171        USD       649,800        10,944        18,185        (7,241

iShares MSCI Emerging Markets Option

     38.00    USD        06/19/20        171        USD       649,800        18,810        26,739        (7,929

iShares MSCI Emerging Markets Option

     38.00    USD        09/18/20        171        USD       649,800        25,821        35,624        (9,803

S&P 500 Index Option

     2,675.00    USD        03/20/20        11        USD       2,942,500        37,620        61,072        (23,452

S&P 500 Index Option

     2,675.00    USD        06/19/20        11        USD       2,942,500        61,600        86,317        (24,717

S&P 500 Index Option

     2,725.00    USD        09/18/20        11        USD       2,997,500        103,818        127,582        (23,764
             

 

 

    

 

 

    

 

 

    

 

 

 

Total purchased option contracts

                 $     331,504      $     473,127      $     (141,623
                

 

 

    

 

 

    

 

 

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

Canadian Government 10-Year Bond Future

     12        12/18/2019      $ 1,294,116      $ (4,392

U.S. Treasury 2-Year Note Future

     27        12/31/2019        5,821,242        9,274  

U.S. Treasury Long Bond Future

     3        12/19/2019        484,125        (99
           

 

 

 

Total

            $ 4,783  
           

 

 

 
Short position contracts:  

Australian 10-Year Bond Future

     8        12/16/2019      $ 804,107      $ 6,198  

Euro-Bund Future

     14        12/06/2019        2,681,894        42,846  

Long Gilt Future

     1        12/27/2019        172,074        880  

U.S. Treasury 5-Year Note Future

     112        12/31/2019            13,350,750            (20,582

U.S. Treasury 10-Year Note Future

     19        12/19/2019        2,475,641        (6,582

U.S. Treasury 10-Year Ultra Future

     1        12/19/2019        142,110        154  
           

 

 

 

Total futures contracts

            $ 27,697  
           

 

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counter-
party
   Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

PrimeX.ARM.2*

   MSC      USD       117,002      (4.58%)      12/25/37        Monthly      $      $ (242   $ (560   $ (318
                   

 

 

    

 

 

   

 

 

   

 

 

 
Sell protection:  

CMBX.NA.AAA.12

   MSC      USD       105,000      0.50%      08/17/61        Monthly      $      $ (848   $ (225   $ 623  

PrimeX.ARM.2*

   JPM      USD       117,002      4.58%      12/25/37        Monthly        4,189              560       (3,629
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

 

      $ 4,189      $ (848   $ 335     $ (3,006
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total traded indices

 

      $ 4,189      $ (1,090   $ (225   $ (3,324
                   

 

 

    

 

 

   

 

 

   

 

 

 
Credit default swaps on single-name issues:  
Buy protection:  

Republic of Malaysia

   HSBC      USD       125,000      (1.00%)      06/20/24        Quarterly      $      $ (2,813   $ (3,580   $ (767
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total single-name issues

      $      $ (2,813   $ (3,580   $ (767
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total OTC contracts

         $     4,189      $     (3,903   $     (3,805   $     (4,091
                   

 

 

    

 

 

   

 

 

   

 

 

 

 

*

Investment valued using significant unobservable inputs.

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

The accompanying notes are an integral part of these financial statements.

 

 

  62  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Centrally Cleared Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Notional
Amount (a)
     (Pay)/Receive
Fixed Rate
    Expiration
Date
     Periodic
Payment
Frequency
     Cost
Basis
    Value     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

ITRAXX.EUR.31.V2

   EUR      1,665,000        (1.00 %)      06/20/24        Quarterly      $ (45,059   $ (50,085   $ (5,026

ITRAXX.EUR.32.V1

   EUR      4,445,000        (1.00 %)      12/20/24        Quarterly        (112,355     (128,818     (16,463
                

 

 

   

 

 

   

 

 

 

Total

 

        $     (157,414   $     (178,903   $     (21,489
                

 

 

   

 

 

   

 

 

 
Sell protection:  

CDX.NA.HY.32.V2

   USD      8,098,200        5.00     06/20/24        Quarterly      $ 578,271     $ 656,760     $ 78,489  

CDX.NA.IG.33.V1

   USD      1,130,000        1.00     12/20/24        Quarterly        22,425       25,991       3,566  
                

 

 

   

 

 

   

 

 

 

Total

 

        $ 600,696     $ 682,751     $ 82,055  
                

 

 

   

 

 

   

 

 

 
Credit default swaps on single-name issues:  
Buy protection:  

Republic of Colombia

   USD      125,000              06/20/24        Quarterly      $ (936   $ (1,562   $ (626

Republic of Indonesia

   USD      125,000        (1.00 %)      06/20/24        Quarterly        (898     (1,915     (1,017

Russian Federation

   USD      130,000        (1.00 %)      06/20/24        Quarterly        255       (1,998     (2,253
       

 

 

   

 

 

   

 

 

 

Total single-name issues

 

        $ (1,579   $ (5,475   $ (3,896
       

 

 

   

 

 

   

 

 

 

Total

 

        $ 441,703     $ 498,373     $ 56,670  
       

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

OTC Interest Rate Swap Contracts Outstanding at October 31, 2019  

Counterparty

  

Payments made
by Fund

  

Payments received

by Fund

   Notional
Amount
     Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Premiums
Received
Upfront
     Value     Unrealized
Appreciation/
(Depreciation)
 

BOA

  

0.24% Fixed

  

CLP-TNA (Indice Cámara Promedio) Rate

     CLP       43,635,000        03/12/29        Semi-Annual      $      $      $ 1,118     $ 1,118  

CBK

  

7 Day CNY Repo Rate

  

2.89% Fixed

     CNY       5,175,000        12/18/24        Quarterly                      (8,552     (8,552
                   

 

 

    

 

 

    

 

 

   

 

 

 

Total

 

         $     —      $     —      $     (7,434   $     (7,434
                   

 

 

    

 

 

    

 

 

   

 

 

 

 

Centrally Cleared Interest Rate Swap Contracts Outstanding at October 31, 2019  

Payments made
by Fund

  

Payments received
by Fund

  

Notional
Amount

     Expiration
Date
    

Periodic
Payment
Frequency

   Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Value     Unrealized
Appreciation/
(Depreciation)
 

1.50% Fixed

  

3 Mo. USD LIBOR

   USD     45,000        04/09/24      Semi-Annual    $      $      $ (24   $ (24

1.50% Fixed

  

3 Mo. USD LIBOR

   USD     140,000        04/09/24      Semi-Annual                    (48     (48

1.50% Fixed

  

3 Mo. USD LIBOR

   USD     385,000        04/09/24      Semi-Annual                    (140     (140

1.72% Fixed

  

3 Mo. USD LIBOR

   USD     45,000        10/29/29      Semi-Annual                    (489     (489

1.72% Fixed

  

3 Mo. USD LIBOR

   USD     85,000        10/29/29      Semi-Annual                    (963     (963

1.73% Fixed

  

3 Mo. USD LIBOR

   USD     140,000        10/29/29      Semi-Annual                    (1,664     (1,664

1.76% Fixed

  

3 Mo. USD LIBOR

   USD     65,000        10/30/29      Semi-Annual                    (1,009     (1,009

1.76% Fixed

  

3 Mo. USD LIBOR

   USD     75,000        10/30/29      Semi-Annual                    (1,157     (1,157

1.77% Fixed

  

3 Mo. USD LIBOR

   USD     65,000        10/30/29      Semi-Annual                    (1,036     (1,036

1.77% Fixed

  

3 Mo. USD LIBOR

   USD     70,000        10/30/29      Semi-Annual                    (1,109     (1,109

2.36% Fixed

  

3 Mo. USD LIBOR

   USD     390,000        04/09/24      Semi-Annual      2,146               (17,046     (19,192

2.36% Fixed

  

3 Mo. USD LIBOR

   USD     405,000        04/09/24      Semi-Annual      2,232               (17,767     (19,999

1.79% Fixed

  

6 Mo. NOK NIBOR

   NOK     1,265,000        07/26/29      Annual                    (689     (689
                

 

 

    

 

 

    

 

 

   

 

 

 

Total

 

         $     4,378      $     —      $     (43,141   $     (47,519
                

 

 

    

 

 

    

 

 

   

 

 

 

 

Bond Forward Contracts Outstanding at October 31, 2019  

Counterparty

    

Reference Obligation

     Notional Amount        Expiration Date        Unrealized
Appreciation/
(Depreciation)
 

GSC

     U.S. Treasury Bonds, 0.38%, 07/15/2025        USD       15,866,382          11/29/2019        $     58,183  
                     

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  63  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
     Amount and Description of
Currency to be Sold
     Counterparty      Settlement
Date
    Appreciation     Depreciation  
  1,765,000        AUD        1,208,193        USD        DEUT        11/29/19     $ 9,484     $  
  528,000        BRL        130,317        USD        MSC        11/04/19       1,302        
  648,000        BRL        160,698        USD        JPM        11/04/19       1,081       (245
  178,000        BRL        44,461        USD        JPM        11/29/19             (159
  470,000        BRL        117,391        USD        JPM        12/03/19             (441
  1,756,000        CAD        1,345,584        USD        JPM        11/29/19             (12,273
  310,800,000        COP        91,453        USD        JPM        11/29/19       407        
  761,000        EUR        845,963        USD        CBK        11/29/19       4,371        
  1,315,000        GBP        1,689,751        USD        BCLY        11/29/19       15,174        
  20,000        GBP        25,712        USD        CBK        11/29/19       219        
  55,610,000        HUF        188,217        USD        BOA        11/29/19       805        
  4,801,813,000        IDR        341,426        USD        MSC        11/29/19             (337
  187,431,000        JPY        1,727,260        USD        BCLY        11/29/19       11,253        
  402,000        MXN        20,989        USD        GSC        11/29/19             (186
  5,192,000        MXN        271,075        USD        RBC        11/29/19             (2,401
  2,852,000        NOK        310,621        USD        SSG        11/29/19             (450
  417,000        NZD        264,920        USD        SSG        11/29/19       2,584        
  17,123,000        PHP        333,642        USD        JPM        11/29/19       3,443        
  1,240,000        PLN        321,651        USD        CBK        11/29/19       2,955        
  525,000        RUB        8,215        USD        BOA        11/29/19             (60
  851,000        RUB        13,313        USD        JPM        11/29/19             (93
  1,210,000        SEK        125,225        USD        BCLY        11/29/19       285        
  1,195,000        TRY        206,277        USD        UBS        11/29/19       1,085        
  257,383        USD        376,000        AUD        DEUT        11/29/19             (2,020
  162,142        USD        648,000        BRL        JPM        11/04/19       608        
  131,865        USD        528,000        BRL        MSC        11/04/19       245        
  160,829        USD        647,000        BRL        MSC        11/29/19             (200
  1,529,490        USD        1,996,000        CAD        JPM        11/29/19       13,951        
  1,326,885        USD        1,317,000        CHF        MSC        11/29/19             (10,986
  446,462        USD        323,868,000        CLP        JPM        11/29/19       9,419        
  15,052        USD        51,155,000        COP        JPM        11/29/19             (67
  13,140        USD        302,000        CZK        CBK        11/29/19             (58
  104,312        USD        2,405,000        CZK        BOA        11/29/19             (795
  10,093,755        USD        9,080,000        EUR        CBK        11/29/19             (52,155
  4,452,463        USD        3,465,000        GBP        BCLY        11/29/19             (39,984
  344,537        USD        1,215,000        ILS        MSC        11/29/19             (691
  40,392        USD        2,865,000        INR        SCB        11/29/19       109        
  7,830,390        USD        849,703,000        JPY        BCLY        11/29/19             (51,013
  192,891        USD        226,377,000        KRW        BNP        11/29/19             (1,796
  280,838        USD        5,379,000        MXN        RBC        11/29/19       2,488        
  322,819        USD        2,964,000        NOK        SSG        11/29/19       468        
  657,867        USD        42,042,000        RUB        BOA        11/29/19       4,795        
  329,828        USD        3,187,000        SEK        BCLY        11/29/19             (750
  371,397        USD        506,000        SGD        BNP        11/29/19             (647
  254,339        USD        7,680,000        THB        JPM        11/29/19             (69
  194,483        USD        2,836,000        ZAR        SCB        11/29/19       7,529        
  187,649        USD        2,742,000        ZAR        UBS        11/29/19       6,892        
  220,000        ZAR        15,065        USD        UBS        11/29/19             (563
                

 

 

   

 

 

 
  Total                    $     100,952     $     (178,439
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  64  

 


Hartford AARP Balanced Retirement Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Assets

 

Asset & Commercial Mortgage Backed Securities

   $ 6,686,734     $     $ 6,586,753     $ 99,981  

Corporate Bonds

     10,713,265             10,713,265        

Foreign Government Obligations

     9,710,157             9,710,157        

Municipal Bonds

     112,426             112,426        

Senior Floating Rate Interests

     59,375             59,375        

U.S. Government Agencies

     13,797,286             13,750,285       47,001  

U.S. Government Securities

     20,094,293             20,094,293        

Common Stocks

 

Banks

     1,660,011       1,660,011              

Capital Goods

     3,735,422       2,268,231       1,467,191        

Commercial & Professional Services

     384,087             384,087        

Consumer Durables & Apparel

     731,892       731,892              

Consumer Services

     1,655,158       1,018,709       636,449        

Diversified Financials

     45,492       45,492              

Energy

     6,903,831       4,296,582       2,517,449       89,800  

Food, Beverage & Tobacco

     3,208,036       1,278,872       1,929,164        

Health Care Equipment & Services

     3,743,445       2,652,918       1,090,527        

Household & Personal Products

     2,601,402       1,720,877       880,525        

Insurance

     2,145,430       794,718       1,350,712        

Materials

     3,858,991       1,593,535       2,265,456        

Media & Entertainment

     65,258       65,258              

Pharmaceuticals, Biotechnology & Life Sciences

     3,730,919       2,257,218       1,473,701        

Real Estate

     1,098,164       1,098,164              

Retailing

     531,722       531,722              

Semiconductors & Semiconductor Equipment

     53,862       53,862              

Software & Services

     3,323,806       2,466,719       857,087        

Telecommunication Services

     844,481             844,481        

Transportation

     1,526,165       1,330,275       195,890        

Utilities

     1,902,456       339,384       1,563,072        

Convertible Bonds

     198,150             198,150        

Exchange-Traded Funds

     9,424,522       9,424,522              

Preferred Stocks

     27,459       27,459              

Convertible Preferred Stocks

     82,458                   82,458  

Warrants

     116                   116  

Affiliated Investment Companies

     35,402,137       35,402,137              

Short-Term Investments

     21,062,321       20,762,174       300,147        

Purchased Options

     334,605       269,904       64,701        

Bond Forward Contracts(2)

     58,183             58,183        

Foreign Currency Contracts(2)

     100,952             100,952        

Futures Contracts(2)

     59,352       59,352              

Swaps - Credit Default(2)

     82,678             82,678        

Swaps - Interest Rate(2)

     1,118             1,118        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     171,757,617     $     92,149,987     $     79,288,274     $     319,356  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (178,439   $     $ (178,439   $  

Futures Contracts(2)

     (31,655     (31,655            

Swaps - Credit Default(2)

     (30,099           (26,152     (3,947

Swaps - Interest Rate(2)

     (56,071           (56,071      
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (296,264   $ (31,655   $ (260,662   $ (3,947
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the year ended October 31, 2019 is not presented.

 

The accompanying notes are an integral part of these financial statements.

 

 

  65  

 


The Hartford Checks and Balances Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
AFFILIATED INVESTMENT COMPANIES - 99.7%      
      Domestic Equity Funds - 66.2%      
  13,940,950    

The Hartford Capital Appreciation Fund, Class F

  $ 520,694,501  
  20,186,785    

The Hartford Dividend and Growth Fund, Class F

    520,415,316  
   

 

 

 
 

Total Domestic Equity Funds
(cost $1,009,562,106)

  $ 1,041,109,817  
   

 

 

 
      Taxable Fixed Income Funds - 33.5%      
  12,717,268    

Hartford Total Return Bond ETF

    528,084,554  
   

 

 

 
 

Total Taxable Fixed Income Funds
(cost $490,785,980)

  $ 528,084,554  
   

 

 

 
 

Total Affiliated Investment Companies
(cost $1,500,348,086)

  $ 1,569,194,371  
   

 

 

 
SHORT-TERM INVESTMENTS - 0.2%  
      Other Investment Pools & Funds - 0.2%      
  3,140,707    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(1)

  $ 3,140,707  
   

 

 

 
 

Total Short-Term Investments
(cost $3,140,707)

  $ 3,140,707  
   

 

 

 
 

Total Investments
(cost $1,503,488,793)

    99.9    $ 1,572,335,078  
 

Other Assets and Liabilities

    0.1      1,242,298  
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 1,573,577,376  
   

 

 

    

 

 

 
Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Affiliated Investment Companies

   $ 1,569,194,371      $ 1,569,194,371      $      $  

Short-Term Investments

     3,140,707        3,140,707                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     1,572,335,078      $     1,572,335,078      $     —      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  66  

 


The Hartford Conservative Allocation Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
AFFILIATED INVESTMENT COMPANIES - 99.8%  
      Domestic Equity Funds - 27.1%  
  307,584    

Hartford Core Equity Fund, Class F

  $ 10,310,202  
  171,512    

Hartford Multifactor US Equity ETF

    5,575,855  
  264,321    

Hartford Small Cap Value Fund, Class F

    2,743,649  
  342,083    

The Hartford Equity Income Fund, Class F

    6,797,184  
  83,930    

The Hartford Growth Opportunities Fund, Class F

    3,530,941  
  101,343    

The Hartford MidCap Fund, Class F

    3,194,332  
  132,665    

The Hartford Small Company Fund, Class F

    2,885,464  
   

 

 

 
 

Total Domestic Equity Funds
(cost $32,097,366)

  $ 35,037,627  
   

 

 

 
      International/Global Equity Funds - 8.2%      
  142,096    

Hartford Emerging Markets Equity Fund, Class F

    1,264,652  
  140,453    

Hartford Multifactor Developed Markets (ex-US) ETF

    4,014,147  
  385,035    

Hartford Schroders International Multi-Cap Value Fund, Class F

    3,484,564  
  122,069    

The Hartford International Opportunities Fund, Class F

    1,907,936  
   

 

 

 
 

Total International/Global Equity Funds
(cost $10,614,851)

  $ 10,671,299  
   

 

 

 
      Multi-Strategy Funds - 2.0%      
  286,470    

The Hartford Global Real Asset Fund, Class F

    2,529,530  
   

 

 

 
 

Total Multi-Strategy Funds
(cost $2,548,024)

  $ 2,529,530  
   

 

 

 
      Taxable Fixed Income Funds - 62.5%      
  456,043    

Hartford Schroders Emerging Markets Multi-Sector Bond Fund, Class F

    4,149,996  
  253,458    

Hartford Short Duration ETF

    10,355,052  
  387,143    

Hartford Total Return Bond ETF

    16,076,113  
  504,337    

The Hartford Inflation Plus Fund, Class F

    5,421,619  
  1,834,506    

The Hartford Quality Bond Fund, Class F

    18,638,584  
Shares or Principal Amount   Market Value  
AFFILIATED INVESTMENT COMPANIES - 99.8% - (continued)  
      Taxable Fixed Income Funds - 62.5% - (continued)      
  1,031,465    

The Hartford Strategic Income Fund, Class F

  $ 8,942,797  
  1,591,443    

The Hartford World Bond Fund, Class F

    17,267,157  
   

 

 

 
 

Total Taxable Fixed Income Funds
(cost $78,827,317)

  $ 80,851,318  
   

 

 

 
 

Total Affiliated Investment Companies
(cost $124,087,558)

  $ 129,089,774  
   

 

 

 
SHORT-TERM INVESTMENTS - 0.2%  
      Other Investment Pools & Funds - 0.2%      
  265,709    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(1)

  $ 265,709  
   

 

 

 
 

Total Short-Term Investments
(cost $265,709)

  $ 265,709  
   

 

 

 
 

Total Investments
(cost $124,353,267)

    100.0    $ 129,355,483  
 

Other Assets and Liabilities

    0.0      12,535  
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $ 129,368,018  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Affiliated Investment Companies

   $ 129,089,774      $ 129,089,774      $      $  

Short-Term Investments

     265,709        265,709                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     129,355,483      $     129,355,483      $     —      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  67  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 63.3%  
          Automobiles & Components - 0.1%  
    22,269    

NOK Corp.

  $ 348,800  
     

 

 

 
          Banks - 2.6%  
    13,788    

ABN Amro Bank N.V.(1)

    257,009  
    83,167    

Bank of Ireland Group plc

    400,868  
    93,987    

BPER Banca

    420,478  
    193,198    

CaixaBank S.A.

    554,014  
    43,004    

HSBC Holdings plc

    324,900  
    14,662    

KB Financial Group, Inc.

    527,823  
    125,403    

Mitsubishi UFJ Financial Group, Inc.

    650,125  
    195,251    

Mizuho Financial Group, Inc.

    303,122  
    109,200    

Resona Holdings, Inc.

    474,863  
    18,382    

Societe Generale S.A.

    522,764  
    65,877    

Standard Chartered plc

    597,763  
    17,124    

Sumitomo Mitsui Financial Group, Inc.

    607,956  
    11,530    

Sumitomo Mitsui Trust Holdings, Inc.

    420,216  
    254,873    

Unicaja Banco S.A.(1)

    230,809  
    53,607    

UniCredit S.p.A.

    680,114  
     

 

 

 
        6,972,824  
     

 

 

 
          Capital Goods - 1.8%  
    6,015    

Advanced Drainage Systems, Inc.

    222,675  
    977    

AGCO Corp.

    74,926  
    6,140    

Altra Industrial Motion Corp.

    189,112  
    400    

American Woodmark Corp.*

    39,664  
    16,721    

Arconic, Inc.

    459,326  
    466    

Argan, Inc.

    17,638  
    3,388    

Caesarstone Ltd.(2)

    57,223  
    28,441    

Chiyoda Corp.*

    73,540  
    20,920    

Cie de Saint-Gobain

    852,028  
    3,233    

Deere & Co.

    562,995  
    6,250    

Fortune Brands Home & Security, Inc.

    375,313  
    1,277    

Gardner Denver Holdings, Inc.*

    40,647  
    295    

Granite Construction, Inc.

    6,944  
    601    

Greenbrier Cos., Inc.

    17,603  
    14,502    

JELD-WEN Holding, Inc.*

    247,839  
    30,045    

JGC Holdings Corp.

    434,554  
    3,200    

Kennametal, Inc.

    99,040  
    3,085    

Kubota Corp.

    49,000  
    594    

Lindsay Corp.

    56,080  
    204    

Middleby Corp.*

    24,674  
    871    

Owens Corning

    53,375  
    994    

PGT Innovations, Inc.*

    17,554  
    600    

Rush Enterprises, Inc. Class A

    26,214  
    1,767    

Sandvik AB

    31,218  
    6,950    

Vinci S.A.

    779,764  
    11,747    

Yellow Cake plc*(1)

    28,333  
     

 

 

 
        4,837,279  
     

 

 

 
          Commercial & Professional Services - 0.5%  
    11,242    

Adecco Group AG

    668,294  
    4,141    

Clean Harbors, Inc.*

    341,467  
    106,940    

Hays plc

    217,630  
    26,198    

Pagegroup plc

    150,946  
     

 

 

 
        1,378,337  
     

 

 

 
          Consumer Durables & Apparel - 0.4%  
    7,189    

American Outdoor Brands Corp.*

    50,898  
    396    

Cavco Industries, Inc.*

    75,893  
    2,606    

D.R. Horton, Inc.

    136,476  
    4,874    

Lennar Corp. Class A

    290,491  
    512    

LGI Homes, Inc.*

    40,182  
    12,136    

Skyline Champion Corp.*

    342,599  
    650    

Sturm Ruger & Co., Inc.

    29,744  
    12,051    

TRI Pointe Group, Inc.*

    189,683  
     

 

 

 
        1,155,966  
     

 

 

 
Shares or Principal Amount   Market Value  
COMMON STOCKS - 63.3% - (continued)  
          Diversified Financials - 0.7%  
    2,383    

Berkshire Hathaway, Inc. Class B*

  $ 506,578  
    11,004    

Julius Baer Group Ltd.*

    487,297  
    58,847    

UBS Group AG*

    696,464  
    48,039    

Uranium Participation Corp.*

    140,057  
     

 

 

 
        1,830,396  
     

 

 

 
          Energy - 30.1%  
    103,078    

Advantage Oil & Gas Ltd.*

    148,697  
    5,264    

Apache Corp.

    114,018  
    35,673    

ARC Resources Ltd.(2)

    151,131  
    564,048    

BP plc

    3,576,832  
    145,365    

BP plc ADR

    5,510,787  
    10,190    

Brigham Minerals, Inc. Class A(2)

    194,527  
    7,862    

Cabot Oil & Gas Corp.

    146,548  
    4,867    

Caltex Australia Ltd.

    91,493  
    37,893    

Cameco Corp.

    338,335  
    34,174    

Canacol Energy Ltd.*

    125,840  
    7,452    

Canadian Natural Resources Ltd.

    187,898  
    5,874    

Centennial Resource Development, Inc. Class A*

    19,972  
    26,422    

Chevron Corp.

    3,068,651  
    355,922    

China Oilfield Services Ltd. Class H

    495,542  
    2,236    

China Petroleum & Chemical Corp. ADR

    126,312  
    59,900    

China Shenhua Energy Co., Ltd. Class H

    121,653  
    443,220    

CNOOC Ltd.

    659,622  
    3,270    

CNOOC Ltd. ADR

    485,726  
    1,180    

Concho Resources, Inc.

    79,674  
    21,463    

ConocoPhillips

    1,184,758  
    186    

Continental Resources, Inc.*

    5,481  
    8,015    

Devon Energy Corp.

    162,544  
    8,207    

Diamondback Energy, Inc.

    703,832  
    926    

Drilling Co.*

    52,271  
    40,231    

Enbridge, Inc.

    1,465,243  
    197,631    

Encana Corp.

    775,459  
    488,690    

Eni S.p.A.

    7,413,908  
    8,308    

EOG Resources, Inc.

    575,827  
    18,359    

EQT Corp.

    197,176  
    1,594    

Equinor ASA

    29,594  
    59,315    

Equinor ASA ADR

    1,097,921  
    67,396    

Exxon Mobil Corp.

    4,553,948  
    12,883    

Falcon Minerals Corp.

    79,359  
    16,270    

Fugro N.V.*(2)

    147,483  
    1,293    

Galp Energia SGPS S.A.

    20,681  
    6,520    

Gazprom Neft PJSC ADR

    210,913  
    329,477    

Gazprom PJSC ADR

    2,641,366  
    29,486    

Green Plains, Inc.

    363,562  
    13,414    

Halliburton Co.

    258,219  
    79,793    

Inpex Corp.

    737,645  
    13,420    

Japan Petroleum Exploration Co., Ltd.

    343,117  
    35,710    

JXTG Holdings, Inc.

    166,917  
    128,114    

Karoon Energy Ltd.*

    85,381  
    12,077    

Kinder Morgan, Inc.

    241,298  
    54,999    

Kosmos Energy Ltd.

    340,994  
    16,614    

LUKOIL PJSC ADR

    1,531,030  
    7,859    

Lundin Petroleum AB

    260,275  
    3,789    

Magnolia Oil & Gas Corp. Class A*

    37,208  
    596    

Marathon Oil Corp.

    6,872  
    20,053    

Marathon Petroleum Corp.

    1,282,389  
    9,684    

Neste Oyj

    349,907  
    20,299    

Noble Energy, Inc.

    390,959  
    13,333    

Occidental Petroleum Corp.

    539,986  
    12,344    

OMV AG

    721,650  
    72,012    

Painted Pony Energy Ltd.*(2)

    33,352  
    4,633    

Parex Resources, Inc.*

    62,789  
    7,486    

Parsley Energy, Inc. Class A

    118,354  
    1,703    

PDC Energy, Inc.*

    33,975  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  68  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 63.3% - (continued)  
          Energy - 30.1% - (continued)  
    227,574    

PetroChina Co., Ltd. Class H

  $ 110,979  
    39,251    

Petroleo Brasileiro S.A. ADR

    637,436  
    5,831    

Phillips 66

    681,177  
    4,128    

Pioneer Natural Resources Co.

    507,827  
    85,633    

PTT PCL

    128,329  
    16,232    

QEP Resources, Inc.

    54,053  
    39,041    

Range Resources Corp.(2)

    157,335  
    4,649    

Rattler Midstream L.P.*

    69,828  
    1,524    

Reliance Industries Ltd.

    31,412  
    2,596    

Royal Dutch Shell plc Class A

    75,253  
    69,456    

Royal Dutch Shell plc Class A ADR

    4,026,364  
    156,266    

Royal Dutch Shell plc Class B

    4,500,424  
    79,569    

Saipem S.p.A.*(2)

    361,167  
    36,353    

Schlumberger Ltd.

    1,188,380  
    86,039    

Southwestern Energy Co.*

    176,380  
    17,754    

Suncor Energy, Inc.

    527,116  
    167,511    

Surgutneftegas PJSC ADR

    1,107,320  
    4,252    

Targa Resources Corp.

    165,318  
    56,923    

TC Energy Corp.

    2,868,162  
    26,985    

Tenaris S.A. ADR(2)

    547,795  
    250,913    

Total S.A.

    13,265,317  
    23,327    

Total S.A. ADR

    1,227,700  
    19,723    

Tourmaline Oil Corp.

    169,213  
    89,809    

Trican Well Service Ltd.*(2)

    58,641  
    7,910    

Tullow Oil plc

    21,138  
    2,766    

Valero Energy Corp.

    268,247  
    782    

Vermilion Energy, Inc.(2)

    10,331  
    4,123    

Viper Energy Partners L.P.

    99,241  
    22,600    

WPX Energy, Inc.*

    225,548  
    107,533    

YPF S.A. ADR

    1,006,509  
     

 

 

 
        79,140,841  
     

 

 

 
          Food & Staples Retailing - 0.2%  
    8,317    

Andersons, Inc.

    153,199  
    151,088    

J Sainsbury plc

    398,159  
     

 

 

 
        551,358  
     

 

 

 
          Food, Beverage & Tobacco - 0.8%  
    2,164    

Adecoagro S.A.*

    12,833  
    9,038    

Archer-Daniels-Midland Co.

    379,958  
    22,742    

Astra Agro Lestari Tbk PT

    18,523  
    9,805    

Australian Agricultural Co., Ltd.*

    6,658  
    2,779    

BRF S.A.*

    24,606  
    3,490    

Bunge Ltd.

    188,460  
    53,175    

China Agri-Industries Holdings Ltd.

    17,519  
    1,466    

Darling Ingredients, Inc.*

    28,294  
    77,375    

First Resources Ltd.

    86,885  
    734    

Fresh Del Monte Produce, Inc.

    23,415  
    8,083    

Glanbia plc

    90,060  
    246,900    

Golden Agri-Resources Ltd.

    37,060  
    3,133    

GrainCorp Ltd. Class A

    15,613  
    500    

Hokuto Corp.

    8,996  
    39,220    

Industrias Bachoco S.A.B. de C.V. Class B

    176,318  
    2,607    

Ingredion, Inc.

    205,953  
    17,850    

IOI Corp. Bhd

    18,630  
    1,613    

Kernel Holding S.A.

    17,931  
    9,715    

Kuala Lumpur Kepong Bhd

    50,371  
    1,566    

Lamb Weston Holdings, Inc.

    122,211  
    432    

MGP Ingredients, Inc.

    18,528  
    4,510    

MHP SE GDR

    38,155  
    760    

NH Foods Ltd.

    31,932  
    1,748    

Origin Enterprises plc

    9,163  
    978,100    

Perusahaan Perkebunan London Sumatra Indonesia Tbk PT

    94,152  
    346    

Prima Meat Packers Ltd.

    8,550  
    1,432    

S&W Seed Co.*

    3,236  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 63.3% - (continued)  
          Food, Beverage & Tobacco - 0.8% - (continued)  
    9,970    

Sao Martinho S.A.

  $ 43,654  
    4,735    

Tate & Lyle plc

    41,300  
    4,166    

Tiger Brands Ltd.

    59,156  
    44,665    

Wilmar International Ltd.

    122,805  
     

 

 

 
        2,000,925  
     

 

 

 
          Insurance - 0.7%  
    18,254    

Assicurazioni Generali S.p.A.

    370,145  
    28,343    

Dai-ichi Life Holdings, Inc.

    461,974  
    749,292    

Shin Kong Financial Holding Co., Ltd.*

    236,707  
    63,848    

T&D Holdings, Inc.

    711,122  
    33,077    

Tongyang Life Insurance Co., Ltd.

    104,165  
     

 

 

 
        1,884,113  
     

 

 

 
          Materials - 17.1%  
    3,639    

Agnico Eagle Mines Ltd.

    223,656  
    19,917    

Alcoa Corp.*

    414,074  
    3,043    

Allegheny Technologies, Inc.*

    63,933  
    173,497    

Alrosa PJSC*

    201,603  
    97,744    

Alumina Ltd.

    152,589  
    142,101    

Aluminum Corp. of China Ltd. Class H*

    42,100  
    4,707    

American Vanguard Corp.

    65,804  
    69,751    

Angang Steel Co., Ltd. Class H

    23,333  
    4,837    

Anglo American Platinum Ltd.

    360,980  
    86,229    

Anglo American plc

    2,219,284  
    6,421    

AngloGold Ashanti Ltd.

    142,022  
    15,802    

Antofagasta plc

    177,973  
    41,307    

ArcelorMittal(2)

    613,410  
    47,523    

Baoshan Iron & Steel Co., Ltd. Class A

    39,137  
    98,511    

Barrick Gold Corp.

    1,711,284  
    121,065    

BHP Group Ltd.

    2,967,600  
    21,316    

BHP Group Ltd. ADR(2)

    1,042,566  
    78,831    

BHP Group plc

    1,672,048  
    33,021    

BHP Group plc ADR

    1,400,751  
    21,608    

BlueScope Steel Ltd.

    197,804  
    10,806    

Boliden AB*

    291,410  
    39,304    

Centerra Gold, Inc.*

    335,118  
    6,753    

CF Industries Holdings, Inc.

    306,249  
    762,437    

China BlueChemical Ltd. Class H

    185,544  
    62,249    

China Hongqiao Group Ltd.

    34,572  
    140,396    

China Molybdenum Co., Ltd. Class H(2)

    44,244  
    449,977    

China Steel Corp.

    346,475  
    96,046    

China Zhongwang Holdings Ltd.

    39,875  
    3,227    

Cia de Minas Buenaventura SAA ADR

    49,502  
    23,088    

Cia Siderurgica Nacional S.A.

    67,931  
    3,948    

Cleveland-Cliffs, Inc.(2)

    28,544  
    317    

Daido Steel Co., Ltd.

    13,833  
    27,794    

Eldorado Gold Corp.*

    234,025  
    56,404    

Eregli Demir ve Celik Fabrikalari T.A.S.

    64,479  
    14,409    

Evraz plc

    68,759  
    4,851    

Feng Hsin Steel Co., Ltd.

    8,399  
    34,374    

First Quantum Minerals Ltd.

    290,473  
    124    

FMC Corp.

    11,346  
    60,824    

Fortescue Metals Group Ltd.

    372,281  
    2,977    

Franco-Nevada Corp.

    288,862  
    71,816    

Freeport-McMoRan, Inc.

    705,233  
    3,881    

Fresnillo plc

    35,856  
    148,285    

Gerdau S.A. ADR(2)

    487,858  
    430,929    

Glencore plc*

    1,300,707  
    107,137    

Gold Fields Ltd.

    665,362  
    149,822    

Grupo Mexico S.A.B. de C.V. Class B

    395,574  
    78,960    

Harmony Gold Mining Co., Ltd.*

    274,508  
    41,149    

Hindalco Industries Ltd.

    108,777  
    51,114    

Hitachi Metals Ltd.

    641,496  
    3,197    

Hyundai Steel Co.

    87,070  
    31,229    

IAMGOLD Corp.*

    116,796  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  69  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 63.3% - (continued)  
          Materials - 17.1% - (continued)  
    5,542    

Imerys S.A.

  $ 214,080  
    26,409    

Impala Platinum Holdings Ltd.*

    181,825  
    2,456    

Industrias Penoles S.A.B. de C.V.

    29,250  
    189,535    

Inner Mongolia BaoTou Steel Union Co., Ltd. Class A

    36,876  
    5,470    

Intrepid Potash, Inc.*

    16,902  
    2,215    

Jastrzebska Spolka Weglowa S.A.

    11,255  
    20,069    

JFE Holdings, Inc.

    251,016  
    53,770    

Jiangxi Copper Co., Ltd. Class H

    62,950  
    8,248    

Jindal Steel & Power Ltd.*

    13,488  
    30,105    

JSR Corp.

    565,183  
    29,662    

JSW Steel Ltd.

    95,176  
    5,033    

K+S AG

    71,469  
    5,836    

KGHM Polska Miedz S.A.*

    127,946  
    124,486    

Kinross Gold Corp.*

    603,910  
    3,927    

Kirkland Lake Gold Ltd.

    184,409  
    10,823    

Kobe Steel Ltd.

    58,190  
    347    

Korea Zinc Co., Ltd.

    129,304  
    2,322    

Kumba Iron Ore Ltd.

    56,578  
    1,045    

Kumiai Chemical Industry Co., Ltd.

    9,664  
    17,246    

Kyoei Steel Ltd.

    314,061  
    12,065    

LafargeHolcim Ltd.*

    622,777  
    10,142    

Louisiana-Pacific Corp.

    296,451  
    40,244    

Lundin Mining Corp.

    203,191  
    107,829    

Maanshan Iron & Steel Co., Ltd. Class H

    40,783  
    1,697    

Maruichi Steel Tube Ltd.(2)

    46,342  
    4,286    

Mitsubishi Materials Corp.

    123,244  
    25,295    

MMC Norilsk Nickel PJSC ADR

    701,761  
    89,050    

MMG Ltd.*(2)

    18,539  
    22,434    

Mosaic Co.

    445,988  
    12,485    

Newcrest Mining Ltd.

    272,527  
    12,852    

Newmont Goldcorp Corp.

    509,982  
    30,282    

Nippon Steel Corp.

    441,982  
    5,510    

Norbord, Inc.

    159,054  
    222,075    

Norsk Hydro ASA

    784,715  
    20,746    

Nucor Corp.

    1,117,172  
    15,300    

Nufarm Ltd.*

    62,436  
    6,362    

Nutrien Ltd.

    304,358  
    7,163    

Pacific Metals Co., Ltd.

    171,270  
    265,588    

Petra Diamonds Ltd.*

    29,243  
    1,036    

Polyus PJSC GDR

    61,123  
    2,884    

POSCO

    523,289  
    43,627    

Press Metal Aluminium Holdings Bhd

    49,638  
    171,599    

Resolute Mining Ltd.*

    143,749  
    15,092    

Rio Tinto Ltd.

    943,748  
    45,332    

Rio Tinto plc

    2,360,066  
    33,523    

Rio Tinto plc ADR

    1,743,531  
    15,168    

Salzgitter AG

    275,042  
    2,951    

Sasol Ltd.

    53,498  
    6,611    

Sasol Ltd. ADR

    119,659  
    60,329    

SEMAFO, Inc.*

    194,669  
    10,145    

Severstal PJSC GDR

    138,581  
    28,479    

Shougang Fushan Resources Group Ltd.

    5,877  
    99,070    

Sinofert Holdings Ltd.*

    10,098  
    205,257    

South32 Ltd.

    359,462  
    28,076    

Southern Copper Corp.

    998,944  
    16,690    

Steel Dynamics, Inc.

    506,708  
    9,329    

Sumitomo Metal Mining Co., Ltd.

    312,052  
    13,210    

Tata Steel Ltd.

    70,731  
    32,307    

Teck Resources Ltd. Class B

    510,691  
    15,470    

thyssenkrupp AG

    220,611  
    41,281    

Tokyo Steel Manufacturing Co., Ltd.

    332,341  
    36,718    

Turquoise Hill Resources Ltd.*

    15,054  
    1,112    

United States Steel Corp.(2)

    12,799  
    121,520    

Vale S.A.*

    1,430,182  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 63.3% - (continued)  
          Materials - 17.1% - (continued)  
    68,961    

Vale S.A. ADR*

  $ 809,602  
    67,971    

Vedanta Ltd.

    141,864  
    4,860    

Vicat S.A.

    206,086  
    4,543    

voestalpine AG(2)

    113,996  
    484    

Vulcan Materials Co.

    69,149  
    2,128    

Warrior Met Coal, Inc.

    41,453  
    2,212    

West Fraser Timber Co., Ltd.

    102,278  
    110,766    

Western Areas Ltd.

    244,143  
    7,010    

Wheaton Precious Metals Corp.

    196,499  
    13,165    

Yamato Kogyo Co., Ltd.

    341,522  
    4,691    

Yara International ASA

    182,744  
    17,827    

Zhaojin Mining Industry Co., Ltd. Class H

    19,937  
    107,990    

Zijin Mining Group Co., Ltd. Class H

    37,407  
     

 

 

 
        44,917,279  
     

 

 

 
          Media & Entertainment - 0.3%  
    16,220    

Comcast Corp. Class A

    726,980  
     

 

 

 
          Pharmaceuticals, Biotechnology & Life Sciences - 0.1%  
    20,287    

Auxly Cannabis Group, Inc.*

    10,320  
    661    

Bayer AG

    51,278  
    359    

Canopy Growth Corp.*

    7,166  
    2,017    

Genus plc

    75,781  
    120    

Tilray, Inc.*

    2,677  
     

 

 

 
        147,222  
     

 

 

 
          Real Estate - 0.8%  
    3,005    

American Tower Corp. REIT

    655,330  
    29,956    

British Land Co. plc REIT

    240,850  
    9,810    

Equity LifeStyle Properties, Inc. REIT

    686,111  
    6,527    

Five Point Holdings LLC Class A*(2)

    43,144  
    19,711    

Land Securities Group plc REIT

    240,090  
    16,799    

Mitsubishi Estate Co., Ltd.

    326,159  
     

 

 

 
        2,191,684  
     

 

 

 
          Retailing - 0.3%  
    75,360    

Petrobras Distribuidora S.A.

    531,400  
    20,414    

Xebio Holdings Co., Ltd.

    228,768  
     

 

 

 
        760,168  
     

 

 

 
          Semiconductors & Semiconductor Equipment - 0.1%  
    8,510    

Tokyo Seimitsu Co., Ltd.

    273,333  
     

 

 

 
          Telecommunication Services - 1.4%  
    278,650    

BT Group plc

    739,497  
    59,009    

China Mobile Ltd.

    479,548  
    864,384    

China Telecom Corp. Ltd. Class H

    367,716  
    2,840,000    

China Tower Corp. Ltd. Class H(1)

    625,063  
    603,322    

China Unicom Hong Kong Ltd.

    593,970  
    29,680    

KT Corp. ADR

    488,738  
    34,672    

MTN Group Ltd.

    214,605  
    10,831    

NTT DOCOMO, Inc.

    296,933  
     

 

 

 
        3,806,070  
     

 

 

 
          Transportation - 1.0%  
    463    

AP Moller - Maersk A/S Class B

    590,604  
    6,583    

Canadian National Railway Co.

    588,776  
    18,300    

D/S Norden A/S

    267,687  
    11,900    

Japan Airport Terminal Co., Ltd.(2)

    587,819  
    358    

Kirby Corp.*

    28,339  
    880,424    

Pacific Basin Shipping Ltd.

    203,851  
    128,209    

PostNL N.V.

    294,576  
    688    

Ryder System, Inc.

    33,457  
     

 

 

 
        2,595,109  
     

 

 

 
          Utilities - 4.3%  
    10,781    

Avangrid, Inc.

    539,589  
    93,777    

Beijing Enterprises Holdings Ltd.

    441,539  
    242,770    

Centrica plc

    228,463  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  70  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 63.3% - (continued)  
          Utilities - 4.3% - (continued)  
    998,146    

China Longyuan Power Group Corp. Ltd. Class H

  $ 539,233  
    12,500    

Cia de Saneamento do Parana

    284,254  
    87,078    

CK Infrastructure Holdings Ltd.

    626,677  
    5,583    

Duke Energy Corp.

    526,254  
    56,998    

E.ON SE

    574,794  
    9,008    

Edison International

    566,603  
    282,727    

Enel Americas S.A.

    52,968  
    94,349    

Enel S.p.A.

    731,238  
    68,619    

Engie S.A.

    1,149,010  
    38,499    

ENN Energy Holdings Ltd.

    439,218  
    11,181    

Exelon Corp.

    508,624  
    126,316    

Guangdong Investment Ltd.

    273,385  
    1,456,878    

Huaneng Renewables Corp. Ltd. Class H

    556,200  
    77,087    

Iberdrola S.A.

    792,377  
    55,628    

National Grid plc

    650,418  
    2,322    

NextEra Energy Partners L.P.(2)

    122,369  
    3,863    

Sempra Energy

    558,242  
    6,434    

Severn Trent plc

    187,938  
    73,975    

Snam S.p.A.

    379,780  
    10,183    

UGI Corp.

    485,424  
     

 

 

 
    11,214,597  
 

 

 

 
   

Total Common Stocks
(cost $161,972,520)

  $ 166,733,281  
   

 

 

 
CORPORATE BONDS - 0.7%  
          Construction Materials - 0.1%  
$     150,000    

Eagle Materials, Inc. 4.50%, 08/01/2026

  $ 155,886  
     

 

 

 
          Iron/Steel - 0.1%  
   

United States Steel Corp.

 
    100,000    

6.25%, 03/15/2026(2)

    83,729  
    75,000    

6.65%, 06/01/2037

    55,875  
    10,000    

6.88%, 08/15/2025

    9,019  
     

 

 

 
    148,623  
 

 

 

 
      Oil & Gas - 0.4%  
    145,000    

Carrizo Oil & Gas, Inc. 6.25%, 04/15/2023(2)

    134,850  
    125,000    

Diamondback Energy, Inc. 4.75%, 11/01/2024

    129,219  
GBP     100,000    

Gazprom OAO Via Gaz Capital S.A. 5.34%, 09/25/2020(3)

    133,747  
$     165,000    

Laredo Petroleum, Inc. 6.25%, 03/15/2023(2)

    150,562  
    75,000    

Matador Resources Co. 5.88%, 09/15/2026

    71,906  
    75,000    

Noble Energy, Inc. 6.00%, 03/01/2041

    86,893  
    50,000    

Occidental Petroleum Corp. 4.40%, 04/15/2046

    49,691  
   

PDC Energy, Inc.

 
    105,000    

5.75%, 05/15/2026

    98,175  
    30,000    

6.13%, 09/15/2024

    29,119  
    110,000    

QEP Resources, Inc. 5.38%, 10/01/2022

    107,809  
 

Southwestern Energy Co.

 
    95,000    

7.50%, 04/01/2026

    83,371  
    60,000    

7.75%, 10/01/2027

    51,600  
     

 

 

 
    1,126,942  
 

 

 

 
          Oil & Gas Services - 0.1%  
    200,000    

Alpha Star Holding Ltd. 6.25%, 04/20/2022(3)

    190,000  
     

 

 

 
          Pipelines - 0.0%  
    90,000    

Antero Midstream Partners L.P. / Antero Midstream Finance Corp. 5.75%, 03/01/2027(1)

    66,937  
     

 

 

 
 

Total Corporate Bonds
(cost $1,732,416)

  $ 1,688,388  
   

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 3.0%  
          Argentina - 0.0%  
ARS     4,100,000    

Argentina POM Politica Monetaria 72.48%, 06/21/2020(4)

  $ 30,529  
   

Argentine Republic Government International Bond

 

EUR     100,000    

3.38%, 01/15/2023

    42,158  
    125,000    

5.00%, 01/15/2027(3)

    52,785  
     

 

 

 
        125,472  
 

 

 

 
          Azerbaijan - 0.1%  
$     200,000    

Republic of Azerbaijan International Bond 4.75%, 03/18/2024(3)

    211,742  
     

 

 

 
      Canada - 0.1%  
CAD     295,963    

Canadian Government Real Return Bond 4.25%, 12/01/2026(5)

    289,042  
     

 

 

 
          Germany - 0.5%  
 

Deutsche Bundesrepublik Inflation Linked Bond

 

EUR     832,636    

0.10%, 04/15/2026(3)(5)

    1,018,058  
    248,341    

0.50%, 04/15/2030(3)(5)

    332,694  
     

 

 

 
        1,350,752  
 

 

 

 
          Greece - 0.0%  
    31,375,000    

Hellenic Republic Government Bond 0.00%, 10/15/2042(4)

    131,222  
     

 

 

 
          Indonesia - 0.3%  
IDR     10,509,000,000    

Indonesia Treasury Bond 8.38%, 03/15/2034

    809,351  
     

 

 

 
          Israel - 0.1%  
ILS     852,601    

Israel Government Bond - CPI Linked 1.00%, 05/31/2045(5)

    259,420  
     

 

 

 
          Japan - 0.5%  
   

Japanese Government CPI Linked Bond

 

JPY     99,004,425    

0.10%, 03/10/2026(5)

    938,746  
    42,087,393    

0.10%, 03/10/2028(5)

    403,952  
     

 

 

 
        1,342,698  
 

 

 

 
          Mexico - 0.5%  
MXN     4,300,300    

Mexican Bonos 8.00%, 11/07/2047

    246,156  
   

Mexican Udibonos

 

    16,674,111    

2.00%, 06/09/2022(5)

    839,437  
    4,052,314    

4.00%, 11/08/2046(5)

    237,385  
     

 

 

 
        1,322,978  
 

 

 

 
          Nigeria - 0.1%  
$     200,000    

Nigeria Government International Bond 7.88%, 02/16/2032(3)

    206,239  
     

 

 

 
          Russia - 0.7%  
RUB     31,350,000    

Russian Federal Bond - OFZ 6.90%, 05/23/2029

    507,051  
   

Russian Federal Inflation Linked Bond - OFZ

 
    28,549,430    

2.50%, 08/16/2023(5)

    433,234  
    58,874,108    

2.50%, 02/02/2028(5)

    860,913  
     

 

 

 
        1,801,198  
 

 

 

 
          South Africa - 0.1%  
ZAR     2,695,812    

Republic of South Africa Government Bond - CPI Linked 1.88%, 03/31/2029(5)

    155,667  
     

 

 

 
   

Total Foreign Government Obligations (cost $8,057,517)

  $ 8,005,781  
   

 

 

 
U.S. GOVERNMENT SECURITIES - 20.0%  
          U.S. Treasury Securities - 20.0%  
          U.S. Treasury Bonds - 3.8%  
$     605,768    

0.75%, 02/15/2045(5)

  $ 635,015  
    233,823    

0.88%, 02/15/2047(5)

    252,898  
    119,106    

1.00%, 02/15/2046(5)

    132,220  
    754,991    

1.75%, 01/15/2028(5)

    849,659  
    3,154,017    

2.00%, 01/15/2026(5)

    3,500,839  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  71  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT SECURITIES - 20.0% - (continued)  
          U.S. Treasury Bonds - 3.8% - (continued)  
$     1,434,578    

2.38%, 01/15/2025(5)

  $ 1,595,658  
    825,149    

2.38%, 01/15/2027(5)

    953,328  
    963,165    

3.63%, 04/15/2028(5)

    1,236,443  
    671,543    

3.88%, 04/15/2029(5)

    900,884  
     

 

 

 
    10,056,944  
 

 

 

 
          U.S. Treasury Notes - 16.2%  
    1,019,164    

0.13%, 04/15/2021(5)

    1,010,950  
    3,917,060    

0.13%, 01/15/2022(5)(6)

    3,890,016  
    4,403,105    

0.13%, 01/15/2023(5)

    4,378,191  
    1,899,177    

0.13%, 07/15/2024(5)(6)

    1,901,399  
    1,298,738    

0.13%, 07/15/2026(5)

    1,298,734  
    4,751,413    

0.25%, 01/15/2025(5)

    4,769,662  
    364,487    

0.25%, 07/15/2029(5)

    368,418  
    2,595,805    

0.38%, 07/15/2023(5)

    2,618,056  
    1,964,135    

0.38%, 07/15/2025(5)

    1,994,606  
    1,713,257    

0.38%, 01/15/2027(5)

    1,735,877  
    1,239,903    

0.38%, 07/15/2027(5)

    1,262,238  
    1,087,851    

0.50%, 01/15/2028(5)

    1,115,928  
    1,259,551    

0.63%, 07/15/2021(5)

    1,267,891  
    1,510,690    

0.63%, 04/15/2023(5)

    1,526,148  
    4,903,443    

0.63%, 01/15/2024(5)(7)

    4,986,535  
    1,457,217    

0.63%, 01/15/2026(5)

    1,496,483  
    1,038,024    

0.75%, 07/15/2028(5)

    1,092,491  
    3,602,746    

0.88%, 01/15/2029(5)

    3,831,693  
    2,015,426    

1.25%, 07/15/2020(5)

    2,029,911  
     

 

 

 
        42,575,227  
     

 

 

 
        52,632,171  
     

 

 

 
   

Total U.S. Government Securities
(cost $51,810,071)

  $ 52,632,171  
     

 

 

 
CONVERTIBLE BONDS - 0.0%  
          Oil & Gas - 0.0%  
    75,000    

PDC Energy, Inc. 1.13%, 09/15/2021

  $ 67,491  
    40,000    

Oasis Petroleum, Inc. 2.63%, 09/15/2023

    27,562  
     

 

 

 
        95,053  
     

 

 

 
   

Total Convertible Bonds
(cost $99,525)

  $ 95,053  
     

 

 

 
EXCHANGE-TRADED FUNDS - 3.4%  
          Other Investment Pools & Funds - 3.4%  
    57,347    

Invesco Senior Loan ETF(2)

  $ 1,285,146  
    30    

SPDR Gold Shares*

    4,273  
    37,851    

VanEck Vectors Agribusiness ETF

    2,529,204  
    177,586    

VanEck Vectors Gold Miners ETF

    4,999,046  
     

 

 

 
        8,817,669  
     

 

 

 
   

Total Exchange-Traded Funds
(cost $8,817,483)

  $ 8,817,669  
     

 

 

 
PREFERRED STOCKS - 0.1%  
          Materials - 0.1%  
    37,454    

Gerdau S.A.

  $ 125,423  
     

 

 

 
   

Total Preferred Stocks
(cost $144,548)

  $ 125,423  
     

 

 

 
RIGHTS - 0.0%  
          Energy - 0.0%  
    82,457    

Karoon Energy Ltd. Expires 11/19/19*

  $ 2,274  
     

 

 

 
   

Total Rights
(cost $—)

  $ 2,274  
     

 

 

 
   

Total Long-Term Investments
(cost $232,634,080)

  $ 238,100,040  
     

 

 

 
Shares or Principal Amount   Market Value  
SHORT-TERM INVESTMENTS - 9.9%  
          Other Investment Pools & Funds - 8.2%  
$     21,477,125    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(8)

  $ 21,477,125  
     

 

 

 
          Securities Lending Collateral - 1.7%  
    229,764    

Citibank NA DDCA, 1.80%, 11/1/2019(8)

    229,764  
    3,223,626    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(8)

    3,223,626  
    51,712    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(8)

    51,712  
    427,605    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(8)

    427,605  
    621,257    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(8)

    621,257  
    41,312    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(8)

    41,312  
     

 

 

 
        4,595,276  
     

 

 

 
   

Total Short-Term Investments
(cost $26,072,401)

  $ 26,072,401  
     

 

 

 
   

Total Investments Excluding Purchased Options
(cost $258,706,481)

    100.4    $ 264,172,441  
   

Total Purchased Options
(cost $10,140)

    0.0    $ 3,394  
     

 

 

    

 

 

 
   

Total Investments
(cost $258,716,621)

    100.4    $ 264,175,835  
   

Other Assets and Liabilities

    (0.4 )%       (938,100
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $     263,237,735  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

The Consolidated Schedule of Investments includes investments held by The Hartford Cayman Global Real-Asset Fund, Ltd. (the “Subsidiary”), a wholly owned subsidiary of the Fund, which primarily invests in commodity-related instruments. The Fund may invest up to 25% of its total assets in the Subsidiary. As of October 31, 2019, the Fund invested 14.8% of its total assets in the Subsidiary.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $1,208,151, representing 0.5% of net assets.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  72  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

(2) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(3) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $2,145,265, representing 0.8% of net assets.

 

(4) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

(5) 

The principal amount for these securities are adjusted for inflation and the interest payments equal a fixed percentage of the inflation-adjusted principal amount.

 

(6) 

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $2,055,305.

 

(7) 

All, or a portion of the security, was pledged as collateral in connection with centrally cleared swap contracts. As of October 31, 2019, the market value of securities pledged was $81,356.

 

(8) 

Current yield as of period end.

 

 

OTC Option Contracts Outstanding at October 31, 2019  

Description

  

Counter-
party

  

Exercise Price/
FX Rate/Rate

   Expiration
Date
     Number of
Contracts
    

Notional
Amount

     Market
Value
     Premiums
Paid
(Received)
by Fund
     Unrealized
Appreciation/
(Depreciation)
 
Purchased option contracts:  
Puts  

USD Put/CAD Call

   BOA    1.28    USD      04/21/20        659,000      USD     659,000      $ 2,554      $ 3,890      $ (1,336
                

 

 

    

 

 

    

 

 

    

 

 

 

Total purchased option contracts

     $     2,554      $     3,890      $     (1,336
                   

 

 

    

 

 

    

 

 

 
          

 

Exchange-Traded Option Contracts Outstanding at October 31, 2019  

Description

   Exercise Price/
FX Rate/ Rate
     Expiration
Date
     Number of
Contracts
    Notional
Amount
    Market
Value
    Premiums
Paid
(Received)
by Fund
    Unrealized
Appreciation/
(Depreciation)
 
Purchased option contracts:  
Puts  

Crude Oil Future Option

   50.00     USD        11/15/19        3       USD       150,000     $ 840     $ 6,249     $ (5,409
            

 

 

   

 

 

   

 

 

   

 

 

 

Total purchased option contracts

 

    $ 840     $ 6,249     $     (5,409
              

 

 

   

 

 

   

 

 

 

Description

   Exercise Price/
FX Rate/ Rate
     Expiration
Date
     Number of
Contracts
    Notional
Amount
    Market
Value
    Premiums
Paid
(Received)
by Fund
    Unrealized
Appreciation/
(Depreciation)
 
Written option contracts:  
Calls  

Natural Gas Option

     3.50    USD        01/28/20        (5     USD       (175,000   $ (6,250   $ (5,367   $ (883
            

 

 

   

 

 

   

 

 

   

 

 

 
Puts  

Lean Hogs Option

     58.00    USD        12/13/19        (3     USD       (6,960,000   $ (930   $ (2,500   $ 1,570  
            

 

 

   

 

 

   

 

 

   

 

 

 

Total written option contracts

 

    $     (7,180   $     (7,867   $ 687  
   

 

 

   

 

 

   

 

 

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

Brent Crude Oil Future

     7        12/30/2019      $ 412,370      $ (11,213

Brent Crude Oil Future

     10        01/31/2020        583,400        (14,972

Brent Crude Oil Future

     77        11/29/2019            4,590,740            (114,481

Coffee ‘C’ Future

     5        12/18/2019        191,156        4,684  

Copper Future

     18        03/27/2020        1,191,150        4,066  

Corn Future

     6        07/14/2020        123,000        3,692  

Corn Future

     3        12/14/2020        60,863        (172

Cotton No. 2 Future

     2        03/09/2020        65,880        6,301  

 

The accompanying notes are an integral part of these financial statements.

 

 

  73  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Futures Contracts Outstanding at October 31, 2019 – (continued)  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts – (continued):  

Cotton No. 2 Future

     2        12/06/2019      $ 64,440      $ 1,995  

Gasoline Future

     2        11/29/2019        133,946        5,598  

Gasoline Future

     4        02/28/2020        264,600        9,372  

Gold 100oz Future

     12        02/26/2020        1,826,160        (6,047

Gold 100oz Future

     3        12/27/2019        454,440        1,618  

KC Hard Red Winter Wheat Future

     9        12/13/2019        188,888        (3,768

LME Copper Future

     5        12/18/2019        723,469        (18,333

LME Nickel Future

     22        11/18/2019            2,203,212        (73,721

LME Nickel Future

     4        12/18/2019        400,536        19,737  

LME Nickel Future

     3        01/13/2020        300,078        16,803  

LME Primary Aluminum Future

     9        12/18/2019        397,350        (3,428

LME Primary Aluminum Future

     1        12/16/2020        45,900        (114

LME Zinc Future

     8        11/20/2019        505,000        16,926  

LME Zinc Future

     4        12/18/2019        250,700        (812

LME Zinc Future

     11        01/13/2020        685,712        60,991  

LME Zinc Future

     12        03/16/2020        741,450        48,369  

Lean Hogs Future

     4        12/13/2019        105,600        (4,465

Lean Hogs Future

     4        02/14/2020        117,320        (3,319

Live Cattle Future

     3        12/31/2019        140,670        19,780  

Live Cattle Future

     1        02/28/2020        48,940        6,407  

Low Sulphur Gas Oil Future

     1        12/12/2019        56,350        (652

NY Harbor ULSD Future

     1        11/29/2019        78,784        1,547  

NY Harbor ULSD Future

     2        02/28/2020        154,518        (260

Natural Gas Future

     15        01/29/2020        404,550        22,440  

Platinum Future

     3        04/28/2020        140,925        6,408  

Silver Future

     2        12/27/2019        180,670        3,197  

Soybean Future

     68        01/14/2020        3,169,650        (28,504

Soybean Meal Future

     5        12/13/2019        152,200        (3,745

Soybean Meal Future

     2        03/13/2020        62,100        (1,426

Soybean Oil Future

     2        12/13/2019        36,900        2,658  

Sugar No. 11 Future

     6        02/28/2020        83,866        3,477  

U.S. Treasury 5-Year Note Future

     10        12/31/2019        1,192,031        (7,366

WTI Crude Future

     5        02/20/2020        269,600        12,341  

WTI Crude Future

     26        11/20/2020        1,337,960        (24,289
           

 

 

 

Total

 

   $ (42,680
  

 

 

 
Short position contracts:  

10-Year Mini JGB Future

     1        12/12/2019      $ 142,763      $ 737  

Coffee ‘C’ Future

     2        03/19/2020        79,088        6,644  

Corn Future

     4        12/13/2019        78,000        491  

Euro-Bund Future

     4        12/06/2019        766,255        20,740  

ICE Rotterdam Coal Future

     2        06/26/2020        126,500        4,226  

Japan 10-Year Mini Bond Future

     1        12/13/2019        1,425,595        9,624  

KC Hard Red Winter Wheat Future

     2        03/13/2020        43,225        4,820  

LME Copper Future

     3        12/18/2019        434,081        (5,879

LME Nickel Future

     22        11/18/2019        2,203,212        (56,333

LME Nickel Future

     2        12/18/2019        200,268        12,836  

LME Nickel Future

     3        01/13/2020        300,078        18,441  

LME Primary Aluminum Future

     4        12/18/2019        176,600        (1,303

LME Primary Aluminum Future

     3        12/16/2020        137,700        4,566  

LME Zinc Future

     4        12/18/2019        250,700        13,858  

LME Zinc Future

     8        11/20/2019        505,000        (47,790

LME Zinc Future

     11        01/13/2020        685,713        (52,146

LME Zinc Future

     1        03/16/2020        61,788        (1,541

LME Zinc Future

     1        12/14/2020        60,937        5,831  

Lean Hogs Future

     2        06/12/2020        72,820        (417

Natural Gas Future

     6        03/27/2020        140,400        (5,679

U.S. Treasury 10-Year Note Future

     5        12/19/2019        651,484        6,841  

U.S. Treasury Ultra Long Bond Future

     7        12/19/2019        1,328,250        50,745  

WTI Crude Future

     1        11/19/2021        50,480        2,426  

Wheat Future

     5        12/13/2019        127,188        (7,544
           

 

 

 

Total

 

   $ (15,806
  

 

 

 

Total futures contracts

 

   $     (58,486
  

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  74  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

OTC Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

  

Counter-
party

  

Notional
Amount (a)

     (Pay)/Receive
Fixed Rate
  

Expiration
Date

  Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
    Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

CMBX.NA.BBB-.7

   GSC    USD      150,000      (3.00%)    01/17/47     Monthly      $ 8,263      $     $ 638     $ (7,625

CMBX.NA.BBB-.8

   GSC    USD      150,000      (3.00%)    10/17/57     Monthly        12,518              5,108       (7,410
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

         $ 20,781      $     $ 5,746     $ (15,035
        

 

 

    

 

 

   

 

 

   

 

 

 

Total traded indices

         $ 20,781      $     $ 5,746     $ (15,035
                   

 

 

    

 

 

   

 

 

   

 

 

 
Credit default swaps on single-name issues:  
Buy protection:  

Republic of Colombia

   GSC    USD      300,000      (1.00%)    06/20/24     Quarterly      $      $ (2,098   $ (4,099   $ (2,001

Republic of Colombia

   GSC    USD      285,000      (1.00%)    06/20/24     Quarterly               (1,872     (3,894     (2,022

Republic of Indonesia

   HSBC    USD      285,000      (1.00%)    06/20/24     Quarterly               (2,046     (4,366     (2,320

Republic of Indonesia

   JPM    USD      300,000      (1.00%)    06/20/24     Quarterly               (1,757     (4,596     (2,839

Republic of Malaysia

   HSBC    USD      280,000      (1.00%)    06/20/24     Quarterly               (6,301     (8,018     (1,717

Republic of Malaysia

   JPM    USD      300,000      (1.00%)    06/20/24     Quarterly               (6,266     (8,591     (2,325

Russian Federation

   GSC    USD      285,000      (1.00%)    06/20/24     Quarterly        558              (4,380     (4,938

Russian Federation

   JPM    USD      300,000      (1.00%)    06/20/24     Quarterly        1,041              (4,611     (5,652
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total

     $ 1,599      $ (20,340   $ (42,555   $ (23,814
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total single-name issues

     $ 1,599      $ (20,340   $ (42,555   $ (23,814
                   

 

 

    

 

 

   

 

 

   

 

 

 

Total OTC contracts

              $     22,380      $     (20,340   $     (36,809   $     (38,849
                   

 

 

    

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

Centrally Cleared Credit Default Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Notional
Amount (a)
    (Pay)/Receive
Fixed Rate
    Expiration
Date
     Periodic
Payment
Frequency
     Cost Basis     Value     Unrealized
Appreciation/
(Depreciation)
 
Credit default swaps on indices:  
Buy protection:  

ITRAXX.EUR.31.V2

   EUR      5,205,000       (1.00 %)      06/20/24        Quarterly      $ (124,408   $ (156,543   $ (32,135
               

 

 

   

 

 

   

 

 

 

Total

 

        $     (124,408   $     (156,543   $     (32,135
               

 

 

   

 

 

   

 

 

 

 

(a) 

The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

 

OTC Total Return Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counter-
party
   Notional
Amount
     Payments
received
(paid) by
the Fund
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
     Market
Value
    Unrealized
Appreciation/
(Depreciation)
 

Bloomberg Commodity Index

   MSC      USD       162,356           01/31/20        Monthly      $      $      $     $  

Bloomberg Commodity Index

   MSC      USD       221,308      (0.01%)      03/31/20        Monthly                             

Bloomberg Corn Subindex

   JPM      USD       23,797      0.12%      11/29/19        Monthly                             

Bloomberg Soybean Meal Subindex

   MSC      USD       619      0.40%      12/31/19        Monthly                             

Bloomberg Soybean Meal Subindex

   BCLY      USD       34,668      0.35%      02/28/20        Monthly                             

Bloomberg Wheat Subindex

   BCLY      USD       25,374           04/03/20        Monthly                             

MSCB.BE.05 Index

   MSC      USD       173,136      0.10%      03/31/20        Monthly                             

MSCB.BE.05 Index

   MSC      USD       215,515      0.10%      03/31/20        Monthly                             

Phys Uranium 308 Phys Spot

   GSC      USD       178,540           12/30/19        Maturity                      (9,508     (9,508

S&P GSCI OCI Iron Ore Index

   GSC      USD       37,479      0.10%      11/29/19        Monthly                             

Silver Spot Index

   GSC      USD       6,192           12/02/19        Maturity                      1,327       1,327  
                   

 

 

    

 

 

    

 

 

   

 

 

 

Total

 

      $     —      $     —      $     (8,181   $     (8,181
                   

 

 

    

 

 

    

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  75  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  5,380,000      AUD      3,682,766      USD    DEUT      11/29/19     $ 28,907     $  
  285,000      BRL      70,981      USD    MSC      11/04/19       64        
  285,000      BRL      71,177      USD    JPM      11/04/19             (132
  285,000      BRL      71,184      USD    JPM      12/03/19             (267
  2,145,000      CAD      1,643,665      USD    JPM      11/29/19             (14,992
  5,009,400,000      COP      1,474,025      USD    JPM      11/29/19       6,564        
  343,000      EUR      381,295      USD    CBK      11/29/19       1,970        
  10,931,000,000      IDR      777,233      USD    MSC      11/29/19             (768
  229,495,000      JPY      2,114,898      USD    BCLY      11/29/19       13,778        
  24,340,000      MXN      1,270,793      USD    RBC      11/29/19             (11,256
  49,470,000      NOK      5,387,597      USD    SSG      11/29/19       155       (7,612
  110,000      NZD      69,883      USD    SSG      11/29/19       682        
  4,630,000      RUB      72,449      USD    BOA      11/29/19             (528
  71,312      USD      285,000      BRL    JPM      11/04/19       268        
  71,177      USD      285,000      BRL    MSC      11/04/19       132        
  293,484      USD      383,000      CAD    JPM      11/29/19       2,677        
  2,337,414      USD      2,320,000      CHF    MSC      11/29/19             (19,353
  135,648      USD      98,400,000      CLP    JPM      11/29/19       2,862        
  132,364      USD      119,000      EUR    MSC      11/29/19             (605
  17,700,755      USD      15,923,000      EUR    CBK      11/29/19             (91,460
  2,483,870      USD      1,933,000      GBP    BCLY      11/29/19             (22,306
  579,014      USD      8,143,251,000      IDR    MSC      11/29/19       572        
  526,305      USD      1,856,000      ILS    MSC      11/29/19             (1,055
  1,350,468      USD      146,544,000      JPY    BCLY      11/29/19             (8,798
  1,235,342      USD      23,661,000      MXN    RBC      11/29/19       10,942        
  1,760,838      USD      112,529,000      RUB    BOA      11/29/19       12,835        
  161,703      USD      2,358,000      ZAR    SCB      11/29/19       6,260        
  27,230,000      ZAR      1,863,487      USD    UBS      11/29/19             (68,440
                

 

 

   

 

 

 
 

Total

    $     88,668     $     (247,572
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 348,800      $      $ 348,800      $  

Banks

     6,972,824               6,972,824         

Capital Goods

     4,837,279        2,617,175        2,220,104         

Commercial & Professional Services

     1,378,337        341,467        1,036,870         

Consumer Durables & Apparel

     1,155,966        1,155,966                

Diversified Financials

     1,830,396        646,635        1,183,761         

Energy

         79,140,841            40,010,551            39,130,290            —  

Food & Staples Retailing

     551,358        153,199        398,159         

Food, Beverage & Tobacco

     2,000,925        1,371,502        629,423         

Insurance

     1,884,113               1,884,113         

Materials

     44,917,279        19,627,106        25,290,173         

Media & Entertainment

     726,980        726,980                

Pharmaceuticals, Biotechnology & Life Sciences

     147,222        20,163        127,059         

Real Estate

     2,191,684        1,384,585        807,099         

Retailing

     760,168        531,400        228,768         

Semiconductors & Semiconductor Equipment

     273,333               273,333         

Telecommunication Services

     3,806,070        182,162        3,623,908         

Transportation

     2,595,109        650,572        1,944,537         

Utilities

     11,214,597        3,779,297        7,435,300         

Corporate Bonds

     1,688,388               1,688,388         

Foreign Government Obligations

     8,005,781               8,005,781         

U.S. Government Securities

     52,632,171               52,632,171         

Convertible Bonds

     95,053               95,053         

Exchange-Traded Funds

     8,817,669        8,817,669                

 

The accompanying notes are an integral part of these financial statements.

 

 

  76  

 


The Hartford Global Real Asset Fund (consolidated)

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Preferred Stocks

   $ 125,423     $ 125,423     $     $  

Rights

     2,274       2,274              

Short-Term Investments

     26,072,401       26,072,401              

Purchased Options

     3,394       840       2,554        

Foreign Currency Contracts(2)

     88,668             88,668        

Futures Contracts(2)

     441,233       441,233              

Swaps - Total Return(2)

     1,327             1,327        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     264,707,063     $     108,658,600     $     156,048,463     $  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (247,572   $     $ (247,572   $  

Futures Contracts(2)

     (499,719     (499,719            

Swaps - Credit Default(2)

     (70,984           (70,984      

Swaps - Total Return(2)

     (9,508           (9,508      

Written Options

     (7,180     (7,180            
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (834,963   $ (506,899   $ (328,064   $     —  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  77  

 


The Hartford Growth Allocation Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
AFFILIATED INVESTMENT COMPANIES - 99.8%  
      Domestic Equity Funds - 59.4%  
  3,234,269    

Hartford Core Equity Fund, Class F

  $ 108,412,702  
  1,725,209    

Hartford Multifactor US Equity ETF

    56,086,544  
  2,806,188    

Hartford Small Cap Value Fund, Class F

    29,128,231  
  3,545,387    

The Hartford Equity Income Fund, Class F

    70,446,841  
  821,749    

The Hartford Growth Opportunities Fund, Class F

    34,570,991  
  950,270    

The Hartford MidCap Fund, Class F

    29,952,499  
  1,352,892    

The Hartford Small Company Fund, Class F

    29,425,393  
   

 

 

 
 

Total Domestic Equity Funds
(cost $326,817,401)

    358,023,201  
   

 

 

 
      International/Global Equity Funds - 21.3%  
  1,222,780    

Hartford Emerging Markets Equity Fund, Class F

    10,882,745  
  1,564,823    

Hartford Multifactor Developed Markets (ex-US) ETF

    44,722,641  
  4,693,860    

Hartford Schroders International Multi-Cap Value Fund, Class F

    42,479,432  
  1,950,086    

The Hartford International Opportunities Fund, Class F

    30,479,845  
   

 

 

 
 

Total International/Global Equity Funds
(cost $128,735,247)

    128,564,663  
   

 

 

 
      Multi-Strategy Funds - 3.5%  
  2,386,672    

The Hartford Global Real Asset Fund, Class F

    21,074,317  
   

 

 

 
 

Total Multi-Strategy Funds
(cost $21,374,391)

    21,074,317  
   

 

 

 
      Taxable Fixed Income Funds - 15.6%  
  804,730    

Hartford Schroders Emerging Markets Multi-Sector Bond Fund, Class F

    7,323,042  
  439,354    

Hartford Short Duration ETF

    17,949,852  
  366,562    

Hartford Total Return Bond ETF

    15,221,487  
  2,272,217    

The Hartford Quality Bond Fund, Class F

    23,085,726  
Shares or Principal Amount   Market Value  
AFFILIATED INVESTMENT COMPANIES - 99.8% - (continued)  
      Taxable Fixed Income Funds - 15.6% - (continued)  
  837,041    

The Hartford Strategic Income Fund, Class F

  $ 7,257,145  
  2,124,543    

The Hartford World Bond Fund, Class F

    23,051,295  
   

 

 

 
 

Total Taxable Fixed Income Funds
(cost $91,752,824)

    93,888,547  
   

 

 

 
 

Total Affiliated Investment Companies
(cost $568,679,863)

  $     601,550,728  
   

 

 

 
SHORT-TERM INVESTMENTS - 0.2%  
      Other Investment Pools & Funds - 0.2%  
  1,199,724    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(1)

 

   $ 1,199,724  
    

 

 

 
 

Total Short-Term Investments
(cost $1,199,724)

 

   $ 1,199,724  
    

 

 

 
 

Total Investments
(cost $569,879,587)

    100.0    $ 602,750,452  
 

Other Assets and Liabilities

    0.0      (249,247
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     602,501,205  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

 

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

 

See “Glossary” for abbreviation descriptions.

 

(1) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Affiliated Investment Companies

   $ 601,550,728      $ 601,550,728      $      $  

Short-Term Investments

     1,199,724        1,199,724                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     602,750,452      $     602,750,452      $     —      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  78  

 


Hartford Moderate Allocation Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
AFFILIATED INVESTMENT COMPANIES - 99.8%  
      Domestic Equity Funds - 43.7%  
  1,553,986    

Hartford Core Equity Fund, Class F

  $ 52,089,597  
  765,355    

Hartford Multifactor US Equity ETF

    24,881,691  
  1,404,507    

Hartford Small Cap Value Fund, Class F

    14,578,782  
  1,785,669    

The Hartford Equity Income Fund, Class F

    35,481,250  
  410,104    

The Hartford Growth Opportunities Fund, Class F

    17,253,062  
  472,920    

The Hartford MidCap Fund, Class F

    14,906,449  
  677,284    

The Hartford Small Company Fund, Class F

    14,730,928  
   

 

 

 
 

Total Domestic Equity Funds
(cost $157,784,252)

    173,921,759  
   

 

 

 
      International/Global Equity Funds - 16.9%  
  758,369    

Hartford Emerging Markets Equity Fund, Class F

    6,749,485  
  864,559    

Hartford Multifactor Developed Markets (ex-US) ETF

    24,709,096  
  2,301,177    

Hartford Schroders International Multi-Cap Value Fund, Class F

    20,825,649  
  956,033    

The Hartford International Opportunities Fund, Class F

    14,942,793  
   

 

 

 
 

Total International/Global Equity Funds
(cost $67,775,440)

    67,227,023  
   

 

 

 
      Multi-Strategy Funds - 2.9%  
  1,337,401    

The Hartford Global Real Asset Fund, Class F

    11,809,248  
   

 

 

 
 

Total Multi-Strategy Funds
(cost $11,973,384)

    11,809,248  
   

 

 

 
      Taxable Fixed Income Funds - 36.3%  
  1,274,390    

Hartford Schroders Emerging Markets Multi-Sector Bond Fund, Class F

    11,596,952  
  512,626    

Hartford Short Duration ETF

    20,943,387  
  513,376    

Hartford Total Return Bond ETF

    21,317,938  
  888,739    

The Hartford Inflation Plus Fund, Class F

    9,553,947  
  3,184,818    

The Hartford Quality Bond Fund, Class F

    32,357,749  
Shares or Principal Amount   Market Value  
AFFILIATED INVESTMENT COMPANIES - 99.8% - (continued)  
      Taxable Fixed Income Funds - 36.3% - (continued)  
  1,767,811    

The Hartford Strategic Income Fund, Class F

  $ 15,326,918  
  3,075,867    

The Hartford World Bond Fund, Class F

    33,373,158  
   

 

 

 
 

Total Taxable Fixed Income Funds
(cost $142,075,004)

    144,470,049  
   

 

 

 
 

Total Affiliated Investment Companies
(cost $379,608,080)

  $ 397,428,079  
   

 

 

 
SHORT-TERM INVESTMENTS - 0.2%  
      Other Investment Pools & Funds - 0.2%  
  798,272    

BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 1.73%(1)

  $ 798,272  
 

 

 

 
 

Total Short-Term Investments
(cost $798,272)

  $ 798,272  
 

 

 

 
 

Total Investments
(cost $380,406,352)

    100.0    $ 398,226,351  
 

Other Assets and Liabilities

    0.0      (71,429
   

 

 

    

 

 

 
 

Total Net Assets

    100.0    $     398,154,922  
   

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

(1) 

Current yield as of period end.

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total      Level 1      Level 2      Level 3(1)  

Assets

 

Affiliated Investment Companies

   $ 397,428,079      $ 397,428,079      $      $  

Short-Term Investments

     798,272        798,272                
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     398,226,351      $     398,226,351      $     —      $     —  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

The accompanying notes are an integral part of these financial statements.

 

 

  79  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 22.2%      
          Automobiles & Components - 0.8%  
         178,965    

Ford Motor Co.

  $ 1,537,309  
    27,613    

General Motors Co.

    1,026,099  
    55,573    

Nissan Motor Co., Ltd.

    350,698  
    26,143    

Volkswagen AG

    4,969,921  
     

 

 

 
        7,884,027  
     

 

 

 
          Banks - 0.2%  
    163,822    

Bank of Communications Co., Ltd. Class H

    111,882  
    9,448    

BNP Paribas S.A.

    493,748  
    215,739    

China Minsheng Banking Corp. Ltd. Class H

    150,903  
    13,018    

Hana Financial Group, Inc.

    376,904  
    37,018    

Indiabulls Housing Finance Ltd.

    107,419  
    15,036    

Industrial Bank of Korea

    152,275  
    75,585    

Israel Discount Bank Ltd. Class A

    345,410  
    12,178    

Sberbank of Russia PJSC ADR

    179,337  
    157,139    

Tisco Financial Group PCL

    507,404  
     

 

 

 
        2,425,282  
     

 

 

 
          Capital Goods - 1.6%  
    44,051    

Alstom S.A.

    1,905,787  
    2,382    

Cummins, Inc.

    410,847  
    55,654    

Fortune Brands Home & Security, Inc.

    3,342,023  
    60,842    

ITOCHU Corp.

    1,272,077  
    80,869    

Marubeni Corp.

    569,162  
    40,089    

Mitsubishi Corp.

    1,019,640  
    15,576    

Mitsubishi Heavy Industries Ltd.

    630,350  
    105,365    

Mitsui & Co., Ltd.

    1,809,535  
    36,975    

PACCAR, Inc.

    2,812,319  
    8,022    

Signify N.V.(1)

    235,045  
    57,476    

Sinotruk Hong Kong Ltd.

    86,850  
    96,824    

Sumitomo Corp.

    1,572,653  
    309,871    

Yangzijiang Shipbuilding Holdings Ltd.

    216,937  
    407,353    

Zoomlion Heavy Industry Science and Technology Co., Ltd. Class H

    299,036  
     
     

 

 

 
        16,182,261  
     

 

 

 
          Commercial & Professional Services - 0.0%  
    4,384    

Adecco Group AG

    260,612  
     

 

 

 
          Consumer Durables & Apparel - 2.5%  
    149,633    

Barratt Developments plc

    1,223,669  
    63,107    

D.R. Horton, Inc.

    3,304,914  
    12,673    

Haseko Corp.

    163,537  
    114,753    

KB Home

    4,095,535  
    52,923    

Lennar Corp. Class A

    3,154,211  
    18,409    

Mohawk Industries, Inc.*

    2,639,482  
    43,554    

Persimmon plc

    1,284,681  
    88,718    

PulteGroup, Inc.

    3,481,294  
    103,753    

Taylor Wimpey plc

    222,519  
    66,957    

Toll Brothers, Inc.

    2,662,880  
    186,583    

TRI Pointe Group, Inc.*

    2,936,817  
     

 

 

 
        25,169,539  
     

 

 

 
          Consumer Services - 0.2%  
    2,842    

frontdoor, Inc.*

    137,070  
    17,044    

Starbucks Corp.

    1,441,240  
     

 

 

 
        1,578,310  
     

 

 

 
          Diversified Financials - 0.9%  
    5,165    

IGM Financial, Inc.

    145,762  
    50,663    

Invesco Ltd.

    852,152  
    14,772    

Magellan Financial Group Ltd.

    489,957  
    709    

MarketAxess Holdings, Inc.

    261,330  
    119,691    

MFA Financial, Inc. REIT

    908,455  
    40,646    

Navient Corp.

    559,695  
    122,587    

New Residential Investment Corp. REIT

    1,941,778  
    85,636    

ORIX Corp.

    1,345,760  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 22.2% - (continued)      
          Diversified Financials - 0.9% - (continued)  
    207,040    

REC Ltd.

  $ 407,299  
    38,367    

Starwood Property Trust, Inc. REIT

    943,828  
    5,245    

Synchrony Financial

    185,516  
    4,315    

T Rowe Price Group, Inc.

    499,677  
     

 

 

 
        8,541,209  
     

 

 

 
          Energy - 2.1%  
    16,552    

Aker BP ASA(2)

    459,109  
    12,750    

Apache Corp.

    276,165  
         39,210    

ARC Resources Ltd.(2)

    166,116  
    96,168    

Chevron Corp.

    11,168,951  
    2,670,507    

China Petroleum & Chemical Corp. Class H

    1,518,917  
    306,801    

China Shenhua Energy Co., Ltd. Class H

    623,094  
    336,558    

CNOOC Ltd.

    500,882  
    10,929    

Exxaro Resources Ltd.

    89,351  
    43,597    

Hindustan Petroleum Corp. Ltd.

    199,297  
    126,782    

Oil & Natural Gas Corp. Ltd.

    253,040  
    29,728    

PTT Exploration & Production PCL

    118,636  
    147,275    

Suncor Energy, Inc.

    4,372,595  
    225,167    

Whitehaven Coal Ltd.

    512,117  
    560,354    

Yanzhou Coal Mining Co., Ltd. Class H

    568,520  
     

 

 

 
        20,826,790  
     

 

 

 
          Food & Staples Retailing - 0.1%  
    1,597    

George Weston Ltd.

    127,859  
    5,911    

ICA Gruppen AB

    261,572  
    3,077    

Kesko Oyj Class B

    205,015  
    5,013    

Loblaw Cos., Ltd.

    267,340  
    21,942    

Metro AG

    358,299  
     

 

 

 
        1,220,085  
     

 

 

 
          Food, Beverage & Tobacco - 0.6%  
    2,546    

Altria Group, Inc.

    114,035  
    28,987    

British American Tobacco plc

    1,013,845  
    4,022    

Carlsberg A/S Class B

    566,395  
    19,098    

Coca-Cola European Partners plc

    1,021,934  
    24,027    

General Mills, Inc.

    1,222,013  
    74,750    

Imperial Brands plc

    1,639,676  
    1,174    

JM Smucker Co.

    124,068  
    6,956    

Philip Morris International, Inc.

    566,497  
     

 

 

 
        6,268,463  
     

 

 

 
          Health Care Equipment & Services - 0.2%  
    6,648    

Alcon, Inc.*

    393,150  
    54,137    

Qualicorp Consultoria e Corretora de Seguros S.A.

    430,612  
    516    

Sonova Holding AG

    118,411  
    20,231    

Telefonica Celular del Paraguay S.A.

    1,000,423  
     

 

 

 
        1,942,596  
     

 

 

 
          Household & Personal Products - 0.1%  
    9,098    

Fancl Corp.

    257,101  
    7,815    

Kimberly-Clark Corp.

    1,038,457  
     

 

 

 
        1,295,558  
     

 

 

 
          Insurance - 1.2%  
    31,942    

Ageas

    1,842,117  
    19,059    

ASR Nederland N.V.

    698,676  
    150,071    

AXA S.A.

    3,972,562  
    2,918    

Cincinnati Financial Corp.

    330,347  
    10,348    

CNP Assurances

    205,400  
    17,019    

Fidelity National Financial, Inc.

    780,151  
    6,866    

Great-West Lifeco, Inc.

    166,971  
    89,916    

Japan Post Holdings Co., Ltd.

    825,360  
    10,051    

NN Group N.V.

    383,515  
    42,794    

Poste Italiane S.p.A.(1)

    519,793  
    8,188    

Sun Life Financial, Inc.

    367,344  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  80  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 22.2% - (continued)      
          Insurance - 1.2% - (continued)  
    88,696    

UnipolSai Assicurazioni S.p.A.

  $ 247,547  
    3,660    

Zurich Insurance Group AG

    1,433,622  
     

 

 

 
        11,773,405  
     

 

 

 
          Materials - 0.7%  
    95,008    

Alumina Ltd.

    148,318  
    5,705    

BHP Group plc

    121,006  
    4,258    

Corteva, Inc.*

    112,326  
    14,383    

Dow, Inc.

    726,198  
    113,646    

Evolution Mining Ltd.

    324,162  
    171,737    

Evraz plc

    819,521  
    48,349    

Fortescue Metals Group Ltd.

    295,926  
    17,566    

JFE Holdings, Inc.

    219,709  
    98,102    

Kinross Gold Corp.*

    476,693  
    4,038    

Kirkland Lake Gold Ltd.

    189,621  
    16,081    

Kumba Iron Ore Ltd.

    391,830  
    593,878    

Maanshan Iron & Steel Co., Ltd. Class H(2)

    224,618  
    47,925    

MMC Norilsk Nickel PJSC ADR

    1,329,587  
    163,502    

National Aluminium Co., Ltd.

    104,519  
    173,435    

NMDC Ltd.

    274,759  
    37,456    

Severstal PJSC GDR

    511,649  
    815,650    

Sinopec Shanghai Petrochemical Co., Ltd. Class H

    225,274  
    8,599    

Ternium S.A. ADR

    171,894  
    209,719    

Vedanta Ltd.

    437,711  
     

 

 

 
        7,105,321  
     

 

 

 
          Media & Entertainment - 0.2%  
    15,003    

Altice USA, Inc. Class A*

    464,343  
    6,441    

GungHo Online Entertainment, Inc.

    139,502  
    5,712    

Sinclair Broadcast Group, Inc. Class A

    227,566  
    34,954    

WPP plc

    436,210  
    77,699    

Zynga, Inc. Class A*

    479,403  
     

 

 

 
        1,747,024  
     

 

 

 
          Pharmaceuticals, Biotechnology & Life Sciences - 1.7%  
    23,451    

AbbVie, Inc.

    1,865,527  
    4,591    

Amgen, Inc.

    979,031  
    2,823    

Bristol-Myers Squibb Co.

    161,955  
    233,104    

China Medical System Holdings Ltd.

    316,118  
    17,530    

Gilead Sciences, Inc.

    1,116,836  
    8,143    

Johnson & Johnson

    1,075,202  
    14,064    

Merck & Co., Inc.

    1,218,786  
    33,240    

Novartis AG

    2,904,352  
    8,599    

Roche Holding AG

    2,587,919  
    45,810    

Sanofi

    4,223,089  
    15,014    

Teva Pharmaceutical Industries Ltd. ADR*

    122,364  
     

 

 

 
        16,571,179  
     

 

 

 
          Real Estate - 4.1%  
    588,039    

Aldar Properties PJSC

    376,057  
    23,801    

American Tower Corp. REIT

    5,190,522  
    44,500    

Apple Hospitality, Inc. REIT

    733,360  
    12,083    

Brixmor Property Group, Inc. REIT

    266,068  
    156,111    

Castellum AB

    3,190,228  
    63,163    

Dexus REIT

    520,872  
    115,784    

Douglas Emmett, Inc. REIT

    5,015,763  
    80,781    

Equity LifeStyle Properties, Inc. REIT

    5,649,823  
    245,104    

Fibra Uno Administracion S.A. de C.V. REIT

    372,565  
    8,719    

Gecina S.A. REIT

    1,496,782  
    47,270    

Hang Lung Group Ltd.

    118,394  
    191,148    

Henderson Land Development Co., Ltd.

    954,704  
    55,672    

Hongkong Land Holdings Ltd.

    305,828  
    113,644    

Kimco Realty Corp. REIT

    2,450,165  
    25,525    

Klepierre S.A. REIT

    951,450  
    555,528    

Mapletree Commercial Trust REIT

    950,887  
    152,596    

Mapletree Logistics Trust REIT

    188,350  
Shares or Principal Amount   Market Value  
COMMON STOCKS - 22.2% - (continued)      
          Real Estate - 4.1% - (continued)  
    8,136    

PSP Swiss Property AG

  $ 1,076,921  
    20,784    

Public Storage REIT

    4,631,922  
    11,311    

Service Properties Trust REIT

    286,168  
    40,059    

SITE Centers Corp. REIT

    622,116  
    21,846    

Spirit Realty Capital, Inc. REIT

    1,088,805  
    321,522    

VEREIT, Inc. REIT

    3,163,776  
    29,718    

Weingarten Realty Investors REIT

    942,952  
     

 

 

 
        40,544,478  
     

 

 

 
          Retailing - 0.3%  
    2,006,600    

Allstar Co.*(3)(4)(5)

    461,518  
    123    

AutoZone, Inc.*

    140,759  
    103,554    

Harvey Norman Holdings Ltd.

    292,179  
    19,170    

K’s Holdings Corp.

    219,023  
    16,306    

Macy’s, Inc.

    247,199  
    64,421    

Petrobras Distribuidora S.A.

    454,264  
    2,336    

Target Corp.

    249,742  
    13,296    

Tory Burch LLC*(3)(4)(5)

    737,795  
     

 

 

 
        2,802,479  
     

 

 

 
          Semiconductors & Semiconductor Equipment - 0.4%  
    28,516    

Intel Corp.

    1,612,010  
    354,106    

Nanya Technology Corp.

    809,948  
    44,311    

Phison Electronics Corp.

    402,914  
    98,650    

Radiant Opto-Electronics Corp.

    391,668  
    1,208,468    

United Microelectronics Corp.

    556,524  
     

 

 

 
        3,773,064  
     

 

 

 
          Software & Services - 1.5%  
    10,342    

Amdocs Ltd.

    674,298  
    8,647    

Booz Allen Hamilton Holding Corp.

    608,489  
    4,826    

CGI, Inc.*

    375,132  
    6,329    

Check Point Software Technologies Ltd.*

    711,443  
    2,775    

CyberArk Software Ltd.*

    281,885  
    925    

FleetCor Technologies, Inc.*

    272,154  
    21,952    

International Business Machines Corp.

    2,935,641  
    8,413    

Leidos Holdings, Inc.

    725,453  
    12,271    

Microsoft Corp.

    1,759,293  
    11,966    

Nihon Unisys Ltd.

    394,991  
    11,310    

Nortonlifelock, Inc.

    258,773  
    14,666    

Open Text Corp.

    592,608  
    16,354    

Oracle Corp.

    891,129  
    12,633    

VMware, Inc. Class A

    1,999,425  
    82,110    

Western Union Co.

    2,057,677  
     

 

 

 
        14,538,391  
     

 

 

 
          Technology Hardware & Equipment - 0.3%  
    1,134,128    

AU Optronics Corp.

    289,158  
    118,274    

Foxconn Technology Co., Ltd.

    252,927  
    78,867    

Lite-On Technology Corp.

    129,959  
    9,374    

Seagate Technology plc

    543,973  
    65,661    

Tripod Technology Corp.

    253,768  
    26,536    

Xerox Holdings Corp.*

    900,367  
    34,774    

Zhen Ding Technology Holding Ltd.

    164,425  
     

 

 

 
        2,534,577  
     

 

 

 
          Telecommunication Services - 1.4%  
    64,748    

AT&T, Inc.

    2,492,151  
    42,766    

Bharti Infratel Ltd.

    114,296  
    169,141    

Deutsche Telekom AG

    2,976,131  
    220,329    

Orange S.A.

    3,546,083  
    4,121    

Swisscom AG

    2,107,868  
    181,578    

Telefonica S.A.

    1,394,388  
    275,832    

Telstra Corp. Ltd.

    664,326  
    221,886    

VEON Ltd.

    532,526  
     

 

 

 
        13,827,769  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  81  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
COMMON STOCKS - 22.2% - (continued)      
          Transportation - 0.2%  
    310,769    

AirAsia Group Bhd

  $ 141,886  
    140,250    

Qantas Airways Ltd.

    620,345  
    354,868    

Royal Mail plc

    971,078  
     

 

 

 
        1,733,309  
     

 

 

 
          Utilities - 0.9%  
    52,356    

AES Corp.

    892,670  
    8,214    

Avangrid, Inc.

    411,110  
    47,900    

Cia de Transmissao de Energia Eletrica Paulista

    281,512  
    65,738    

Endesa S.A.

    1,790,364  
    219,126    

Enel S.p.A.

    1,698,305  
    39,473    

Exelon Corp.

    1,795,627  
    8,742    

Hydro One Ltd.(1)

    162,548  
    12,496    

Iberdrola S.A.

    128,446  
    142,073    

Italgas S.p.A.

    914,623  
    40,278    

PPL Corp.

    1,348,910  
     

 

 

 
        9,424,115  
     

 

 

 
   

Total Common Stocks
(cost $210,247,003)

  $ 219,969,843  
     

 

 

 
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 12.1%  
          Asset-Backed - Automobile - 0.5%  
   

ARI Fleet Lease Trust

 
$     26,876    

1.91%, 04/15/2026(1)

  $ 26,841  
    144,817    

2.55%, 10/15/2026(1)

    145,112  
    257,413    

3.22%, 08/16/2027(1)

    259,869  
   

Canadian Pacer Auto Receivables Trust

 
    101,193    

2.05%, 03/19/2021(1)

    101,190  
    88,052    

3.00%, 06/21/2021(1)

    88,287  
    45,000    

3.27%, 12/19/2022(1)

    45,758  
   

Chesapeake Funding LLC

 
    220,130    

1.91%, 08/15/2029(1)

    219,825  
    146,423    

2.36%, 05/15/2029, 1 mo. USD LIBOR + 0.450%(1)(6)

    146,609  
    390,179    

3.23%, 08/15/2030(1)

    395,783  
   

Enterprise Fleet Financing LLC

 
    99,305    

1.97%, 01/20/2023(1)

    99,245  
    315,000    

2.06%, 05/20/2025(1)

    314,950  
    191,405    

2.13%, 05/22/2023(1)

    191,455  
    185,000    

2.98%, 10/22/2024(1)

    186,857  
    435,115    

3.38%, 05/20/2024(1)

    440,900  
   

First Investors Auto Owner Trust

 
    9,138    

2.00%, 03/15/2022(1)

    9,136  
    202,930    

3.41%, 04/18/2022(1)

    203,450  
    22,448    

Hyundai Auto Lease Securitization Trust 2.55%, 08/17/2020(1)

    22,451  
   

OneMain Direct Auto Receivables Trust

 
    44,270    

2.31%, 12/14/2021(1)

    44,250  
    745,000    

3.43%, 12/16/2024(1)

    757,335  
    179,100    

Santander Retail Auto Lease Trust 2.72%, 01/20/2022(1)

    180,176  
   

Securitized Term Auto Receivables Trust

 
    102,285    

2.04%, 04/26/2021(1)

    102,281  
    239,093    

3.06%, 02/25/2021(1)

    239,700  
    285,199    

Westlake Automobile Receivables Trust 2.98%, 01/18/2022(1)

    285,872  
    54,821    

Wheels SPV LLC 1.88%, 04/20/2026(1)

    54,803  
     

 

 

 
        4,562,135  
     

 

 

 
          Asset-Backed - Finance & Insurance - 5.1%  
    240,525    

Aaset Trust 3.84%, 05/15/2039(1)

    243,030  
    827,849    

Ajax Mortgage Loan Trust 3.16%, 09/25/2056(1)(7)

    831,034  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 12.1% - (continued)  
          Asset-Backed - Finance & Insurance - 5.1% - (continued)  
$     1,345,000    

Atlas Senior Loan Fund Ltd. 3.30%, 01/16/2030, 3 mo. USD LIBOR + 1.300%(1)(6)

  $ 1,343,036  
    350,000    

Avery Point CLO Ltd. 3.79%, 08/05/2027, 3 mo. USD LIBOR + 1.500%(1)(6)

    348,479  
    376,007    

Bayview Koitere Fund Trust 3.50%, 07/28/2057(1)(7)

    384,518  
   

Bayview Opportunity Master Fund Trust

 
    182,619    

3.50%, 01/28/2055(1)(7)

    186,138  
    245,880    

3.50%, 06/28/2057(1)(7)

    250,175  
    173,252    

4.00%, 11/28/2053(1)(7)

    178,803  
    216,547    

4.00%, 10/28/2064(1)(7)

    223,498  
   

BlueMountain CLO Ltd.

 
    1,400,000    

3.49%, 07/15/2031, 3 mo. USD LIBOR + 1.500%(1)(6)

    1,376,605  
    2,000,000    

3.64%, 07/30/2030, 3 mo. USD LIBOR + 1.700%(1)(6)

    1,974,428  
    490,000    

3.82%, 04/20/2027, 3 mo. USD LIBOR + 1.850%(1)(6)

    474,873  
    1,200,000    

3.86%, 08/15/2031, 3 mo. USD LIBOR + 1.700%(1)(6)

    1,182,485  
   

Carlyle Global Market Strategies CLO Ltd.

 
    1,500,000    

3.21%, 05/15/2031, 3 mo. USD LIBOR + 1.050%(1)(6)

    1,489,149  
    323,000    

3.29%, 01/20/2032, 3 mo. USD LIBOR + 1.320%(1)(6)

    322,496  
    560,000    

3.77%, 07/20/2032, 3 mo. USD LIBOR + 1.800%(1)(6)

    557,571  
    1,000,000    

3.80%, 04/17/2031, 3 mo. USD LIBOR + 1.800%(1)(6)

    944,608  
    1,500,000    

Carlyle U.S. CLO Ltd. 3.27%, 04/20/2031, 3 mo. USD LIBOR + 1.300%(1)(6)

    1,500,057  
   

CIFC Funding Ltd.

 
    750,000    

2.99%, 04/24/2030, 3 mo. USD LIBOR + 1.050%(1)(6)

    747,139  
    2,000,000    

3.75%, 04/18/2031(1)

    1,899,932  
    1,200,000    

3.75%, 10/22/2031, 3 mo. USD LIBOR + 1.800%(1)(6)

    1,188,384  
    540,000    

3.77%, 07/20/2030, 3 mo. USD LIBOR + 1.800%(1)(6)

    535,371  
    1,200,000    

3.77%, 04/20/2032, 3 mo. USD LIBOR + 1.800%(1)(6)

    1,195,019  
    1,200,000    

3.80%, 07/15/2032, 3 mo. USD LIBOR + 1.800%(1)(6)

    1,199,132  
   

DB Master Finance LLC

 
    139,650    

3.79%, 05/20/2049(1)

    143,601  
    124,688    

4.02%, 05/20/2049(1)

    129,074  
   

Dryden Senior Loan Fund

 
    1,200,000    

3.45%, 04/15/2029, 3 mo. USD LIBOR + 1.450%(1)(6)

    1,188,114  
    1,500,000    

4.12%, 10/19/2029, 3 mo. USD LIBOR + 2.150%(1)(6)

    1,454,076  
    235,223    

Finance of America Structured Securities Trust 3.38%, 09/25/2028(1)(7)

    234,925  
   

Ford Credit Floorplan Master Owner Trust

 
    100,000    

2.09%, 03/15/2022(1)

    99,986  
    230,000    

2.44%, 09/15/2026

    232,729  
   

GreatAmerica Leasing Receivables Funding LLC

 
    330,000    

2.36%, 01/20/2023(1)

    330,590  
    190,000    

2.60%, 06/15/2021(1)

    190,517  
    160,000    

2.83%, 06/17/2024(1)

    161,807  
    250,000    

Horizon Aircraft Finance Ltd. 3.43%, 11/15/2039(1)

    249,994  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  82  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 12.1% - (continued)  
          Asset-Backed - Finance & Insurance - 5.1% - (continued)  
   

KKR CLO Ltd.

 
$     605,000    

3.22%, 01/20/2029, 3 mo. USD LIBOR + 1.250%(1)(6)

  $ 604,767  
    1,055,000    

3.34%, 04/15/2029, 3 mo. USD LIBOR + 1.340%(1)(6)

    1,055,182  
    1,200,000    

LCM XIV L.P. 3.55%, 07/20/2031, 3 mo. USD LIBOR + 1.580%(1)(6)

    1,176,582  
   

LCM XXV Ltd.

 
    1,473,000    

3.62%, 07/20/2030, 3 mo. USD LIBOR + 1.650%(1)(6)

    1,454,975  
    931,334    

4.27%, 07/20/2030, 3 mo. USD LIBOR + 2.300%(1)(6)

    880,043  
   

Madison Park Funding Ltd.

 
    855,000    

2.75%, 04/15/2029, 3 mo. USD LIBOR + 0.750%(1)(6)

    847,778  
    500,000    

3.20%, 04/15/2029, 3 mo. USD LIBOR + 1.200%(1)(6)

    485,008  
    1,200,000    

3.47%, 04/19/2030, 3 mo. USD LIBOR + 1.500%(1)(6)

    1,191,314  
    1,000,000    

4.13%, 07/23/2029, 3 mo. USD LIBOR + 2.200%(1)(6)

    975,727  
   

Magnetite CLO Ltd.

 
    618,000    

3.20%, 01/18/2028, 3 mo. USD LIBOR + 1.200%(1)(6)

    606,623  
    1,200,000    

3.65%, 01/15/2028, 3 mo. USD LIBOR + 1.650%(1)(6)

    1,153,854  
    1,090,000    

Magnetite VII Ltd. 2.80%, 01/15/2028, 3 mo. USD LIBOR + 0.800%(1)(6)

    1,087,402  
    715,000    

Magnetite XVIII Ltd. 3.66%, 11/15/2028, 3 mo. USD LIBOR + 1.500%(1)(6)

    707,733  
   

MMAF Equipment Finance LLC

 
    221,790    

2.21%, 10/17/2022(1)

    222,099  
    295,000    

2.21%, 12/15/2032(1)

    296,526  
   

Octagon Investment Partners Ltd.

 
    625,000    

3.70%, 07/15/2029, 3 mo. USD LIBOR + 1.700%(1)(6)

    618,941  
    1,682,420    

3.74%, 10/24/2030, 3 mo. USD LIBOR + 1.800%(1)(6)

    1,670,342  
   

OneMain Financial Issuance Trust

 

    132,737    

2.37%, 09/14/2032(1)

    132,790  
    32,057    

3.66%, 02/20/2029(1)

    32,162  
         500,000    

Race Point CLO Ltd. 4.64%, 02/20/2030, 3 mo. USD LIBOR + 2.500%(1)(6)

    488,368  
    530,000    

RR Ltd. 3.60%, 10/15/2029, 3 mo. USD LIBOR + 1.600%(1)(6)

    525,522  
    51,623    

SoFi Consumer Loan Program Trust 2.93%, 04/26/2027(1)

    51,670  
    1,200,000    

Sound Point CLO Ltd. 3.77%, 10/20/2031, 3 mo. USD LIBOR + 1.800%(1)(6)

    1,179,646  
   

Springleaf Funding Trust

 

    101,875    

2.90%, 11/15/2029(1)

    101,940  
    170,000    

3.48%, 05/15/2028(1)

    171,944  
   

Towd Point Mortgage Trust

 

    284,702    

2.75%, 10/25/2056(1)(7)

    288,070  
    97,958    

2.75%, 04/25/2057(1)(7)

    98,857  
    351,504    

2.75%, 06/25/2057(1)(7)

    355,630  
    130,727    

3.00%, 01/25/2058(1)(7)

    132,633  
    1,195,000    

Treman Park CLO Ltd. 3.04%, 10/20/2028, 3 mo. USD LIBOR + 1.070%(1)(6)

    1,192,381  
   

Vantage Data Centers Issuer LLC

 

    424,292    

3.19%, 07/15/2044(1)

    430,520  
    324,500    

4.07%, 02/16/2043(1)

    337,097  
    69,766    

Volvo Financial Equipment LLC 1.92%, 03/15/2021(1)

    69,738  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 12.1% - (continued)  
          Asset-Backed - Finance & Insurance - 5.1% - (continued)  
   

Voya CLO Ltd.

 

$     1,200,000    

3.25%, 01/18/2029, 3 mo. USD LIBOR + 1.250%(1)(6)

  $ 1,177,686  
    1,200,000    

3.27%, 01/20/2031, 3 mo. USD LIBOR + 1.300%(1)(6)

    1,166,756  
    1,200,000    

3.27%, 04/19/2031, 3 mo. USD LIBOR + 1.300%(1)(6)

    1,166,507  
    1,200,000    

4.09%, 07/14/2031, 3 mo. USD LIBOR + 2.090%(1)(6)

    1,141,078  
     

 

 

 
        50,267,264  
     

 

 

 
          Commercial Mortgage - Backed Securities - 2.7%  
    1,125,000    

1211 Avenue of the Americas Trust 4.14%, 08/10/2035(1)(7)

    1,213,611  
    365,000    

BAMLL Commercial Mortgage Securities Trust 4.09%, 08/10/2038(1)(7)

    411,748  
    1,000,000    

Banc of America Commercial Mortgage Trust 3.75%, 02/15/2050

    1,064,066  
   

Benchmark Mortgage Trust

 

    30,452,913    

0.49%, 07/15/2051(7)(8)

    1,060,471  
    23,000,662    

0.67%, 01/15/2052(7)(8)

    1,141,580  
    1,210,000    

BF NYT Mortgage Trust 3.61%, 11/15/2035, 1 mo. USD LIBOR + 1.700%(1)(6)

    1,215,306  
    280,000    

BX Commercial Mortgage Trust 4.00%, 10/15/2036, 1 mo. USD LIBOR + 2.000%(1)(6)

    280,351  
    1,190,000    

CAMB Commercial Mortgage Trust 3.67%, 12/15/2037, 1 mo. USD LIBOR + 1.750%(1)(6)

    1,197,436  
   

CD Commercial Mortgage Trust

 

    365,000    

3.51%, 05/10/2050(7)

    392,658  
    1,000,000    

3.83%, 02/10/2050

    1,071,356  
    95,000    

Citigroup Commercial Mortgage Trust 3.82%, 11/10/2048

    103,123  
    944,000    

Commercial Mortgage Trust 4.46%, 12/10/2045(1)(7)

    971,927  
    20,550,544    

CSAIL Commercial Mortgage Trust 0.62%, 08/15/2051(7)(8)

    909,384  
    785,000    

CSMC Trust 2.76%, 04/05/2033(1)

    787,663  
    335,000    

DC Office Trust 3.17%, 09/15/2045(1)(7)

    336,340  
    350,000    

ExteNet LLC 3.20%, 07/26/2049(1)

    353,381  
   

FREMF Mortgage Trust

 

    95,000    

3.15%, 04/25/2046(1)(7)

    95,153  
    150,000    

3.26%, 05/25/2045(1)(7)

    149,851  
    1,200,000    

3.98%, 05/25/2050(1)(7)

    1,256,829  
    1,160,000    

4.04%, 07/25/2027(1)(7)

    1,240,845  
    460,000    

4.08%, 09/25/2025(1)(7)

    487,239  
    215,000    

5.50%, 04/25/2020(1)(7)

    217,238  
    1,190,000    

GS Mortgage Securities Corp. Trust 3.51%, 06/15/2036, 1 mo. USD LIBOR + 1.600%(1)(6)

    1,190,744  
   

GS Mortgage Securities Trust

 

    35,540,845    

0.45%, 03/10/2051(7)(8)

    1,141,081  
    5,846,128    

1.14%, 05/10/2052(7)(8)

    479,798  
    1,250,000    

3.76%, 05/10/2049(7)

    1,319,956  
    469,000    

3.97%, 05/10/2052

    509,560  
    500,000    

Hudson Yards Mortgage Trust 2.98%, 08/10/2038(1)(7)

    495,040  
    1,190,000    

JP Morgan Chase Commercial Mortgage Securities Corp. 3.75%, 06/05/2039(1)(7)

    1,280,258  
    1,314,000    

Morgan Stanley Bank of America Merrill Lynch Trust 4.11%, 11/15/2052(7)

    1,433,334  
    1,250,000    

MSCG Trust 2018-SELF 3.57%, 10/15/2037, 1 mo. USD LIBOR + 1.650%(1)(6)

    1,253,620  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  83  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 12.1% - (continued)  
          Commercial Mortgage - Backed Securities - 2.7% - (continued)  
$     400,000    

SFAVE Commercial Mortgage Securities Trust 4.14%, 01/05/2043(1)(7)

  $ 428,729  
    1,000,000    

Wells Fargo Commercial Mortgage Trust 4.14%, 10/15/2045

    1,045,843  
    4,910,290    

Wells Fargo N.V. 0.91%, 05/15/2062(7)(8)

    352,896  
     

 

 

 
        26,888,415  
     

 

 

 
          Diversified Financial Services - 0.1%  
    1,500,000    

Carlyle Global Market Strategies 2.99%, 07/27/2031(1)

    1,483,496  
     

 

 

 
          Other ABS - 1.2%  
    504,464    

AASET U.S. Ltd. 4.45%, 11/18/2038(1)

    518,771  
    1,250,000    

ALM VIII Ltd. 3.80%, 10/15/2028, 3 mo. USD LIBOR + 1.800%(1)(6)

    1,249,982  
    1,000,000    

ALM XVII Ltd. 4.10%, 01/15/2028, 3 mo. USD LIBOR + 2.100%(1)(6)

    988,194  
    650,000    

Atlas Senior Loan Fund Ltd. 3.50%, 01/15/2031, 3 mo. USD LIBOR + 1.500%(1)(6)

    636,287  
    545,000    

BlueMountain CLO Ltd. 3.59%, 11/20/2028, 3 mo. USD LIBOR + 1.450%(1)(6)

    541,255  
   

Carlyle U.S. CLO Ltd.

 

    1,200,000    

3.42%, 10/20/2027, 3 mo. USD LIBOR + 1.450%(1)(6)

    1,183,553  
    1,105,000    

3.88%, 07/15/2032, 3 mo. USD LIBOR + 1.750%(1)(6)

    1,104,109  
    262,687    

Castlelake Aircraft Securitization Trust 3.97%, 04/15/2039(1)

    266,934  
    318,194    

Cloud Pass-Through Trust 3.55%, 12/05/2022(1)(7)

    322,363  
    225,168    

Daimler Trucks Retail Trust 2.77%, 04/15/2021(1)

    225,799  
    400,000    

Dewolf Park CLO Ltd. 4.15%, 10/15/2030, 3 mo. USD LIBOR + 2.150%(1)(6)

    390,810  
    1,000,000    

Eaton Vance CLO Ltd. 3.85%, 01/15/2028, 3 mo. USD LIBOR + 1.850%(1)(6)

    997,515  
    750,000    

Harbor Park CLO Ltd. 3.67%, 01/20/2031, 3 mo. USD LIBOR + 1.700%(1)(6)

    742,548  
    740,000    

Hertz Fleet Lease Funding L.P. 2.70%, 01/10/2033(1)

    745,516  
    1,250,000    

Neuberger Berman Loan Advisers CLO Ltd. 3.92%, 04/20/2031, 3 mo. USD LIBOR + 1.950%(1)(6)

    1,250,976  
    443,769    

SoFi Consumer Loan Program Trust 3.54%, 11/26/2027(1)

    448,547  
    239,583    

START Ireland 4.09%, 03/15/2044(1)

    245,140  
     

 

 

 
        11,858,299  
     

 

 

 
          Whole Loan Collateral CMO - 2.5%  
   

Angel Oak Mortgage Trust LLC

 
    80,151    

2.71%, 11/25/2047(1)(7)

    79,990  
    614,246    

3.65%, 09/25/2048(1)

    620,966  
   

Benchmark Mortgage Trust

 
    2,958,087    

1.05%, 05/15/2052(7)(8)

    235,763  
    12,826,155    

1.23%, 03/15/2062(7)(8)

    1,178,493  
    1,000,000    

3.96%, 05/15/2052(7)

    1,090,837  
   

COLT Mortgage Loan Trust

 
    123,305    

2.93%, 02/25/2048(1)(7)

    123,397  
    136,985    

3.69%, 10/26/2048(1)(7)

    137,948  
   

Deephaven Residential Mortgage Trust

 
    101,538    

2.45%, 06/25/2047(1)(7)

    101,437  
    90,084    

2.58%, 10/25/2047(1)(7)

    89,918  
    28,403    

2.73%, 12/26/2046(1)(7)

    28,361  
    150,815    

2.98%, 12/25/2057(1)(7)

    150,891  
    127,525    

3.56%, 04/25/2059(1)(7)

    128,542  
Shares or Principal Amount   Market Value  
ASSET & COMMERCIAL MORTGAGE BACKED SECURITIES - 12.1% - (continued)  
          Whole Loan Collateral CMO - 2.5% - (continued)  
   

Fannie Mae Connecticut Avenue Securities

 
$     500,000    

3.97%, 10/25/2030, 1 mo. USD LIBOR + 2.150%(6)

  $ 502,697  
    500,000    

4.02%, 08/25/2030, 1 mo. USD LIBOR + 2.200%(6)

    503,859  
    500,000    

4.07%, 07/25/2030, 1 mo. USD LIBOR + 2.250%(6)

    504,854  
    500,000    

4.37%, 12/25/2030, 1 mo. USD LIBOR + 2.550%(6)

    507,194  
    1,100,000    

4.47%, 02/25/2030, 1 mo. USD LIBOR + 2.650%(6)

    1,123,271  
    797,723    

4.72%, 07/25/2024, 1 mo. USD LIBOR + 2.900%(6)

    829,093  
    1,100,000    

5.37%, 07/25/2029, 1 mo. USD LIBOR + 3.550%(6)

    1,151,569  
    820,000    

6.07%, 01/25/2029, 1 mo. USD LIBOR + 4.250%(6)

    865,589  
    991,181    

6.17%, 05/25/2029, 1 mo. USD LIBOR + 4.350%(6)

    1,040,276  
    1,208,474    

6.27%, 01/25/2029, 1 mo. USD LIBOR + 4.450%(6)

    1,271,441  
    1,876,731    

6.82%, 07/25/2025, 1 mo. USD LIBOR + 5.000%(6)

    2,010,205  
    1,200,000    

7.12%, 10/25/2028, 1 mo. USD LIBOR + 5.300%(6)

    1,291,085  
    960,802    

7.52%, 04/25/2028, 1 mo. USD LIBOR + 5.700%(6)

    1,050,034  
    1,232,144    

7.72%, 10/25/2028, 1 mo. USD LIBOR + 5.900%(6)

    1,329,596  
    1,040,968    

7.82%, 09/25/2028, 1 mo. USD LIBOR + 6.000%(6)

    1,134,928  
    1,028,337    

8.57%, 08/25/2028, 1 mo. USD LIBOR + 6.750%(6)

    1,136,996  
    945,000    

FREMF Mortgage Trust 4.19%, 05/25/2029(1)(7)

    1,031,879  
    257,977    

MetLife Securitization Trust 3.00%, 04/25/2055(1)(7)

    262,516  
   

Mill City Mortgage Loan Trust

 
    72,303    

2.50%, 04/25/2057(1)(7)

    72,480  
    272,785    

2.75%, 01/25/2061(1)(7)

    275,411  
    316,003    

New Residential Mortgage Loan Trust 4.00%, 04/25/2057(1)(7)

    330,052  
   

Seasoned Credit Risk Transfer Trust

 
    358,354    

3.50%, 03/25/2058

    373,796  
    345,705    

3.50%, 07/25/2058

    360,846  
    507,812    

3.50%, 10/25/2058

    531,754  
    963,828    

Sequoia Mortgage Trust 3.76%, 02/25/2048(1)(7)

    994,575  
    176,401    

Towd Point Mortgage Trust 2.25%, 04/25/2056(1)(7)

    176,007  
    328,910    

Verus Securitization Trust 3.21%, 04/25/2059(1)(7)

    331,587  
     

 

 

 
        24,960,133  
     

 

 

 
   

Total Asset & Commercial Mortgage Backed Securities
(cost $120,088,142)

  $ 120,019,742  
     

 

 

 
CORPORATE BONDS - 26.2%  
          Aerospace/Defense - 0.5%  
    600,000    

BAE Systems Holdings, Inc. 3.85%, 12/15/2025(1)

  $ 639,147  
    245,000    

Boeing Co. 2.70%, 02/01/2027

    248,828  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  84  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Aerospace/Defense - 0.5% - (continued)  
   

Lockheed Martin Corp.

 
$     115,000    

2.50%, 11/23/2020

  $ 115,602  
    400,000    

4.07%, 12/15/2042

    461,111  
    140,000    

4.50%, 05/15/2036

    167,088  
    135,000    

4.85%, 09/15/2041

    165,694  
   

United Technologies Corp.

 
    1,425,000    

3.95%, 08/16/2025

    1,559,436  
    1,150,000    

4.13%, 11/16/2028

    1,304,942  
     

 

 

 
        4,661,848  
     

 

 

 
          Agriculture - 0.6%  
   

Altria Group, Inc.

 
    1,150,000    

4.40%, 02/14/2026

    1,240,303  
    140,000    

4.50%, 05/02/2043

    140,962  
    420,000    

4.75%, 05/05/2021

    436,321  
    160,000    

4.80%, 02/14/2029

    175,652  
    1,755,000    

BAT Capital Corp. 3.56%, 08/15/2027

    1,764,814  
   

BAT International Finance plc

 
    160,000    

2.75%, 06/15/2020(1)

    160,728  
    565,000    

3.25%, 06/07/2022(1)

    577,188  
    65,000    

3.50%, 06/15/2022(1)

    66,790  
    1,250,000    

Imperial Brands Finance plc 3.75%, 07/21/2022(1)

    1,289,951  
   

Philip Morris International, Inc.

 
    300,000    

2.63%, 03/06/2023

    305,063  
    80,000    

4.88%, 11/15/2043

    94,222  
     

 

 

 
        6,251,994  
     

 

 

 
          Airlines - 0.1%  
    488,643    

Continental Airlines, Inc. 5.98%, 10/19/2023

    517,844  
    281,315    

Southwest Airlines Co. 6.15%, 02/01/2024

    298,054  
    64,318    

United Airlines Class B Pass Through Trust 4.60%, 09/01/2027

    67,171  
     

 

 

 
        883,069  
     

 

 

 
          Auto Manufacturers - 0.6%  
   

Daimler Finance North America LLC

 
    600,000    

2.20%, 05/05/2020(1)

    600,763  
    580,000    

2.30%, 02/12/2021(1)

    582,093  
    1,055,000    

Fiat Chrysler Automobiles N.V. 4.50%, 04/15/2020

    1,062,913  
   

Ford Motor Credit Co. LLC

 
    1,675,000    

3.10%, 05/04/2023

    1,653,281  
    200,000    

3.82%, 11/02/2027

    190,329  
   

General Motors Financial Co., Inc.

 
    1,375,000    

3.70%, 05/09/2023

    1,410,041  
    335,000    

3.95%, 04/13/2024

    346,743  
     

 

 

 
        5,846,163  
     

 

 

 
          Auto Parts & Equipment - 0.1%  
    675,000    

Panther BF Aggregator L.P. / Panther Finance Co., Inc. 6.25%, 05/15/2026(1)

    713,610  
     

 

 

 
          Beverages - 0.5%  
   

Anheuser-Busch Cos. LLC / Anheuser-Busch InBev Worldwide, Inc.

 
    1,555,000    

3.65%, 02/01/2026

    1,665,140  
    105,000    

4.70%, 02/01/2036

    121,917  
    270,000    

4.90%, 02/01/2046

    323,882  
   

Anheuser-Busch InBev Worldwide, Inc.

 
    540,000    

3.50%, 01/12/2024

    572,203  
    115,000    

3.75%, 07/15/2042

    117,867  
    105,000    

4.38%, 04/15/2038

    117,288  
         985,000    

4.75%, 01/23/2029

    1,144,773  
    250,000    

Coca-Cola Femsa S.A.B. de C.V. 3.88%, 11/26/2023

    264,887  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Beverages - 0.5% - (continued)  
   

Molson Coors Brewing Co.

 

$     775,000    

3.00%, 07/15/2026

  $ 782,274  
    180,000    

3.50%, 05/01/2022

    185,351  
     

 

 

 
        5,295,582  
     

 

 

 
          Biotechnology - 0.2%  
    1,425,000    

Amgen, Inc. 2.65%, 05/11/2022

    1,448,298  
    320,000    

Biogen, Inc. 2.90%, 09/15/2020

    322,551  
    180,000    

Celgene Corp. 3.55%, 08/15/2022

    187,594  
    120,000    

Gilead Sciences, Inc. 2.55%, 09/01/2020

    120,659  
     

 

 

 
        2,079,102  
     

 

 

 
          Chemicals - 0.5%  
    1,090,000    

CF Industries, Inc. 3.45%, 06/01/2023

    1,106,350  
    1,120,000    

CNAC HK Synbridge Co., Ltd. 5.00%, 05/05/2020

    1,131,312  
    725,000    

NOVA Chemicals Corp. 4.88%, 06/01/2024(1)

    735,875  
    1,150,000    

Nutrien Ltd. 4.20%, 04/01/2029

    1,271,606  
    725,000    

Olin Corp. 5.13%, 09/15/2027

    745,916  
     

 

 

 
        4,991,059  
     

 

 

 
          Commercial Banks - 5.4%  
   

Banco Santander S.A.

 

    400,000    

3.13%, 02/23/2023

    408,612  
    200,000    

3.85%, 04/12/2023

    209,030  
   

Bank of America Corp.

 

    740,000    

2.63%, 10/19/2020

    744,954  
    1,381,000    

3.42%, 12/20/2028, (3.42% fixed rate until 12/20/2027; 3 mo. USD LIBOR + 1.040% thereafter)(9)

    1,445,511  
    450,000    

3.59%, 07/21/2028, (3.59% fixed rate until 07/21/2027; 3 mo. USD LIBOR + 1.370% thereafter)(9)

    477,358  
    635,000    

4.00%, 04/01/2024

    682,007  
    750,000    

4.20%, 08/26/2024

    807,477  
   

Bank of New York Mellon Corp.

 

    440,000    

2.15%, 02/24/2020

    440,305  
    200,000    

3.00%, 02/24/2025

    209,566  
    1,080,000    

Bank of Nova Scotia 2.70%, 08/03/2026

    1,100,990  
    700,000    

Banque Federative du Credit Mutuel S.A. 2.75%, 10/15/2020(1)

    705,896  
   

Barclays plc

 

    815,000    

3.20%, 08/10/2021

    826,634  
    720,000    

3.93%, 05/07/2025, (3.93% fixed rate until 05/07/2024; 3 mo. USD LIBOR + 1.610% thereafter)(9)

    751,152  
    695,000    

BB&T Corp. 3.20%, 09/03/2021

    710,190  
    405,000    

BNP Paribas S.A. 3.38%, 01/09/2025(1)

    420,269  
   

BPCE S.A.

 

    800,000    

3.50%, 10/23/2027(1)

    831,981  
    725,000    

5.15%, 07/21/2024(1)

    797,062  
    1,200,000    

5.70%, 10/22/2023(1)

    1,327,984  
   

Capital One Financial Corp.

 
    615,000    

3.75%, 04/24/2024

    649,895  
    165,000    

4.20%, 10/29/2025

    177,879  
   

Citigroup, Inc.

 
    1,000,000    

2.88%, 07/24/2023, (2.88% fixed rate until 07/24/2022; 3 mo. USD LIBOR + 0.950% thereafter)(9)

    1,016,359  
    925,000    

4.45%, 09/29/2027

    1,017,668  
    59,000    

8.13%, 07/15/2039

    97,059  
    500,000    

Citizens Bank NA 2.55%, 05/13/2021

    504,038  
   

Credit Agricole S.A.

 
    360,000    

3.25%, 10/04/2024(1)

    372,830  
    250,000    

3.75%, 04/24/2023(1)

    261,313  
    1,150,000    

4.13%, 01/10/2027(1)

    1,249,332  
    700,000    

4.38%, 03/17/2025(1)

    747,313  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  85  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Commercial Banks - 5.4% - (continued)  
$     335,000    

Credit Suisse AG 3.63%, 09/09/2024

  $ 356,002  
   

Credit Suisse Group AG

 
    850,000    

3.57%, 01/09/2023(1)

    871,649  
    250,000    

3.87%, 01/12/2029, (3.87% fixed rate until 01/12/2028; 3 mo. USD LIBOR + 1.410% thereafter)(1)(9)

    267,132  
   

Credit Suisse Group Funding Guernsey Ltd.

 
    950,000    

3.80%, 09/15/2022

    990,043  
    1,125,000    

4.55%, 04/17/2026

    1,243,080  
   

Danske Bank A/S

 
    485,000    

3.88%, 09/12/2023(1)

    504,193  
    200,000    

5.00%, 01/12/2022(1)

    210,718  
    250,000    

5.38%, 01/12/2024(1)

    275,522  
    670,000    

Deutsche Bank AG 4.25%, 10/14/2021

    688,681  
   

Discover Bank

 
    250,000    

3.10%, 06/04/2020

    251,410  
    1,200,000    

3.45%, 07/27/2026

    1,245,330  
    450,000    

Fifth Third Bank 2.88%, 10/01/2021

    457,716  
   

Goldman Sachs Group, Inc.

 
    2,330,000    

3.27%, 09/29/2025, (3.27% fixed rate until 09/29/2024; 3 mo. USD LIBOR + 1.201% thereafter)(9)

    2,409,065  
    1,325,000    

4.25%, 10/21/2025

    1,427,225  
    415,000    

6.25%, 02/01/2041

    581,410  
   

HSBC Holdings plc

 
    290,000    

3.40%, 03/08/2021

    295,014  
    1,755,000    

3.60%, 05/25/2023

    1,833,102  
    200,000    

4.04%, 03/13/2028, (4.04% fixed rate until 03/13/2027; 3 mo. USD LIBOR + 1.546% thereafter)(9)

    214,340  
    225,000    

4.58%, 06/19/2029, (4.58% fixed rate until 06/19/2028; 3 mo. USD LIBOR + 1.535% thereafter)(9)

    251,710  
   

ING Groep N.V.

 
    720,000    

3.95%, 03/29/2027

    774,881  
    1,100,000    

4.63%, 01/06/2026(1)

    1,224,355  
   

JP Morgan Chase & Co.

 
    650,000    

3.25%, 09/23/2022

    672,556  
    180,000    

3.38%, 05/01/2023

    187,498  
    1,105,000    

3.70%, 05/06/2030, (3.70% fixed rate until 05/06/2029; 3 mo. USD LIBOR + 1.160% thereafter)(9)

    1,188,680  
    550,000    

4.45%, 12/05/2029, (4.45% fixed rate until 12/05/2028; 3 mo. USD LIBOR + 1.330% thereafter)(9)

    623,257  
    230,000    

5.40%, 01/06/2042

    302,933  
    100,000    

Macquarie Bank Ltd. 2.40%, 01/21/2020(1)

    100,083  
    920,000    

Macquarie Group Ltd. 4.15%, 03/27/2024, (4.15% fixed rate until 03/27/2023; 3 mo. USD LIBOR + 1.330% thereafter)(1)(9)

    970,874  
   

Morgan Stanley

 
    320,000    

3.13%, 07/27/2026

    332,316  
    750,000    

3.63%, 01/20/2027

    799,783  
    875,000    

3.70%, 10/23/2024

    930,925  
    575,000    

4.10%, 05/22/2023

    608,871  
    550,000    

5.75%, 01/25/2021

    574,816  
    1,795,000    

NBK SPC Ltd. 2.75%, 05/30/2022(1)

    1,807,737  
    625,000    

PNC Bank NA 3.10%, 10/25/2027

    658,408  
   

Santander Holdings USA, Inc.

 
    205,000    

3.40%, 01/18/2023

    210,742  
    1,095,000    

3.70%, 03/28/2022

    1,125,657  
    1,125,000    

4.50%, 07/17/2025

    1,212,298  
    575,000    

Skandinaviska Enskilda Banken AB 2.45%, 05/27/2020(1)

    576,382  
    410,000    

Synchrony Bank 3.65%, 05/24/2021

    418,208  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Commercial Banks - 5.4% - (continued)  
$     165,000    

U.S. Bancorp 3.70%, 01/30/2024

  $ 175,677  
    540,000    

UBS AG 2.20%, 06/08/2020(1)

    540,634  
    315,000    

UBS Group AG 3.13%, 08/13/2030, (3.13% fixed rate until 08/13/2029; 3 mo. USD LIBOR + 1.468% thereafter)(1)(9)

    324,231  
   

UBS Group Funding Switzerland AG

 
    785,000    

2.95%, 09/24/2020(1)

    792,037  
    550,000    

3.00%, 04/15/2021(1)

    558,125  
    1,150,000    

4.13%, 09/24/2025(1)

    1,253,136  
    1,794,000    

Wells Fargo & Co. 4.48%, 01/16/2024

    1,934,841  
     

 

 

 
        54,243,947  
     

 

 

 
          Commercial Services - 0.4%  
    260,000    

Ashtead Capital, Inc. 4.25%, 11/01/2029(1)(10)

    262,600  
   

CommonSpirit Health

 
    597,000    

2.95%, 11/01/2022

    608,742  
    70,000    

4.35%, 11/01/2042

    73,839  
   

ERAC USA Finance LLC

 
    510,000    

4.50%, 08/16/2021(1)

    532,041  
    550,000    

5.63%, 03/15/2042(1)

    689,979  
    1,200,000    

IHS Markit Ltd. 3.63%, 05/01/2024

    1,254,588  
   

United Rentals North America, Inc.

 
    420,000    

3.88%, 11/15/2027(10)

    424,305  
    230,000    

5.50%, 07/15/2025

    238,901  
     

 

 

 
        4,084,995  
     

 

 

 
          Construction Materials - 0.1%  
    290,000    

Norbord, Inc. 5.75%, 07/15/2027(1)

    300,150  
    675,000    

Standard Industries, Inc. 6.00%, 10/15/2025(1)

    708,750  
     

 

 

 
        1,008,900  
     

 

 

 
          Diversified Financial Services - 0.3%  
    700,000    

Capital One Bank USA NA 3.38%, 02/15/2023

    721,212  
    675,000    

Navient Corp. 5.50%, 01/25/2023

    701,156  
    415,000    

Societe Generale S.A. 3.25%, 01/12/2022(1)(2)

    423,521  
    1,150,000    

Synchrony Financial 4.50%, 07/23/2025

    1,241,228  
     

 

 

 
        3,087,117  
     

 

 

 
          Electric - 2.2%  
    910,000    

American Electric Power Co., Inc. 3.20%, 11/13/2027

    957,859  
    575,000    

Cleco Corporate Holdings LLC 3.38%, 09/15/2029(1)

    574,120  
    1,230,000    

Cleveland Electric Illuminating Co. 3.50%, 04/01/2028(1)

    1,293,326  
    720,000    

CMS Energy Corp. 3.00%, 05/15/2026

    740,829  
   

Dominion Energy South Carolina, Inc.

 
    105,000    

4.60%, 06/15/2043

    127,161  
    370,000    

6.05%, 01/15/2038

    505,657  
    156,000    

6.63%, 02/01/2032

    212,775  
   

Dominion Energy, Inc.

 
    950,000    

2.45%, 01/15/2023(1)

    956,788  
    135,000    

2.72%, 08/15/2021(11)

    136,268  
    675,000    

3.90%, 10/01/2025

    725,871  
    510,000    

4.10%, 04/01/2021(11)

    523,518  
    275,000    

Duke Energy Carolinas LLC 6.10%, 06/01/2037

    376,765  
   

Duke Energy Corp.

 
    835,000    

2.65%, 09/01/2026

    843,011  
    550,000    

3.05%, 08/15/2022

    564,697  
    120,000    

3.40%, 06/15/2029

    127,030  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  86  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Electric - 2.2% - (continued)  
   

Electricite de France S.A.

 
$     85,000    

4.88%, 01/22/2044(1)

  $ 98,056  
    525,000    

5.63%, 01/22/2024, (5.63% fixed rate until 01/22/2024; 10 year USD Swap + 3.041% thereafter)(1)(9)(12)

    550,594  
    110,000    

Emera U.S. Finance L.P. 2.70%, 06/15/2021

    110,970  
    530,000    

Evergy, Inc. 2.90%, 09/15/2029

    532,933  
    360,000    

Eversource Energy 2.90%, 10/01/2024

    369,950  
    700,000    

Exelon Corp. 3.40%, 04/15/2026

    736,367  
    1,205,000    

Fortis, Inc. 3.06%, 10/04/2026

    1,241,330  
   

Georgia Power Co.

 
    399,000    

4.30%, 03/15/2042

    438,274  
    140,000    

4.75%, 09/01/2040

    162,057  
    425,000    

Indianapolis Power and Light Co. 6.60%, 06/01/2037(1)

    580,631  
    205,000    

Infraestructura Energetica Nova S.A.B. de C.V. 4.88%, 01/14/2048(1)

    195,263  
    680,000    

MidAmerican Energy Co. 3.50%, 10/15/2024

    725,326  
   

NextEra Energy Capital Holdings, Inc.

 

    295,000    

2.75%, 11/01/2029

    296,732  
    800,000    

3.25%, 04/01/2026

    840,182  
    150,000    

3.50%, 04/01/2029

    159,683  
    490,000    

Niagara Mohawk Power Corp. 4.28%, 12/15/2028(1)

    555,076  
    550,000    

Oglethorpe Power Corp. 5.25%, 09/01/2050

    690,684  
   

Oncor Electric Delivery Co. LLC

 
    115,000    

2.95%, 04/01/2025

    119,569  
    340,000    

4.10%, 06/01/2022

    356,857  
   

SCANA Corp.

 
    278,000    

4.13%, 02/01/2022

    286,938  
    477,000    

4.75%, 05/15/2021

    489,314  
    488,000    

6.25%, 04/01/2020

    494,414  
    750,000    

Southern California Edison Co. 5.55%, 01/15/2037

    901,245  
   

Southern Co.

 
    575,000    

2.75%, 06/15/2020

    577,262  
    605,000    

2.95%, 07/01/2023

    619,784  
    10,000    

4.40%, 07/01/2046

    11,276  
    700,000    

Xcel Energy, Inc. 3.30%, 06/01/2025

    734,034  
     

 

 

 
        21,540,476  
     

 

 

 
          Electrical Components & Equipment - 0.1%  
    1,025,000    

WESCO Distribution, Inc. 5.38%, 06/15/2024

    1,058,312  
     

 

 

 
          Engineering & Construction - 0.1%  
   

SBA Tower Trust

 

    355,000    

2.88%, 07/15/2046(1)

    356,609  
    300,000    

3.45%, 03/15/2048(1)

    309,441  
     

 

 

 
        666,050  
     

 

 

 
          Environmental Control - 0.1%  
   

Clean Harbors, Inc.

 
    396,000    

4.88%, 07/15/2027(1)

    412,806  
    184,000    

5.13%, 07/15/2029(1)

    195,960  
     

 

 

 
        608,766  
     

 

 

 
          Food - 0.4%  
   

Conagra Brands, Inc.

 
    1,325,000    

4.60%, 11/01/2025

    1,470,275  
    245,000    

5.30%, 11/01/2038

    287,360  
    325,000    

Danone S.A. 2.95%, 11/02/2026(1)

    335,149  
    420,000    

Kraft Heinz Foods Co. 4.38%, 06/01/2046

    410,355  
   

Kroger Co.

 
    125,000    

3.30%, 01/15/2021

    126,889  
    780,000    

4.00%, 02/01/2024

    833,856  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Food - 0.4% - (continued)  
$     510,000    

Sigma Alimentos S.A. de C.V. 4.13%, 05/02/2026(1)

  $ 531,680  
    300,000    

Tyson Foods, Inc. 5.10%, 09/28/2048

    368,149  
     

 

 

 
        4,363,713  
     

 

 

 
          Forest Products & Paper - 0.1%  
    750,000    

International Paper Co. 3.65%, 06/15/2024

    791,308  
     

 

 

 
          Gas - 0.2%  
   

Boston Gas Co.

 
    165,000    

3.00%, 08/01/2029(1)

    171,322  
    125,000    

3.15%, 08/01/2027(1)

    130,468  
    359,000    

CenterPoint Energy Resources Corp. 4.50%, 01/15/2021

    367,390  
    560,000    

KeySpan Gas East Corp. 2.74%, 08/15/2026(1)

    568,413  
   

Sempra Energy

 
    1,075,000    

3.25%, 06/15/2027

    1,096,818  
    175,000    

3.40%, 02/01/2028

    179,096  
     

 

 

 
        2,513,507  
     

 

 

 
          Healthcare-Products - 0.2%  
    925,000    

Alcon Finance Corp. 3.00%, 09/23/2029(1)

    944,016  
    60,000    

Boston Scientific Corp. 4.00%, 03/01/2029

    66,802  
    700,000    

DH Europe Finance S.a.r.l. 2.60%, 11/15/2029(10)

    707,219  
    160,000    

Medtronic, Inc. 3.15%, 03/15/2022

    165,055  
     

 

 

 
        1,883,092  
     

 

 

 
          Healthcare-Services - 0.7%  
    495,000    

Aetna, Inc. 2.80%, 06/15/2023

    502,637  
   

Anthem, Inc.

 

         631,000    

3.30%, 01/15/2023

    655,030  
    130,000    

4.10%, 03/01/2028

    141,361  
    125,000    

4.38%, 12/01/2047

    134,010  
    225,000    

4.65%, 08/15/2044

    247,837  
   

CommonSpirit Health

 

    195,000    

2.76%, 10/01/2024

    197,937  
    105,000    

4.19%, 10/01/2049

    107,567  
    305,000    

4.20%, 08/01/2023

    321,387  
   

Dignity Health

 

    35,000    

2.64%, 11/01/2019

    35,000  
    214,000    

3.81%, 11/01/2024

    227,565  
    552,000    

4.50%, 11/01/2042

    592,916  
   

HCA, Inc.

 

    1,100,000    

5.25%, 06/15/2026

    1,230,932  
    375,000    

5.25%, 06/15/2049

    414,986  
    715,000    

Humana, Inc. 2.90%, 12/15/2022

    728,496  
   

Mercy Health

 

    565,000    

3.56%, 08/01/2027

    593,753  
    545,000    

4.30%, 07/01/2028

    613,306  
   

UnitedHealth Group, Inc.

 

    220,000    

3.35%, 07/15/2022

    228,389  
    340,000    

3.75%, 07/15/2025

    368,664  
    5,000    

3.85%, 06/15/2028

    5,511  
     

 

 

 
        7,347,284  
     

 

 

 
          Home Builders - 0.1%  
    700,000    

Taylor Morrison Communities, Inc. / Taylor Morrison Holdings II, Inc. 5.63%, 03/01/2024(1)

    755,125  
     

 

 

 
          Household Products - 0.0%  
    420,120    

Procter & Gamble - Esop 9.36%, 01/01/2021

    433,826  
     

 

 

 
          Insurance - 1.0%  
    560,000    

American International Group, Inc. 4.25%, 03/15/2029

    621,734  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  87  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Insurance - 1.0% - (continued)  
$     1,150,000    

Aon plc 3.88%, 12/15/2025

  $ 1,243,964  
    1,175,000    

AXA Equitable Holdings, Inc. 4.35%, 04/20/2028

    1,266,879  
    415,000    

Berkshire Hathaway, Inc. 2.75%, 03/15/2023

    427,469  
   

Chubb INA Holdings, Inc.

 

    120,000    

2.30%, 11/03/2020

    120,372  
    185,000    

3.35%, 05/15/2024

    195,407  
    115,000    

Five Corners Funding Trust 4.42%, 11/15/2023(1)

    124,997  
    515,000    

Jackson National Life Global Funding 3.25%, 01/30/2024(1)

    536,025  
   

Liberty Mutual Group, Inc.

 

    23,000    

4.25%, 06/15/2023(1)

    24,411  
    77,000    

4.57%, 02/01/2029(1)

    87,013  
    305,000    

Marsh & McLennan Cos., Inc. 4.38%, 03/15/2029

    348,002  
   

MetLife, Inc.

 

    485,000    

3.60%, 04/10/2024

    515,509  
    160,000    

4.88%, 11/13/2043

    199,398  
    60,000    

Northwestern Mutual Life Insurance Co. 3.63%, 09/30/2059(1)

    62,130  
   

Prudential Financial, Inc.

 

    200,000    

3.50%, 05/15/2024

    212,668  
    300,000    

4.50%, 11/15/2020

    307,664  
    100,000    

Teachers Insurance & Annuity Association of America 4.90%, 09/15/2044(1)

    125,693  
    645,000    

Trinity Acquisition plc 4.40%, 03/15/2026

    698,751  
    1,175,000    

Willis North America, Inc. 3.60%, 05/15/2024

    1,229,733  
    1,150,000    

XLIT Ltd. 4.45%, 03/31/2025

    1,255,028  
     

 

 

 
        9,602,847  
     

 

 

 
          Internet - 0.3%  
   

Alibaba Group Holding Ltd.

 
    370,000    

3.40%, 12/06/2027

    384,305  
    480,000    

3.60%, 11/28/2024

    504,185  
   

Amazon.com, Inc.

 
    285,000    

2.50%, 11/29/2022

    290,710  
    530,000    

4.80%, 12/05/2034

    661,662  
    745,000    

Tencent Holdings Ltd. 3.60%, 01/19/2028(1)

    776,264  
     

 

 

 
        2,617,126  
     

 

 

 
          Iron/Steel - 0.1%  
    700,000    

Steel Dynamics, Inc. 5.50%, 10/01/2024

    721,196  
     

 

 

 
          IT Services - 0.3%  
   

Apple, Inc.

 
    25,000    

2.45%, 08/04/2026

    25,530  
    225,000    

3.00%, 02/09/2024

    235,219  
    170,000    

3.25%, 02/23/2026

    181,239  
    270,000    

3.45%, 05/06/2024

    288,049  
    35,000    

4.45%, 05/06/2044

    42,674  
    1,125,000    

Hewlett Packard Enterprise Co. 4.90%, 10/15/2025

    1,259,351  
    750,000    

International Business Machines Corp. 3.30%, 05/15/2026

    793,491  
     

 

 

 
        2,825,553  
     

 

 

 
          Leisure Time - 0.1%  
    725,000    

VOC Escrow Ltd. 5.00%, 02/15/2028(1)

    754,000  
     

 

 

 
          Lodging - 0.2%  
    825,000    

Hilton Domestic Operating Co., Inc. 5.13%, 05/01/2026

    866,250  
    1,035,000    

Wyndham Hotels & Resorts, Inc. 5.38%, 04/15/2026(1)

    1,091,925  
     

 

 

 
        1,958,175  
     

 

 

 
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Machinery-Construction & Mining - 0.1%  
$     400,000    

Caterpillar Financial Services Corp. 3.30%, 06/09/2024

  $ 420,553  
    170,000    

Caterpillar, Inc. 3.40%, 05/15/2024

    179,465  
     

 

 

 
        600,018  
     

 

 

 
          Media - 1.4%  
   

CBS Corp.

 
    710,000    

3.70%, 06/01/2028

    743,366  
    1,150,000    

4.00%, 01/15/2026

    1,234,747  
   

Charter Communications Operating LLC / Charter Communications Operating Capital

 

    280,000    

4.80%, 03/01/2050

    286,622  
    1,125,000    

4.91%, 07/23/2025

    1,239,503  
    310,000    

5.38%, 05/01/2047

    340,571  
    65,000    

6.48%, 10/23/2045

    79,932  
   

Comcast Corp.

 
    450,000    

3.13%, 07/15/2022

    466,684  
    495,000    

3.95%, 10/15/2025

    542,623  
    158,000    

4.05%, 11/01/2052

    175,816  
    575,000    

4.40%, 08/15/2035

    666,448  
    255,000    

4.60%, 10/15/2038

    302,996  
    34,000    

6.40%, 05/15/2038

    48,013  
   

Cox Communications, Inc.

 
    1,225,000    

3.35%, 09/15/2026(1)

    1,280,607  
    35,000    

4.60%, 08/15/2047(1)

    38,222  
    920,000    

4.80%, 02/01/2035(1)

    1,004,145  
    1,125,000    

Discovery Communications LLC 4.90%, 03/11/2026

    1,259,435  
    155,000    

Fox Corp. 4.03%, 01/25/2024(1)

    165,645  
    205,000    

Sirius XM Radio, Inc. 4.63%, 07/15/2024(1)

    214,225  
    920,000    

Sky Ltd. 3.75%, 09/16/2024(1)

    990,924  
   

Time Warner Cable LLC

 
    80,000    

6.55%, 05/01/2037

    97,053  
    60,000    

7.30%, 07/01/2038

    76,489  
    30,000    

Time Warner Entertainment Co., L.P. 8.38%, 03/15/2023

    35,726  
    625,000    

Univision Communications, Inc. 5.13%, 02/15/2025(1)

    610,156  
   

Viacom, Inc.

 
    145,000    

3.88%, 12/15/2021

    150,072  
    875,000    

4.25%, 09/01/2023

    930,410  
    350,000    

5.85%, 09/01/2043

    428,495  
   

Walt Disney Co.

 
    180,000    

4.00%, 10/01/2023(1)

    192,051  
    220,000    

4.50%, 02/15/2021(1)

    227,590  
    300,000    

4.75%, 09/15/2044(1)

    383,618  
     

 

 

 
        14,212,184  
     

 

 

 
          Mining - 0.1%  
    725,000    

Glencore Finance Canada Ltd. 4.25%, 10/25/2022(1)

    758,314  
     

 

 

 
          Miscellaneous Manufacturing - 0.1%  
    850,000    

Siemens Financieringsmaatschappij N.V. 3.13%, 03/16/2024(1)

    884,045  
     

 

 

 
          Oil & Gas - 2.4%  
    450,000    

BG Energy Capital plc 4.00%, 10/15/2021(1)

    466,341  
    130,000    

BP Capital Markets America, Inc. 3.25%, 05/06/2022

    134,258  
    570,000    

BP Capital Markets plc 3.81%, 02/10/2024

    609,236  
    1,629,000    

Cimarex Energy Co. 4.38%, 06/01/2024

    1,706,695  
    40,000    

ConocoPhillips Co. 4.95%, 03/15/2026

    46,020  
    1,175,000    

Continental Resources, Inc. 3.80%, 06/01/2024

    1,201,696  
    4,900,000    

Ecopetrol S.A. 4.13%, 01/16/2025

    5,142,550  
    30,000    

Equinor ASA 2.65%, 01/15/2024

    30,846  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  88  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Oil & Gas - 2.4% - (continued)  
   

Equinor ASA

 
$     70,000    

2.25%, 11/08/2019

  $ 69,999  
    30,000    

2.45%, 01/17/2023

    30,530  
    355,000    

2.90%, 11/08/2020

    358,379  
    35,000    

3.25%, 11/10/2024

    36,951  
    5,000    

3.70%, 03/01/2024

    5,356  
   

Hess Corp.

 
    1,200,000    

4.30%, 04/01/2027

    1,261,027  
    700,000    

7.30%, 08/15/2031

    881,987  
   

Occidental Petroleum Corp.

 
    395,000    

4.85%, 03/15/2021

    408,264  
    148,000    

7.50%, 05/01/2031

    193,712  
   

Petroleos Mexicanos

 
    3,000,000    

5.50%, 06/27/2044

    2,688,750  
    5,000,000    

7.69%, 01/23/2050(1)

    5,433,200  
    755,000    

Pioneer Natural Resources Co. 7.50%, 01/15/2020

    762,660  
    775,000    

QEP Resources, Inc. 5.63%, 03/01/2026(2)

    693,625  
    630,000    

Saudi Arabian Oil Co. 3.50%, 04/16/2029(1)

    654,405  
   

Total Capital International S.A.

 

    725,000    

2.43%, 01/10/2025

    735,101  
    325,000    

2.70%, 01/25/2023

    333,170  
     

 

 

 
        23,884,758  
     

 

 

 
          Oil & Gas Services - 0.0%  
    252,000    

Schlumberger Holdings Corp. 3.90%, 05/17/2028(1)

    266,258  
     

 

 

 
          Packaging & Containers - 0.2%  
    465,000    

Ardagh Packaging Finance plc / Ardagh Holdings USA, Inc. 4.13%, 08/15/2026(1)

    470,092  
    1,125,000    

WRKCo, Inc. 4.65%, 03/15/2026

    1,243,266  
     

 

 

 
        1,713,358  
     

 

 

 
          Pharmaceuticals - 0.8%  
   

Allergan Funding SCS

 
    450,000    

3.45%, 03/15/2022

    461,094  
    525,000    

3.80%, 03/15/2025

    552,261  
    275,000    

4.85%, 06/15/2044

    296,176  
   

Allergan Sales LLC

 
    121,000    

4.88%, 02/15/2021(1)

    124,293  
    225,000    

5.00%, 12/15/2021(1)

    236,208  
   

Bayer U.S. Finance LLC

 
    805,000    

3.38%, 10/08/2024(1)

    826,789  
    715,000    

4.25%, 12/15/2025(1)

    768,994  
   

Cardinal Health, Inc.

 
    195,000    

2.40%, 11/15/2019

    195,009  
    105,000    

4.50%, 11/15/2044

    103,037  
    415,000    

Cigna Corp. 4.38%, 10/15/2028

    455,780  
   

CVS Health Corp.

 

    450,000    

3.88%, 07/20/2025

    478,371  
    1,035,000    

4.10%, 03/25/2025

    1,111,898  
    165,000    

5.13%, 07/20/2045

    190,189  
    705,000    

EMD Finance LLC 2.95%, 03/19/2022(1)

    716,006  
   

Merck & Co., Inc.

 

    430,000    

2.75%, 02/10/2025

    446,430  
    315,000    

2.80%, 05/18/2023

    325,959  
    125,000    

4.15%, 05/18/2043

    150,125  
    225,000    

Teva Pharmaceutical Finance Co. B.V. 3.65%, 11/10/2021

    216,023  
    880,000    

Teva Pharmaceutical Finance Netherlands B.V. 2.80%, 07/21/2023

    761,200  
     

 

 

 
        8,415,842  
     

 

 

 
          Pipelines - 1.6%  
    400,000    

Columbia Pipeline Group, Inc. 4.50%, 06/01/2025

    436,259  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Pipelines - 1.6% - (continued)  
$     1,200,000    

Enable Midstream Partners L.P. 4.40%, 03/15/2027

  $ 1,189,013  
   

Energy Transfer Operating L.P.

 

    1,125,000    

4.75%, 01/15/2026

    1,220,020  
    214,000    

7.60%, 02/01/2024

    248,784  
    340,000    

Energy Transfer Partners L.P. 4.50%, 11/01/2023

    363,007  
    1,010,000    

EQM Midstream Partners L.P. 4.75%, 07/15/2023

    999,420  
   

Kinder Morgan Energy Partners L.P.

 

    419,000    

4.25%, 09/01/2024

    449,151  
    275,000    

4.30%, 05/01/2024

    293,810  
   

MPLX L.P.

 

    255,000    

4.00%, 03/15/2028

    265,088  
    670,000    

4.13%, 03/01/2027

    703,157  
    1,100,000    

4.88%, 06/01/2025

    1,208,095  
    1,175,000    

ONEOK, Inc. 4.00%, 07/13/2027

    1,239,604  
   

Phillips 66 Partners L.P.

 

    977,000    

3.61%, 02/15/2025

    1,022,244  
    750,000    

3.75%, 03/01/2028

    787,604  
    1,075,000    

Sabine Pass Liquefaction LLC 5.63%, 03/01/2025

    1,206,266  
   

Sunoco Logistics Partners Operations L.P.

 

    575,000    

3.90%, 07/15/2026

    597,093  
    130,000    

4.40%, 04/01/2021

    133,609  
    550,000    

5.35%, 05/15/2045

    589,123  
    675,000    

Targa Resources Partners L.P. / Targa Resources Partners Finance Corp. 5.88%, 04/15/2026

    704,599  
    1,100,000    

TransCanada PipeLines Ltd. 4.88%, 01/15/2026

    1,231,041  
    780,000    

Western Midstream Operating L.P. 4.00%, 07/01/2022

    792,218  
     

 

 

 
        15,679,205  
     

 

 

 
          Real Estate - 0.1%  
    830,000    

WEA Finance LLC 4.13%, 09/20/2028(1)

    903,059  
     

 

 

 
          Real Estate Investment Trusts - 0.8%  
   

American Tower Corp.

 
    450,000    

3.45%, 09/15/2021

    461,000  
    1,000,000    

3.80%, 08/15/2029

    1,069,033  
    150,000    

4.40%, 02/15/2026

    164,393  
    85,000    

5.00%, 02/15/2024

    94,038  
    150,000    

AvalonBay Communities, Inc. 3.63%, 10/01/2020

    151,641  
    785,000    

Brandywine Operating Partnership L.P. 3.95%, 11/15/2027

    827,220  
    440,000    

Brixmor Operating Partnership L.P. 4.13%, 05/15/2029

    475,433  
   

Crown Castle International Corp.

 
    265,000    

3.65%, 09/01/2027

    281,524  
    215,000    

3.80%, 02/15/2028

    231,438  
    1,025,000    

Equinix, Inc. 5.38%, 01/01/2022

    1,045,193  
    670,000    

HCP, Inc. 4.00%, 06/01/2025

    726,171  
    665,000    

SBA Tower Trust 2.84%, 01/15/2025(1)

    671,611  
    345,000    

Scentre Group Trust 2.38%, 11/05/2019(1)

    345,000  
    340,000    

Simon Property Group L.P. 2.45%, 09/13/2029

    335,981  
    134,000    

SITE Centers Corp. 4.63%, 07/15/2022(2)

    140,141  
    1,150,000    

VEREIT Operating Partnership L.P. 4.63%, 11/01/2025

    1,262,720  
     

 

 

 
        8,282,537  
     

 

 

 
          Retail - 0.4%  
    1,075,000    

AutoZone, Inc. 3.13%, 04/21/2026

    1,115,029  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  89  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Retail - 0.4% - (continued)  
   

CVS Health Corp.

 
$     695,000    

4.00%, 12/05/2023

  $ 736,876  
    160,000    

4.88%, 07/20/2035

    181,896  
    1,050,000    

KFC Holding Co. / Pizza Hut Holdings LLC / Taco Bell of America LLC 5.00%, 06/01/2024(1)

    1,089,375  
    800,000    

L Brands, Inc. 5.25%, 02/01/2028

    742,000  
    425,000    

Lowe’s Cos., Inc. 4.55%, 04/05/2049

    487,702  
     

 

 

 
        4,352,878  
     

 

 

 
          Savings & Loans - 0.0%  
    245,000    

Nationwide Building Society 3.62%, 04/26/2023, (3.62% fixed rate until 04/26/2022; 3 mo. USD LIBOR + 1.181% thereafter)(1)(9)

    251,841  
     

 

 

 
          Semiconductors - 0.3%  
   

Broadcom Corp. / Broadcom Cayman Finance Ltd.

 
    45,000    

3.50%, 01/15/2028

    44,006  
    870,000    

3.63%, 01/15/2024

    895,669  
    535,000    

3.88%, 01/15/2027

    540,241  
    50,000    

Broadcom, Inc. 4.25%, 04/15/2026(1)

    52,197  
    345,000    

Microchip Technology, Inc. 3.92%, 06/01/2021

    353,113  
    1,150,000    

Micron Technology, Inc. 4.98%, 02/06/2026

    1,249,846  
     

 

 

 
        3,135,072  
     

 

 

 
          Software - 0.4%  
    800,000    

Fiserv, Inc. 3.20%, 07/01/2026

    835,856  
   

Microsoft Corp.

 
    475,000    

2.40%, 08/08/2026

    487,197  
    610,000    

2.88%, 02/06/2024

    635,971  
    365,000    

3.70%, 08/08/2046

    415,354  
    915,000    

Oracle Corp. 3.25%, 11/15/2027

    972,958  
    825,000    

Western Digital Corp. 4.75%, 02/15/2026

    843,067  
     

 

 

 
        4,190,403  
     

 

 

 
          Telecommunications - 1.2%  
    775,000    

America Movil S.A.B. de C.V. 3.13%, 07/16/2022

    794,459  
   

AT&T, Inc.

 
    1,175,000    

3.40%, 05/15/2025

    1,231,168  
    950,000    

3.60%, 07/15/2025

    1,001,418  
    65,000    

3.95%, 01/15/2025

    69,643  
    500,000    

4.13%, 02/17/2026

    543,769  
    460,000    

4.45%, 04/01/2024

    498,577  
    136,000    

4.85%, 03/01/2039

    154,154  
    85,000    

4.90%, 08/15/2037

    96,950  
    470,000    

Deutsche Telekom International Finance B.V. 4.38%, 06/21/2028(1)

    524,385  
    675,000    

Frontier Communications Corp. 8.00%, 04/01/2027(1)

    708,750  
    165,000    

GTP Acquisition Partners LLC 2.35%, 06/15/2045(1)

    165,058  
   

Orange S.A.

 
    650,000    

4.13%, 09/14/2021

    676,435  
    200,000    

9.00%, 03/01/2031

    312,157  
    835,000    

Sprint Spectrum Co. LLC / Sprint Spectrum Co. II LLC / Sprint Spectrum Co. III LLC 4.74%, 09/20/2029(1)

    890,327  
    620,000    

Telefonica Emisiones S.A. 5.21%, 03/08/2047

    721,027  
   

Verizon Communications, Inc.

 
    1,225,000    

2.63%, 08/15/2026

    1,249,918  
    450,000    

2.95%, 03/15/2022

    461,452  
    1,266,000    

4.52%, 09/15/2048

    1,506,055  
Shares or Principal Amount   Market Value  
CORPORATE BONDS - 26.2% - (continued)  
          Telecommunications - 1.2% - (continued)  
$     92,000    

4.67%, 03/15/2055

  $ 113,020  
    130,000    

4.75%, 11/01/2041

    156,489  
    93,000    

4.81%, 03/15/2039

    113,093  
     

 

 

 
        11,988,304  
     

 

 

 
          Toys/Games/Hobbies - 0.1%  
    581,000    

Mattel, Inc. 6.75%, 12/31/2025(1)

    606,419  
     

 

 

 
          Transportation - 0.3%  
   

FedEx Corp.

 
    75,000    

4.10%, 02/01/2045

    74,207  
    80,000    

4.55%, 04/01/2046

    83,847  
    94,000    

4.75%, 11/15/2045

    101,353  
    88,000    

4.95%, 10/17/2048

    98,247  
   

Penske Truck Leasing Co. L.P. / PTL Finance Corp.

 
    90,000    

2.70%, 11/01/2024(1)

    90,903  
    405,000    

3.20%, 07/15/2020(1)

    407,554  
    400,000    

3.38%, 02/01/2022(1)

    408,945  
    1,330,000    

3.95%, 03/10/2025(1)

    1,417,455  
     

 

 

 
        2,682,511  
     

 

 

 
          Trucking & Leasing - 0.4%  
    1,250,000    

Aviation Capital Group LLC 3.50%, 11/01/2027(1)

    1,255,078  
    1,200,000    

Avolon Holdings Funding Ltd. 4.38%, 05/01/2026(1)

    1,269,528  
    1,125,000    

GATX Corp. 4.70%, 04/01/2029

    1,266,475  
     

 

 

 
        3,791,081  
     

 

 

 
          Water - 0.0%  
    240,000    

American Water Capital Corp. 2.95%, 09/01/2027

    246,879  
     

 

 

 
   

Total Corporate Bonds
(cost $248,462,095)

  $ 260,432,708  
     

 

 

 
EQUITY LINKED SECURITIES - 13.8%  
          Banks - 13.8%  
    18,646    

Adobe Systems, Inc., (Societe Generale S.A.)(1)(3)

    5,049,219  
    19,902    

Aligen Technology Inc., (Merrill Lynch International & Co. C.V.)(1)(3)

    4,968,377  
    2,824    

Amazon.com Inc., (Societe Generale S.A.)(1)(3)

    4,903,876  
    24,876    

Apple Inc., (HSBC Bank plc) Series DMVE(1)(3)

    5,494,860  
    165,629    

Bank of America Corp. (Canadian Imperial Bank of Commerce)(1)(3)

    5,113,630  
    119,859    

Boston Scientific Corp., (HSBC Bank plc) Series DMVD(1)(3)

    4,993,326  
    55,737    

Capital One Financial Corp. (BNP Paribas Issuance B.V.)(1)(3)

    5,113,312  
    38,166    

Caterpillar, Inc. (HSBC Bank plc) Series E115(1)(3)

    5,216,147  
    71,774    

Citigroup, Inc. (Societe Generale S.A.)(1)(3)

    5,106,002  
    87,146    

ConocoPhillips (BNP Paribas Issuance B.V.)(1)(3)

    4,893,248  
    24,126    

Constellation Brands, Inc. (Bank of America Corp.)(1)(3)

    4,652,699  
    33,985    

Cummins Inc., (Societe Generale S.A.) Series 0002, MTN(1)(3)

    5,396,818  
    83,274    

Etsy, Inc. (Merrill Lynch International & Co. C.V.)(1)(3)

    3,753,159  
    36,670    

Expedia Group, Inc. (Societe Generale S.A.)(1)(3)

    5,064,861  
    40,949    

HCA Healthcare, Inc. (BNP Paribas Issuance B.V.)(1)(3)

    5,221,407  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  90  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
EQUITY LINKED SECURITIES - 13.8% - (continued)  
          Banks - 13.8% - (continued)  
$     18,441    

Mastercard, Inc. (Canadian Imperial Bank of Commerce)(1)(3)

  $ 5,081,786  
    36,452    

Microsoft Corp., (Canadian Imperial Bank of Commerce) MTN(1)(3)

    5,217,448  
    146,226    

NRG Energy Inc., (HSBC Bank plc) Series DMVC(1)(3)

    5,400,126  
    93,204    

Oracle Corp. (BNP Paribas Issuance B.V.) MTN(1)(3)

    5,065,638  
    47,363    

PayPal Holdings, Inc. (HSBC Bank plc) Series E114(1)(3)

    4,952,749  
    35,503    

PNC Financial Services Group (Societe Generale S.A.)(1)(3)

    5,147,225  
    49,477    

Post Holdings, Inc. (Merrill Lynch International & Co. C.V.)(1)(3)

    5,024,389  
    61,758    

QUALCOMM, Inc. (Merrill Lynch International & Co. C.V.)(1)(3)

    4,961,033  
    44,002    

Royal Caribbean Cruises Ltd. (Societe Generale S.A.) MTN(1)(3)

    4,843,300  
    60,786    

Target Corp., (HSBC Bank plc) Series DMVB(1)(3)

    5,635,470  
    21,357    

UnitedHealth Group, Inc. (Canadian Imperial Bank of Commerce) FRN, MTN(1)(3)

    5,184,262  
    64,353    

Valero Energy Corp., (HSBC Bank plc) Series DMVF(1)(3)

    5,450,056  
     

 

 

 
        136,904,423  
     

 

 

 
   

Total Equity Linked Securities
(cost $135,948,356)

  $ 136,904,423  
     

 

 

 
FOREIGN GOVERNMENT OBLIGATIONS - 5.4%  
          Dominican Republic - 0.5%  
    4,700,000    

Dominican Republic International Bond 5.95%, 01/25/2027(15)

  $ 5,164,172  
     

 

 

 
          Hungary - 0.5%  
    4,600,000    

Hungary Government International Bond 5.38%, 02/21/2023

    5,034,516  
     

 

 

 
          Indonesia - 1.1%  
    4,900,000    

Indonesia Government International Bond 3.85%, 07/18/2027(15)

    5,195,097  
IDR     68,000,000,000    

Indonesia Treasury Bond 8.13%, 05/15/2024

    5,167,700  
     

 

 

 
        10,362,797  
     

 

 

 
      Japan - 0.1%  
 

Japan Bank for International Cooperation

 

$     510,000    

2.13%, 06/01/2020

    510,546  
    776,000    

2.13%, 07/21/2020

    777,086  
     

 

 

 
        1,287,632  
     

 

 

 
      Qatar - 0.3%  
   

Qatar Government International Bond

 

    2,320,000    

2.38%, 06/02/2021(1)

    2,325,800  
    250,000    

3.38%, 03/14/2024(1)

    261,250  
    315,000    

3.88%, 04/23/2023(1)

    332,257  
    315,000    

4.00%, 03/14/2029(1)

    349,259  
     

 

 

 
        3,268,566  
     

 

 

 
          Romania - 0.3%  
RON     9,500,000    

Romania Government Bond 5.80%, 07/26/2027

    2,474,270  
     

 

 

 
          Saudi Arabia - 0.1%  
 

Saudi Government International Bond

 

$     265,000    

2.38%, 10/26/2021(1)

    265,463  
    460,000    

2.88%, 03/04/2023(1)

    469,513  
     

 

 

 
    734,976  
     

 

 

 
Shares or Principal Amount   Market Value  
FOREIGN GOVERNMENT OBLIGATIONS - 5.4% - (continued)  
          Senegal - 0.5%  
$     4,700,000    

Senegal Government International Bond 6.25%, 07/30/2024(15)

  $ 5,133,340  
     

 

 

 
          South Africa - 0.5%  
    4,900,000    

Republic of South Africa Government International Bond 4.67%, 01/17/2024

    5,110,014  
     

 

 

 
          Sri Lanka - 0.5%  
    5,000,000    

Sri Lanka Government International Bond 6.25%, 10/04/2020(15)

    5,075,000  
     

 

 

 
          Tunisia - 0.5%  
EUR     4,450,000    

Banque Centrale de Tunisie International Bond 5.63%, 02/17/2024(15)

    4,849,826  
     

 

 

 
          Turkey - 0.5%  
    4,600,000    

Turkey Government International Bond 4.63%, 03/31/2025

    5,284,290  
     

 

 

 
   

Total Foreign Government Obligations (cost $52,114,300)

  $ 53,779,399  
 

 

 

 
MUNICIPAL BONDS - 0.9%  
          General - 0.4%  
   

Chicago, IL, Transit Auth

 

$     365,000    

6.30%, 12/01/2021

  $ 380,308  
    455,000    

6.90%, 12/01/2040

    628,696  
    140,000    

City of Sacramento, CA 6.42%, 08/01/2023

    160,539  
    250,000    

Kansas, Dev Finance Auth 5.37%, 05/01/2026

    279,968  
    165,000    

Metropolitan Transportation Auth, NY, Rev 6.67%, 11/15/2039

    237,453  
    775,000    

New York State Urban Dev Corp. Rev 2.10%, 03/15/2022

    777,333  
    575,000    

Philadelphia Auth for Industrial Dev 6.55%, 10/15/2028

    730,957  
    585,000    

Sales Tax Securitization Corp., IL 4.79%, 01/01/2048

    698,127  
     

 

 

 
        3,893,381  
     

 

 

 
          General Obligation - 0.2%  
   

California State, GO Taxable

 

    245,000    

7.35%, 11/01/2039

    382,168  
    130,000    

7.55%, 04/01/2039

    213,220  
    130,000    

Chicago, IL, Metropolitan Water Reclamation Dist, GO 5.72%, 12/01/2038

    174,080  
    935,000    

State of Illinois, GO 5.10%, 06/01/2033(2)

    1,010,913  
     

 

 

 
        1,780,381  
     

 

 

 
          Power - 0.0%  
    100,000    

New York, Utility Debt Securitization Auth 3.44%, 12/15/2025

    104,258  
     

 

 

 
          Transportation - 0.1%  
    210,000    

Bay Area Toll Auth, CA 2.57%, 04/01/2031

    208,664  
    350,000    

Illinois State Toll Highway Auth 6.18%, 01/01/2034

    476,549  
   

New York and New Jersey Port Auth, Taxable Rev

 
    40,000    

5.86%, 12/01/2024

    47,517  
    115,000    

6.04%, 12/01/2029

    151,076  
     

 

 

 
        883,806  
     

 

 

 
          Utility - Electric - 0.2%  
    375,000    

Illinois Municipal Electric Agency 6.83%, 02/01/2035

    494,734  
   

Municipal Electric Auth, GA

 

    825,000    

6.64%, 04/01/2057

    1,156,040  
    114,000    

6.66%, 04/01/2057

    165,335  
     

 

 

 
        1,816,109  
     

 

 

 
   

Total Municipal Bonds
(cost $7,512,535)

  $ 8,477,935  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  91  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 5.7%(13)  
          Advertising - 0.1%  
$     695,000    

Clear Channel Outdoor Holdings, Inc. 5.29%, 08/21/2026, 1 mo. USD LIBOR + 3.500%

  $ 696,119  
     

 

 

 
          Aerospace/Defense - 0.1%  
    441,105    

Circor International, Inc. 5.42%, 12/11/2024, 1 mo. USD LIBOR + 3.500%

    436,804  
    895,455    

TransDigm, Inc. 4.29%, 06/09/2023, 1 mo. USD LIBOR + 2.500%

    890,861  
     

 

 

 
        1,327,665  
     

 

 

 
          Airlines - 0.0%  
    375,000    

WestJet Airlines Ltd. 0.00%, 08/07/2026, 1 mo. USD LIBOR + 3.000%(14)

    376,564  
     

 

 

 
          Auto Manufacturers - 0.1%  
    498,731    

Navistar International Corp. 5.42%, 11/06/2024, 1 mo. USD LIBOR + 3.500%

    492,811  
     

 

 

 
          Auto Parts & Equipment - 0.1%  
         472,062    

Altra Industrial Motion Corp. 3.79%, 10/01/2025, 1 mo. USD LIBOR + 2.000%

    469,702  
    172,375    

IAA, Inc. 4.06%, 06/28/2026, 1 mo. USD LIBOR + 2.250%

    172,878  
    500,000    

Panther BF Aggregator L.P. 5.30%, 04/30/2026, 1 mo. USD LIBOR + 3.500%

    492,710  
     

 

 

 
        1,135,290  
     

 

 

 
          Biotechnology - 0.0%  
    397,449    

Sotera Health Holdings LLC 4.93%, 05/15/2022, 1 mo. USD LIBOR + 3.000%

    389,997  
     

 

 

 
          Chemicals - 0.1%  
    497,475    

Axalta Coating Systems U.S. Holdings, Inc.
3.85%, 06/01/2024, 3 mo. USD LIBOR + 1.750%

    496,589  
    239,400    

Hexion, Inc. 5.60%, 07/01/2026, 1 mo. USD LIBOR + 3.500%

    238,203  
    484,827    

Starfruit Finco B.V. 5.19%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    472,207  
     

 

 

 
        1,206,999  
     

 

 

 
          Commercial Services - 0.5%  
   

Allied Universal Holdco LLC

 

    34,125    

4.25%, 07/10/2026, 1 mo. USD LIBOR + 4.250%(14)(16)

    33,856  
    344,663    

6.51%, 07/10/2026, 3 mo. USD LIBOR + 4.250%

    341,954  
    100,000    

Belron Finance U.S. LLC 0.00%, 11/07/2026, 1 mo. USD LIBOR + 2.500%(14)

    99,969  
    994,962    

Blackhawk Network Holdings, Inc. 4.79%, 06/15/2025, 1 mo. USD LIBOR + 3.000%

    985,013  
    325,000    

DCert Buyer, Inc. 5.79%, 10/16/2026, 1 mo. USD LIBOR + 4.000%

    318,705  
    705,000    

Dun & Bradstreet Corp. 6.80%, 02/06/2026, 1 mo. USD LIBOR + 5.000%

    706,614  
    110,000    

Garda World Security Corp. 0.00%, 10/17/2026, 1 mo. USD LIBOR + 4.750%(14)

    109,313  
    190,000    

KAR Auction Services, Inc. 0.00%, 09/19/2026, 1 mo. USD LIBOR + 2.250%(14)

    190,475  
    480,000    

PSAV Holdings LLC 6.49%, 09/30/2026, 1 mo. USD LIBOR + 4.500%

    469,800  
    500,000    

Quikrete Holdings, Inc. 4.54%, 11/15/2023, 1 mo. USD LIBOR + 2.750%

    497,655  
    746,183    

Tempo Acquisition LLC 4.79%, 05/01/2024, 1 mo. USD LIBOR + 3.000%

    746,026  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 5.7%(13) - (continued)  
          Commercial Services - 0.5% - (continued)  
$     497,481    

Trans Union LLC 3.80%, 06/19/2025, 1 mo. USD LIBOR + 2.000%

  $ 497,949  
    160,000    

US Ecology, Inc. 0.00%, 08/14/2026, 1 mo. USD LIBOR + 2.500%(14)

    160,600  
     

 

 

 
        5,157,929  
     

 

 

 
          Construction Materials - 0.1%  
    92,857    

Advanced Drainage Systems, Inc. 4.06%, 07/31/2026, 1 mo. USD LIBOR + 2.250%

    93,206  
    100,000    

Hamilton Holdco LLC 4.11%, 07/02/2025, 1 mo. USD LIBOR + 2.000%

    100,125  
    497,481    

NCI Building Systems, Inc. 5.66%, 04/12/2025, 3 mo. USD LIBOR + 3.750%

    480,482  
     

 

 

 
        673,813  
     

 

 

 
          Distribution/Wholesale - 0.2%  
    750,000    

American Builders & Contractors Supply Co., Inc. 0.00%, 01/15/2027, 1 mo. USD LIBOR + 2.000%(14)

    748,597  
    795,960    

Beacon Roofing Supply, Inc. 4.04%, 01/02/2025, 1 mo. USD LIBOR + 2.250%

    788,454  
    154,613    

Sage BorrowCo LLC 6.55%, 06/20/2026, 1 mo. USD LIBOR + 4.750%

    155,192  
    249,369    

SRS Distribution, Inc. 0.00%, 05/23/2025, 1 mo. USD LIBOR + 3.250%(14)

    240,953  
     

 

 

 
    1,933,196  
 

 

 

 
      Diversified Financial Services - 0.4%  
 

AlixPartners LLP

 

EUR     149,250    

3.25%, 04/04/2024, 3 mo. EURIBOR + 3.250%

    166,750  
$     646,684    

4.54%, 04/04/2024, 3 mo. USD LIBOR + 2.750%

    645,604  
    681,566    

Aretec Group, Inc. 6.04%, 10/01/2025, 3 mo. USD LIBOR + 4.250%

    636,413  
    780,652    

Crown Finance U.S., Inc. 4.04%, 02/28/2025, 1 mo. USD LIBOR + 2.250%

    769,566  
EUR     500,000    

Nets Holding A/S 3.250%, 02/06/2025, 3 mo. EURIBOR + 3.250%

    552,307  
$     497,442    

NFP Corp. 4.79%, 01/08/2024, 1 mo. USD LIBOR + 3.000%

    482,166  
    114,704    

UFC Holdings LLC 5.04%, 04/29/2026, 1 mo. USD LIBOR + 3.250%

    114,561  
    489,436    

Victory Capital Holdings, Inc. 5.35%, 07/01/2026, 1 mo. USD LIBOR + 3.250%

    490,905  
     

 

 

 
    3,858,272  
 

 

 

 
      Energy-Alternate Sources - 0.1%  
    596,962    

Medallion Midland Acquisition LLC 5.04%, 10/30/2024, 1 mo. USD LIBOR + 3.250%

    559,652  
     

 

 

 
      Engineering & Construction - 0.0%  
    497,455    

Brand Energy & Infrastructure Services, Inc. 6.24%, 06/21/2024, 3 mo. USD LIBOR + 4.250%

    482,532  
     

 

 

 
      Entertainment - 0.2%  
    497,455    

CityCenter Holdings LLC 4.04%, 04/18/2024, 1 mo. USD LIBOR + 2.250%

    497,301  
    498,734    

Scientific Games International, Inc. 4.54%, 08/14/2024, 2 mo. USD LIBOR + 2.750%

    492,655  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  92  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 5.7%(13) - (continued)  
      Entertainment - 0.2% - (continued)  
$     497,449    

SeaWorld Parks & Entertainment, Inc. 4.79%, 03/31/2024, 1 mo. USD LIBOR + 3.000%

  $ 495,230  
     

 

 

 
    1,485,186  
 

 

 

 
      Food - 0.1%  
    140,000    

B&G Foods, Inc. 4.48%, 10/10/2026, 1 mo. USD LIBOR + 2.500%

    140,438  
    746,203    

Hostess Brands LLC 4.13%, 08/03/2025, 1 mo. USD LIBOR + 2.250%

    742,009  
    295,000    

U.S. Foods, Inc. 3.79%, 09/13/2026, 1 mo. USD LIBOR + 2.000%

    295,779  
     

 

 

 
    1,178,226  
 

 

 

 
      Gas - 0.1%  
    597,000    

Messer Industries GmbH 4.60%, 03/01/2026, 1 mo. USD LIBOR + 2.500%

    591,537  
     

 

 

 
      Healthcare-Products - 0.0%  
    306,476    

Parexel International Corp. 4.54%, 09/27/2024, 1 mo. USD LIBOR + 2.750%

    292,302  
     

 

 

 
      Healthcare-Services - 0.2%  
    100,000    

CPI Holdco LLC 0.00%, 11/04/2026, 1 mo. USD LIBOR + 4.250%(14)

    99,750  
    160,000    

Emerald TopCo, Inc. 5.29%, 07/24/2026, 1 mo. USD LIBOR + 3.500%

    157,360  
    100,000    

Ensemble RCM LLC 6.00%, 08/03/2026, 1 mo. USD LIBOR + 3.750%

    99,839  
    169,572    

Gentiva Health Services, Inc. 5.56%, 07/02/2025, 1 mo. USD LIBOR + 3.750%

    169,148  
    497,403    

Jaguar Holding Co. 4.29%, 08/18/2022, 3 mo. USD LIBOR + 2.500%

    496,159  
    500,000    

MPH Acquisition Holdings LLC 4.85%, 06/07/2023, 3 mo. USD LIBOR + 2.750%

    467,785  
    775,000    

Zelis Healthcare Corp. 0.00%, 09/30/2026, 1 mo. USD LIBOR + 4.750%(14)

    765,956  
     

 

 

 
        2,255,997  
     

 

 

 
          Insurance - 0.3%  
    696,447    

Acrisure LLC 6.35%, 11/22/2023, 1 mo. USD LIBOR + 4.250%

    682,518  
   

Asurion LLC

 
    452,987    

4.79%, 08/04/2022, 1 mo. USD LIBOR + 3.000%

    453,068  
    497,392    

4.79%, 11/03/2023, 1 mo. USD LIBOR + 3.000%

    497,924  
    895,466    

Hub International Ltd. 4.94%, 04/25/2025, 2 mo. USD LIBOR + 3.000%

    875,157  
    895,489    

Sedgwick Claims Management Services, Inc. 5.04%, 12/31/2025, 1 mo. USD LIBOR + 3.250%

    867,925  
     

 

 

 
        3,376,592  
     

 

 

 
          Leisure Time - 0.3%  
    746,203    

Caesars Resort Collection LLC 4.54%, 12/23/2024, 1 mo. USD LIBOR + 2.750%

    734,621  
    900,000    

Delta (LUX) S.a.r.l. 4.29%, 02/01/2024, 1 mo. USD LIBOR + 2.500%

    885,375  
    458,192    

Eldorado Resorts LLC 4.21%, 04/17/2024, 2 mo. USD LIBOR + 2.250%

    457,427  
    850,000    

Golden Entertainment, Inc. 4.81%, 10/21/2024, 1 mo. USD LIBOR + 3.000%

    850,536  
    185,711    

SRAM LLC 4.60%, 03/15/2024, 2 mo. USD LIBOR + 2.750%

    185,596  
     

 

 

 
        3,113,555  
     

 

 

 
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 5.7%(13) - (continued)  
          Lodging - 0.1%  
$     459,818    

Boyd Gaming Corp. 3.96%, 09/15/2023, 1 week USD LIBOR + 2.250%

  $ 459,960  
    413,080    

Caesars Entertainment Operating Co. 3.79%, 10/07/2024, 1 mo. USD LIBOR + 2.000%

    412,824  
     

 

 

 
        872,784  
     

 

 

 
          Machinery - Construction & Mining - 0.0%  
    198,782    

Brookfield WEC Holdings, Inc. 5.29%, 08/01/2025, 1 mo. USD LIBOR + 3.500%

    197,374  
     

 

 

 
          Media - 0.6%  
   

CSC Holdings LLC

 
    497,449    

4.17%, 07/17/2025, 1 mo. USD LIBOR + 2.250%

    494,479  
    365,000    

4.33%, 04/15/2027, 1 mo. USD LIBOR + 2.500%

    364,088  
    497,494    

Gray Television, Inc. 4.51%, 01/02/2026, 1 mo. ICE LIBOR + 2.500%

    498,504  
    248,701    

Houghton Mifflin Harcourt Publishing Co. 4.79%, 05/31/2021, 1 mo. USD LIBOR + 3.000%

    246,525  
    611,751    

ION Media Networks, Inc. 4.81%, 12/18/2024, 1 mo. USD LIBOR + 3.000%

    607,928  
    596,970    

MTN Infrastructure TopCo, Inc. 4.79%, 11/15/2024, 1 mo. USD LIBOR + 3.000%

    589,257  
    110,000    

NASCAR Holdings, Inc. 0.00%, 10/19/2026, 1 mo. USD LIBOR + 2.750%(14)

    110,498  
    690,000    

Nexstar Broadcasting, Inc. 4.55%, 09/18/2026, 1 mo. USD LIBOR + 2.750%

    692,201  
    497,475    

PSAV Holdings LLC 5.26%, 03/03/2025, 3 mo. USD LIBOR + 3.250%

    477,889  
    285,714    

Sinclair Television Group, Inc. 4.43%, 09/30/2026, 1 mo. USD LIBOR + 2.500%

    285,803  
    750,000    

Telenet Financing USD LLC 0.00%, 08/15/2026, 1 mo. USD LIBOR + 2.250%(14)

    748,642  
    500,000    

Ziggo Secured Finance Partnership 4.42%, 04/15/2025, 1 mo. USD LIBOR + 2.500%

    493,565  
     

 

 

 
        5,609,379  
     

 

 

 
          Miscellaneous Manufacturing - 0.2%  
    599,746    

Core & Main LP 4.81%, 08/01/2024, 6 mo. USD LIBOR + 2.750%

    585,502  
    285,000    

Tamko Building Products, Inc. 5.09%, 06/01/2026, 1 mo. USD LIBOR + 3.250%

    285,000  
    497,462    

USI, Inc. 5.10%, 05/16/2024, 3 mo. USD LIBOR + 3.000%

    482,414  
    248,728    

Wilsonart LLC 5.36%, 12/19/2023, 3 mo. USD LIBOR + 3.250%

    243,131  
     

 

 

 
    1,596,047  
 

 

 

 
          Oil & Gas - 0.1%      
    497,487    

NorthRiver Midstream Finance L.P. 0.05%, 10/01/2025, 1 mo. USD LIBOR + 3.250%

    488,960  
    497,487    

Traverse Midstream Partners LLC 5.80%, 09/27/2024, 3 mo. USD LIBOR + 4.000%

    435,302  
     

 

 

 
    924,262  
 

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  93  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 5.7%(13) - (continued)  
          Oil & Gas Services - 0.1%  
$     185,000    

Buckeye Partners L.P. 0.00%, 11/15/2026, 1 mo. USD LIBOR + 2.750%(14)

  $ 185,810  
    483,788    

Lower Cadence Holdings LLC 5.80%, 05/22/2026, 1 mo. USD LIBOR + 4.000%

    448,713  
    832,913    

UGI Energy Services LLC 5.54%, 08/13/2026, 1 mo. USD LIBOR + 3.750%

    834,995  
     

 

 

 
    1,469,518  
 

 

 

 
          Packaging & Containers - 0.3%  
    696,474    

Berlin Packaging LLC 5.00%, 11/07/2025, 1 mo. USD LIBOR + 3.000%

    675,579  
   

Berry Global, Inc.

 
EUR     214,463    

2.50%, 07/01/2026, 3 mo. EURIBOR + 2.500%

    240,850  
$     438,900    

4.44%, 07/01/2026, 3 mo. USD LIBOR + 2.500%

    440,182  
    199,500    

Charter NEX U.S., Inc. 5.29%, 05/16/2024, 1 mo. USD LIBOR + 3.500%

    197,194  
   

Flex Acquisition Co., Inc.

 
    184,968    

5.10%, 12/29/2023, 3 mo. USD LIBOR + 3.000%

    174,495  
    497,278    

5.35%, 06/29/2025, 1 mo. USD LIBOR + 3.250%

    469,788  
    140,000    

Pregis TopCo Corp. 5.79%, 07/31/2026, 1 mo. USD LIBOR + 4.000%

    137,841  
    696,419    

Reynolds Group Holdings, Inc. 4.54%, 02/05/2023, 1 mo. USD LIBOR + 2.750%

    696,037  
     

 

 

 
    3,031,966  
 

 

 

 
          Pharmaceuticals - 0.2%  
    465,572    

Bausch Health Companies, Inc. 4.92%, 06/02/2025, 1 mo. USD LIBOR + 3.000%

    467,076  
    318,400    

Catalent Pharma Solutions, Inc. 4.04%, 05/18/2026, 1 mo. USD LIBOR + 2.250%

    318,400  
    497,455    

Endo Luxembourg Finance Co., S.a r.l. 6.06%, 04/29/2024, 1 mo. USD LIBOR + 4.250%

    456,664  
    497,487    

NVA Holdings, Inc. 4.54%, 02/02/2025, 3 mo. USD LIBOR + 2.750%

    496,866  
    660,000    

Sunshine Luxembourg S.a.r.l. 6.35%, 10/01/2026, 1 mo. USD LIBOR + 4.250%

    660,277  
     

 

 

 
    2,399,283  
 

 

 

 
          Real Estate - 0.1%  
    500,000    

VICI Properties LLC 3.85%, 12/20/2024, 1 mo. USD LIBOR + 2.000%

    501,475  
     

 

 

 
          Retail - 0.3%  
    480,137    

B.C. Unlimited Liability Co. 4.04%, 02/16/2024, 1 mo. USD LIBOR + 2.250%

    480,497  
    497,462    

Bass Pro Group LLC 6.79%, 09/25/2024, 1 mo. USD LIBOR + 5.000%

    479,250  
    248,747    

Belron Finance U.S. LLC 0.04%, 11/13/2025, 1 mo. USD LIBOR + 2.250%

    248,436  
    498,727    

Harbor Freight Tools USA, Inc. 4.29%, 08/18/2023, 1 mo. USD LIBOR + 2.500%

    487,660  
    498,750    

Staples, Inc. 7.12%, 04/16/2026, 3 mo. USD LIBOR + 5.000%

    491,124  
Shares or Principal Amount   Market Value  
SENIOR FLOATING RATE INTERESTS - 5.7%(13) - (continued)  
          Retail - 0.3% - (continued)  
$     646,658    

U.S. Foods, Inc. 3.79%, 06/27/2023, 1 mo. USD LIBOR + 2.000%

  $ 648,359  
     

 

 

 
    2,835,326  
 

 

 

 
      Semiconductors - 0.1%  
    500,000    

Microchip Technology, Inc. 3.79%, 05/29/2025, 1 mo. USD LIBOR + 2.000%

    500,625  
     

 

 

 
      Software - 0.4%  
    375,000    

CDW LLC 0.00%, 10/13/2026, 3 mo. USD LIBOR + 1.750%(14)

    376,140  
    405,765    

Change Healthcare Holdings LLC 4.29%, 03/01/2024, 1 mo. USD LIBOR + 2.500%

    403,136  
    497,455    

Cypress Intermediate Holdings, Inc.
4.54%, 04/29/2024, 1 mo. USD LIBOR + 2.750%

    488,481  
    498,285    

Infor U.S., Inc. 4.85%, 02/01/2022, 1 mo. USD LIBOR + 2.750%

    498,285  
    99,497    

McAfee LLC 5.55%, 09/30/2024, 1 mo. USD LIBOR + 3.750%

    99,418  
    265,000    

Navicure, Inc. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 4.000%(14)

    264,006  
    284,051    

SS&C Technologies Holdings Europe S.a.r.l. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    284,525  
    435,141    

SS&C Technologies, Inc. 4.04%, 04/16/2025, 1 mo. USD LIBOR + 2.250%

    435,868  
    160,000    

Western Digital Corp. 0.00%, 04/29/2023, 1 mo. USD LIBOR + 1.750%(14)

    159,760  
    646,750    

WEX, Inc. 4.04%, 05/15/2026, 1 mo. USD LIBOR + 2.250%

    648,716  
     

 

 

 
    3,658,335  
 

 

 

 
      Telecommunications - 0.2%  
    497,462    

Altice France S.A. 5.61%, 01/31/2026, 3 mo. USD LIBOR + 3.688%

    484,846  
    497,468    

CenturyLink, Inc. 4.54%, 01/31/2025, 1 mo. USD LIBOR + 2.750%

    492,061  
    160,000    

Liberty Latin America Ltd. 0.00%, 10/22/2026, 1 mo. USD LIBOR + 5.000%(14)

    161,350  
 

Masmovil Holdphone S.A.

 

EUR     71,533    

0.00%, 05/07/2026, 1 mo. USD LIBOR + 3.250%(14)(16)

    79,781  
    447,084    

0.03%, 05/07/2026, 1 mo. USD LIBOR + 3.250%

    498,633  
$     746,173    

Sprint Communications, Inc. 4.31%, 02/02/2024, 1 mo. USD LIBOR + 2.500%

    737,160  
     

 

 

 
    2,453,831  
 

 

 

 
      Textiles - 0.0%  
    248,747    

ASP Unifrax Holdings, Inc. 5.85%, 12/12/2025, 3 mo. USD LIBOR + 3.750%

    215,166  
     

 

 

 
 

Total Senior Floating Rate Interests
(cost $57,245,908)

  $ 56,849,605  
   

 

 

 
U.S. GOVERNMENT AGENCIES - 2.7%  
      Mortgage-Backed Agencies - 2.7%  
      FHLMC - 1.9%  
    433,804    

2.16%, 05/25/2029

  $ 436,673  
    260,000    

2.28%, 07/25/2026

    263,335  
    228,409    

2.57%, 03/25/2030, 1 mo. USD LIBOR + 0.750%(6)

    228,533  
    481,720    

3.00%, 04/01/2049

    490,037  
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  94  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 2.7% - (continued)  
      Mortgage-Backed Agencies - 2.7% - (continued)  
      FHLMC - (continued)  
$     1,575,000    

3.00%, 11/01/2049

  $ 1,600,685  
    440,069    

3.12%, 04/25/2029, 1 mo. USD LIBOR + 1.300%(6)

    441,462  
    4,572,986    

3.50%, 08/01/2048

    4,702,376  
    28,047    

4.00%, 03/01/2041

    30,024  
    1,100,000    

4.32%, 03/25/2030, 1 mo. USD LIBOR + 2.500%(6)

    1,122,021  
    350,000    

4.47%, 12/25/2029, 1 mo. USD LIBOR + 2.650%(6)

    359,251  
    1,100,000    

5.27%, 10/25/2029, 1 mo. USD LIBOR + 3.450%(6)

    1,167,979  
    500,000    

5.37%, 08/25/2029, 1 mo. USD LIBOR + 3.550%(6)

    523,626  
    1,022,223    

5.82%, 08/25/2024, 1 mo. USD LIBOR + 4.000%(6)

    1,078,117  
    628,710    

6.37%, 10/25/2024, 1 mo. USD LIBOR + 4.550%(6)

    673,797  
    1,100,000    

6.52%, 03/25/2028, 1 mo. USD LIBOR + 4.700%(6)

    1,163,673  
    672,012    

6.57%, 10/25/2024, 1 mo. USD LIBOR + 4.750%(6)

    711,189  
    1,190,000    

6.97%, 11/25/2028, 1 mo. USD LIBOR + 5.150%(6)

    1,303,940  
    1,250,000    

7.37%, 07/25/2028, 1 mo. USD LIBOR + 5.550%(6)

    1,377,538  
    1,160,000    

8.17%, 09/25/2028, 1 mo. USD LIBOR + 6.350%(6)

    1,277,507  
     

 

 

 
        18,951,763  
     

 

 

 
          FNMA - 0.4%  
    229,105    

2.57%, 10/25/2024, 1 mo. USD LIBOR + 0.400%(6)

    228,629  
    300,000    

2.78%, 06/01/2026

    313,525  
    128,281    

3.00%, 06/01/2049

    130,408  
    1,482,090    

3.00%, 03/25/2053

    1,522,903  
    150,000    

3.07%, 02/01/2025

    158,045  
    1,505,167    

3.50%, 06/25/2059

    1,595,368  
    11,704    

4.50%, 04/01/2041

    12,687  
     

 

 

 
        3,961,565  
     

 

 

 
          GNMA - 0.1%  
    450    

6.00%, 11/20/2023

    491  
    661    

6.00%, 12/20/2023

    728  
    105    

6.00%, 01/20/2024

    114  
    521    

6.00%, 02/20/2024

    569  
    121    

6.00%, 02/20/2026

    132  
    603    

6.00%, 02/20/2027

    659  
    162    

6.00%, 01/20/2028

    177  
    5,011    

6.00%, 02/20/2028

    5,512  
    6,541    

6.00%, 04/20/2028

    7,307  
    2,498    

6.00%, 06/15/2028

    2,785  
    16,068    

6.00%, 07/20/2028

    17,948  
    15,485    

6.00%, 08/20/2028

    17,091  
    4,856    

6.00%, 10/15/2028

    5,367  
    21,018    

6.00%, 11/15/2028

    23,257  
    16,513    

6.00%, 03/20/2029

    18,447  
    16,875    

6.00%, 09/20/2029

    18,542  
    20,895    

6.00%, 04/20/2030

    22,826  
    2,979    

6.00%, 06/20/2030

    3,254  
    2,191    

6.00%, 08/15/2034

    2,461  
    25,182    

6.50%, 03/15/2028

    27,888  
    3,824    

6.50%, 05/15/2028

    4,235  
    11,280    

6.50%, 07/15/2028

    12,492  
    9,586    

6.50%, 10/15/2028

    10,624  
    819    

6.50%, 12/15/2028

    907  
    12,381    

6.50%, 01/15/2029

    13,712  
Shares or Principal Amount   Market Value  
U.S. GOVERNMENT AGENCIES - 2.7% - (continued)  
          Mortgage-Backed Agencies - 2.7% - (continued)  
          GNMA - (continued)  
$     10,129    

6.50%, 02/15/2029

  $ 11,217  
    48,003    

6.50%, 03/15/2029

    53,161  
    11,411    

6.50%, 04/15/2029

    12,639  
    6,748    

6.50%, 05/15/2029

    7,498  
    8,388    

6.50%, 06/15/2029

    9,289  
    11,612    

6.50%, 02/15/2035

    13,200  
    24,066    

7.00%, 11/15/2031

    26,635  
    15,824    

7.00%, 03/15/2032

    17,559  
    144,572    

7.00%, 11/15/2032

    171,113  
    3,929    

7.00%, 01/15/2033

    4,547  
    13,409    

7.00%, 05/15/2033

    15,455  
    23,620    

7.00%, 07/15/2033

    26,878  
    37,266    

7.00%, 11/15/2033

    42,998  
    1,774    

8.00%, 12/15/2029

    1,794  
    1,512    

8.00%, 04/15/2030

    1,562  
    6,715    

8.00%, 05/15/2030

    6,796  
    201    

8.00%, 07/15/2030

    205  
    5,894    

8.00%, 08/15/2030

    6,150  
    12,494    

8.00%, 11/15/2030

    13,192  
    70,825    

8.00%, 02/15/2031

    76,154  
     

 

 

 
        735,567  
     

 

 

 
          UMBS - 0.3%      
    1,315,000    

3.00%, 11/01/2049(17)

    1,336,216  
    1,200,000    

3.00%, 12/01/2049(17)

    1,218,115  
     

 

 

 
        2,554,331  
     

 

 

 
   

Total U.S. Government Agencies
(cost $26,208,299)

  $ 26,203,226  
     

 

 

 
U.S. GOVERNMENT SECURITIES - 9.0%  
          U.S. Treasury Securities - 9.0%  
          U.S. Treasury Bonds - 4.0%  
    795,000    

2.25%, 08/15/2049

  $ 807,608  
    665,000    

2.75%, 11/15/2042

    737,579  
    4,105,000    

2.88%, 05/15/2043

    4,649,714  
    25,970,000    

3.00%, 08/15/2048(18)

    30,527,938  
    405,000    

3.00%, 02/15/2049

    477,457  
    2,167,500    

3.13%, 02/15/2043

    2,554,687  
    200,000    

3.13%, 08/15/2044(18)

    236,984  
     

 

 

 
        39,991,967  
     

 

 

 
          U.S. Treasury Notes - 5.0%  
    5,440,000    

1.63%, 10/31/2026

    5,446,162  
    1,500,000    

1.63%, 08/15/2029

    1,491,035  
    170,000    

1.75%, 06/30/2024

    171,673  
    5,020,000    

2.13%, 03/31/2024

    5,146,873  
    840,000    

2.38%, 04/30/2026

    880,130  
    5,135,000    

2.38%, 05/15/2029

    5,444,905  
    4,700,000    

2.63%, 12/31/2023

    4,907,094  
    965,000    

2.63%, 02/15/2029

    1,043,331  
    4,430,000    

2.88%, 10/31/2020

    4,484,337  
    2,720,000    

2.88%, 11/15/2021

    2,791,719  
    9,550,000    

2.88%, 10/31/2023

    10,047,271  
    6,595,000    

2.88%, 08/15/2028

    7,244,710  
    335,000    

2.88%, 05/15/2049

    386,009  
     

 

 

 
        49,485,249  
     

 

 

 
   

Total U.S. Government Securities
(cost $79,685,308)

  $ 89,477,216  
     

 

 

 
CONVERTIBLE BONDS - 0.8%  
          Internet - 0.3%  
    2,164,000    

Priceline Group, Inc. 0.90%, 09/15/2021(2)

  $ 2,543,323  
     

 

 

 
          Media - 0.2%  
    2,630,000    

DISH Network Corp. 3.38%, 08/15/2026

    2,459,211  
     

 

 

 
 

 

The accompanying notes are an integral part of these financial statements.

 

 

  95  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Shares or Principal Amount   Market Value  
CONVERTIBLE BONDS - 0.8% - (continued)  
          Semiconductors - 0.3%  
$     1,436,000    

Microchip Technology, Inc. 1.63%, 02/15/2025

  $ 2,770,582  
     

 

 

 
   

Total Convertible Bonds
(cost $7,176,991)

  $ 7,773,116  
     

 

 

 
EXCHANGE-TRADED FUNDS - 0.1%  
          Other Investment Pools & Funds - 0.1%  
    25,000    

SPDR Blackstone / GSO Senior Loan
ETF(2)

  $ 1,146,750  
     

 

 

 
   

Total Exchange-Traded Funds
(cost $1,167,000)

  $ 1,146,750  
     

 

 

 
PREFERRED STOCKS - 0.1%  
          Telecommunication Services - 0.1%  
    56,300    

Telefonica Brasil S.A.*

  $ 745,145  
     

 

 

 
   

Total Preferred Stocks
(cost $666,361)

  $ 745,145  
     

 

 

 
RIGHTS - 0.0%  
          Diversified Financials - 0.0%  
    39,442    

Mapletree Commercial Trust*

  $ 2,609  
     

 

 

 
   

Total Rights
(cost $—)

  $ 2,609  
     

 

 

 
   

Total Long-Term Investments
(cost $946,522,298)

  $ 981,781,717  
     

 

 

 
SHORT-TERM INVESTMENTS - 4.0%  
          Other Investment Pools & Funds - 3.3%  
    33,143,586    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(19)

 

   $ 33,143,586  
      

 

 

 
          Securities Lending Collateral - 0.7%  
    327,809    

Citibank NA DDCA, 1.80%, 11/1/2019(19)

 

     327,809  
    4,599,222    

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 1.75%(19)

 

     4,599,222  
    73,779    

Goldman Sachs Financial Square Funds, Government Fund, Institutional Class, 1.75%(19)

 

     73,779  
    610,074    

Invesco Government & Agency Portfolio, Institutional Class, 1.70%(19)

 

     610,074  
    886,361    

Morgan Stanley Institutional Liquidity Funds, Government Portfolio, Institutional Class, 1.69%(19)

 

     886,361  
    58,940    

Western Asset Institutional Government Class A Fund, Institutional Class, 1.68%(19)

 

     58,940  
      

 

 

 
         6,556,185  
      

 

 

 
   

Total Short-Term Investments
(cost $39,699,771)

 

   $ 39,699,771  
      

 

 

 
                         

Total Investments
(cost $986,222,069)

    103.0    $     1,021,481,488  
   

Other Assets and Liabilities

    (3.0 )%       (29,301,960
     

 

 

    

 

 

 
   

Total Net Assets

    100.0    $ 992,179,528  
     

 

 

    

 

 

 

 

Note:

Percentage of investments as shown is the ratio of the total market value to total net assets.

 

    

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service approved by

  the Board of Directors in order to reflect an adjustment for factors occurring after the close of certain foreign markets but before the close of the New York Stock Exchange.

 

    

The Fund may refer to any one or more of the industry classifications used by one or more widely recognized market indices, ratings group and/or as defined by Fund management. Industry classifications may not be identical across all security types.

 

    

Equity industry classifications used in this report are the Global Industry Classification Standard, which was developed by and is the exclusive property and service mark of MSCI, Inc. and Standard & Poor’s.

 

    

For Fund compliance purposes, the Fund may not use the same classification system. These classifications are used for financial reporting purposes.

 

    

See “Glossary” for abbreviation descriptions.

 

*

Non-income producing.

 

(1) 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions that are exempt from registration (typically only to qualified institutional buyers) or in a public offering registered under the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $295,703,970, representing 29.8% of net assets.

 

(2) 

Represents entire or partial securities on loan. See Note 8 in the accompanying Notes to Financial Statements for securities lending information.

 

(3) 

Investment valued using significant unobservable inputs.

 

(4) 

These securities are valued in good faith at fair value as determined under policies and procedures established by and under the supervision of the Board of Directors. At October 31, 2019, the aggregate fair value of these securities was $1,199,313, which represented 0.1% of total net assets. This amount excludes securities that are principally traded in certain foreign markets and whose prices are adjusted pursuant to a third party pricing service methodology approved by the Board of Directors.

 

(5) 

Investment in securities not registered under the Securities Act of 1933 (excluding securities acquired pursuant to Rule 144A and Regulation S). At the end of the period, the value of such restricted securities amounted to $1,199,313 or 0.1% of net assets.

 

Period
Acquired
    

Security Name

   Shares/
Par Value
     Base
Total Cost
     Base
Market Value
 
  08/2011      Allstar Co.      2,006,600      $ 872,909      $ 461,518  
  11/2013      Tory Burch LLC      13,296        1,042,090        737,795  
        

 

 

    

 

 

 
         $     1,914,998      $     1,199,313  
        

 

 

    

 

 

 

 

(6)

Variable rate securities; the rate reported is the coupon rate in effect at October 31, 2019. Base lending rates may be subject to a floor or cap.

 

(7)

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

 

(8) 

Securities disclosed are interest-only strips.

 

(9) 

Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at October 31, 2019. Rate will reset at a future date. Base lending rates may be subject to a floor or cap.

 

(10) 

This security, or a portion of this security, was purchased on a when-issued, delayed-delivery or delayed-draw basis. The cost of these securities was $1,381,277 at October 31, 2019.

 

(11) 

Security is a “step-up” bond where coupon increases or steps up at a predetermined date. Rate shown is current coupon rate.

 

(12) 

Perpetual maturity security. Maturity date shown is the next call date or final legal maturity date, whichever comes first.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  96  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

 

(13)

Senior floating rate interests generally pay interest rates which are periodically adjusted by reference to a base short-term, floating lending rate plus a premium. The base lending rates are primarily the LIBOR, and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit rate or other base lending rates used by commercial lenders. Senior floating rate interests often require prepayments from excess cash flows or permit the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. As a result, the actual remaining maturity may be substantially less than the stated maturities shown. Base lending rates may be subject to a floor or cap. Unless otherwise noted, the interest rate disclosed for these securities represents the rate in effect as of October 31, 2019.

 

(14) 

Represents an unsettled loan commitment. The coupon rate will be determined at time of settlement.

 

(15) 

Security is exempt from registration under Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the

  United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At October 31, 2019, the aggregate value of these securities was $25,417,435, representing 2.6% of net assets.

 

(16) 

This security, or a portion of this security, has unfunded loan commitments. As of October 31, 2019, the aggregate value of the unfunded commitment was $113,637, which rounds to 0.0% of total net assets.

 

(17) 

Represents or includes a TBA transaction.

 

(18) 

All, or a portion of the security, was pledged as collateral in connection with futures contracts. As of October 31, 2019, the market value of securities pledged was $1,700,445.

 

(19) 

Current yield as of period end.

 

 

Futures Contracts Outstanding at October 31, 2019  

Description

   Number of
Contracts
     Expiration
Date
     Current
Notional
Amount
     Value and
Unrealized
Appreciation/
(Depreciation)
 
Long position contracts:  

U.S. Treasury 5-Year Note Future

     92        12/31/2019      $     10,966,688      $ (31,516
           

 

 

 

Total futures contracts

 

   $     (31,516
           

 

 

 

 

OTC Total Return Swap Contracts Outstanding at October 31, 2019  

Reference Entity

   Counterparty    Notional
Amount
     Payments
received (paid)
by the Fund
   Expiration
Date
     Periodic
Payment
Frequency
     Upfront
Premiums
Paid
     Upfront
Premiums
Received
    Market
Value
     Unrealized
Appreciation/
(Depreciation)
 

iBoxx USD Liquid High Yield

   GSC      USD       2,000,000      (1.00%)      12/20/19        Quarterly      $     —      $     (1,395   $     6,230      $     7,625  
                   

 

 

    

 

 

   

 

 

    

 

 

 

 

Foreign Currency Contracts Outstanding at October 31, 2019  
Amount and Description of
Currency to be Purchased
   Amount and Description of
Currency to be Sold
   Counterparty    Settlement
Date
    Appreciation     Depreciation  
  3,220,000      EUR      3,596,177      USD    RBC      11/29/19     $ 1,822     $  
  4,570,000      EUR      5,107,975      USD    UBS      11/29/19             (1,499
  8,860,000      GBP      11,442,610      USD    RBC      11/29/19       44,570        
  6,312,025      USD      6,265,000      CHF    MSC      11/29/19             (52,261
  43,808,897      USD      39,409,000      EUR    CBK      11/29/19             (226,361
  11,384,940      USD      8,860,000      GBP    BCLY      11/29/19             (102,240
  2,443,184      USD      10,484,000      RON    HSBC      11/29/19             (15,560
  2,796,349      USD      27,020,000      SEK    BCLY      11/29/19             (6,356
                

 

 

   

 

 

 
 

Total

    $     46,392     $     (404,277
 

 

 

   

 

 

 

 

 

See Significant Accounting Policies of accompanying Notes to Financial Statements regarding valuation of investments.

 

The accompanying notes are an integral part of these financial statements.

 

 

  97  

 


Hartford Multi-Asset Income and Growth Fund

Schedule of Investments – (continued)

October 31, 2019

 

 

 

Fair Valuation Summary

The following is a summary of the fair valuations according to the inputs used as of October 31, 2019 in valuing the Fund’s investments.

 

Description

   Total     Level 1     Level 2     Level 3(1)  

Assets

 

Common Stocks

 

Automobiles & Components

   $ 7,884,027     $ 2,563,408     $ 5,320,619     $  

Banks

     2,425,282       507,404       1,917,878        

Capital Goods

     16,182,261       6,565,189       9,617,072        

Commercial & Professional Services

     260,612             260,612        

Consumer Durables & Apparel

     25,169,539       22,275,133       2,894,406        

Consumer Services

     1,578,310       1,578,310              

Diversified Financials

     8,541,209       6,298,193       2,243,016        

Energy

     20,826,790       16,102,463       4,724,327        

Food & Staples Retailing

     1,220,085       395,199       824,886        

Food, Beverage & Tobacco

     6,268,463       3,048,547       3,219,916        

Health Care Equipment & Services

     1,942,596       1,431,035       511,561        

Household & Personal Products

     1,295,558       1,038,457       257,101        

Insurance

     11,773,405       1,644,813       10,128,592        

Materials

     7,105,321       2,188,381       4,916,940        

Media & Entertainment

     1,747,024       1,171,312       575,712        

Pharmaceuticals, Biotechnology & Life Sciences

     16,571,179       6,539,701       10,031,478        

Real Estate

     40,544,478       30,414,005       10,130,473        

Retailing

     2,802,479       1,091,964       511,202       1,199,313  

Semiconductors & Semiconductor Equipment

     3,773,064       1,612,010       2,161,054        

Software & Services

     14,538,391       14,143,400       394,991        

Technology Hardware & Equipment

     2,534,577       1,444,340       1,090,237        

Telecommunication Services

     13,827,769       3,024,677       10,803,092        

Transportation

     1,733,309             1,733,309        

Utilities

     9,424,115       4,892,377       4,531,738        

Asset & Commercial Mortgage Backed Securities

     120,019,742             120,019,742        

Corporate Bonds

     260,432,708             260,432,708        

Equity Linked Securities

     136,904,423                   136,904,423  

Foreign Government Obligations

     53,779,399             53,779,399        

Municipal Bonds

     8,477,935             8,477,935        

Senior Floating Rate Interests

     56,849,605             56,849,605        

U.S. Government Agencies

     26,203,226             26,203,226        

U.S. Government Securities

     89,477,216             89,477,216        

Convertible Bonds

     7,773,116             7,773,116        

Exchange-Traded Funds

     1,146,750       1,146,750              

Preferred Stocks

     745,145       745,145              

Rights

     2,609       2,609              

Short-Term Investments

     39,699,771       39,699,771              

Foreign Currency Contracts(2)

     46,392             46,392        

Swaps - Total Return(2)

     7,625             7,625        
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $     1,021,535,505     $     171,564,593     $     711,867,176     $     138,103,736  
  

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities

 

Foreign Currency Contracts(2)

   $ (404,277   $     $ (404,277   $  

Futures Contracts(2)

     (31,516     (31,516            
  

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ (435,793   $ (31,516   $ (404,277   $  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

For the year ended October 31, 2019, there were no transfers in and out of Level 3.

 

(2) 

Derivative instruments (excluding purchased and written options, if applicable) are valued at the unrealized appreciation/(depreciation) on the investments.

The following is a rollforward of the Fund’s investments that were valued using unobservable inputs (Level 3) for the year ended October 31, 2019:

 

     Asset-Backed     Common Stocks     Equity Linked
Securities
     Total  

Beginning balance

   $ 163,649     $ 1,595,946     $      $ 1,759,595  

Purchases

                 135,948,356        135,948,356  

Sales

         (163,649                  (163,649

Accrued discounts/(premiums)

                         

Total realized gain/(loss)

                         

Net change in unrealized appreciation/depreciation

           (396,633     956,067        559,434  

Transfers into Level 3

                         

Transfers out of Level 3

                         
  

 

 

   

 

 

   

 

 

    

 

 

 

Ending balance

   $     $     1,199,313     $     136,904,423      $     138,103,736  
  

 

 

   

 

 

   

 

 

    

 

 

 

The change in net unrealized appreciation/(depreciation) relating to the Level 3 investments held at October 31, 2019 was $559,434.

 

The accompanying notes are an integral part of these financial statements.

 

 

  98  

 


Hartford Multi-Strategy Funds

GLOSSARY: (abbreviations used in preceding Schedule of Investments)

 

 

 

Counterparty Abbreviations:

BCLY

   Barclays

BMO

   Bank of Montreal

BNP

   BNP Paribas Securities Services

BOA

   Banc of America Securities LLC

CBA

   Commonwealth Bank of Australia

CBK

   Citibank NA

DEUT

   Deutsche Bank Securities, Inc.

GSC

   Goldman Sachs & Co.

HSBC

   HSBC Bank USA

JPM

   JP Morgan Chase & Co.

MSC

   Morgan Stanley

RBC

   RBC Dominion Securities, Inc.

SCB

   Standard Chartered Bank

SSG

   State Street Global Markets LLC

UBS

   UBS AG

WEST

   Westpac International
Currency Abbreviations:

ARS

   Argentine Peso

AUD

   Australian Dollar

BRL

   Brazilian Real

CAD

   Canadian Dollar

CHF

   Swiss Franc

CLP

   Chilean Peso

CNY

   Chinese Yuan

COP

   Colombian Peso

CZK

   Czech Koruna

EGP

   Egyptian Pound

EUR

   Euro

GBP

   British Pound

HUF

   Hungarian Forint

IDR

   Indonesian Rupiah

ILS

   Israeli Shekel

INR

   Indian Rupee

JPY

   Japanese Yen

KRW

   South Korean Won

MXN

   Mexican Peso

NOK

   Norwegian Krone

NZD

   New Zealand Dollar

PEN

   Peruvian Sol

PHP

   Philippine Peso

PLN

   Polish Zloty

RON

   New Romanian Leu

RUB

   Russian Ruble

SEK

   Swedish Krona

SGD

   Singapore Dollar

THB

   Thai Baht

TRY

   Turkish Lira

USD

   United States Dollar

ZAR

   South African Rand
Index Abbreviations:

CDX.EM

   Credit Derivatives Emerging Markets

CDX.NA.HY

   Credit Derivatives North American High Yield

CDX.NA.IG

   Credit Derivatives North American Investment Grade

CMBX.NA

   Markit Commercial Mortgage Backed North American

CPI

   Consumer Price Index

EAFE

   Europe, Australasia and Far East

iBoxx

   Markit iBoxx Indices - Euro, Sterling, Asian, US Dollar and European High-Yield Bond Markets

ICE

   Intercontinental Exchange, Inc.

ITRAXX.EUR

   Markit iTraxx - Europe

MSCI

   Morgan Stanley Capital International

MTA

   Monthly Treasury Average Index

PrimeX.ARM

   Markit PrimeX Adjustable Rate Mortgage Backed Security

S&P

   Standard & Poor’s
Municipal Abbreviations:

Auth

   Authority

Dev

   Development

Dist

   District

GO

   General Obligation

Rev

   Revenue
Other Abbreviations:

ADR

   American Depositary Receipt

CJSC

   Closed Joint Stock Company

CLO

   Collateralized Loan Obligation

CMO

   Collateralized Mortgage Obligation

DDCA

   Dollars on Deposit in Custody Account

EM

   Emerging Markets

ETF

   Exchange-Traded Fund

EURIBOR

   Euro Interbank Offered Rate

FHLMC

   Federal Home Loan Mortgage Corp.

FNMA

   Federal National Mortgage Association

GDR

   Global Depositary Receipt

GNMA

   Government National Mortgage Association

LIBOR

   London Interbank Offered Rate

MSCI

   Morgan Stanley Capital International

NIBOR

   Norwegian Interbank Offered Rate

OJSC

   Open Joint Stock Company

OTC

   Over-the-Counter

PAC

   Planned Amortization Class

PIK

   Payment-in-kind

PJSC

   Private Joint Stock Company

PT

   Perseroan Terbatas

REIT

   Real Estate Investment Trust

SOFR

   Secured Overnight Financing Rate

SPDR

   Standard & Poor’s Depositary Receipt

TBA

   To Be Announced

UMBS

   Uniform Mortgage Backed Securities
 

 

 

  99  

 


Hartford Multi-Strategy Funds

Statements of Assets and Liabilities

October 31, 2019

 

 

 

     The Hartford
Balanced
Income Fund
     Hartford AARP
Balanced
Retirement Fund
    The Hartford
Checks and
Balances Fund
     The Hartford
Conservative
Allocation Fund
     The Hartford
Global Real
Asset Fund
(consolidated)
 

Assets:

             

Investments in securities, at market value(1)

   $ 12,995,987,886      $ 136,053,197     $ 3,140,707      $ 265,709      $     264,175,835  

Investments in affiliated investment companies, at market value

            35,402,137       1,569,194,371            129,089,774         

Cash

     8,682,455        1,590                     338,847  

Cash collateral due from broker on futures contracts

     5,972,000                             

Foreign currency

     898,660        71,051                     234,015  

Due from Custodian

     625,511                             

Unrealized appreciation on OTC swap contracts

            1,741                     1,327  

Unrealized appreciation on foreign currency contracts

     400,680        100,952                     88,668  

Unrealized appreciation on bond forward contracts

            58,183                      

Receivables:

             

Investment securities sold

     31,114,393        3,725,921       137,131        75,340        6,141,411  

Fund shares sold

     37,511,644        3,785       1,200,224        8,046        27,843  

Dividends and interest

     72,576,034        354,745       1,441,093        119,107        488,957  

Securities lending income

     7,722        614                     2,710  

Variation margin on futures contracts

                                 

Variation margin on centrally cleared swap contracts

     374,847                             

Tax reclaims

     3,308,307        82,592                     52,735  

OTC swap contracts premiums paid

     3,600,407        4,189                     22,380  

Other assets

     423,390        172,457       58,051        39,860        924,669  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total assets

     13,161,483,936        176,033,154       1,575,171,577        129,597,836        272,499,397  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Liabilities:

             

Unrealized depreciation on foreign currency contracts

     775,938        178,439                     247,572  

Due to Custodian

            291                      

Obligation to return securities lending collateral

     14,567,918        2,592,433                     4,595,276  

Unrealized depreciation on OTC swap contracts

     1,368,732        13,266                     48,357  

Cash collateral due to broker on futures contracts

     2,350,000                             

Unfunded loan commitments

                                 

Payables:

             

Investment securities purchased

     66,156,787        14,159,964              43,839        3,885,403  

Fund shares redeemed

     13,415,800        484,360       1,048,633        103,074        33,285  

Investment management fees

     5,728,702        41,776              11,258        214,626  

Transfer agent fees

     2,153,255        57,081       380,456        38,383        44,200  

Accounting services fees

     193,467        3,022       18,517        1,576        4,073  

Board of Directors’ fees

     52,567        1,095       7,135        564        1,446  

Variation margin on centrally cleared swap contracts

            30,869                     18  

Variation margin on futures contracts

     3,402,025        66,618                     94,591  

Foreign taxes

                                6,549  

Distribution fees

     475,810        6,495       54,746        4,861        731  

Distributions payable

                                 

Written options

                                7,180  

Accrued expenses

     670,962        124,396       84,714        26,263        58,015  

OTC swap contracts premiums received

     321,496        3,903                     20,340  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total liabilities

     111,633,459        17,764,008       1,594,201        229,818        9,261,662  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Net assets

   $ 13,049,850,477      $ 158,269,146     $ 1,573,577,376      $ 129,368,018      $ 263,237,735  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Summary of Net Assets:

             

Capital stock and paid-in-capital

   $ 11,631,827,962      $ 184,034,393     $ 1,435,594,764      $ 127,191,306      $ 353,085,462  

Distributable earnings (loss)

     1,418,022,515        (25,765,247     137,982,612        2,176,712        (89,847,727
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Net assets

   $     13,049,850,477      $     158,269,146     $     1,573,577,376      $ 129,368,018      $ 263,237,735  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Shares authorized

     2,200,000,000        610,000,000       1,110,000,000        560,000,000        760,000,000  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Par value

   $ 0.0010      $ 0.0010     $ 0.0010      $ 0.0010      $ 0.0010  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Class A:  Net asset value per share

   $ 14.76      $ 9.20     $ 9.64      $ 10.83      $ 8.84  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

         Maximum offering price per share

   $ 15.62      $ 9.63     $ 10.20      $ 11.46      $ 9.35  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

         Shares outstanding

     238,292,186        9,125,774       136,107,953        9,750,884        1,625,211  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 3,517,690,900      $ 83,998,271     $ 1,311,955,209      $ 105,569,134      $ 14,360,133  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Class C:  Net asset value per share

   $ 14.53      $ 9.21     $ 9.57      $ 10.71      $ 8.64  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

         Shares outstanding

     231,630,090        4,314,506       17,409,844        1,396,227        351,394  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 3,365,429,663      $ 39,757,438     $ 166,662,806      $ 14,946,892      $ 3,037,657  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  100  

 


Hartford Multi-Strategy Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     The Hartford
Balanced
Income Fund
     Hartford AARP
Balanced
Retirement Fund
     The Hartford
Checks and
Balances Fund
     The Hartford
Conservative
Allocation Fund
     The Hartford
Global Real
Asset Fund
(consolidated)
 

Class I:  Net asset value per share

   $ 14.77      $ 9.20      $ 9.66      $ 10.85      $ 8.83  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     248,586,834        2,874,372        6,895,023        115,440        4,327,493  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 3,670,728,705      $ 26,433,273      $ 66,574,485      $ 1,252,617      $ 38,226,483  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R3:  Net asset value per share

   $ 14.82      $ 9.21      $ 9.60      $ 10.83      $ 8.88  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     12,879,419        138,989        1,639,476        321,582        7,914  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 190,850,763      $ 1,279,400      $ 15,732,890      $ 3,481,424      $ 70,269  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R4:  Net asset value per share

   $ 14.83      $ 9.16      $ 9.61      $ 10.84      $ 8.86  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     6,967,941        38,131        608,577        193,172        6,660  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 103,303,979      $ 349,447      $ 5,846,793      $ 2,093,572      $ 58,993  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R5:  Net asset value per share

   $ 14.85      $ 9.17      $ 9.50      $ 10.88      $ 8.78  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     2,948,414        87,891        35,307        185,013        4,398  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 43,769,525      $ 805,823      $ 335,506      $ 2,012,788      $ 38,611  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class R6:  Net asset value per share

   $ 14.93      $ 9.19      $      $      $  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     12,879,180        1,147                       
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 192,278,956      $ 10,537      $      $      $  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class Y:  Net asset value per share

   $ 14.93      $ 9.14      $      $      $ 8.84  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     10,087,969        409,794                      10,913,832  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 150,619,944      $ 3,745,855      $      $      $ 96,452,973  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Class F:  Net asset value per share

   $ 14.77      $ 9.13      $ 9.66      $ 10.86      $ 8.83  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Shares outstanding

     122,873,830        206,878        669,962        1,067        12,566,342  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 1,815,178,042      $ 1,889,102      $ 6,469,687      $ 11,591      $ 110,992,616  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cost of investments

   $     11,722,933,560      $     134,040,016      $ 3,140,707      $ 265,709      $     258,716,621  

Cost of investments in affiliated investment companies

   $      $ 35,187,697      $     1,500,348,086      $     124,087,558      $  

Cost of foreign currency

   $ 899,034      $ 71,082      $      $      $ 234,132  

Proceeds of written option contracts

   $      $      $      $      $ 7,867  

(1) Includes Investment in securities on loan, at market value

   $ 13,887,838      $ 2,454,756      $      $      $ 4,956,599  

 

The accompanying notes are an integral part of these financial statements.

 

 

  101  

 


Hartford Multi-Strategy Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     The Hartford
Growth
Allocation Fund
     Hartford
Moderate
Allocation Fund
     Hartford
Multi-Asset
Income and
Growth Fund
 

Assets:

        

Investments in securities, at market value(1)

   $ 1,199,724      $ 798,272      $     1,021,481,488  

Investments in affiliated investment companies, at market value

         601,550,728            397,428,079         

Cash

                    

Cash collateral due from broker on futures contracts

                   73,600  

Foreign currency

                   96,004  

Due from Custodian

                   4,979,093  

Unrealized appreciation on OTC swap contracts

                   7,625  

Unrealized appreciation on foreign currency contracts

                   46,392  

Unrealized appreciation on bond forward contracts

                    

Receivables:

        

Investment securities sold

     508,589        183,092        32,928,902  

Fund shares sold

     64,500        94,951        629,074  

Dividends and interest

     149,869        195,957        5,184,171  

Securities lending income

                   5,700  

Variation margin on futures contracts

                    

Variation margin on centrally cleared swap contracts

                    

Tax reclaims

                   310,833  

OTC swap contracts premiums paid

                    

Other assets

     45,187        43,380        61,933  
  

 

 

    

 

 

    

 

 

 

Total assets

     603,518,597        398,743,731        1,065,804,815  
  

 

 

    

 

 

    

 

 

 

Liabilities:

        

Unrealized depreciation on foreign currency contracts

                   404,277  

Due to Custodian

                   8,114  

Obligation to return securities lending collateral

                   6,556,185  

Unrealized depreciation on OTC swap contracts

                    

Cash collateral due to broker on futures contracts

                    

Unfunded loan commitments

                   113,809  

Payables:

        

Investment securities purchased

     52,680        73,785        60,358,902  

Fund shares redeemed

     618,871        292,219        5,229,857  

Investment management fees

     50,110        33,550        469,818  

Transfer agent fees

     217,293        127,428        275,725  

Accounting services fees

     7,072        4,697        15,155  

Board of Directors’ fees

     2,906        1,982        4,458  

Variation margin on centrally cleared swap contracts

                    

Variation margin on futures contracts

                   53,472  

Foreign taxes

                   11,035  

Distribution fees

     19,855        13,400        29,632  

Distributions payable

                   26  

Written options

                    

Accrued expenses

     48,605        41,748        93,427  

OTC swap contracts premiums received

                   1,395  
  

 

 

    

 

 

    

 

 

 

Total liabilities

     1,017,392        588,809        73,625,287  
  

 

 

    

 

 

    

 

 

 

Net assets

   $ 602,501,205      $ 398,154,922      $ 992,179,528  
  

 

 

    

 

 

    

 

 

 

Summary of Net Assets:

        

Capital stock and paid-in-capital

   $ 546,100,052      $ 371,038,902      $ 828,573,059  

Distributable earnings (loss)

     56,401,153        27,116,020        163,606,469  
  

 

 

    

 

 

    

 

 

 

Net assets

   $ 602,501,205      $ 398,154,922      $ 992,179,528  
  

 

 

    

 

 

    

 

 

 

Shares authorized

     560,000,000        560,000,000        1,060,000,000  
  

 

 

    

 

 

    

 

 

 

Par value

   $ 0.0010      $ 0.0010      $ 0.0010  
  

 

 

    

 

 

    

 

 

 

Class A:  Net asset value per share

   $ 12.81      $ 11.87      $ 23.33  
  

 

 

    

 

 

    

 

 

 

         Maximum offering price per share

   $ 13.56      $ 12.56      $ 24.69  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     40,778,930        27,683,066        28,570,487  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 522,270,912      $ 328,638,731      $ 666,683,609  
  

 

 

    

 

 

    

 

 

 

Class C:  Net asset value per share

   $ 12.69      $ 11.72      $ 23.36  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     3,976,987        3,025,755        4,575,276  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 50,463,342      $ 35,454,175      $ 106,873,869  
  

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  102  

 


Hartford Multi-Strategy Funds

Statements of Assets and Liabilities – (continued)

October 31, 2019

 

 

 

     The Hartford
Growth
Allocation Fund
     Hartford
Moderate
Allocation Fund
     Hartford
Multi-Asset
Income and
Growth Fund
 

Class I:  Net asset value per share

   $ 12.75      $ 11.93      $ 23.32  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     882,246        822,958        4,472,238  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 11,245,236      $ 9,816,796      $ 104,283,795  
  

 

 

    

 

 

    

 

 

 

Class R3:  Net asset value per share

   $ 12.48      $ 11.67      $ 23.61  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     554,479        1,274,997        78,072  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 6,920,968      $ 14,880,332      $ 1,842,963  
  

 

 

    

 

 

    

 

 

 

Class R4:  Net asset value per share

   $ 12.74      $ 11.86      $ 23.67  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     444,003        280,334        54,955  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 5,656,654      $ 3,324,646      $ 1,300,608  
  

 

 

    

 

 

    

 

 

 

Class R5:  Net asset value per share

   $ 12.83      $ 11.94      $ 23.67  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     443,545        484,887        14,758  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 5,692,474      $ 5,788,416      $ 349,393  
  

 

 

    

 

 

    

 

 

 

Class R6:  Net asset value per share

   $      $      $ 23.68  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

                   5,530  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $      $      $ 130,958  
  

 

 

    

 

 

    

 

 

 

Class Y:  Net asset value per share

   $      $      $ 23.69  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

                   556,595  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $      $      $ 13,185,444  
  

 

 

    

 

 

    

 

 

 

Class F:  Net asset value per share

   $ 12.76      $ 11.93      $ 23.31  
  

 

 

    

 

 

    

 

 

 

         Shares outstanding

     19,722        21,103        4,184,407  
  

 

 

    

 

 

    

 

 

 

         Net Assets

   $ 251,619      $ 251,826      $ 97,528,889  
  

 

 

    

 

 

    

 

 

 

Cost of investments

   $ 1,199,724      $ 798,272      $     986,222,069  

Cost of investments in affiliated investment companies

   $     568,679,863      $     379,608,080      $  

Cost of foreign currency

   $      $      $ 96,034  

Proceeds of written option contracts

   $      $      $  

(1) Includes Investment in securities on loan, at market value

   $      $      $ 6,502,535  

 

The accompanying notes are an integral part of these financial statements.

 

 

  103  

 


Hartford Multi-Strategy Funds

Statements of Operations

For the Year Ended October 31, 2019

 

 

 

     The Hartford
Balanced
Income Fund
    Hartford AARP
Balanced
Retirement Fund
    The Hartford
Checks and
Balances Fund
    The Hartford
Conservative
Allocation Fund
    The Hartford
Global Real
Asset Fund
(consolidated)
 

Investment Income:

          

Dividends

   $ 169,269,481     $ 1,762,384     $     $     $ 8,164,826  

Dividends from affiliated investment companies

           89,067       30,824,735       4,544,489        

Interest

     270,348,215       1,867,077       63,528       7,416       2,588,477  

Securities lending

     886,959       26,136                   79,580  

Less: Foreign tax withheld

     (4,035,194     (48,289                 (504,726
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total investment income, net

         436,469,461           3,696,375       30,888,263       4,551,905       10,328,157  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expenses:

          

Investment management fees

     64,018,886       402,425             126,209       2,781,993  

Transfer agent fees

          

Class A

     2,612,453       16,694       1,232,423       112,702       29,500  

Class C

     2,718,079       15,319       210,252       23,463       8,149  

Class I

     2,448,823       16,163       54,220       1,382       33,610  

Class R3

     364,719       555       33,303       8,673       195  

Class R4

     176,603       256       7,856       3,864       282  

Class R5

     41,554       204       1,340       2,272       16  

Class R6

     5,172                          

Class Y

     129,959                         82,199  

Class F

     4,170             46             204  

Distribution fees

          

Class A

     8,112,769       57,139       3,176,440       245,981       39,133  

Class C

     32,957,381       157,690       1,786,312       182,641       37,890  

Class R3

     966,359       11,004       79,439       20,255       442  

Class R4

     298,540       5,286       13,839       5,722       414  

Custodian fees

     228,240       31,196       6,245       4,272       34,943  

Registration and filing fees

     393,759       127,659       124,585       98,192       108,474  

Accounting services fees

     2,150,830       19,024       215,017       17,669       51,966  

Board of Directors’ fees

     379,843       2,772       49,075       3,997       9,533  

Audit fees

     43,736       59,748       21,193       20,555       72,756  

Other expenses

     1,402,550       20,826       187,167       23,354       39,595  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses (before waivers, reimbursement and fees paid indirectly)

     119,454,425       943,960       7,198,752       901,203       3,331,294  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Expense waivers

           (226,832           (1,960     (262,808

Management fee waivers

                             (342,493

Transfer agent fee waivers

     (14,238                        

Distribution fee reimbursements

     (12,155     (55,640     (11,976     (3,219     (172

Commission recapture

     (22,336     (181                 (2,786
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total waivers, reimbursement and fees paid indirectly

     (48,729     (282,653     (11,976     (5,179     (608,259
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses, net

     119,405,696       661,307       7,186,776       896,024       2,723,035  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Investment Income (Loss)

     317,063,765       3,035,068       23,701,487       3,655,881       7,605,122  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions:

          

Capital gain distributions received from underlying funds

                     118,807,251           2,566,472        

Net realized gain (loss) on investments

     113,671,045       79,764                   (16,959,754

Less: Foreign taxes paid on realized capital gains

           (564                 (27,406

Net realized gain (loss) on investments in affiliated investment companies

           (12,033     (21,300,057     (1,631,961      

Net realized gain (loss) on purchased options contracts

           (432,064                 (41,720

Net realized gain (loss) on futures contracts

     3,991,205       836,328                   (3,392,507

Net realized gain (loss) on written options contracts

           96,448                   1,242  

Net realized gain (loss) on swap contracts

     1,775,088       (13,859                 (154,614

Net realized gain (loss) on bond forward contracts

           74,703                    

Net realized gain (loss) on foreign currency contracts

     5,977,568       388,168                   746,844  

Net realized gain (loss) on other foreign currency transactions

     (225,477     (29,147                 (36,682
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     125,189,429       987,744       97,507,194       934,511           (19,864,597
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  104  

 


Hartford Multi-Strategy Funds

Statements of Operations – (continued)

For the Year Ended October 31, 2019

 

 

 

     The Hartford
Balanced
Income Fund
    Hartford AARP
Balanced
Retirement Fund
    The Hartford
Checks and
Balances Fund
     The Hartford
Conservative
Allocation Fund
     The Hartford
Global Real
Asset Fund
(consolidated)
 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions:

            

Net unrealized appreciation (depreciation) of investments

   $ 1,117,773,125     $ 2,207,380     $      $      $ 13,613,017  

Net unrealized appreciation (depreciation) of investments in affiliated investment companies

           214,440       77,511,220        6,513,136         

Net unrealized appreciation (depreciation) of purchased options contracts

           (209,757                   6,900  

Net unrealized appreciation (depreciation) of futures contracts

     (13,069,488     (102,146                   712,588  

Net unrealized appreciation (depreciation) of written options contracts

           (126                   (196

Net unrealized appreciation (depreciation) of swap contracts

     (1,474,534     7,970                     (54,277

Net unrealized appreciation (depreciation) of bond forward contracts

           58,183                      

Net unrealized appreciation (depreciation) of foreign currency contracts

     (1,584,348     (158,935                   (215,422

Net unrealized appreciation (depreciation) of translation of other assets and liabilities in foreign currencies

     150,863       1,256                     1,678  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions

         1,101,795,618           2,018,265       77,511,220        6,513,136            14,064,288  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Net Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     1,226,985,047       3,006,009       175,018,414        7,447,647        (5,800,309
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

   $ 1,544,048,812     $ 6,041,077     $     198,719,901      $     11,103,528      $ 1,804,813  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  105  

 


Hartford Multi-Strategy Funds

Statements of Operations – (continued)

For the Year Ended October 31, 2019

 

 

 

     The Hartford
Growth
Allocation Fund
    Hartford
Moderate
Allocation Fund
    Hartford
Multi-Asset
Income and
Growth Fund
 

Investment Income:

      

Dividends

   $     $     $ 19,046,420  

Dividends from affiliated investment companies

     14,853,366       12,255,420        

Interest

     30,811       21,987       18,905,076  

Securities lending

                 246,339  

Less: Foreign tax withheld

                 (811,061
  

 

 

   

 

 

   

 

 

 

Total investment income, net

     14,884,177       12,277,407       37,386,774  
  

 

 

   

 

 

   

 

 

 

Expenses:

      

Investment management fees

     600,501       407,718       5,415,301  

Transfer agent fees

      

Class A

     751,242       404,715       937,965  

Class C

     100,514       58,351       120,240  

Class I

     9,793       8,424       54,736  

Class R3

     20,061       35,774       4,213  

Class R4

     11,764       10,358       2,782  

Class R5

     5,618       5,695       245  

Class R6

                 50  

Class Y

                 12,206  

Class F

     2       8       825  

Distribution fees

      

Class A

     1,288,238       820,324       1,646,765  

Class C

     570,074       404,637       1,107,612  

Class R3

     47,236       85,380       9,463  

Class R4

     17,497       15,246       4,068  

Custodian fees

     4,554       4,440       48,737  

Registration and filing fees

     104,925       101,176       152,694  

Accounting services fees

     84,811       57,080       174,251  

Board of Directors’ fees

     19,508       13,159       31,148  

Audit fees

     20,777       24,471       32,835  

Other expenses

     82,229       54,283       172,688  
  

 

 

   

 

 

   

 

 

 

Total expenses (before waivers, reimbursement and fees paid indirectly)

     3,739,344       2,511,239       9,928,824  
  

 

 

   

 

 

   

 

 

 

Expense waivers

                  

Management fee waivers

                  

Transfer agent fee waivers

                 (3,478

Distribution fee reimbursements

     (21,446     (13,405     (28,924

Commission recapture

                 (3,490
  

 

 

   

 

 

   

 

 

 

Total waivers, reimbursement and fees paid indirectly

     (21,446     (13,405     (35,892
  

 

 

   

 

 

   

 

 

 

Total expenses, net

     3,717,898       2,497,834       9,892,932  
  

 

 

   

 

 

   

 

 

 

Net Investment Income (Loss)

     11,166,279       9,779,573       27,493,842  
  

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions:

      

Capital gain distributions received from underlying funds

         29,419,945           14,672,755        

Net realized gain (loss) on investments

                     128,646,234  

Less: Foreign taxes paid on realized capital gains

                  

Net realized gain (loss) on investments in affiliated investment companies

     (8,346,798     (6,604,022      

Net realized gain (loss) on purchased options contracts

                 (1,938,250

Net realized gain (loss) on futures contracts

                 257,384  

Net realized gain (loss) on written options contracts

                 331,487  

Net realized gain (loss) on swap contracts

                 (35,181

Net realized gain (loss) on bond forward contracts

                  

Net realized gain (loss) on foreign currency contracts

                 3,864,053  

Net realized gain (loss) on other foreign currency transactions

                 (104,027
  

 

 

   

 

 

   

 

 

 

Net Realized Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     21,073,147       8,068,733       131,021,700  
  

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  106  

 


Hartford Multi-Strategy Funds

Statements of Operations – (continued)

For the Year Ended October 31, 2019

 

 

 

     The Hartford
Growth
Allocation Fund
     Hartford
Moderate
Allocation Fund
     Hartford
Multi-Asset
Income and
Growth Fund
 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions:

        

Net unrealized appreciation (depreciation) of investments

   $      $      $ (73,724,205

Net unrealized appreciation (depreciation) of investments in affiliated investment companies

     26,377,718        19,745,796         

Net unrealized appreciation (depreciation) of purchased options contracts

                    

Net unrealized appreciation (depreciation) of futures contracts

                   (41,252

Net unrealized appreciation (depreciation) of written options contracts

                    

Net unrealized appreciation (depreciation) of swap contracts

                   7,625  

Net unrealized appreciation (depreciation) of bond forward contracts

                    

Net unrealized appreciation (depreciation) of foreign currency contracts

                   (622,893

Net unrealized appreciation (depreciation) of translation of other assets and liabilities in foreign currencies

                   20,554  
  

 

 

    

 

 

    

 

 

 

Net Changes in Unrealized Appreciation (Depreciation) of Investments, Other Financial Instruments and Foreign Currency Transactions

     26,377,718        19,745,796            (74,360,171
  

 

 

    

 

 

    

 

 

 

Net Gain (Loss) on Investments, Other Financial Instruments and Foreign Currency Transactions

     47,450,865        27,814,529        56,661,529  
  

 

 

    

 

 

    

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

   $     58,617,144      $     37,594,102      $ 84,155,371  
  

 

 

    

 

 

    

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  107  

 


Hartford Multi-Strategy Funds

Statements of Changes in Net Assets

 

 

 

     The Hartford
Balanced Income Fund
    Hartford AARP
Balanced Retirement Fund
    The Hartford
Checks and Balances Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

            

Net investment income (loss)

   $ 317,063,765     $ 308,482,778     $ 3,035,068     $ 3,153,390     $ 23,701,487     $ 28,706,242  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     125,189,429       437,204,349       987,744       1,423,579       97,507,194       121,915,297  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     1,101,795,618       (894,417,342     2,018,265       (3,953,090     77,511,220       (113,266,170
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     1,544,048,812       (148,730,215     6,041,077       623,879       198,719,901       37,355,369  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

Class A

     (207,094,162     (176,853,791     (1,052,429     (686,462     (118,347,376     (167,742,739

Class C

     (194,171,595     (173,859,546     (703,819     (419,225     (16,616,057     (36,308,346

Class I

     (213,576,656     (193,112,284     (1,183,385     (914,277     (6,115,188     (7,811,537

Class R3

     (11,863,024     (11,274,621     (140,237     (120,685     (1,452,359     (2,248,772

Class R4

     (7,778,548     (5,881,961     (139,944     (122,877     (503,671     (699,776

Class R5

     (3,121,782     (2,693,171     (146,932     (126,157     (42,828     (347,066

Class R6

     (7,718,458     (4,021,864     (252                  

Class Y

     (9,789,523     (7,390,449     (1,349,201     (1,487,370            

Class F

     (104,071,772     (74,006,981     (23,318     (23,343     (75,764     (150,979
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (759,185,520     (649,094,668     (4,739,517     (3,900,396     (143,153,243     (215,309,215
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

            

Sold

     2,840,448,032       2,963,749,861       25,363,961       26,744,234       188,637,635       179,589,822  

Issued in reorganization

                 141,613,619                    

Issued on reinvestment of distributions

     704,992,456       599,462,355       4,656,431       3,841,722       142,002,404       213,286,440  

Redeemed

     (2,900,273,594     (3,111,744,570     (93,968,074     (12,806,680     (340,115,811     (403,808,104
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     645,166,894       451,467,646       77,665,937       17,779,276       (9,475,772     (10,931,842
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     1,430,030,186       (346,357,237     78,967,497       14,502,759       46,090,886       (188,885,688
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

            

Beginning of period

     11,619,820,291       11,966,177,528       79,301,649       64,798,890       1,527,486,490       1,716,372,178  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $     13,049,850,477     $     11,619,820,291     $     158,269,146     $      79,301,649     $     1,573,577,376     $     1,527,486,490  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  108  

 


Hartford Multi-Strategy Funds

Statements of Changes in Net Assets – (continued)

 

 

 

     The Hartford
Conservative Allocation Fund
    The Hartford
Global Real Asset Fund
(consolidated)
    The Hartford
Growth Allocation Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

            

Net investment income (loss)

   $ 3,655,881     $ 3,358,170     $ 7,605,122     $ 5,293,823     $ 11,166,279     $ 10,942,590  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     934,511       3,329,976       (19,864,597     18,552,305       21,073,147       49,531,588  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     6,513,136       (7,400,097     14,064,288       (26,534,998     26,377,718       (56,433,933
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     11,103,528       (711,951     1,804,813       (2,688,870     58,617,144       4,040,245  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

            

Class A

     (2,912,028     (2,551,364     (308,202     (542,904     (18,140,238     (11,718,427

Class C

     (296,093     (550,230     (45,411     (141,439     (1,133,563     (2,249,137

Class I

     (50,197     (56,095     (764,332     (874,685     (421,394     (300,459

Class R3

     (109,866     (189,259     (1,759     (2,363     (352,176     (234,717

Class R4

     (71,418     (85,069     (3,961     (13,287     (262,478     (246,007

Class R5

     (61,359     (64,019     (305     (2,404     (219,881     (144,172

Class R6

                                    

Class Y

                 (2,943,318     (4,489,650            

Class F

     (356     (351     (2,578,535     (3,953,204     (441     (306
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (3,501,317     (3,496,387     (6,645,823     (10,019,936     (20,530,171     (14,893,225
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

            

Sold

     43,104,618       25,420,257       37,302,534       60,494,351       55,433,148       96,116,382  

Issued in reorganization

                                    

Issued on reinvestment of distributions

     3,438,110       3,420,674       6,366,743       9,587,440       20,243,863       14,636,515  

Redeemed

     (36,568,499     (40,175,727     (73,892,874     (48,698,993         (115,846,338         (177,940,737
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     9,974,229       (11,334,796     (30,223,597     21,382,798       (40,169,327     (67,187,840
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     17,576,440       (15,543,134     (35,064,607     8,673,992       (2,082,354     (78,040,820
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

            

Beginning of period

     111,791,578       127,334,712       298,302,342       289,628,350       604,583,559       682,624,379  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $     129,368,018     $     111,791,578     $     263,237,735     $     298,302,342     $ 602,501,205     $ 604,583,559  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  109  

 


Hartford Multi-Strategy Funds

Statements of Changes in Net Assets – (continued)

 

 

 

     Hartford
Moderate Allocation Fund
    Hartford Multi-Asset
Income and Growth Fund
 
     For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
    For the
Year Ended
October 31,
2019
    For the
Year Ended
October 31,
2018
 

Operations:

        

Net investment income (loss)

   $ 9,779,573     $ 10,516,104     $ 27,493,842     $ 13,619,455  

Net realized gain (loss) on investments, other financial instruments and foreign currency transactions

     8,068,733       24,997,316       131,021,700       57,628,325  

Net changes in unrealized appreciation (depreciation) of investments, other financial instruments and foreign currency transactions

     19,745,796       (36,141,121     (74,360,171     (55,406,056
  

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets Resulting from Operations

     37,594,102       (627,701     84,155,371       15,841,724  
  

 

 

   

 

 

   

 

 

   

 

 

 

Distributions to Shareholders:

        

Class A

     (26,595,064     (15,893,623     (60,429,364     (8,284,065

Class C

     (2,965,479     (3,950,538     (9,204,112     (1,029,263

Class I

     (924,092     (455,314     (6,271,868     (899,977

Class R3

     (1,396,505     (1,003,505     (167,614     (24,369

Class R4

     (574,129     (365,426     (209,275     (25,185

Class R5

     (441,321     (322,847     (16,254     (2,273

Class R6

                 (138,508     (6,811

Class Y

                 (1,527,185     (256,379

Class F

     (924     (565     (9,459,307     (1,575,703
  

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

     (32,897,514     (21,991,818     (87,423,487     (12,104,025
  

 

 

   

 

 

   

 

 

   

 

 

 

Capital Share Transactions:

        

Sold

     36,252,039       68,809,350       158,866,307       217,511,383  

Issued in reorganization

                        

Issued on reinvestment of distributions

     32,455,199       21,643,392       85,714,706       11,800,751  

Redeemed

         (93,233,316         (125,573,877         (184,611,405         (233,163,934
  

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from capital share transactions

     (24,526,078     (35,121,135     59,969,608       (3,851,800
  

 

 

   

 

 

   

 

 

   

 

 

 

Net Increase (Decrease) in Net Assets

     (19,829,490     (57,740,654     56,701,492       (114,101
  

 

 

   

 

 

   

 

 

   

 

 

 

Net Assets:

        

Beginning of period

     417,984,412       475,725,066       935,478,036       935,592,137  
  

 

 

   

 

 

   

 

 

   

 

 

 

End of period

   $ 398,154,922     $ 417,984,412     $ 992,179,528     $ 935,478,036  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

 

The accompanying notes are an integral part of these financial statements.

 

 

  110  

 


Hartford Multi-Strategy Funds

Financial Highlights

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(3)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(4)(5)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(4)(5)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(5)
    Portfolio
Turnover
 
The Hartford Balanced Income Fund                                      

For the Year Ended October 31, 2019

 

A

  $ 13.86     $ 0.38     $ 1.43     $ 1.81     $ (0.38   $ (0.53   $     $ (0.91   $ 14.76       13.88   $ 3,517,691       0.90     0.90     2.73     54

C

    13.65       0.28       1.41       1.69       (0.28     (0.53           (0.81     14.53       13.08       3,365,430       1.65       1.65       1.99       54  

I

    13.86       0.42       1.44       1.86       (0.42     (0.53           (0.95     14.77       14.24       3,670,729       0.65       0.65       2.98       54  

R3

    13.90       0.34       1.44       1.78       (0.33     (0.53           (0.86     14.82       13.54       190,851       1.26       1.26       2.38       54  

R4

    13.91       0.38       1.44       1.82       (0.37     (0.53           (0.90     14.83       13.88       103,304       0.97       0.97       2.68       54  

R5

    13.93       0.42       1.45       1.87       (0.42     (0.53           (0.95     14.85       14.14       43,770       0.67       0.67       2.99       54  

R6

    14.01       0.43       1.45       1.88       (0.43     (0.53           (0.96     14.93       14.24       192,279       0.58       0.58       3.01       54  

Y

    14.01       0.43       1.44       1.87       (0.42     (0.53           (0.95     14.93       14.16       150,620       0.66       0.65       3.00       54  

F

    13.87       0.43       1.43       1.86       (0.43     (0.53           (0.96     14.77       14.24       1,815,178       0.57       0.57       3.06       54  

For the Year Ended October 31, 2018

 

A

  $ 14.80     $ 0.38     $   (0.53   $   (0.15   $   (0.36   $   (0.43   $     $ (0.79   $ 13.86       (1.14 )%    $ 3,127,224       0.91     0.91     2.64     48

C

    14.59       0.27       (0.52     (0.25     (0.26     (0.43           (0.69     13.65       (1.90     3,350,560       1.66       1.66       1.89       48  

I

    14.80       0.42       (0.53     (0.11     (0.40     (0.43           (0.83     13.86       (0.89     3,092,500       0.65       0.65       2.89       48  

R3

    14.84       0.33       (0.53     (0.20     (0.31     (0.43           (0.74     13.90       (1.49     196,578       1.28       1.27       2.28       48  

R4

    14.85       0.37       (0.53     (0.16     (0.35     (0.43           (0.78     13.91       (1.19     121,239       0.98       0.97       2.57       48  

R5

    14.87       0.41       (0.53     (0.12     (0.39     (0.43           (0.82     13.93       (0.91     52,640       0.68       0.68       2.86       48  

R6

    14.94       0.43       (0.52     (0.09     (0.41     (0.43           (0.84     14.01       (0.74     87,445       0.58       0.58       2.95       48  

Y

    14.94       0.42       (0.52     (0.10     (0.40     (0.43           (0.83     14.01       (0.79     146,051       0.63       0.63       2.92       48  

F

    14.80       0.43       (0.52     (0.09     (0.41     (0.43           (0.84     13.87       (0.75     1,445,583       0.58       0.58       2.96       48  

For the Year Ended October 31, 2017

 

A

  $   13.80     $   0.37     $ 1.14     $ 1.51     $ (0.36   $ (0.15   $     $ (0.51   $ 14.80       11.16   $ 3,297,181       0.92     0.92     2.63     39

C

    13.61       0.26       1.12       1.38       (0.25     (0.15           (0.40     14.59       10.37       3,657,126       1.66       1.66       1.89       39  

I

    13.80       0.41       1.13       1.54       (0.39     (0.15           (0.54     14.80       11.41       3,351,891       0.69       0.69       2.86       39  

R3

    13.84       0.33       1.13       1.46       (0.31     (0.15           (0.46     14.84       10.79       222,526       1.30       1.24       2.30       39  

R4

    13.85       0.37       1.13       1.50       (0.35     (0.15           (0.50     14.85       11.10       109,315       1.00       0.94       2.61       39  

R5

    13.86       0.41       1.14       1.55       (0.39     (0.15           (0.54     14.87       11.44       45,300       0.70       0.69       2.85       39  

R6

    13.93       0.42       1.14       1.56       (0.40     (0.15           (0.55     14.94       11.48       31,234       0.60       0.60       2.89       39  

Y

    13.93       0.42       1.14       1.56       (0.40     (0.15           (0.55     14.94       11.46       124,655       0.62       0.62       2.91       39  

F(6)

    14.20       0.24       0.66       0.90       (0.30                 (0.30     14.80       6.41 (7)      1,126,948       0.60 (8)      0.60 (8)      2.47 (8)      39  

For the Year Ended October 31, 2016

 

A

  $ 13.41     $ 0.37     $ 0.57     $ 0.94     $ (0.33   $ (0.22   $     $ (0.55   $ 13.80       7.29   $ 3,076,342       0.96     0.96 %(9)      2.73     36

B

    13.37       0.37       0.57       0.94       (0.32     (0.22           (0.54     13.77       7.30       6,529       1.08       1.00 (9)      2.74       36  

C

    13.24       0.26       0.57       0.83       (0.24     (0.22           (0.46     13.61       6.48       3,171,408       1.69       1.69 (9)      1.99       36  

I

    13.41       0.40       0.58       0.98       (0.37     (0.22           (0.59     13.80       7.57       2,290,723       0.70       0.70 (9)      2.95       36  

R3

    13.45       0.33       0.58       0.91       (0.30     (0.22           (0.52     13.84       6.98       174,319       1.32       1.25 (9)      2.43       36  

R4

    13.45       0.37       0.59       0.96       (0.34     (0.22           (0.56     13.85       7.36       106,451       1.02       0.95 (9)      2.71       36  

R5

    13.47       0.40       0.58       0.98       (0.37     (0.22           (0.59     13.86       7.53       31,698       0.72       0.70 (9)      2.97       36  

R6

    13.53       0.41       0.59       1.00       (0.38     (0.22           (0.60     13.93       7.65       9,636       0.62       0.62 (9)      3.04       36  

Y

    13.53       0.41       0.59       1.00       (0.38     (0.22           (0.60     13.93       7.65       86,177       0.62       0.62 (9)      3.00       36  

For the Year Ended October 31, 2015

 

A

  $ 13.72     $ 0.33     $ (0.10   $ 0.23     $ (0.33   $ (0.21   $   —     $   (0.54   $   13.41       1.77   $   2,635,923       0.95     0.95     2.48     39

B

    13.69       0.35       (0.14     0.21       (0.32     (0.21           (0.53     13.37       1.63       12,811       1.06       0.99       2.56       39  

C

    13.56       0.25       (0.12     0.13       (0.24     (0.21           (0.45     13.24       1.01       2,414,291       1.69       1.69       1.84       39  

I

    13.72       0.38       (0.11     0.27       (0.37     (0.21           (0.58     13.41       2.04       1,274,683       0.69       0.69       2.85       39  

R3

    13.77       0.31       (0.13     0.18       (0.29     (0.21           (0.50     13.45       1.40       127,608       1.31       1.24       2.30       39  

R4

    13.77       0.35       (0.13     0.22       (0.33     (0.21           (0.54     13.45       1.70       66,468       1.01       0.94       2.60       39  

R5

    13.78       0.38       (0.11     0.27       (0.37     (0.21           (0.58     13.47       2.03       22,907       0.71       0.69       2.84       39  

R6(2)

    13.90       0.33       (0.12     0.21       (0.37     (0.21           (0.58     13.53       1.65 (7)      6,072       0.67 (8)      0.64 (8)      2.50 (8)      39  

Y

    13.84       0.40       (0.12     0.28       (0.38     (0.21           (0.59     13.53       2.10       32,808       0.61       0.61       2.92       39  

 

The accompanying notes are an integral part of these financial statements.

 

 

  111  

 


Hartford Multi-Strategy Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(3)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(4)(5)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(4)(5)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(5)
    Portfolio
Turnover
 
Hartford AARP Balanced Retirement Fund  

For the Year Ended October 31, 2019

 

A

  $   9.08     $   0.27     $ 0.40     $ 0.67     $ (0.55   $     $     $ (0.55   $ 9.20       7.95   $ 83,998       1.06     0.71     3.00     207

C

    9.08       0.23       0.38       0.61       (0.48                 (0.48     9.21       7.14       39,757       1.85       1.45       2.57       207  

I

    9.07       0.36       0.34       0.70       (0.57                 (0.57     9.20       8.16       26,433       0.86       0.61       3.99       207  

R3

    9.08       0.36       0.35       0.71       (0.58                 (0.58     9.21       8.24       1,279       1.31       0.55       4.02       207  

R4

    9.08       0.38       0.33       0.71       (0.63                 (0.63     9.16       8.35       349       1.05       0.54       4.16       207  

R5

    9.07       0.36       0.34       0.70       (0.60                 (0.60     9.17       8.28       806       0.79       0.54       3.93       207  

R6(10)

    8.93       0.21       0.27       0.48       (0.22                 (0.22     9.19       5.42 (7)      11       0.75 (8)      0.48 (8)      3.43 (8)      207  

Y

    9.07       0.38       0.31       0.69       (0.62                 (0.62     9.14       8.21       3,746       0.79       0.53       4.17       207  

F

    9.07       0.26       0.44       0.70       (0.64                 (0.64     9.13       8.27       1,889       0.73       0.44       3.02       207  

For the Year Ended October 31, 2018

 

A

  $ 9.46     $ 0.41     $   (0.28   $ 0.13     $ (0.51   $     $     $ (0.51   $ 9.08       1.26   $ 13,324       1.20     0.78     4.35     61

C

    9.47       0.35       (0.29     0.06       (0.45                 (0.45     9.08       0.55       11,686       1.98       1.47       3.71       61  

I

    9.46       0.42       (0.28     0.14       (0.53                 (0.53     9.07       1.40       20,780       0.98       0.68       4.51       61  

R3

    9.47       0.40       (0.28     0.12       (0.51                 (0.51     9.08       1.21       2,225       1.61       0.84       4.28       61  

R4

    9.46       0.41       (0.28     0.13       (0.51                 (0.51     9.08       1.27       2,241       1.31       0.78       4.34       61  

R5

    9.46       0.41       (0.28     0.13       (0.52                 (0.52     9.07       1.27       2,256       1.01       0.72       4.40       61  

Y

    9.46       0.42       (0.28     0.14       (0.53                 (0.53     9.07       1.37       26,398       0.89       0.61       4.51       61  

F

    9.46       0.42       (0.27     0.15       (0.54                 (0.54     9.07       1.39       391       0.89       0.61       4.50       61  

For the Year Ended October 31, 2017

 

A

  $ 9.04     $ 0.39     $ 0.41     $ 0.80     $ (0.38   $     $     $ (0.38   $ 9.46       9.06   $ 11,877       1.26     0.95     4.26     85

C

    9.04       0.34       0.41       0.75       (0.32                 (0.32     9.47       8.42       6,972       2.05       1.58       3.65       85  

I

    9.04       0.41       0.41       0.82       (0.40                 (0.40     9.46       9.22       13,310       1.07       0.83       4.40       85  

R3

    9.04       0.38       0.41       0.79       (0.36                 (0.36     9.47       8.95       2,197       1.68       1.12       4.11       85  

R4

    9.04       0.39       0.41       0.80       (0.38                 (0.38     9.46       9.00       2,211       1.38       1.00       4.22       85  

R5

    9.04       0.40       0.41       0.81       (0.39                 (0.39     9.46       9.18       2,225       1.08       0.87       4.36       85  

Y

    9.04       0.40       0.42       0.82       (0.40                 (0.40     9.46       9.29       25,587       0.98       0.79       4.40       85  

F(6)

    9.21       0.28       0.24       0.52       (0.27                 (0.27     9.46       5.72 (7)      419       0.97 (8)      0.66 (8)      4.48 (8)      85  

For the Year Ended October 31, 2016

 

A

  $ 9.14     $ 0.43     $ (0.06   $ 0.37     $ (0.38   $     $   (0.09   $   (0.47   $ 9.04       4.31   $ 13,352       1.37     1.13 %(11)      4.88     80

C

    9.14       0.36       (0.06     0.30       (0.32           (0.08     (0.40     9.04       3.49       4,659       2.07       1.88 (11)      4.06       80  

I

    9.14       0.44       (0.05     0.39       (0.40           (0.09     (0.49     9.04       4.46       12,530       1.10       0.87 (11)      4.91       80  

R3

    9.14       0.40       (0.06     0.34       (0.36           (0.08     (0.44     9.04       3.87       2,018       1.72       1.43 (11)      4.51       80  

R4

    9.14       0.43       (0.04     0.37       (0.38           (0.09     (0.47     9.04       4.19       2,028       1.42       1.13 (11)      4.81       80  

R5

    9.14       0.44       (0.05     0.39       (0.40           (0.09     (0.49     9.04       4.40       2,038       1.12       0.94 (11)      5.00       80  

Y

    9.15       0.45       (0.06     0.39       (0.41           (0.09     (0.50     9.04       4.55       35,383       1.02       0.84 (11)      5.06       80  

For the Year Ended October 31, 2015

 

A

  $ 9.95     $ 0.38     $ (0.72   $   (0.34   $   (0.43   $   —     $ (0.04   $ (0.47   $   9.14       (3.55 )%    $ 12,061       1.22     1.12     3.98     86

C

    9.94       0.31       (0.72     (0.41     (0.36           (0.03     (0.39     9.14       (4.18     4,426       1.94       1.87       3.27       86  

I

    9.95       0.41       (0.73     (0.32     (0.45           (0.04     (0.49     9.14       (3.18     2,891       0.92       0.85       4.33       86  

R3

    9.95       0.36       (0.73     (0.37     (0.40           (0.04     (0.44     9.14       (3.75     1,936       1.60       1.42       3.73       86  

R4

    9.95       0.39       (0.73     (0.34     (0.43           (0.04     (0.47     9.14       (3.45     1,945       1.30       1.12       4.03       86  

R5

    9.95       0.40       (0.73     (0.33     (0.44           (0.04     (0.48     9.14       (3.27     1,950       1.00       0.93       4.22       86  

Y

    9.95       0.41       (0.72     (0.31     (0.45           (0.04     (0.49     9.15       (3.17       108,112       0.90       0.83       4.26       86  

 

The accompanying notes are an integral part of these financial statements.

 

 

  112  

 


Hartford Multi-Strategy Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(3)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(4)(5)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(4)(5)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(5)
    Portfolio
Turnover
 
The Hartford Checks and Balances Fund  

For the Year Ended October 31, 2019

 

A

  $ 9.36     $ 0.15     $ 1.01     $ 1.16     $ (0.32   $ (0.56   $     $ (0.88   $ 9.64       13.95   $ 1,311,955       0.39     0.39     1.63     28

C

    9.29       0.08       1.00       1.08       (0.24     (0.56           (0.80     9.57       13.06       166,663       1.16       1.16       0.85       28  

I

    9.37       0.17       1.03       1.20       (0.35     (0.56           (0.91     9.66       14.36       66,574       0.13       0.13       1.89       28  

R3

    9.32       0.12       1.01       1.13       (0.29     (0.56           (0.85     9.60       13.57       15,733       0.75       0.74       1.27       28  

R4

    9.33       0.15       1.01       1.16       (0.32     (0.56           (0.88     9.61       13.92       5,847       0.43       0.43       1.58       28  

R5

    9.37       0.12       1.04       1.16       (0.47     (0.56           (1.03     9.50       13.91       336       0.16       0.16       1.29       28  

F

    9.37       0.20       1.01       1.21       (0.36     (0.56           (0.92     9.66       14.47       6,470       0.04       0.04       2.07       28  

For the Year Ended October 31, 2018

 

       

A

  $ 10.45     $ 0.18     $ 0.05     $ 0.23     $ (0.37   $ (0.95   $     $ (1.32   $ 9.36       2.17   $ 1,246,869       0.38     0.38     1.87     28

C

    10.38       0.11       0.05       0.16       (0.30     (0.95           (1.25     9.29       1.39       195,591       1.15       1.15       1.12       28  

I

    10.47       0.20       0.05       0.25       (0.40     (0.95           (1.35     9.37       2.33       62,762       0.13       0.13       2.10       28  

R3

    10.41       0.15       0.05       0.20       (0.34     (0.95           (1.29     9.32       1.80       16,209       0.76       0.75       1.51       28  

R4

    10.42       0.17       0.06       0.23       (0.37     (0.95           (1.32     9.33       2.10       5,162       0.47       0.47       1.77       28  

R5

    10.47       0.21       0.03       0.24       (0.39     (0.95           (1.34     9.37       2.29       478       0.16       0.16       2.18       28  

F

    10.46       0.19       0.08       0.27       (0.41     (0.95           (1.36     9.37       2.51       417       0.04       0.04       1.96       28  

For the Year Ended October 31, 2017

 

       

A

  $ 9.85     $ 0.14     $ 1.28     $ 1.42     $ (0.13   $ (0.69   $     $ (0.82   $ 10.45       15.27   $ 1,326,959       0.38     0.38     1.44     3

C

    9.78       0.07       1.27       1.34       (0.05     (0.69           (0.74     10.38       14.46       303,378       1.13       1.13       0.70       3  

I

    9.86       0.16       1.29       1.45       (0.15     (0.69           (0.84     10.47       15.63       58,494       0.16       0.16       1.63       3  

R3

    9.81       0.10       1.28       1.38       (0.09     (0.69           (0.78     10.41       14.89       18,645       0.75       0.75       1.04       3  

R4

    9.82       0.13       1.28       1.41       (0.12     (0.69           (0.81     10.42       15.24       5,372       0.45       0.45       1.35       3  

R5

    9.86       0.20       1.25       1.45       (0.15     (0.69           (0.84     10.47       15.66       2,082       0.14       0.14       1.99       3  

F(6)

    9.86       0.11       0.60       0.71       (0.11                 (0.11     10.46       7.27 (7)      1,441       0.04 (8)      0.04 (8)      1.57 (8)      3  

For the Year Ended October 31, 2016

 

       

A

  $ 10.81     $ 0.14     $ 0.11     $ 0.25     $ (0.19   $ (1.02   $     $ (1.21   $ 9.85       2.78   $ 1,386,748       0.41     0.41     1.46     8

B

    10.76       0.07       0.09       0.16       (0.09     (1.02           (1.11     9.81       1.93       32,027       1.21       1.21       0.72       8  

C

    10.75       0.07       0.09       0.16       (0.11     (1.02           (1.13     9.78       1.94       321,436       1.16       1.16       0.71       8  

I

    10.83       0.17       0.09       0.26       (0.21     (1.02           (1.23     9.86       2.97       39,557       0.19       0.19       1.69       8  

R3

    10.78       0.10       0.10       0.20       (0.15     (1.02           (1.17     9.81       2.35       14,554       0.77       0.77       1.05       8  

R4

    10.79       0.13       0.10       0.23       (0.18     (1.02           (1.20     9.82       2.64       4,457       0.47       0.47       1.38       8  

R5

    10.82       0.16       0.11       0.27       (0.21     (1.02           (1.23     9.86       3.04       4,893       0.16       0.16       1.69       8  

For the Year Ended October 31, 2015

 

       

A

  $ 11.89     $ 0.14     $ 0.11     $ 0.25     $ (0.43   $   (0.90   $   —     $   (1.33   $   10.81       2.38   $   1,443,659       0.39     0.39     1.26     7

B

    11.83       0.07       0.10       0.17       (0.34     (0.90           (1.24     10.76       1.64       87,066       1.20       1.20       0.64       7  

C

    11.83       0.05       0.12       0.17       (0.35     (0.90           (1.25     10.75       1.64       351,257       1.14       1.14       0.47       7  

I

    11.90       0.21       0.07       0.28       (0.45     (0.90           (1.35     10.83       2.64       36,770       0.16       0.16       1.93       7  

R3

    11.86       0.08       0.13       0.21       (0.39     (0.90           (1.29     10.78       2.03       13,247       0.75       0.75       0.73       7  

R4

    11.87       0.12       0.13       0.25       (0.43     (0.90           (1.33     10.79       2.33       4,652       0.45       0.45       1.13       7  

R5

    11.90       0.15       0.13       0.28       (0.46     (0.90           (1.36     10.82       2.65       5,150       0.14       0.14       1.37       7  
The Hartford Conservative Allocation Fund  

For the Year Ended October 31, 2019

 

A

  $   10.23     $   0.31     $   0.60     $   0.91     $   (0.31   $     $     $ (0.31   $ 10.83       9.28   $ 105,569       0.60     0.59     3.02     38

C

    10.05       0.22       0.62       0.84       (0.18                 (0.18     10.71       8.41       14,947       1.36       1.36       2.15       38  

I

    10.25       0.38       0.55       0.93       (0.33                 (0.33     10.85       9.49       1,253       0.34       0.34       3.63       38  

R3

    10.21       0.29       0.59       0.88       (0.26                 (0.26     10.83       8.89       3,481       0.95       0.93       2.81       38  

R4

    10.24       0.32       0.59       0.91       (0.31                 (0.31     10.84       9.22       2,094       0.65       0.63       3.06       38  

R5

    10.28       0.34       0.60       0.94       (0.34                 (0.34     10.88       9.56       2,013       0.35       0.33       3.28       38  

F

    10.26       0.31       0.64       0.95       (0.35                 (0.35     10.86       9.62       12       0.24       0.24       2.98       38  

 

The accompanying notes are an integral part of these financial statements.

 

 

  113  

 


Hartford Multi-Strategy Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(3)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(4)(5)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(4)(5)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(5)
    Portfolio
Turnover
 
The Hartford Conservative Allocation Fund – (continued)  

For the Year Ended October 31, 2018

 

A

  $   10.60     $   0.31     $   (0.37   $   (0.06   $   (0.31   $     $     $ (0.31   $ 10.23       (0.59 )%    $ 84,379       0.61     0.60     2.91     32

C

    10.41       0.21       (0.35     (0.14     (0.22                 (0.22     10.05       (1.38     17,552       1.37       1.36       2.04       32  

I

    10.63       0.35       (0.38     (0.03     (0.35                 (0.35     10.25       (0.39     1,217       0.38       0.36       3.38       32  

R3

    10.57       0.29       (0.37     (0.08     (0.28                 (0.28     10.21       (0.80     4,327       0.96       0.86       2.80       32  

R4

    10.61       0.31       (0.36     (0.05     (0.32                 (0.32     10.24       (0.51     2,461       0.66       0.56       3.00       32  

R5

    10.66       0.33       (0.36     (0.03     (0.35                 (0.35     10.28       (0.32     1,845       0.36       0.26       3.13       32  

F

    10.63       0.34       (0.36     (0.02     (0.35                 (0.35     10.26       (0.23     11       0.24       0.24       3.19       32  

For the Year Ended October 31, 2017

 

A

  $ 9.81     $ 0.13     $ 0.79     $ 0.92     $ (0.13   $     $     $ (0.13   $   10.60       9.51   $ 86,987       0.58     0.55     1.24     17 %(12) 

C

    9.62       0.05       0.79       0.84       (0.05                 (0.05     10.41       8.80       26,424       1.33       1.30       0.49       17  

I

    9.83       0.15       0.81       0.96       (0.16                 (0.16     10.63       9.92       1,835       0.29       0.27       1.47       17  

R3

    9.79       0.10       0.79       0.89       (0.11                 (0.11     10.57       9.21       7,135       0.94       0.80       1.02       17  

R4

    9.82       0.13       0.80       0.93       (0.14                 (0.14     10.61       9.57       2,693       0.64       0.50       1.25       17  

R5

    9.86       0.16       0.81       0.97       (0.17                 (0.17     10.66       9.99       2,251       0.34       0.20       1.58       17  

F(6)

    10.03       0.08       0.52       0.60                               10.63       5.98 (7)      11       0.23 (8)      0.20 (8)      1.22 (8)      17  

For the Year Ended October 31, 2016

 

A

  $ 9.85     $ 0.09     $ 0.02     $ 0.11     $ (0.03   $   (0.12   $   —     $   (0.15   $ 9.81       1.26   $ 95,802       0.60     0.54     0.90     80

B

    9.73       0.02       0.02       0.04       (0.02     (0.12           (0.14     9.63       0.44       1,416       1.49       1.29       0.16       80  

C

    9.73       0.01       0.01       0.02       (0.01     (0.12           (0.13     9.62       0.34       31,115       1.34       1.29       0.15       80  

I

    9.86       0.11       0.02       0.13       (0.04     (0.12           (0.16     9.83       1.45       1,087       0.32       0.27       1.18       80  

R3

    9.85       0.06       0.03       0.09       (0.03     (0.12           (0.15     9.79       0.99       8,561       0.94       0.79       0.64       80  

R4

    9.86       0.09       0.03       0.12       (0.04     (0.12           (0.16     9.82       1.28       2,340       0.64       0.49       0.94       80  

R5

    9.88       0.12       0.02       0.14       (0.04     (0.12           (0.16     9.86       1.56       2,231       0.34       0.19       1.25       80  

For the Year Ended October 31, 2015

 

A

  $ 10.78     $ 0.10     $ (0.42   $ (0.32   $ (0.15   $ (0.46   $     $ (0.61   $ 9.85       (3.01 )%    $   108,907       0.60     0.60     0.98     15

B

    10.72       0.04       (0.44     (0.40     (0.13     (0.46           (0.59     9.73       (3.83     3,371       1.47       1.41       0.41       15  

C

    10.71       0.02       (0.41     (0.39     (0.13     (0.46           (0.59     9.73       (3.70     37,732       1.34       1.34       0.22       15  

I

    10.77       0.16       (0.45     (0.29     (0.16     (0.46           (0.62     9.86       (2.74     1,064       0.31       0.31       1.53       15  

R3

    10.81       0.07       (0.43     (0.36     (0.14     (0.46           (0.60     9.85       (3.36     8,256       0.94       0.91       0.72       15  

R4

    10.79       0.10       (0.42     (0.32     (0.15     (0.46           (0.61     9.86       (3.02     2,461       0.65       0.61       0.94       15  

R5

    10.79       0.14       (0.43     (0.29     (0.16     (0.46           (0.62     9.88       (2.73     2,504       0.34       0.31       1.37       15  
The Hartford Global Real Asset Fund (consolidated)  

For the Year Ended October 31, 2019

 

A

  $ 9.00     $ 0.20     $ (0.19   $ 0.01     $ (0.17   $     $     $ (0.17   $ 8.84       0.27   $ 14,360       1.51     1.25     2.32     201

C

    8.78       0.13       (0.18     (0.05     (0.09                 (0.09     8.64       (0.49     3,038       2.29       2.00       1.53       201  

I

    9.00       0.23       (0.20     0.03       (0.20                 (0.20     8.83       0.47       38,226       1.16       0.99       2.63       201  

R3

    9.04       0.18       (0.19     (0.01     (0.15                 (0.15     8.88       0.02       70       1.80       1.50       2.01       201  

R4

    9.02       0.20       (0.19     0.01       (0.17                 (0.17     8.86       0.27       59       1.49       1.20       2.29       201  

R5

    9.01       0.23       (0.20     0.03       (0.26                 (0.26     8.78       0.54       39       1.19       0.95       2.59       201  

Y

    9.00       0.24       (0.19     0.05       (0.21                 (0.21     8.84       0.67       96,453       1.14       0.90       2.68       201  

F

    9.00       0.24       (0.20     0.04       (0.21                 (0.21     8.83       0.55       110,993       1.08       0.90       2.67       201  

For the Year Ended October 31, 2018

 

A

  $ 9.38     $ 0.14     $ (0.22   $ (0.08   $ (0.30   $     $     $ (0.30   $ 9.00       (0.97 )%    $ 17,794       1.55     1.25     1.48     111

C

    9.15       0.07       (0.23     (0.16     (0.21                 (0.21     8.78       (1.71     4,622       2.31       2.00       0.73       111  

I

    9.38       0.17       (0.22     (0.05     (0.33                 (0.33     9.00       (0.68     35,607       1.17       0.95       1.77       111  

R3

    9.40       0.12       (0.23     (0.11     (0.25                 (0.25     9.04       (1.26     103       1.83       1.50       1.23       111  

R4

    9.39       0.15       (0.21     (0.06     (0.31                 (0.31     9.02       (0.82     207       1.53       1.20       1.59       111  

R5

    9.39       0.17       (0.22     (0.05     (0.33                 (0.33     9.01       (0.68     10       1.22       0.95       1.82       111  

Y

    9.39       0.17       (0.22     (0.05     (0.34                 (0.34     9.00       (0.67     128,897       1.16       0.90       1.83       111  

F

    9.38       0.17       (0.22     (0.05     (0.33                 (0.33     9.00       (0.64     111,062       1.11       0.90       1.82       111  

 

The accompanying notes are an integral part of these financial statements.

 

 

  114  

 


Hartford Multi-Strategy Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(3)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(4)(5)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(4)(5)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(5)
    Portfolio
Turnover
 
The Hartford Global Real Asset Fund (consolidated) – (continued)  

For the Year Ended October 31, 2017

 

A

  $ 8.67     $ 0.11     $ 0.64     $ 0.75     $ (0.04   $     $     $ (0.04   $ 9.38       8.65   $ 16,990       1.55     1.25     1.20     103

C

    8.48       0.04       0.63       0.67                               9.15       7.90       7,138       2.25       2.00       0.44       103  

I

    8.67       0.13       0.64       0.77       (0.06                 (0.06     9.38       8.93       29,092       1.16       0.99       1.46       103  

R3

    8.69       0.08       0.65       0.73       (0.02                 (0.02     9.40       8.43       151       1.92       1.50       0.94       103  

R4

    8.67       0.11       0.64       0.75       (0.03                 (0.03     9.39       8.71       433       1.49       1.20       1.24       103  

R5

    8.68       0.14       0.64       0.78       (0.07                 (0.07     9.39       9.00       67       1.17       0.95       1.53       103  

Y

    8.68       0.13       0.65       0.78       (0.07                 (0.07     9.39       9.01       123,742       1.09       0.90       1.46       103  

F(6)

    8.93       0.11       0.34       0.45                               9.38       5.04 (7)      112,016       1.08 (8)      0.90 (8)      1.79 (8)      103  

For the Year Ended October 31, 2016

 

A

  $ 8.15     $ 0.09     $ 0.49     $ 0.58     $ (0.06   $     $     $ (0.06   $ 8.67       7.27   $ 20,262       1.61     1.26 %(13)      1.09     115

C

    7.97       0.03       0.48       0.51                               8.48       6.40       8,702       2.30       2.01 (13)      0.33       115  

I

    8.16       0.11       0.49       0.60       (0.09                 (0.09     8.67       7.51       24,931       1.18       0.99 (13)      1.35       115  

R3

    8.17       0.07       0.49       0.56       (0.04                 (0.04     8.69       6.86       126       1.95       1.49 (13)      0.81       115  

R4

    8.17       0.08       0.50       0.58       (0.08                 (0.08     8.67       7.17       511       1.50       1.21 (13)      1.05       115  

R5

    8.17       0.10       0.50       0.60       (0.09                 (0.09     8.68       7.56       49       1.24       0.96 (13)      1.27       115  

Y

    8.17       0.11       0.50       0.61       (0.10                 (0.10     8.68       7.64       210,071       1.10       0.91 (13)      1.42       115  

For the Year Ended October 31, 2015

 

A

  $ 9.85     $ 0.03     $ (1.72   $ (1.69   $ (0.01   $     $     $ (0.01   $ 8.15       (17.21 )%    $ 23,604       1.67     1.20     0.32     134

C

    9.70       0.04       (1.77     (1.73                             7.97       (17.84     10,087       2.40       1.95       0.43       134  

I

    9.87       0.12       (1.79     (1.67     (0.04                 (0.04     8.16       (16.98     19,495       1.29       0.95       1.38       134  

R3

    9.89       0.07       (1.79     (1.72                             8.17       (17.39     130       2.02       1.45       0.73       134  

R4

    9.88       0.10       (1.80     (1.70     (0.01                 (0.01     8.17       (17.18     2,861       1.60       1.15       1.10       134  

R5

    9.89       0.23       (1.90     (1.67     (0.05                 (0.05     8.17       (16.97     371       1.31       0.90       2.56       134  

Y

    9.89       0.13       (1.80     (1.67     (0.05                 (0.05     8.17       (16.94     242,288       1.19       0.85       1.42       134  
The Hartford Growth Allocation Fund  

For the Year Ended October 31, 2019

 

A

  $ 12.07     $ 0.23     $ 0.94     $ 1.17     $ (0.29   $   (0.14   $   —     $   (0.43   $   12.81       10.25   $   522,271       0.55     0.54     1.90     25

C

    11.83       0.15       0.92       1.07       (0.07     (0.14           (0.21     12.69       9.33       50,463       1.33       1.32       1.22       25  

I

    12.02       0.26       0.93       1.19       (0.32     (0.14           (0.46     12.75       10.54       11,245       0.24       0.24       2.16       25  

R3

    11.77       0.21       0.88       1.09       (0.24     (0.14           (0.38     12.48       9.81       6,921       0.86       0.86       1.74       25  

R4

    12.00       0.24       0.91       1.15       (0.27     (0.14           (0.41     12.74       10.15       5,657       0.57       0.57       2.01       25  

R5

    12.10       0.27       0.92       1.19       (0.32     (0.14           (0.46     12.83       10.44       5,692       0.25       0.25       2.22       25  

F

    12.03       0.22       0.98       1.20       (0.33     (0.14           (0.47     12.76       10.65       252       0.15       0.15       1.77       25  

For the Year Ended October 31, 2018

 

A

  $   12.32     $ 0.22     $   (0.18   $ 0.04     $ (0.29   $     $     $ (0.29   $ 12.07       0.28   $ 504,720       0.54     0.54     1.78     32

C

    12.07       0.13       (0.17       (0.04       (0.20                 (0.20     11.83       (0.41     64,208       1.30       1.29       1.09       32  

I

    12.27       0.26       (0.18     0.08       (0.33                 (0.33     12.02       0.60       11,033       0.24       0.24       2.05       32  

R3

    12.02       0.18       (0.18           (0.25                 (0.25     11.77       (0.06     10,776       0.86       0.86       1.43       32  

R4

    12.25       0.23       (0.19     0.04       (0.29                 (0.29     12.00       0.24       8,129       0.56       0.56       1.86       32  

R5

    12.35       0.24       (0.16     0.08       (0.33                 (0.33     12.10       0.55       5,706       0.26       0.26       1.93       32  

F

    12.28       0.27       (0.18     0.09       (0.34                 (0.34     12.03       0.66       11       0.15       0.15       2.12       32  

For the Year Ended October 31, 2017

 

A

  $ 10.35     $ 0.07     $ 1.95     $ 2.02     $ (0.05   $     $     $ (0.05   $ 12.32       19.54   $ 503,042       0.53     0.52     0.63     11 %(14) 

C

    10.17         (0.01     1.91       1.90                               12.07       18.68       140,855       1.27       1.27       (0.10     11  

I

    10.31       0.10       1.94       2.04       (0.08                 (0.08     12.27       19.91       10,468       0.22       0.22       0.87       11  

R3

    10.09       0.03       1.91       1.94       (0.01                 (0.01     12.02       19.26       11,840       0.86       0.86       0.29       11  

R4

    10.29       0.07       1.94       2.01       (0.05                 (0.05     12.25       19.56       10,699       0.55       0.55       0.64       11  

R5

    10.37       0.10       1.96       2.06       (0.08                 (0.08     12.35       19.98       5,709       0.25       0.25       0.86       11  

F(6)

    11.07       0.04       1.17       1.21                               12.28       10.93 (7)      11       0.15 (8)      0.15 (8)      0.47 (8)      11  

 

The accompanying notes are an integral part of these financial statements.

 

 

  115  

 


Hartford Multi-Strategy Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(3)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(4)(5)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(4)(5)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(5)
    Portfolio
Turnover
 
The Hartford Growth Allocation Fund – (continued)  

For the Year Ended October 31, 2016

 

A

  $   11.25     $ 0.04     $ (0.21   $ (0.17   $ (0.16   $ (0.57   $     $ (0.73   $ 10.35       (1.38 )%    $ 507,111       0.57     0.57     0.37     98

B

    11.10         (0.04       (0.22       (0.26       (0.02       (0.57       —         (0.59       10.25       (2.31     7,399       1.51       1.47       (0.41     98  

C

    11.06       (0.04     (0.20     (0.24     (0.08     (0.57           (0.65     10.17       (2.12       154,929       1.30       1.30       (0.36     98  

I

    11.21       0.06       (0.19     (0.13     (0.20     (0.57           (0.77     10.31       (1.02     7,490       0.26       0.26       0.63       98  

R3

    10.98             (0.20     (0.20     (0.12     (0.57           (0.69     10.09       (1.68     12,110       0.88       0.88       0.05       98  

R4

    11.19       0.04       (0.21     (0.17     (0.16     (0.57           (0.73     10.29       (1.40     11,769       0.58       0.58       0.36       98  

R5

    11.27       0.07       (0.21     (0.14     (0.19     (0.57           (0.76     10.37       (1.06     5,037       0.28       0.28       0.67       98  

For the Year Ended October 31, 2015

 

A

  $ 15.10     $ 0.14     $ (0.41   $ (0.27   $ (0.34   $ (3.24   $     $ (3.58   $ 11.25       (1.57 )%    $ 582,205       0.57     0.55     1.19     14

B

    14.91       0.11       (0.48     (0.37     (0.20     (3.24           (3.44     11.10       (2.45     21,236       1.47       1.39       0.89       14  

C

    14.90       0.06       (0.41     (0.35     (0.25     (3.24           (3.49     11.06       (2.26     183,173       1.30       1.29       0.55       14  

I

    15.06       0.39       (0.62     (0.23     (0.38     (3.24           (3.62     11.21       (1.23     8,310       0.25       0.23       3.33       14  

R3

    14.83       0.13       (0.43     (0.30     (0.31     (3.24           (3.55     10.98       (1.91     14,233       0.89       0.84       1.08       14  

R4

    15.04       0.14       (0.41     (0.27     (0.34     (3.24           (3.58     11.19       (1.60     14,014       0.59       0.54       1.18       14  

R5

    15.13       0.17       (0.41     (0.24     (0.38     (3.24           (3.62     11.27       (1.35     5,681       0.29       0.24       1.43       14  
Hartford Moderate Allocation Fund  

For the Year Ended October 31, 2019

 

A

  $ 11.80     $ 0.28     $ 0.74     $ 1.02     $ (0.31   $ (0.64   $     $ (0.95   $ 11.87       9.72   $ 328,639       0.54     0.53     2.46     25

C

    11.54       0.20       0.74       0.94       (0.12     (0.64           (0.76     11.72       8.96       35,454       1.31       1.30       1.79       25  

I

    11.85       0.33       0.73       1.06       (0.34     (0.64           (0.98     11.93       10.08       9,817       0.25       0.25       2.85       25  

R3

    11.60       0.25       0.72       0.97       (0.26     (0.64           (0.90     11.67       9.38       14,880       0.87       0.87       2.19       25  

R4

    11.79       0.31       0.70       1.01       (0.30     (0.64           (0.94     11.86       9.65       3,325       0.58       0.58       2.73       25  

R5

    11.85       0.30       0.76       1.06       (0.33     (0.64           (0.97     11.94       10.11       5,788       0.26       0.26       2.63       25  

F

    11.86       0.21       0.85       1.06       (0.35     (0.64           (0.99     11.93       10.08       252       0.17       0.17       1.81       25  

For the Year Ended October 31, 2018

 

A

  $ 12.42     $ 0.30     $ (0.32   $ (0.02   $ (0.33   $ (0.27   $     $ (0.60   $ 11.80       (0.29 )%    $ 329,641       0.53     0.52     2.44     32

C

    12.16       0.21       (0.33     (0.12     (0.23     (0.27           (0.50     11.54       (1.08     46,067       1.28       1.28       1.74       32  

I

    12.48       0.31       (0.31           (0.36     (0.27           (0.63     11.85       (0.08     11,014       0.25       0.25       2.51       32  

R3

    12.23       0.26       (0.33     (0.07     (0.29     (0.27           (0.56     11.60       (0.72     17,865       0.87       0.87       2.15       32  

R4

    12.41       0.30       (0.33     (0.03     (0.32     (0.27           (0.59     11.79       (0.33     7,104       0.58       0.58       2.41       32  

R5

    12.48       0.33       (0.33           (0.36     (0.27           (0.63     11.85       (0.12     6,283       0.27       0.27       2.65       32  

F

    12.48       0.34       (0.32     0.02       (0.37     (0.27           (0.64     11.86       0.07       11       0.16       0.16       2.74       32  

For the Year Ended October 31, 2017

 

A

  $ 10.90     $ 0.10     $ 1.52     $ 1.62     $ (0.10   $     $     $ (0.10   $ 12.42       15.02   $ 333,803       0.52     0.51     0.89     14 %(15) 

C

    10.66       0.02       1.50       1.52       (0.02                 (0.02     12.16       14.25       96,532       1.26       1.25       0.17       14  

I

    10.95       0.13       1.54       1.67       (0.14                 (0.14     12.48       15.40       9,319       0.23       0.23       1.13       14  

R3

    10.73       0.06       1.51       1.57       (0.07                 (0.07     12.23       14.70       22,023       0.87       0.87       0.53       14  

R4

    10.89       0.09       1.53       1.62       (0.10                 (0.10     12.41       15.00       7,528       0.57       0.57       0.82       14  

R5

    10.95       0.13       1.54       1.67       (0.14                 (0.14     12.48       15.38       6,508       0.26       0.26       1.13       14  

F(6)

    11.48       0.06       0.94       1.00                               12.48       8.71 (7)      11       0.16 (8)      0.16 (8)      0.69 (8)      14  

For the Year Ended October 31, 2016

 

A

  $ 11.69     $ 0.06     $ (0.07   $ (0.01   $ (0.05   $ (0.73   $     $ (0.78   $ 10.90       0.14   $ 354,058       0.55     0.55     0.57     81

B

    11.53       (0.03     (0.08     (0.11     (0.03     (0.73           (0.76     10.66       (0.83     4,395       1.47       1.46       (0.26     81  

C

    11.52       (0.02     (0.08     (0.10     (0.03     (0.73           (0.76     10.66       (0.70     110,316       1.28       1.28       (0.16     81  

I

    11.72       0.10       (0.08     0.02       (0.06     (0.73           (0.79     10.95       0.41       8,123       0.25       0.25       0.90       81  

R3

    11.55       0.02       (0.07     (0.05     (0.04     (0.73           (0.77     10.73       (0.22     22,354       0.88       0.88       0.21       81  

R4

    11.69       0.06       (0.08     (0.02     (0.05     (0.73           (0.78     10.89       0.03       7,884       0.58       0.58       0.52       81  

R5

    11.72       0.09       (0.07     0.02       (0.06     (0.73           (0.79     10.95       0.38       6,584       0.28       0.28       0.81       81  

 

The accompanying notes are an integral part of these financial statements.

 

 

  116  

 


Hartford Multi-Strategy Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(3)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(4)(5)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(4)(5)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(5)
    Portfolio
Turnover
 
Hartford Moderate Allocation Fund – (continued)  

For the Year Ended October 31, 2015

 

A

  $   13.16     $   0.11     $   (0.36   $   (0.25   $   (0.23   $   (0.99   $   —     $   (1.22   $   11.69       (1.88 )%    $   412,907       0.55     0.55     0.88     16

B

    13.06       0.05       (0.38     (0.33     (0.21     (0.99           (1.20     11.53       (2.64     12,812       1.43       1.40       0.39       16  

C

    13.05       0.03       (0.36     (0.33     (0.21     (0.99           (1.20     11.52       (2.59     135,008       1.29       1.29       0.23       16  

I

    13.16       0.17       (0.38     (0.21     (0.24     (0.99           (1.23     11.72       (1.56     9,269       0.24       0.24       1.42       16  

R3

    13.04       0.11       (0.39     (0.28     (0.22     (0.99           (1.21     11.55       (2.17     24,956       0.89       0.89       0.91       16  

R4

    13.16       0.10       (0.35     (0.25     (0.23     (0.99           (1.22     11.69       (1.91     9,198       0.59       0.59       0.86       16  

R5

    13.17       0.13       (0.35     (0.22     (0.24     (0.99           (1.23     11.72       (1.65     8,166       0.29       0.29       1.09       16  
Hartford Multi-Asset Income and Growth Fund  

For the Year Ended October 31, 2019

 

A

  $ 23.62     $ 0.65     $ 1.23     $ 1.88     $ (0.77   $ (1.40   $     $ (2.17   $ 23.33       8.81   $ 666,684       1.02     1.01     2.85     83

C

    23.61       0.48       1.24       1.72       (0.57     (1.40           (1.97     23.36       8.08       106,874       1.73       1.73       2.11       83  

I

    23.61       0.75       1.21       1.96       (0.85     (1.40           (2.25     23.32       9.21       104,284       0.69       0.69       3.27       83  

R3

    23.86       0.59       1.25       1.84       (0.69     (1.40           (2.09     23.61       8.56       1,843       1.35       1.29       2.56       83  

R4

    23.91       0.59       1.32       1.91       (0.75     (1.40           (2.15     23.67       8.84       1,301       1.04       1.04       2.55       83  

R5

    23.94       0.80       1.17       1.97       (0.84     (1.40           (2.24     23.67       9.13       349       0.74       0.74       3.42       83  

R6

    23.95       0.70       1.30       2.00       (0.87     (1.40           (2.27     23.68       9.24       131       0.63       0.63       3.02       83  

Y

    23.95       0.74       1.25       1.99       (0.85     (1.40           (2.25     23.69       9.21       13,185       0.70       0.68       3.19       83  

F

    23.61       0.74       1.22       1.96       (0.86     (1.40           (2.26     23.31       9.29       97,529       0.62       0.62       3.23       83  

For the Year Ended October 31, 2018

 

       

A

  $ 23.53     $ 0.36     $ 0.05     $ 0.41     $ (0.32   $     $     $ (0.32   $ 23.62       1.76   $ 650,813       1.05     1.04     1.48     65

C

    23.53       0.19       0.04       0.23       (0.15                 (0.15     23.61       0.99       109,060       1.77       1.76       0.77       65  

I

    23.53       0.43       0.05       0.48       (0.40                 (0.40     23.61       2.05       56,280       0.73       0.73       1.79       65  

R3

    23.77       0.29       0.05       0.34       (0.25                 (0.25     23.86       1.45       1,794       1.38       1.33       1.19       65  

R4

    23.82       0.36       0.05       0.41       (0.32                 (0.32     23.91       1.73       2,669       1.07       1.06       1.44       65  

R5

    23.85       0.43       0.05       0.48       (0.39                 (0.39     23.94       2.03       134       0.78       0.76       1.75       65  

R6(16)

    24.62       0.27       (0.62 )(17)      (0.35     (0.32                 (0.32     23.95       (1.40 )(7)      1,586       0.63 (8)      0.63 (8)      1.65 (8)      65  

Y

    23.86       0.45       0.05       0.50       (0.41                 (0.41     23.95       2.10       15,367       0.70       0.70       1.82       65  

F

    23.52       0.45       0.06       0.51       (0.42                 (0.42     23.61       2.12       97,776       0.65       0.65       1.87       65  

For the Year Ended October 31, 2017

 

       

A

  $ 20.76     $ 0.31     $ 2.74     $ 3.05     $ (0.28   $     $     $ (0.28   $ 23.53       14.76   $ 628,048       1.11     1.10     1.37     34

C

    20.76       0.15       2.74       2.89       (0.12                 (0.12     23.53       13.95       168,686       1.82       1.81       0.67       34  

I

    20.76       0.36       2.74       3.10       (0.33                 (0.33     23.53       15.02       52,216       0.88       0.88       1.61       34  

R3

    20.97       0.25       2.76       3.01       (0.21                 (0.21     23.77       14.40       2,412       1.45       1.40       1.11       34  

R4

    21.02       0.30       2.78       3.08       (0.28                 (0.28     23.82       14.75       1,464       1.15       1.10       1.32       34  

R5

    21.04       0.38       2.77       3.15       (0.34                 (0.34     23.85       15.09       139       0.87       0.80       1.71       34  

Y

    21.05       0.38       2.79       3.17       (0.36                 (0.36     23.86       15.16       12,753       0.75       0.75       1.68       34  

F(6)

    22.21       0.20       1.39       1.59       (0.28                 (0.28     23.52       7.23 (7)      69,874       0.72 (8)      0.72 (8)      1.25 (8)      34  

For the Year Ended October 31, 2016

 

       

A

  $ 20.87     $ 0.30     $ (0.01 )(17)    $ 0.29     $ (0.40   $     $     $ (0.40   $ 20.76       1.43   $ 601,415       1.15     1.15 %(18)      1.43     26

B

    20.78       0.12       (0.02 )(17)      0.10       (0.20                 (0.20     20.68       0.50       2,228       2.39       2.05 (18)      0.59       26  

C

    20.87       0.15       (19)      0.15       (0.26                 (0.26     20.76       0.74       161,160       1.85       1.85 (18)      0.73       26  

I

    20.86       0.33       0.04       0.37       (0.47                 (0.47     20.76       1.80       31,260       0.85       0.85 (18)      1.59       26  

R3

    21.09       0.24       0.01       0.25       (0.37                 (0.37     20.97       1.18       3,174       1.47       1.41 (18)      1.13       26  

R4

    21.13       0.31       (19)      0.31       (0.42                 (0.42     21.02       1.47       683       1.18       1.11 (18)      1.47       26  

R5

    21.14       0.36       0.02       0.38       (0.48                 (0.48     21.04       1.81       242       0.88       0.81 (18)      1.74       26  

Y

    21.15       0.39       (19)      0.39       (0.49                 (0.49     21.05       1.87       7,044       0.75       0.75 (18)      1.87       26  

 

The accompanying notes are an integral part of these financial statements.

 

 

  117  

 


Hartford Multi-Strategy Funds

Financial Highlights – (continued)

 

 

 

    — Selected Per-Share Data(1)     — Ratios and Supplemental Data —  

Class

  Net Asset
Value at
Beginning
of Period
    Net
Investment
Income
(Loss)
    Net
Realized
and
Unrealized
Gain (Loss)
on
Investments
    Total from
Investment
Operations
    Dividends
from Net
Investment
Income
    Distributions
from
Capital
Gains
    Returns
of Capital
    Total
Dividends
and
Distributions
    Net
Asset
Value at
End of
Period
    Total
Return(3)
    Net
Assets at
End of
Period
(000s)
    Ratio of
Expenses
to
Average
Net
Assets
Before
Adjust-
ments(4)(5)
    Ratio of
Expenses
to
Average
Net
Assets
After
Adjust-
ments(4)(5)
    Ratio of
Net
Investment
Income
(Loss) to
Average
Net Assets(5)
    Portfolio
Turnover
 
Hartford Multi-Asset Income and Growth Fund – (continued)  

For the Year Ended October 31, 2015

 

       

A

  $   20.54     $   0.25     $ 0.33     $ 0.58     $ (0.25   $     $     $ (0.25   $ 20.87       2.84   $   607,698       1.15     1.15     1.20     22

B

    20.42       0.07       0.33       0.40       (0.04                 (0.04     20.78       1.98       5,246       2.27       1.99       0.35       22  

C

    20.54       0.11       0.33       0.44       (0.11                 (0.11     20.87       2.15       153,455       1.84       1.84       0.52       22  

I(20)

    21.08       0.19         (0.24       (0.05       (0.17       —         —         (0.17       20.86       (0.19 )(7)      7,436       0.86 (8)      0.86 (8)      1.59 (8)      22  

R3

    20.75       0.20       0.34       0.54       (0.20                 (0.20     21.09       2.62       1,361       1.49       1.40       0.97       22  

R4

    20.78       0.26       0.34       0.60       (0.25                 (0.25     21.13       2.90       594       1.16       1.10       1.25       22  

R5

    20.80       0.33       0.33       0.66       (0.32                 (0.32     21.14       3.19       164       0.87       0.80       1.56       22  

Y

    20.82       0.35       0.31       0.66       (0.33                 (0.33     21.15       3.22       7,600       0.74       0.74       1.65       22  

 

(1) 

Information presented relates to a share outstanding throughout the indicated period. Net investment income (loss) per share amounts are calculated based on average shares outstanding unless otherwise noted.

(2) 

Commenced operations on November 7, 2014.

(3) 

Assumes initial investment at net asset value at the beginning of each period, reinvestment of all distributions, the complete redemption of the investment at net asset value at the end of each period and no sales charge. Total return would be reduced if sales charges were taken into account.

(4) 

Adjustments include waivers and reimbursements, if applicable. Ratios do not include fees paid indirectly (see Expenses in the accompanying Notes to Financial Statements).

(5) 

Ratios do not include expenses of the Underlying Funds and/or ETFs/ETNs, if applicable.

(6) 

Commenced operations on February 28, 2017.

(7) 

Not annualized.

(8) 

Annualized.

(9) 

Excluding the expenses not subject to cap, the ratios would have been 0.95%, 0.99%, 1.68%, 0.69%, 1.24%, 0.94%, 0.69%, 0.61% and 0.61% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5, Class R6 and Class Y, respectively.

(10) 

Commenced operations on February 28, 2019.

(11) 

Excluding the expenses not subject to cap, the ratios would have been 1.12%, 1.87%, 0.87%, 1.42%, 1.12%, 0.93% and 0.83% for Class A, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(12) 

Excludes transactions related to the change of investments of share classes from Class Y to Class F; including these transactions the portfolio turnover rate would have been 115%, for the year ended October 31, 2017.

(13) 

Excluding the expenses not subject to cap, the ratios would have been 1.25%, 2.00%, 0.98%, 1.48%, 1.20%, 0.95% and 0.90% for Class A, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(14) 

Excludes transactions related to the change of investments of share classes from Class Y to Class F; including these transactions the portfolio turnover rate would have been 110%, for the year ended October 31, 2017.

(15) 

Excludes transactions related to the change of investments of share classes from Class Y to Class F; including these transactions the portfolio turnover rate would have been 113%, for the year ended October 31, 2017.

(16) 

Commenced operations on February 28, 2018.

(17) 

Per share amount was not in accord with the net realized and unrealized gain (loss) for the period because of the timing of transactions in shares of the Fund and the amount and timing of per-share net realized and unrealized gain (loss) on such shares.

(18) 

Excluding the expenses not subject to cap, the ratios would have been 1.14%, 2.04%, 1.84%, 0.84%, 1.40%, 1.10%, 0.80% and 0.74% for Class A, Class B, Class C, Class I, Class R3, Class R4, Class R5 and Class Y, respectively.

(19) 

Per share amount is less than $0.005.

(20) 

Commenced operations on March 31, 2015.

 

The accompanying notes are an integral part of these financial statements.

 

 

  118  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements

October 31, 2019

 

 

 

1.

Organization:

The Hartford Mutual Funds, Inc. (the “Company”) is an open-end registered management investment company comprised of thirty-eight series, as of October 31, 2019. Financial statements for the series of the Company listed below (each a “Fund” and collectively, the “Funds”) are included in this report.

The Hartford Mutual Funds, Inc.:

The Hartford Balanced Income Fund (the “Balanced Income Fund”)

Hartford AARP Balanced Retirement Fund (the “Balanced Retirement Fund”), (formerly, Hartford Multi-Asset Income Fund)

The Hartford Checks and Balances Fund (the “Checks and Balances Fund”)

The Hartford Conservative Allocation Fund (the “Conservative Allocation Fund”)

The Hartford Global Real Asset Fund (the “Global Real Asset Fund”)

The Hartford Growth Allocation Fund (the “Growth Allocation Fund”)

Hartford Moderate Allocation Fund (the “Moderate Allocation Fund”)

Hartford Multi-Asset Income and Growth Fund (the “Multi-Asset Income and Growth Fund”), (formerly, The Hartford Balanced Fund)

The assets of each Fund are separate, and a shareholder’s interest is limited to the Fund in which shares are held. The Company is organized under the laws of the State of Maryland and is registered with the Securities and Exchange Commission (the “SEC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). Each Fund is a diversified open-end management investment company. Each Fund applies specialized accounting and reporting standards under Accounting Standards Codification Topic 946, “Financial Services – Investment Companies”.

Each Fund has registered for sale Class A, Class C, Class I, Class R3, Class R4, Class R5 and Class F shares. Balanced Income Fund, Balanced Retirement Fund, and Multi-Asset Income and Growth Fund have registered for sale Class R6 shares. Also, each Fund, except Checks and Balances Fund, Conservative Allocation Fund, Growth Allocation Fund and Moderate Allocation Fund, has registered for sale Class Y shares. Class A shares of each Fund, except Balanced Retirement Fund, are sold with a front-end sales charge of up to 5.50%. Balanced Retirement Fund’s Class A shares are sold with a front-end sales charge of up to 4.50%. Class C shares are sold with a contingent deferred sales charge of up to 1.00% on shares redeemed within twelve months of purchase. Effective October 1, 2018, Class C shares automatically convert to Class A shares of the same Fund after ten years provided that the Fund or the financial intermediary has records verifying that the Class C shares have been held for at least ten years. Classes I, R3, R4, R5, R6, Y and F shares do not have a sales charge.

Each of the Balanced Retirement Fund, Checks and Balances Fund, Conservative Allocation Fund, Growth Allocation Fund and Moderate Allocation Fund invested in affiliated mutual funds and affiliated exchange-traded funds (“Affiliated Investment Companies” or “Underlying Funds”) during the year ended October 31, 2019.

Hartford Funds Management Company, LLC (“HFMC” or “Investment Manager”) and The Hartford Mutual Funds, Inc. have entered into a licensing arrangement with AARP, Inc. (“AARP”) under which AARP receives a royalty from the Investment Manager out of its own resources for licensing its brand to the Hartford AARP Balanced Retirement Fund. Hartford AARP Balanced Retirement Fund is managed by the Investment Manager, an investment adviser registered with the SEC, and distributed by Hartford Funds Distributors, LLC, a broker-dealer registered with the SEC and an affiliate of the Investment Manager. The Investment Manager and its affiliates are not affiliated with AARP or its affiliates. AARP and its affiliates are not broker-dealers or investment advisers and are not acting in any such capacity with respect to Hartford AARP Balanced Retirement Fund. AARP and its affiliates do not offer, recommend, or endorse the Investment Manager or any of its affiliates and are not making any recommendations regarding an investment in Hartford AARP Balanced Retirement Fund.

 

2.

Significant Accounting Policies:

The following is a summary of significant accounting policies of each Fund used in the preparation of its financial statements, which are in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”). The preparation of financial statements in accordance with U.S. GAAP may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

 

  a)

Determination of Net Asset Value – The net asset value (“NAV”) of each class of each Fund’s shares is determined as of the close of regular trading (normally 4:00 p.m. Eastern Time) (the “NYSE Close”) on each day that the New York Stock Exchange (the “Exchange”) is open. Information that becomes known to the Funds after the NAV has been calculated on a particular day will not generally be used to retroactively adjust the NAV determined earlier that day.

 

  b)

Investment Valuation and Fair Value Measurements – For purposes of calculating the NAV of each class of each Fund, portfolio securities and other assets held in the Fund’s portfolio for which market prices are readily available are valued at market value. Market value is generally determined on the basis of official close price or last reported trade price. If no trades were reported, market value is based on prices obtained from a quotation reporting system, established market makers (including evaluated prices), or independent pricing services.

 

 

  119  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  Pricing vendors may use matrix pricing or valuation models that utilize certain inputs and assumptions to derive values, including transaction data, credit quality information, general market conditions, news, and other factors and assumptions.

If market prices are not readily available or are deemed unreliable, a Fund will use the fair value of the security or other instrument as determined in good faith under policies and procedures established by and under the supervision of the Board of Directors of the Company (the “Board of Directors”) (“Valuation Procedures”). Market prices are considered not readily available where there is an absence of current or reliable market-based data (e.g., trade information or broker quotes), including where events occur after the close of the relevant market, but prior to the NYSE Close, that materially affect the values of a Fund’s portfolio holdings or assets. In addition, market prices are considered not readily available when, due to extraordinary circumstances, the exchanges or markets on which the securities or other instruments trade do not open for trading for the entire day and no other market prices are available. Fair value pricing is subjective in nature and the use of fair value pricing by a Fund may cause the NAV of its shares to differ significantly from the NAV that would have been calculated using market prices at the close of the exchange on which a portfolio holding is primarily traded. There can be no assurance that a Fund could obtain the fair value assigned to an investment if the Fund were to sell the investment at approximately the time at which the Fund determines its NAV.

Prices of foreign equities that are principally traded on certain foreign markets will generally be adjusted daily pursuant to a fair value pricing service in order to reflect an adjustment for the factors occurring after the close of certain foreign markets but before the NYSE Close. Securities and other instruments that are primarily traded on foreign markets may trade on days that are not business days of the Funds. The value of the foreign securities or other instruments in which a Fund invests may change on days when a shareholder will not be able to purchase or redeem shares of the Fund.

Fixed income investments (other than short-term obligations) held by a Fund are normally valued at prices supplied by independent pricing services in accordance with the Valuation Procedures. Short-term investments maturing in 60 days or less are generally valued at amortized cost if their original term to maturity was 60 days or less, or by amortizing their value on the 61st day prior to maturity, if the original term exceeded 60 days.

Exchange-traded derivatives, such as options, futures and options on futures, are valued at the last sale price determined by the exchange where such instruments principally trade as of the close of such exchange (“Exchange Close”). If a last sale price is not available, the value will be the mean of the most recently quoted bid and ask prices as of the Exchange Close. If a mean of the bid and ask prices cannot be calculated for the day, the value will be the most recently quoted bid price as of the Exchange Close. Over-the-counter derivatives are normally valued based on prices supplied by independent pricing services in accordance with the Valuation Procedures.

Investments valued in currencies other than U.S. dollars are converted to U.S. dollars using the prevailing spot currency exchange rates obtained from independent pricing services for calculation of the NAV. As a result, the NAV of a Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of securities or other instruments traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the Exchange is closed and the market value may change on days when an investor is not able to purchase, redeem or exchange shares of a Fund.

Foreign currency contracts represent agreements to exchange currencies on specific future dates at predetermined rates. Foreign currency contracts are valued using foreign currency exchange rates and forward rates as provided by an independent pricing service on the Valuation Date.

Investments in open-end mutual funds, if any, are valued at the respective NAV of each open-end mutual fund on the Valuation Date. Shares of investment companies listed and traded on an exchange are valued in the same manner as any exchange-listed equity security. Such open-end mutual funds and listed investment companies may use fair value pricing as disclosed in their prospectuses.

Financial instruments for which prices are not available from an independent pricing service may be valued using market quotations obtained from one or more dealers that make markets in the respective financial instrument in accordance with the Valuation Procedures.

U.S. GAAP defines fair value as the price that a Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants. The U.S. GAAP fair value measurement standards require disclosure of a fair value hierarchy for each major category of assets and liabilities. Various inputs are used in determining the fair value of each Fund’s investments. These inputs are summarized into three broad hierarchy levels. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are:

 

   

Level 1 – Quoted prices in active markets for identical investments. Level 1 may include exchange traded instruments, such as domestic equities, some foreign equities, options, futures, mutual funds, exchange traded funds, rights and warrants.

   

Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar investments; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 2 may include debt investments that are traded less frequently than exchange traded instruments and which are valued using independent pricing services; foreign equities, which are principally traded on certain foreign markets and are adjusted daily pursuant to a fair value pricing service in order to

 

 

  120  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  reflect an adjustment for the factors occurring after the close of certain foreign markets but before the NYSE Close; senior floating rate interests, which are valued using an aggregate of dealer bids; short-term investments, which are valued at amortized cost; and swaps, which are valued based upon the terms of each swap contract.
   

Level 3 – Significant unobservable inputs that are supported by limited or no market activity. Level 3 may include financial instruments whose values are determined using indicative market quotes or require significant management judgment or estimation. These unobservable valuation inputs may include estimates for current yields, maturity/duration, prepayment speed, and indicative market quotes for comparable investments along with other assumptions relating to credit quality, collateral value, complexity of the investment structure, general market conditions and liquidity. This category may include investments where trading has been halted or there are certain restrictions on trading. While these investments are priced using unobservable inputs, the valuation of these investments reflects the best available data and management believes the prices are a reasonable representation of exit price.

The Board of Directors has delegated the day-to-day responsibility for implementing the Valuation Procedures to the Valuation Committee. The Valuation Committee will consider all relevant factors in determining an investment’s fair value, and may seek the advice of such Fund’s sub-adviser, as applicable, knowledgeable brokers, and legal counsel in making such determination. The Valuation Committee reports to the Audit Committee of the Board of Directors.

Valuation levels are not necessarily indicative of the risk associated with investing in such investments. Individual investments within any of the above mentioned asset classes may be assigned a different hierarchical level than those presented above, as individual circumstances dictate.

For additional information, refer to the Fair Valuation Summary and the Level 3 roll-forward reconciliation, if applicable, which follows each Fund’s Schedule of Investments.

Level 3 Holdings on October 31, 2019

Quantitative Information about Level 3 Fair Value Measurements:

 

Multi-Asset Income and Growth Fund

 

Security Type / Valuation Technique*

    

Unobservable Input

   Input Value(s) Range        Fair Value at
October 31, 2019
 

Asset-Backed

            

Equity Link Securities**

            

Broker Quotes

             $ 137,560,622  
            

 

 

 

Total

               137,560,622  
            

 

 

 

Common Stock

            

Market Approach

    

EV/EBITDA

     (5.8x - 11.0x) 9.00x          1,199,313  
            

 

 

 

Total

               1,199,313  
            

 

 

 

Total

             $     138,759,935  
            

 

 

 

 

  *

The Valuation Committee may consider applying appropriate valuation methodologies, which may include, but are not limited to: valuation through use of a “proxy” investment or index, discount from market value of a similar freely traded investment, a discount or premium which may consider market or regulatory sentiment (or other subjective determinations, inputs or factors not otherwise quantifiable), and any other appropriate method.

  **

No quantitative unobservable inputs significant to the valuation technique were created by the Fund’s management.

 

  c)

Investment Transactions and Investment Income – Investment transactions are recorded as of the trade date (the date the order to buy or sell is executed) for financial reporting purposes. Investments purchased or sold on a when-issued or delayed-delivery basis may be settled a month or more after the trade date. Realized gains and losses are determined on the basis of identified cost.

The trade date for senior floating rate interests purchased in the primary loan market is considered the date on which the loan allocations are determined. The trade date for senior floating rate interests purchased in the secondary loan market is the date on which the transaction is entered into.

Dividend income from domestic securities is accrued on the ex-dividend date. In general, dividend income from foreign securities is recorded on the ex-date; however, dividend notifications in certain foreign jurisdictions may not be available in a timely manner and as a result, a Fund will record the dividend as soon as the relevant details (i.e., rate per share, payment date, shareholders of record, etc.) are publicly available. Interest income, including amortization of premium, accretion of discounts, inflation adjustments and additional principal received in-kind in lieu of cash, is accrued on a daily basis. Paydown gains and losses on mortgage-related and other asset-backed securities are included in interest income in the Statements of Operations, as applicable. Income and capital gain distributions from the Underlying Funds are accrued on the ex-dividend date.

Please refer to note 8 for Securities Lending information.

 

 

 

  121  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  d)

Taxes – A Fund may be subject to taxes imposed on realized gains on securities of certain foreign countries in which such Fund invests. A Fund may also be subject to taxes withheld on foreign dividends and interest from securities in which the Fund invests. The amount of any foreign taxes withheld and foreign tax expense is included on the accompanying Statements of Operations as a reduction to net investment income or net realized gain on investments in these securities, if applicable.

 

  e)

Foreign Currency Transactions – Assets and liabilities denominated in currencies other than U.S. dollars are translated into U.S. dollars at the exchange rates in effect on the Valuation Date. Purchases and sales of investments, income and expenses are translated into U.S. dollars at the exchange rates on the dates of such transactions.

A Fund does not isolate that portion of portfolio investment valuation resulting from fluctuations in the foreign currency exchange rates from the fluctuations arising from changes in the market prices of investments held. Exchange rate fluctuations are included with the net realized and unrealized gain or loss on investments in the accompanying financial statements.

Net realized foreign exchange gains or losses arise from sales of foreign currencies and the difference between asset and liability amounts initially stated in foreign currencies and the U.S. dollar value of the amounts actually received or paid. Net unrealized foreign exchange gains or losses arise from changes in the value of other assets and liabilities at the end of the reporting period, resulting from changes in the exchange rates.

 

  f)

Joint Trading Account – A Fund may invest cash balances into a joint trading account that may be invested in one or more repurchase agreements.

 

  g)

Fund Share Valuation and Dividend Distributions to Shareholders – Orders for each class of each Fund’s shares are executed in accordance with the investment instructions of the shareholders. The NAV of each class of each Fund’s shares is determined as of the close of business on each business day of the Exchange (see Note 2(a)). The NAV is determined separately for each class of shares of a Fund by dividing the Fund’s net assets attributable to that class by the number of shares of the class outstanding. Each class of shares offered by a Fund has equal rights as to assets and voting privileges (except that shareholders of a class have exclusive voting rights regarding any matter relating solely to that class of shares). Income and non-class specific expenses are allocated daily to each class on the basis of the relative net assets of the class of the Fund. Realized and unrealized gains and losses are allocated daily based on the relative net assets of each class of shares of each Fund.

Orders for the purchase of a Fund’s shares received prior to the close of the Exchange on any day the Exchange is open for business are priced at the NAV determined as of the close of the Exchange. Orders received after the close of the Exchange, or on a day on which the Exchange and/or the Funds are not open for business, are priced at the next determined NAV.

Dividends are declared pursuant to a policy adopted by the Company’s Board of Directors. Dividends and/or distributions to shareholders are recorded on ex-date. The policy of each of Balanced Income Fund and Checks and Balances Fund is to pay dividends from net investment income, if any, quarterly and realized gains, if any, at least once a year. The policy of each of Conservative Allocation Fund, Global Real Asset Fund, Growth Allocation Fund and Moderate Allocation Fund is to pay dividends from net investment income and realized gains, if any; at least once a year. Normally, dividends from net investment income of each of Balanced Retirement Fund and Multi Asset Income and Growth Fund are declared and paid monthly and dividends from realized gains, if any, are paid at least once a year.

Long-term capital gains distributions received from Underlying Funds, if applicable, are distributed at least annually, when required. Unless shareholders specify otherwise, all dividends and distributions from a Fund will be automatically reinvested in additional full or fractional shares of the Fund.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP with respect to character and timing (see Federal Income Taxes: Distributions and Components of Distributable Earnings and Reclassification of Capital Accounts notes).

 

  h)

Basis for Consolidations – The Global Real Asset Fund may invest up to 25% of its total assets in a wholly-owned subsidiary of the Global Real Asset Fund (the “Subsidiary”). The Subsidiary is organized under the laws of the Cayman Islands and is consolidated in the Global Real Asset Fund’s financial statements. All intercompany balances, revenues, and expenses have been eliminated in consolidation. The Subsidiary acts as an investment vehicle in order to enter into certain investments (primarily commodities) for the Global Real Asset Fund consistent with the investment objectives and policies specified in the Prospectus and Statement of Additional Information.

 

3.

Securities and Other Investments:

 

  a)

Restricted Securities – Each Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities, if applicable, is included at the end of each Fund’s Schedule of Investments.

 

 

  122  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  b)

Investments Purchased on a When-Issued or Delayed-Delivery Basis – Delivery and payment for investments that have been purchased by a Fund on a forward commitment, or when-issued or delayed-delivery basis, take place beyond the customary settlement period. A Fund may dispose of or renegotiate a delayed-delivery transaction after it is entered into, and may sell delayed-delivery investments before they are delivered, which may result in a realized gain or loss. During this period, such investments are subject to market fluctuations, and a Fund identifies investments segregated in its records with a value at least equal to the amount of the commitment. See each Fund’s Schedule of Investments, if applicable, for when-issued or delayed-delivery investments as of October 31, 2019.

In connection with a Fund’s ability to purchase investments on a when-issued or forward commitment basis, the Fund may enter into to-be announced (“TBA”) commitments. TBA commitments are forward agreements for the purchase or sale of mortgage-backed securities for a fixed price, with payment and delivery on an agreed-upon future settlement date. The specific securities to be delivered are not identified at the trade date; however, delivered securities must meet specified terms, including issuer, rate and mortgage terms. Although a Fund may enter into TBA commitments with the intention of acquiring or delivering securities for its portfolio, the Fund can extend the settlement date, roll the transaction, or dispose of a commitment prior to settlement if deemed appropriate to do so. If the TBA commitment is closed through the acquisition of an offsetting TBA commitment, a Fund realizes a gain or loss. In a TBA roll transaction, a Fund generally purchases or sells the initial TBA commitment prior to the agreed upon settlement date and enters into a new TBA commitment for future delivery or receipt of the mortgage backed securities. TBA commitments involve a risk of loss if the value of the security to be purchased or sold declines or increases, respectively, prior to settlement date. These transactions are excluded from a Fund’s portfolio turnover rate. See each Fund’s Schedule of Investments, if applicable, for TBA commitments as of October 31, 2019.

 

  c)

Senior Floating Rate Interests – Certain Funds may invest in senior floating rate interests. Senior floating rate interests generally hold the most senior position in the capital structure of a business entity (the “Borrower”), are typically secured by specific collateral and have a claim on the assets and/or stock of the Borrower that is senior to that held by subordinated debtholders and stockholders of the Borrower. Senior floating rate interests are typically structured and administered by a financial institution that acts as the agent of the lenders participating in the senior floating rate interest. A Fund may invest in multiple series or tranches of a senior floating rate interest, which may have varying terms and carry different associated risks. A Fund may also enter into unfunded loan commitments, which are contractual obligations for future funding. Unfunded loan commitments may include revolving credit facilities, which may obligate the Fund to supply additional cash to the Borrower on demand. Unfunded loan commitments represent a future obligation in full. A Fund may receive a commitment fee based on the undrawn portion of the underlying line of credit portion of a senior floating rate interest. In certain circumstances, a Fund may receive various fees upon the restructure of a senior floating rate interest by a borrower. Fees earned/paid may be recorded as a component of income or realized gain/loss in the Statements of Operations.

Senior floating rate interests are typically rated below-investment-grade, which suggests they are more likely to default and generally pay higher interest rates than investment-grade loans. A default could lead to non-payment of income, which would result in a reduction of income to a Fund, and there can be no assurance that the liquidation of any collateral would satisfy the Borrower’s obligation in the event of non-payment of scheduled interest or principal payments, or that such collateral could be readily liquidated. See each Fund’s Schedule of Investments, if applicable, for outstanding senior floating rate interests as of October 31, 2019.

 

  d)

Inflation-Indexed Bonds – A Fund may invest in inflation-indexed bonds. Inflation-indexed bonds are fixed income investments whose principal value is periodically adjusted to the rate of inflation. The interest rate on these bonds is generally fixed at issuance at a rate lower than typical bonds. Over the life of an inflation-indexed bond, however, interest will be paid based on a principal value, which is adjusted for inflation. Any increase or decrease in the principal amount of an inflation-indexed bond will be included as interest income on the Statements of Operations, even though investors do not receive the principal amount until maturity. See each Fund’s Schedule of Investments, if applicable, for inflation-indexed bonds as of October 31, 2019.

 

  e)

Mortgage-Related and Other Asset-Backed Securities – A Fund may invest in mortgage-related and other asset-backed securities. These securities include mortgage pass-through securities, collateralized mortgage obligations, commercial mortgage-backed securities, stripped mortgage-backed securities, asset-backed securities, collateralized debt obligations and other securities that directly or indirectly represent a participation in, or are secured by and payable from, mortgage loans on real property. Mortgage-related securities are created from pools of residential or commercial mortgage loans, including mortgage loans made by savings and loan institutions, mortgage bankers, commercial banks and others. Asset-backed securities are created from many types of assets, including auto loans, credit card receivables, home equity loans, and student loans. These securities provide a monthly payment that consists of both interest and principal payments. Interest payments may be determined by fixed or adjustable rates. The rate of prepayments on underlying mortgages will affect the price and volatility of a mortgage-related security, and may have the effect of shortening or extending the effective duration of the security relative to what was anticipated at the time of purchase. The timely payment of principal and interest of certain mortgage-related securities is guaranteed by the full faith and credit of the United States Government. Mortgage-related and other asset-backed securities created and guaranteed by non-governmental issuers, including government-sponsored corporations, may be supported by various forms of insurance or guarantees, but there can be no assurance that the private insurers or guarantors can meet their obligations under the insurance policies or guarantee arrangements. See each Fund’s Schedule of Investments, if applicable, for mortgage-related and other asset-backed securities as of October 31, 2019.

 

 

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Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  f)

Equity Linked Securities – Certain Funds may invest in equity linked securities, which usually convert into common stock at a date predetermined by the issuer. These securities generally offer a higher dividend yield than that of the common stock to which the security is linked. These instruments are issued by a company other than the one to which the security is linked and carry the credit of the issuer, not that of the underlying common stock. The securities’ appreciation is limited based on a predetermined final cap price at the date of the conversion. Risks of investing in these securities include, but are not limited to, a set time to capture the yield advantage, limited appreciation potential, decline in value of the underlying stock, and failure of the issuer to pay dividends or to deliver common stock at maturity. Since equity linked securities are in note form, equity linked securities are also subject to certain debt securities risks. Investments in equity linked securities are also subject to liquidity risk, which may make equity linked securities difficult to sell and value. See each Fund’s Schedule of Investments, if applicable, for equity linked securities as of October 31, 2019.

 

4.

Financial Derivative Instruments:

The following disclosures contain information on how and why a Fund may use derivative instruments, the credit-risk-related contingent features in certain derivative instruments, and how derivative instruments affect a Fund’s financial position and results of operations. The location and fair value amounts of these instruments on the Statements of Assets and Liabilities and the realized gains and losses and changes in unrealized gains and losses on the Statements of Operations, each categorized by type of derivative contract, are included in the following Additional Derivative Instrument Information footnote. The derivative instruments outstanding as of period-end are disclosed in the notes to the Schedules of Investments, if applicable. The amounts of realized gains and losses and changes in unrealized gains and losses on derivative instruments during the period are disclosed in the Statements of Operations.

 

  a)

Foreign Currency Contracts – A Fund may enter into foreign currency contracts that obligate the Fund to purchase or sell currencies at specified future dates. Foreign currency contracts may be used in connection with settling purchases or sales of securities to hedge the currency exposure associated with some or all of a Fund’s investments and/or as part of an investment strategy. Foreign currency contracts are marked to market daily and the change in value is recorded by a Fund as an unrealized gain or loss. A Fund will record a realized gain or loss when the foreign currency contract is settled.

Foreign currency contracts involve elements of market risk in excess of the amounts reflected in the Statements of Assets and Liabilities. In addition, risks may arise upon entering into these contracts from the potential inability of the counterparties to meet the terms of the contracts and from unanticipated movements in the value of the foreign currencies relative to the U.S. dollar. Upon entering into a foreign currency contract, a Fund may be required to post margin equal to its outstanding exposure thereunder.

During the year ended October 31, 2019, each of Balanced Income Fund, Balanced Retirement Fund, Global Real Asset Fund and Multi-Asset Income and Growth Fund had used Foreign Currency Contracts.

 

  b)

Futures Contracts – A Fund may enter into futures contracts. A futures contract is an agreement between two parties to buy or sell an asset at a set price on a future date. A Fund may use futures contracts to manage risk or obtain exposure to the investment markets, commodities, or movements in interest rates and currency values. The primary risks associated with the use of futures contracts are the imperfect correlation between the change in market value of the investments held by a Fund and the prices of futures contracts and the possibility of an illiquid market. Upon entering into a futures contract, a Fund is required to deposit with a futures commission merchant (“FCM”) an amount of cash or U.S. Government or Agency Obligations in accordance with the initial margin requirements of the broker or exchange. Futures contracts are marked to market daily and an appropriate amount equal to the change in value (“variation margin”) is paid or received by a Fund. Gains or losses are recognized but not considered realized until the contracts expire or are closed. Futures contracts involve, to varying degrees, risk of loss in excess of the variation margin disclosed on the Statements of Assets and Liabilities.

During the year ended October 31, 2019, each of Balanced Income Fund, Balanced Retirement Fund, Global Real Asset Fund and Multi-Asset Income and Growth Fund had used Futures Contracts.

 

  c)

Options Contracts – An option contract is a contract sold by one party to another party that offers the buyer the right, but not the obligation, to buy (call) or sell (put) an investment or other financial asset at an agreed-upon price during a specific period of time or on a specific date. Option contracts are either over-the-counter (“OTC”) options or executed in a registered exchange (“exchange-traded options”). A Fund may write (sell) covered call and put options on futures, swaps (“swaptions”), securities, commodities or currencies. “Covered” means that so long as a Fund is obligated as the writer of an option, it will own either the underlying investments or currency or an option to purchase the same underlying investments or currency having an expiration date of the covered option and an exercise price equal to or less than the exercise price of the covered option, or will segregate or earmark cash or other liquid investments having, for written call options, a value equal to the greater of the exercise price or the market value of the underlying instrument and, for written put options, a value equal to the exercise price. Writing put options may increase a Fund’s exposure to the underlying instrument. Writing call options may decrease a Fund’s exposure to the underlying instrument. Premiums received from writing options that expire are treated as realized gains. Premiums received from writing options that are exercised or closed are added to the proceeds or offset amounts paid on the underlying futures, swaps, investments or currency transactions to determine the realized gain or loss. A Fund, as a writer of an option, has no control over whether the underlying instrument may be sold (call) or purchased (put) and as a result bears the market risk of an unfavorable change in the price of the instrument

 

 

  124  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

  underlying the written option. There is the risk a Fund may not be able to enter into a closing transaction because of an illiquid market. A Fund may also purchase put and call options. Purchasing call options may increase a Fund’s exposure to the underlying instrument. Purchasing put options may decrease a Fund’s exposure to the underlying instrument. A Fund pays a premium, which is included on the Fund’s Statements of Assets and Liabilities as an investment and is subsequently marked to market to reflect the current value of the option. Premiums paid for purchasing options that expire are treated as realized losses. Certain options may be purchased with premiums to be determined on a future date. The premiums for these options are based upon implied volatility parameters at specified terms. The risk associated with purchasing put and call options is generally limited to the premium paid. Premiums paid for purchasing options that are exercised or closed are added to the amounts paid or offset against the proceeds on the underlying investment transaction to determine the realized gain or loss. Entering into OTC options also exposes a Fund to counterparty risk. Counterparty risk is the possibility that the counterparty to the agreements may default on its obligation to perform or disagree as to the meaning of the contractual terms in the agreements.

During the year ended October 31, 2019, each of Balanced Retirement Fund, Global Real Asset Fund and Multi-Asset Income and Growth Fund had used Options Contracts.

 

  d)

Swap Contracts – A Fund may invest in swap contracts. Swap contracts are agreements to exchange or swap investment cash flows, assets, foreign currencies or market-linked returns at specified future intervals. Swap contracts are either privately negotiated in the over-the-counter market (“OTC swaps”) or cleared through a central counterparty or derivatives clearing organization (“centrally cleared swaps”). A Fund may enter into credit default, total return, cross-currency, interest rate, inflation and other forms of swap contracts to manage its exposure to credit, currency, interest rate, commodity and inflation risk. Swap contracts are also used to gain exposure to certain markets. In connection with these contracts, investments or cash may be identified as collateral or margin in accordance with the terms of the respective swap contracts and/or master netting arrangement to provide assets of value and recourse in the event of default or bankruptcy/insolvency.

Swaps are valued in accordance with the Valuation Procedures. Changes in market value, if any, are reflected as a component of net changes in unrealized appreciation or depreciation on the Statements of Operations. Daily changes in valuation of centrally cleared swaps, if any, are recorded as a receivable or payable for the change in value (“variation margin”) on the Statements of Assets and Liabilities. Realized gains or losses on centrally cleared swaps are recorded upon the termination of the swaps. OTC swap payments received or paid at the beginning of the measurement period are reflected as such on the Statements of Assets and Liabilities and represent premiums paid or received upon entering into the swap contract to compensate for differences between the stated terms of the swap contract and prevailing market conditions (credit spreads, currency exchange rates, interest rates and other relevant factors). These upfront premiums are recorded as realized gains or losses on the Statements of Operations upon termination or maturity of the swap. A liquidation payment received or made at the termination or maturity of the swap is recorded as a realized gain or loss on the Statements of Operations. Net periodic payments received or paid by a Fund are included as part of realized gains or losses on the Statements of Operations.

Entering into these contracts involves, to varying degrees, elements of liquidation, counterparty, credit and market risk in excess of the amounts recognized on the Statements of Assets and Liabilities. Such risks involve the possibility that there will be no liquid market for these contracts, that the counterparty to the contracts may default on its obligation to perform or disagree as to the meaning of contractual terms in the contracts, and that there may be unfavorable changes in market conditions (credit spreads, currency exchange rates, interest rates and other relevant factors).

A Fund’s maximum risk of loss from counterparty risk for OTC swaps is the net value of the discounted cash flows to be received from the counterparty over the contract’s remaining life, and current market value, to the extent that amount is positive. The risk is mitigated by having a master netting arrangement between a Fund and the counterparty, which allows for the netting of payments made or received (although such amounts are presented on a gross basis within the Statements of Assets and Liabilities, as applicable) as well as the posting of collateral to a Fund to cover the Fund’s exposure to the counterparty. In a centrally cleared swap, while a Fund enters into an agreement with a clearing broker to execute contracts with a counterparty, the performance of the swap is guaranteed by the central clearinghouse, which reduces the Fund’s exposure to counterparty risk. However, the Fund is still exposed to a certain amount of counterparty risk through the clearing broker and clearinghouse. The clearinghouse attempts to minimize this risk to its participants through the use of mandatory margin requirements, daily cash settlements and other procedures. Likewise, the clearing broker reduces its risk through margin requirements and required segregation of customer balances.

Credit Default Swap Contracts – The credit default swap market allows a Fund to manage credit risk through buying and selling credit protection on a specific issuer, asset or basket of assets. Certain credit default swaps involve the exchange of a fixed rate premium for protection against the loss in value of an underlying investment or index in the event of a credit event, such as payment default or bankruptcy.

Under a credit default swap contract, one party acts as guarantor by receiving the fixed periodic payment in exchange for the commitment to purchase the underlying investment at par if the defined credit event occurs. Upon the occurrence of a defined credit event, the difference between the value of the reference obligation and the swap’s notional amount is recorded as realized gain or loss on swap transactions in

 

 

  125  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

the Statements of Operations. A “buyer” of credit protection agrees to pay a counterparty to assume the credit risk of an issuer upon the occurrence of certain events. The “seller” of the protection receives periodic payments and agrees to assume the credit risk of an issuer upon the occurrence of certain events. Although specified events are contract specific, credit events are generally defined as bankruptcy, failure to pay, restructuring, obligation acceleration, obligation default or repudiation/moratorium. A “seller’s” exposure is limited to the total notional amount of the credit default swap contract. These potential amounts would be partially offset by any recovery values of the respective referenced obligations or upfront payments received upon entering into the contract.

Implied credit spreads, represented in absolute terms, utilized in determining the market value of credit default swap contracts on corporate issues, sovereign government issues or U.S. municipal issues as of year-end are disclosed in the notes to the Schedules of Investments, as applicable, and serve as an indicator of the current status of the payment/performance risk and represent the likelihood or risk of default for the credit derivative. The implied credit spread of a particular referenced entity reflects the cost of buying/selling protection and there may also be upfront payments required to be made to enter into the contract. Wider credit spreads represent a deterioration of the referenced entity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the contract. For credit default swap contracts on credit indices, the quoted market prices and resulting values serve as the indicator of the current status of the payment/performance risk. Increasing market values, in absolute terms when compared to the notional amount of the swap, represent a deterioration of the referenced equity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the contract.

During the year ended October 31, 2019, each of Balanced Income Fund, Balanced Retirement Fund and Global Real Asset Fund had used Credit Default Swap Contracts.

Interest Rate Swap Contracts – Certain Funds are subject to interest rate risk exposure in the normal course of pursuing its investment objectives. A Fund may use interest rate swaps to hedge interest rate and duration risk across a portfolio at particular duration points to maintain its ability to generate income at prevailing market rates. In a typical interest rate swap, one party agrees to make regular payments equal to a floating interest rate, based on a specified interest rate or benchmark (e.g. London Interbank Offered Rate (“LIBOR”)), multiplied by a notional amount, in return for payments equal to a fixed rate multiplied by the same amount, for a specific period of time. The net interest received or paid on interest rate swap contracts is recorded as a realized gain or loss. Interest rate swaps are marked to market daily and the change, if any, is recorded as an unrealized gain or loss in the Statements of Operations. When the interest rate swap contract is terminated early, a Fund records a realized gain or loss equal to the difference between the current market value and the upfront premium or cost.

If an interest rate swap contract provides for payments in different currencies, the parties might agree to exchange the notional amount as well. Interest rate swaps may also depend on other prices or rates, such as the value of an index. The risks of interest rate swaps include changes in market conditions, which will affect the value of the contract or the cash flows and the possible inability of the counterparty to fulfill its obligations under the contract. A Fund’s maximum risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from the counterparty over the contract’s remaining life, to the extent that amount is positive.

During the year ended October 31, 2019, each of Balanced Retirement Fund, Global Real Asset Fund and Multi-Asset Income and Growth Fund had used Interest Rate Swap Contracts.

Total Return Swap Contracts – Certain Funds may invest in total return swap contracts in pursuit of the Fund’s investment objective or for hedging purposes. An investment in a total return swap allows a Fund to gain or mitigate exposure to underlying reference assets. Total return swap contracts involve commitments where cash flows are exchanged based on the price of underlying reference assets and based on a fixed or variable interest rate. One party receives payments based on the price appreciation or depreciation of the underlying reference asset, in exchange for paying to or receiving from the counterparty seller an agreed-upon interest rate. A variable interest rate may be correlated to a base rate, such as the LIBOR, and is adjusted each reset period, which is defined at the beginning of the contract. Therefore, if interest rates increase over the term of the swap contract, the party paying the rate may be required to pay a higher rate at each swap reset date.

Total return swap contracts on indices involve commitments to pay interest in exchange for a market-linked return. One party pays out the total return of a specific reference asset, which may be an equity, index, or bond, and in return receives a regular stream of payments. To the extent the total return of the security or index underlying the transaction exceeds or falls short of the offsetting interest rate obligation, a Fund will receive a payment from or make a payment to the counterparty. If the Fund is a payer in a total return swap, it may be subject to unlimited losses. They are also subject to counterparty risk. If the counterparty fails to meet its obligations, the Fund may lose money.

During the year ended October 31, 2019, each of Balanced Retirement Fund and Global Real Asset Fund had used Total Return Swap Contracts.

 

 

  126  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  e)

Additional Derivative Instrument Information:

Balanced Income Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

                    

Unrealized appreciation on futures contracts(1)

   $ 1,458,284      $      $      $      $      $      $ 1,458,284  

Unrealized appreciation on foreign currency contracts

            400,680                                    400,680  

Unrealized appreciation on swap contracts(2)

                   47,509                             47,509  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     1,458,284      $     400,679      $     47,509      $     —      $     —      $     —      $     1,906,473  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(1)

   $ 7,058,702      $      $      $      $      $      $ 7,058,702  

Unrealized depreciation on foreign currency contracts

            775,938                                    775,938  

Unrealized depreciation on swap contracts(2)

                   1,483,058                             1,483,058  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 7,058,702      $ 775,938      $     1,483,058      $      $      $      $ 9,317,698  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1)

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2)

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

    Risk Exposure Category  
    Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
    Equity
Contracts
    Commodity
Contracts
    Other
Contracts
    Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

             

Net realized gain (loss) on futures contracts

  $ 3,991,205     $     $     $     $     $     $ 3,991,205  

Net realized gain (loss) on swap contracts

                1,775,088                         1,775,088  

Net realized gain (loss) on foreign currency contracts

          5,977,568                               5,977,568  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 3,991,205     $ 5,977,568     $ 1,775,088     $     —     $     —     $     —     $ 11,743,861  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

             

Net change in unrealized appreciation (depreciation) of futures contracts

  $ (13,069,488   $     $     $     $     $     $     (13,069,488

Net change in unrealized appreciation (depreciation) of swap contracts

                (1,474,534                       (1,474,534

Net change in unrealized appreciation (depreciation) of foreign currency contracts

          (1,584,348                             (1,584,348
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $     (13,069,488   $     (1,584,348   $     (1,474,534   $     $     $     $ (16,128,370
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Futures Contracts Long at Number of Contracts

     5,794  

Futures Contracts Short at Number of Contracts

     (5,251

Swap Contracts at Notional Amount

   $     52,780,509  

Foreign Currency Contracts Purchased at Contract Amount

   $     25,596,960  

Foreign Currency Contracts Sold at Contract Amount

   $     93,779,178  

 

 

  127  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Balanced Retirement Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Investments in securities, at value (purchased options), market value

   $      $ 3,101      $      $ 331,504      $      $      $ 334,605  

Unrealized appreciation on futures contracts(1)

     59,352                                           59,352  

Unrealized appreciation on bond forward contracts

     58,183                                           58,183  

Unrealized appreciation on foreign currency contracts

            100,952                                    100,952  

Unrealized appreciation on swap contracts(2)

     1,118               82,678                             83,796  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     118,653      $     104,053      $     82,678      $     331,504      $     —      $     —      $ 636,888  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(1)

   $ 31,655      $      $      $      $      $      $ 31,655  

Unrealized depreciation on foreign currency contracts

            178,439                                    178,439  

Unrealized depreciation on swap contracts(2)

     56,072               30,098                             86,170  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 87,727      $ 178,439      $ 30,098      $      $      $      $     296,264  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1)

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2)

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
     Equity
Contracts
    Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                 

Net realized gain (loss) on purchased options contracts

   $ 3,578     $     $      $ (435,642   $      $      $ (432,064

Net realized gain (loss) on futures contracts

     291,388                    544,940                     836,328  

Net realized gain (loss) on written options contracts

     (19,648                  116,096                     96,448  

Net realized gain (loss) on swap contracts

     (54,399           40,540                            (13,859

Net realized gain (loss) on bond forward contracts

     74,703                                        74,703  

Net realized gain (loss) on foreign currency contracts

           388,168                                  388,168  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     295,622     $ 388,168     $ 40,540      $ 225,394     $     —      $     —      $ 949,724  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                 

Net change in unrealized appreciation (depreciation) of investments in purchased options contracts

   $ (9,377   $ (1,622   $      $ (198,758   $      $      $ (209,757

Net change in unrealized appreciation (depreciation) of futures contracts

     112,586                    (214,732                   (102,146

Net change in unrealized appreciation (depreciation) of written options contracts

                        (126                   (126

Net change in unrealized appreciation (depreciation) of swap contracts

     (84,768           84,711        8,027                     7,970  

Net change in unrealized appreciation (depreciation) of bond forward contracts

     58,183                                        58,183  

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           (158,935                                (158,935
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $ 76,624     $     (160,557   $     84,711      $     (405,589   $      $      $     (404,811
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     1,029,589  

Futures Contracts Long at Number of Contracts

     182  

Futures Contracts Short at Number of Contracts

     (58

Written Options Contracts at Number of Contracts

     (583,047

Swap Contracts at Notional Amount

   $     24,369,343  

Foreign Currency Contracts Purchased at Contract Amount

   $ 4,110,559  

Foreign Currency Contracts Sold at Contract Amount

   $     17,744,037  

Bond Forward Contracts at Contract Amount

   $ 10,326,027  

 

 

  128  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Global Real Asset Fund (consolidated)

The Effect of Derivative Instruments on the (consolidated) Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Investments in securities, at value (purchased options), market value

   $      $ 2,554      $      $      $ 840      $      $ 3,394  

Unrealized appreciation on futures contracts(1)

     88,687                             352,546               441,233  

Unrealized appreciation on foreign currency contracts

            88,668                                    88,668  

Unrealized appreciation on swap contracts(2)

                          1,327                      1,327  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     88,687      $ 91,222      $      $ 1,327      $ 353,386      $     —      $     534,622  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(1)

   $ 7,366      $      $      $      $ 492,353      $      $ 499,719  

Unrealized depreciation on foreign currency contracts

            247,572                                    247,572  

Written options, market value

                                 7,180               7,180  

Unrealized depreciation on swap contracts(2)

                   70,984        9,508                      80,492  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 7,366      $     247,572      $     70,984      $     9,508      $     499,533      $      $ 834,963  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation and depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

  (2) 

Amount represents the cumulative appreciation and depreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation and depreciation on OTC swap contracts, if applicable.

The Effect of Derivative Instruments on the (consolidated) Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
    Equity
Contracts
    Commodity
Contracts
    Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

               

Net realized gain (loss) on purchased options contracts

   $     $     $     $     $ (41,720   $      $ (41,720

Net realized gain (loss) on futures contracts

     (927,480                       (2,465,027            (3,392,507

Net realized gain (loss) on written options contracts

                             1,242              1,242  

Net realized gain (loss) on swap contracts

     95,929             (32,043     (218,500                  (154,614

Net realized gain (loss) on foreign currency contracts

           746,844                                746,844  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

Total

   $     (831,551   $ 746,844     $ (32,043   $     (218,500   $     (2,505,505   $     —      $     (2,840,755
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

               

Net change in unrealized appreciation (depreciation) of investments in purchased options contracts

   $     $ (1,336   $     $     $ 8,236     $      $ 6,900  

Net change in unrealized appreciation (depreciation) of futures contracts

     7,130                         705,458              712,588  

Net change in unrealized appreciation (depreciation) of written options contracts

                             (196            (196

Net change in unrealized appreciation (depreciation) of swap contracts

     33,860             (66,887     (21,250                  (54,277

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           (215,422                              (215,422
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

Total

   $ 40,990     $     (216,758   $     (66,887   $ (21,250   $ 713,498     $      $ 449,593  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     94,152  

Futures Contracts Long at Number of Contracts

     483  

Futures Contracts Short at Number of Contracts

     (199

Written Options Contracts at Number of Contracts

     (7

Swap Contracts at Notional Amount

   $ 9,867,592  

Foreign Currency Contracts Purchased at Contract Amount

   $     15,237,209  

Foreign Currency Contracts Sold at Contract Amount

   $     18,613,740  

 

 

  129  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Multi-Asset Income and Growth Fund

The Effect of Derivative Instruments on the Statement of Assets and Liabilities as of October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
     Foreign
Currency
Contracts
     Credit
Contracts
     Equity
Contracts
     Commodity
Contracts
     Other
Contracts
     Total  

Assets:

 

Unrealized appreciation on foreign currency contracts

   $      $ 46,392      $      $      $      $      $ 46,392  

Unrealized appreciation on swap contracts(1)

     7,625                                           7,625  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 7,625      $ 46,392      $      $      $      $      $ 54,017  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liabilities:

 

Unrealized depreciation on futures contracts(2)

   $ 31,516      $      $      $      $      $      $ 31,516  

Unrealized depreciation on foreign currency contracts

            404,277                                    404,277  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $     31,516      $     404,277      $     —      $     —      $     —      $     —      $     435,793  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (1) 

Amount represents the cumulative appreciation on centrally cleared swaps, if applicable, as disclosed within the Schedule of Investments. Only the current day’s variation margin, if any, are reported within the Statements of Assets and Liabilities. OTC swaps are reported within the Statement of Assets and Liabilities within Unrealized appreciation (depreciation) on OTC swap contracts, if applicable.

  (2) 

Amount represents the cumulative depreciation on futures contracts as disclosed within the Schedule of Investments under the open “Futures Contracts” section. Only current day’s variation margin, if any, is reported within the Statement of Assets and Liabilities.

The Effect of Derivative Instruments on the Statement of Operations for the year ended October 31, 2019:

 

     Risk Exposure Category  
     Interest Rate
Contracts
    Foreign
Currency
Contracts
    Credit
Contracts
     Equity
Contracts
    Commodity
Contracts
     Other
Contracts
     Total  

Realized Gain (Loss) on Derivatives Recognized as a Result of Operations:

                 

Net realized gain (loss) on purchased options contracts

   $     $     $      $ (1,938,250   $      $      $     (1,938,250

Net realized gain (loss) on futures contracts

     482,105                    (224,721                   257,384  

Net realized gain (loss) on written options contracts

                        331,487                     331,487  

Net realized gain (loss) on swap contracts

     (35,181                                      (35,181

Net realized gain (loss) on foreign currency contracts

           3,864,053                                  3,864,053  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $ 446,924     $     3,864,053     $     —      $     (1,831,484   $     —      $     —      $ 2,479,493  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized as a Result of Operations:

                 

Net change in unrealized appreciation (depreciation) of futures contracts

   $ (41,252   $     $      $     $      $      $ (41,252

Net change in unrealized appreciation (depreciation) of swap contracts

     7,625                                        7,625  

Net change in unrealized appreciation (depreciation) of foreign currency contracts

           (622,893                                (622,893
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     (33,627   $ (622,893   $      $     $      $      $ (656,520
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

For the year ended October 31, 2019, the average amount or number per contract outstanding for each derivative type was as follows:

 

Derivative Description

   Average Notional
Par, Contracts
or Face Amount
 

Purchased Options Contracts at Number of Contracts

     640  

Futures Contracts Long at Number of Contracts

     83  

Futures Contracts Short at Number of Contracts

     (206

Written Options Contracts at Number of Contracts

     (502

Swap Contracts at Notional Amount

   $ 4,666,667  

Foreign Currency Contracts Purchased at Contract Amount

   $     13,211,982  

Foreign Currency Contracts Sold at Contract Amount

   $ 87,623,918  

 

 

  130  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  f)

Balance Sheet Offsetting Information – Set forth below are tables which disclose both gross information and net information about instruments and transactions eligible for offset in the financial statements, and instruments and transactions that are subject to a master netting arrangement, as well as amounts related to margin, reflected as financial collateral (including cash collateral), held at clearing brokers, counterparties and a Fund’s custodian. The master netting arrangements allow the clearing brokers to net any collateral held in or on behalf of a Fund, or liabilities or payment obligations of the clearing brokers to a Fund, against any liabilities or payment obligations of a Fund to the clearing brokers. A Fund is required to deposit financial collateral (including cash collateral) at the Fund’s custodian on behalf of clearing brokers and counterparties to continually meet the original and maintenance requirements established by the clearing brokers and counterparties. Such requirements are specific to the respective clearing broker or counterparty. Certain master netting arrangements may not be enforceable in a bankruptcy.

The following tables present a Fund’s derivative assets and liabilities, presented on a gross basis as no amounts are netted within the Statements of Assets and Liabilities, by counterparty net of amounts available for offset under a master netting agreement or similar agreement (“MNA”) and net of the related collateral received/pledged by a Fund as of October 31, 2019:

Balanced Income Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $ 400,680     $ (775,938

Futures contracts

     1,458,284       (7,058,702

Swap contracts

     47,509       (1,483,058
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     1,906,473           (9,317,698
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (1,505,793     7,173,028  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $ 400,680     $ (2,144,670
  

 

 

   

 

 

 

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
     Cash
Collateral
Received*
    Net Amount
of Assets
 

Barclays

   $ 39,880     $ (39,880   $      $     $  

BNP Paribas Securities Services

     10,221       (7,089                  3,132  

Citibank NA

     94,945       (94,945                   

Deutsche Bank Securities, Inc.

     73,351                    (60,000     13,351  

Goldman Sachs & Co.

     70,752       (70,752                   

HSBC Bank USA

     751       (751                   

JP Morgan Chase & Co.

     29,058       (29,058                   

Morgan Stanley

     47,323       (47,323                   

Standard Chartered Bank

     2,039                          2,039  

State Street Global Markets LLC

     4,227                          4,227  

UBS AG

     22,688       (3,699                  18,989  

Westpac International

     5,445                          5,445  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $ 400,680     $     (293,497   $      $     (60,000   $ 47,183  
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
    Net Amount
of Liabilities
 

Bank of Montreal

   $ (2,067   $     $      $     $ (2,067

Barclays

     (82,704     39,880           28,008              (14,816

BNP Paribas Securities Services

     (7,089     7,089                     

Citibank NA

     (318,008     94,945                    (223,063

Commonwealth Bank of Australia

     (5,822                        (5,822

Goldman Sachs & Co.

     (105,963     70,752                    (35,211

HSBC Bank USA

     (280,847     751                    (280,096

JP Morgan Chase & Co.

     (1,131,079     29,058                    (1,102,021

Morgan Stanley

     (207,392     47,323                    (160,069

UBS AG

     (3,699     3,699                     
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Total

   $     (2,144,670   $ 293,497     $ 28,008      $     $     (1,823,165
  

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

 

 

  131  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Balanced Retirement Fund

 

Derivative Financial Instruments:

   Assets     Liabilities  

Bond forward contracts

   $ 58,183     $  

Foreign currency contracts

     100,952       (178,439

Futures contracts

     59,352       (31,655

Purchased options

     334,605        

Swap contracts

     83,796       (86,170
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     636,888       (296,264
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (472,911     104,559  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $ 163,977     $     (191,705
  

 

 

   

 

 

 

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

Banc of America Securities LLC

   $ 9,819     $ (855   $      $      $ 8,964  

Barclays

     26,712       (26,712                    

Citibank NA

     7,545       (7,545                    

Deutsche Bank Securities, Inc.

     9,484       (2,020                   7,464  

Goldman Sachs & Co.

     58,183       (186                   57,997  

JP Morgan Chase & Co.

     28,909       (16,976                   11,933  

Morgan Stanley

     2,170       (2,170                    

RBC Dominion Securities, Inc.

     2,488       (2,401                   87  

Standard Chartered Bank

     7,638                           7,638  

State Street Global Markets LLC

     3,052       (450                   2,602  

UBS AG

     7,977       (563                   7,414  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     163,977     $     (59,878   $     —      $     —      $     104,099  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Banc of America Securities LLC

   $ (855   $ 855     $      $      $  

Barclays

     (91,747     26,712                     (65,035

BNP Paribas Securities Services

     (2,443                         (2,443

Citibank NA

     (60,765     7,545                     (53,220

Deutsche Bank Securities, Inc.

     (2,020     2,020                      

Goldman Sachs & Co.

     (186     186                      

HSBC Bank USA

     (767                         (767

JP Morgan Chase & Co.

     (16,976     16,976                      

Morgan Stanley

     (12,532     2,170                     (10,362

RBC Dominion Securities, Inc.

     (2,401     2,401                      

State Street Global Markets LLC

     (450     450                      

UBS AG

     (563     563                      
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     (191,705   $     59,878     $     —      $     —      $     (131,827
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Global Real Asset Fund (consolidated)

 

Derivative Financial Instruments:

   Assets     Liabilities  

Foreign currency contracts

   $ 88,668     $ (247,572

Futures contracts

     441,233       (499,719

Purchased options

     3,394        

Swap contracts

     1,327       (80,492

Written options

           (7,180
  

 

 

   

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     534,622       (834,963
  

 

 

   

 

 

 

Derivatives not subject to a MNA

         (442,073     539,034  
  

 

 

   

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $ 92,549     $     (295,929
  

 

 

   

 

 

 

 

 

 

  132  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Global Real Asset Fund (consolidated) – (continued)

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

Banc of America Securities LLC

   $ 15,389     $ (528   $      $      $ 14,861  

Barclays

     13,778       (13,778                    

Citibank NA

     1,970       (1,970                    

Deutsche Bank Securities, Inc.

     28,907                           28,907  

Goldman Sachs & Co.

     1,327       (1,327                    

JP Morgan Chase & Co.

     12,371       (12,371                    

Morgan Stanley

     768       (768                    

RBC Dominion Securities, Inc.

     10,942       (10,942                    

Standard Chartered Bank

     6,260                           6,260  

State Street Global Markets LLC

     837       (837                    
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $ 92,549     $     (42,521   $      $      $ 50,028  
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
    Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Banc of America Securities LLC

   $ (528   $ 528     $     —      $     —      $  

Barclays

     (31,104     13,778                     (17,326

Citibank NA

     (91,460     1,970                     (89,490

Goldman Sachs & Co.

     (33,504     1,327                     (32,177

HSBC Bank USA

     (4,037                         (4,037

JP Morgan Chase & Co.

     (26,207     12,371                     (13,836

Morgan Stanley

     (21,781     768                     (21,013

RBC Dominion Securities, Inc.

     (11,256     10,942                     (314

State Street Global Markets LLC

     (7,612     837                     (6,775

UBS AG

     (68,440                         (68,440
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Total

   $     (295,929   $ 42,521     $      $      $     (253,408
  

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Multi-Asset Income and Growth Fund

 

Derivative Financial Instruments:

   Assets      Liabilities  

Foreign currency contracts

   $ 46,392      $ (404,277

Futures contracts

            (31,516

Swap contracts

     7,625         
  

 

 

    

 

 

 

Total gross amount of derivative assets and liabilities in the Statement of Assets and Liabilities

     54,017        (435,793
  

 

 

    

 

 

 

Derivatives not subject to a MNA

            31,516  
  

 

 

    

 

 

 

Total gross amount of assets and liabilities subject to MNA or similar agreements

   $     54,017      $     (404,277
  

 

 

    

 

 

 

 

Counterparty

   Gross Amount
of Assets
    Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Received*
     Cash
Collateral
Received*
     Net Amount
of Assets
 

Goldman Sachs & Co.

   $ 7,625     $      $      $      $ 7,625  

RBC Dominion Securities, Inc.

     46,392                            46,392  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 54,017     $      $      $      $ 54,017  
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Counterparty

   Gross Amount
of Liabilities
    Financial
Instruments
and Derivatives
Available
for Offset
     Non-cash
Collateral
Pledged*
     Cash
Collateral
Pledged*
     Net Amount
of Liabilities
 

Barclays

   $     (108,596   $     —      $     —      $     —      $     (108,596

Citibank NA

     (226,361                          (226,361

HSBC Bank USA

     (15,560                          (15,560

Morgan Stanley

     (52,261                          (52,261

UBS AG

     (1,499                          (1,499
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ (404,277   $      $      $      $ (404,277
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

 

  *

In some instances, the actual collateral received and/or pledged may be more than the amount shown.

 

 

  133  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

5.

Principal Risks:

A Fund’s investments expose it to various types of risks associated with financial instruments and the markets. A Fund may be exposed to the risks described below. Each Fund’s prospectus provides details of its principal risks.

The market values of equity securities, such as common stocks and preferred stocks, or equity related derivative investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. The market value of equity securities may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry. Equity securities and equity related investments generally have greater market price volatility than fixed income securities. The extent of each Fund’s exposure to market risk is the market value of the investments held as shown in the Fund’s schedule of investments.

Certain Funds are exposed to the risks of the Underlying Funds and/or other investment companies in direct proportion to the amount of assets those Funds allocate to each Underlying Fund and/or other investment companies. The market values of the Underlying Funds and/or other investment companies may decline due to general market conditions which are not specifically related to a particular company in which the Underlying Fund and/or other investment companies invested, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. The market value of equity securities in which the Underlying Funds and/or other investment companies invest may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry.

Certain investments held by a Fund expose the Fund to various risks which may include, but are not limited to, interest rate, prepayment, and extension risks. Interest rate risk is the risk that fixed income securities will decline in value because of changes in interest rates. As nominal interest rates rise, the values of certain fixed income securities held by a Fund are likely to decrease. A nominal interest rate can be described as the sum of a real interest rate and an expected inflation rate. Fixed income securities with longer durations tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations. Duration is useful primarily as a measure of the sensitivity of a fixed income security’s market price to interest rate (i.e., yield) movements. Senior floating rate interests and securities subject to prepayment and extension risk generally offer less potential for gains when interest rates decline. Rising interest rates may cause prepayments to occur at a slower than expected rate, thereby effectively lengthening the maturity of the security and making the security more sensitive to interest rate changes. Prepayment and extension risk are major risks of mortgage backed securities, senior floating rate interests and certain asset backed securities. For certain asset backed securities, the actual maturity may be less than the stated maturity shown in the Schedule of Investments, if applicable. As a result, the timing of income recognition relating to these securities may vary based upon the actual maturity.

Investing in the securities of non-U.S. issuers, whether directly or indirectly, involves certain considerations and risks not typically associated with securities of U.S. issuers. Such risks include, but are not limited to: generally less liquid and less efficient securities markets; generally greater price volatility; exchange rate fluctuations; imposition of restrictions on the expatriation of funds or other protectionist measures; less publicly available information about issuers; the imposition of withholding or other taxes; higher transaction and custody costs; settlement delays and risk of loss attendant in settlement procedures; difficulties in enforcing contractual obligations; less regulation of securities markets; different accounting, disclosure and reporting requirements; more substantial governmental involvement in the economy; higher inflation rates; and greater social, economic and political uncertainties. These risks are heightened for investments in issuers from countries with less developed markets.

Credit risk depends largely on the perceived financial health of bond issuers. In general, the credit rating is inversely related to the credit risk of the issuer. Higher rated bonds generally are deemed to have less credit risk, while lower or unrated bonds are deemed to have higher risk of default. The share price, yield and total return of a fund that holds securities with higher credit risk may be more volatile than those of a fund that holds bonds with lower credit risk. A Fund may be exposed to counterparty risk, or the risk that an institution or other entity with which a Fund has unsettled or open transactions will default.

 

6.

Federal Income Taxes:

 

  a)

Each Fund intends to continue to qualify as a Regulated Investment Company (“RIC”) under Subchapter M of the Internal Revenue Code (“IRC”) by distributing substantially all of its taxable net investment income and net realized capital gains to its shareholders each year. Each Fund has distributed substantially all of its income and capital gains in prior years, if applicable, and intends to distribute substantially all of its income and capital gains during the calendar year ending December 31, 2019. Accordingly, no provision for federal income or excise taxes has been made in the accompanying financial statements. Distributions from short-term capital gains are treated as ordinary income distributions for federal income tax purposes.

 

  b)

Net Investment Income (Loss), Net Realized Gains (Losses) and Distributions – Net investment income (loss) and net realized gains (losses) may differ for financial statement and tax purposes primarily because of losses deferred due to wash sale adjustments, foreign currency gains and losses, adjustments related to Passive Foreign Investment Companies (“PFICs”), Real Estate Investment Trusts (“REITs”), RICs, certain derivatives and partnerships. The character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. Also, due to the timing of dividend distributions, the fiscal year in which amounts are distributed may differ from the year that the income or realized gains (losses) were recorded by each Fund.

 

 

  134  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  c)

Distributions and Components of Distributable Earnings – The tax character of distributions paid by each Fund for the years ended October 31, 2019 and October 31, 2018 are as follows:

 

     For the Year Ended
October 31, 2019
     For the Year Ended
October 31, 2018
 

Fund

   Ordinary
Income
     Long-Term
Capital Gains
     Ordinary
Income
     Long-Term
Capital Gains
 

Balanced Income Fund

   $     319,437,923      $     439,747,597      $     320,617,089      $     328,477,579  

Balanced Retirement Fund

     4,739,517               3,900,396         

Checks and Balances Fund

     58,127,891        85,025,352        69,493,911        145,815,304  

Conservative Allocation Fund

     3,501,317               3,496,387         

Global Real Asset Fund (consolidated)

     6,645,823               10,019,936         

Growth Allocation Fund

     20,530,171               14,893,225         

Moderate Allocation Fund

     16,905,106        15,992,408        16,780,910        5,210,908  

Multi-Asset Income and Growth Fund

     32,142,046        55,281,441        12,104,025         

As of October 31, 2019, the components of distributable earnings (deficit) for each Fund on a tax basis are as follows:

 

Fund

  Undistributed
Ordinary
Income
    Undistributed
Long-Term
Capital Gain
    Accumulated
Capital and
Other Losses
    Other
Temporary
Differences
    Unrealized
Appreciation
(Depreciation) on
Investments
    Total
Accumulated
Earnings
(Deficit)
 

Balanced Income Fund

  $     66,469,685     $     73,124,323     $     —     $     (61,860   $     1,278,490,367     $     1,418,022,515  

Balanced Retirement Fund

    372,408             (28,054,243     (29,280     1,945,868       (25,765,247

Checks and Balances Fund

    1,504,236       74,726,364                   61,752,012       137,982,612  

Conservative Allocation Fund

    1,455,423             (3,967,047           4,688,336       2,176,712  

Global Real Asset Fund (consolidated)

    6,995,345             (89,147,308           (7,695,764     (89,847,727

Growth Allocation Fund

    7,135,271       16,864,667                   32,401,215       56,401,153  

Moderate Allocation Fund

    3,449,471       5,878,964                   17,787,585       27,116,020  

Multi-Asset Income and Growth Fund

    4,237,034       125,065,387             (191,997     34,496,045       163,606,469  

 

  d)

Reclassification of Capital Accounts – The Funds may record reclassifications in their capital accounts. These reclassifications have no impact on the total net assets of the Funds. The reclassifications are a result of permanent differences between U.S. GAAP and tax accounting for such items as expiring capital loss carryforward, merger adjustments and book income/loss from cayman subsidiary. Adjustments are made to reflect the impact these items have on current and future distributions to shareholders. Therefore, the source of the Funds’ distributions may be shown in the accompanying Statements of Changes in Net Assets as from distributable earnings or from capital depending on the type of book and tax differences that exist. For the year ended October 31, 2019, the Funds recorded reclassifications to increase (decrease) the accounts listed below:

 

Fund

   Capital Stock and
Paid-in-Capital
    Distributable
Earnings (Loss)
 

Balanced Retirement Fund

   $ 12,344,192     $ (12,344,192

Global Real Asset Fund (consolidated)

     (8,769,929     8,769,929  

Multi-Asset Income and Growth Fund

     (2,477     2,477  

 

  e)

Capital Loss Carryforward – Under the Regulated Investment Company Modernization Act of 2010, funds are permitted to carry forward capital losses for an unlimited period of time.

At October 31, 2019 (tax year end), each Fund’s capital loss carryforwards for U.S. federal income tax purposes were as follows:

 

Fund

   Short-Term
Capital Loss
Carryforward
with No Expiration
    Long-Term
Capital Loss
Carryforward
with No Expiration
 

Balanced Retirement Fund

   $     22,341,993   $     5,712,250

Conservative Allocation Fund

           3,967,047  

Global Real Asset Fund (consolidated)

     11,230,513       77,916,795  

 

  *

Future utilization of losses are subject to limitation under current tax laws.

The Balanced Income Fund, Checks and Balances Fund, Growth Allocation Fund, Moderate Allocation Fund and Multi-Asset Income and Growth Fund had no capital loss carryforwards for U.S. federal income tax purposes at October 31, 2019.

During the year ended October 31, 2019, Balanced Retirement Fund and Conservative Allocation Fund utilized $6,332,697 and $819,191 of prior capital loss carryforwards, respectively.

During the year ended October 31, 2019, Global Real Asset Fund had expired $6,682,380 of prior year capital loss carryforwards.

 

 

  135  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  f)

Tax Basis of Investments – The aggregate cost of investments for federal income tax purposes at October 31, 2019 is different from book purposes primarily due to wash sale loss deferrals and passive foreign investment company (PFIC) mark-to-market adjustments, partnership adjustments and non-taxable distributions from underlying investments. The net unrealized appreciation/(depreciation) on investments for tax purposes, which consists of gross unrealized appreciation and depreciation, was also different from book purposes primarily due to wash sale loss deferrals and mark-to-market adjustments on swaps, forwards, futures, options, PFICs, partnership adjustments and nontaxable distributions from underlying investments. Both the cost and unrealized appreciation and depreciation for federal income tax purposes are disclosed below:

 

Fund

   Tax Cost      Gross Unrealized
Appreciation
     Gross Unrealized
(Depreciation)
    Net Unrealized
Appreciation/
(Depreciation)
 

Balanced Income Fund

   $     11,717,540,350      $     1,442,683,447      $     (164,185,845   $     1,278,497,602  

Balanced Retirement Fund

     169,586,804        3,761,964        (1,809,536     1,952,428  

Checks and Balances Fund

     1,510,583,066        61,752,012              61,752,012  

Conservative Allocation Fund

     124,667,147        5,104,468        (416,132     4,688,336  

Global Real Asset Fund (consolidated)

     273,599,388               (9,466,345     (9,466,345

Growth Allocation Fund

     570,349,237        38,120,521        (5,719,306     32,401,215  

Moderate Allocation Fund

     380,438,766        21,474,445        (3,686,860     17,787,585  

Multi-Asset Income and Growth Fund

     986,941,959        46,432,266        (11,917,043     34,515,223  

 

  g)

Accounting for Uncertainty in Income Taxes – Pursuant to provisions set forth by U.S. GAAP, HFMC reviews each Fund’s tax positions for all open tax years. As of October 31, 2019, HFMC had reviewed the open tax years and concluded that there was no reason to record a liability for net unrecognized tax obligations relating to uncertain income tax positions. Each Fund files U.S. tax returns. Although the statute of limitations for examining a Fund’s U.S. tax returns remains open for 3 years, no examination is currently in progress. HFMC is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax obligations will significantly change in the next twelve months. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense on the Statements of Operations. During the period ended October 31, 2019, the Funds did not incur any interest or penalties.

 

7.

Expenses:

 

  a)

Investment Management Agreement – HFMC serves as each Fund’s investment manager pursuant to an Investment Management Agreement with the Company. HFMC is an indirect subsidiary of The Hartford Financial Services Group, Inc. (“The Hartford”). HFMC has overall investment supervisory responsibility for each Fund. In addition, HFMC provides administrative personnel, services, equipment, facilities and office space for proper operation of each Fund. HFMC has contracted with Wellington Management Company LLP (“Wellington Management”) under a sub-advisory agreement and Wellington Management performs the daily investment of the assets of each Fund, except Checks and Balances Fund, Conservative Allocation Fund, Growth Allocation Fund and Moderate Allocation Fund, in accordance with the Fund’s investment objective and policies. Each Fund, except Checks and Balances Fund, pays a fee to HFMC under the Investment Management Agreement. With respect to each of Balanced Income Fund, Balanced Retirement Fund, Global Real Asset Fund and Multi-Asset Income and Growth Fund, HFMC pays a sub-advisory fee to Wellington Management out of its advisory fee. HFMC is responsible for the day-to-day management of Checks and Balances Fund, Conservative Allocation Fund, Growth Allocation Fund and Moderate Allocation Fund.

The schedule below reflects the rates of compensation paid to HFMC for investment management services rendered as of October 31, 2019; the rates are accrued daily and paid monthly based on each Fund’s average daily net assets, at the following annual rates:

 

Fund

  

Management Fee Rates

Balanced Income Fund

  

0.7000% on first $250 million and;

  

0.6300% on next $250 million and;

  

0.6000% on next $500 million and;

  

0.5700% on next $1.5 billion and;

  

0.5500% on next $2.5 billion and;

  

0.5300% on next $5 billion and;

  

0.4500% on next $2 billion and;

  

0.3900% over $12 billion

Balanced Retirement Fund (Excluding Assets Invested in investment companies for which HFMC or its affiliates serves as investment manager)

  

0.3900% on first $1 billion and;

  

0.3800% on next $4 billion and;

  

0.3750% over $5 billion

Balanced Retirement Fund (Invested in investment companies for which HFMC or its affiliates serves as investment manager (“Affiliated Funds”))

  

0.0000% on all assets invested in Affiliated Funds

Checks and Balances Fund

  

N/A

 

 

  136  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Fund

  

Management Fee Rates

Conservative Allocation Fund, Growth Allocation Fund and Moderate Allocation Fund

  

0.1000% on first $500 million and;

  

0.0950% on next $500 million and;

  

0.0900% on next $1.5 billion and;

  

0.0800% on next $2.5 billion and;

  

0.0700% on next $2.5 billion and;

  

0.0600% on next $2.5 billion and;

  

0.0500% over $10 billion

Global Real Asset Fund

  

0.8450% on first $500 million and;

  

0.8100% on next $500 million and;

  

0.7800% on next $1.5 billion and;

  

0.7500% on next $2.5 billion and;

  

0.7100% over $5 billion

Multi-Asset Income and Growth Fund

  

0.5900% on first $500 million and;

  

0.5500% on next $250 million and;

  

0.5000% on next $250 million and;

  

0.4750% on next $4 billion and;

  

0.4725% on next $5 billion and;

  

0.4700% over $10 billion

From November 1, 2018 through July 10, 2019, the Balanced Retirement Fund paid the rate set forth below to HFMC for investment management services rendered. The rate was accrued daily and paid monthly based on the Fund’s average daily net assets.

 

Balanced Retirement Fund

  

0.5600% on first $250 million and;

  

0.5100% on next $250 million and;

  

0.4900% on next $500 million and;

  

0.4700% on next $1.5 billion and;

  

0.4650% on next $2.5 billion and;

  

0.4625% on next $5 billion and;

  

0.4600% over $10 billion

The Global Real Asset Fund’s Cayman Subsidiary pays HFMC a management fee at the annual rate of 0.71% of average daily net assets attributable to the Cayman Subsidiary. HFMC has contractually agreed to waive the management fee it receives from the Global Real Asset Fund in an amount equal to the management fee paid to it by the Cayman Subsidiary. This waiver will remain in effect for as long as the Global Real Asset Fund remains invested in the Cayman Subsidiary.

 

  b)

Accounting Services Agreement – Pursuant to the Fund Accounting Agreement between HFMC and the Company, on behalf of each Fund, HFMC provides accounting services to each Fund and receives monthly compensation based on each Fund’s average daily net assets at the rates set forth below. Each Fund’s accounting services fees are accrued daily and paid monthly.

 

Balanced Income Fund and Balanced Retirement Fund  
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.022%  

next $3.5 billion and

     0.018%  

Amount over $7 billion

     0.015%  
 
Multi-Asset Income and Growth Fund and Global Real Asset Fund  
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.018%  

next $3.5 billion and

     0.014%  

Amount over $7 billion

     0.010%  
 
Checks and Balances Fund, Conservative Allocation Fund, Growth Allocation Fund, and Moderate Allocation Fund  
Average Daily Net Assets    Annual Fees  

first $3.5 billion and;

     0.014%  

next $3.5 billion and

     0.012%  

Amount over $7 billion

     0.010%  

HFMC has delegated certain accounting and administrative services functions to State Street Bank and Trust Company (“State Street”). The costs and expenses of such delegation are borne by HFMC, not by the Funds, and HFMC compensates State Street for its services out of its own resources.

 

 

  137  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

  c)

Operating Expenses – Allocable expenses incurred by the Company are allocated to each series within the Company, and allocated to classes within each such series, in proportion to the average daily net assets of such series and classes, except where allocation of certain expenses is more fairly made directly to a Fund or to specific classes within a Fund. As of October 31, 2019, HFMC contractually limited the total operating expenses of each of the following Funds through February 29, 2020, except as noted in the footnotes below, as follows:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Balanced Retirement Fund(1)(4)

     0.96     1.71     0.66     1.18     0.88     0.55     0.45     0.55     0.45

Conservative Allocation Fund(2)(5)

     1.19     1.94     0.94     1.44     1.14     0.84     N/A       N/A       0.84

Global Real Asset Fund(3)(5)

     1.25     2.00     1.00     1.50     1.20     0.95     N/A       0.90     0.90

 

  (1) 

HFMC has contractually agreed to reimburse expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses resulting from the Fund’s investments in investment companies other than Affiliated Funds, and extraordinary expenses) to the extent necessary to maintain total annual fund operating expenses as provided in the table through February 28, 2021 unless the Board of Directors approves its earlier termination.

  (2) 

HFMC has contractually agreed to reimburse expenses (exclusive of taxes, interest expenses, brokerage commissions and extraordinary expenses) to the extent necessary to maintain total annual fund operating expenses as provided in the table.

  (3) 

HFMC has contractually agreed to reimburse expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses) to the extent necessary to maintain total annual fund operating expenses as provided in the table.

  (4) 

Expense limitation was effective July 10, 2019 through October 31, 2019.

  (5) 

Expense limitation was effective November 1, 2018 through October 31, 2019.

For the period November 1, 2018 through February 28, 2019, HFMC contractually limited the total operating expenses of Balanced Retirement Fund as follows:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6      Class Y     Class F  

Balanced Retirement Fund(1)

     1.05     1.80     0.75     1.31     1.01     0.71     N/A        0.65     0.59

For the period March 1, 2019 through July 9, 2019, HFMC contractually limited the total operating expenses of Balanced Retirement Fund as follows:

 

     Expense Limit as a Percentage of Average Daily Net Assets  

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Balanced Retirement Fund(1)

     1.05     1.80     0.75     1.31     1.01     0.71     0.59     0.65     0.59

 

  (1) 

HFMC had contractually agreed to reimburse expenses (exclusive of taxes, interest expenses, brokerage commissions, acquired fund fees and expenses and extraordinary expenses) to the extent necessary to maintain total annual fund operating expenses as provided in the table.

 

  d)

Fees Paid Indirectly – Certain Funds have entered into agreements with State Street Global Markets, LLC and Russell Implementation Services, Inc. to partially recapture non-discounted trade commissions. Such rebates are used to pay a portion of a Fund’s expenses. In addition, the Funds’ custodian bank has agreed to reduce its fees when a Fund maintains cash on deposit in a non-interest-bearing custody account. For the year ended October 31, 2019, these amounts, if any, are included in the Statements of Operations.

The ratio of expenses to average net assets in the accompanying financial highlights excludes the reduction in expenses related to fees paid indirectly. The annualized expense ratio after waivers reflecting the reduction for fees paid indirectly for the period is as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Balanced Income Fund

     0.90     1.65     0.65     1.26     0.97     0.67     0.58     0.65     0.57

Balanced Retirement Fund

     0.76     1.49     0.63     0.58     0.56     0.57     0.52     0.56     0.50

Checks and Balances Fund

     0.39     1.16     0.13     0.74     0.43     0.16     N/A       N/A       0.04

Conservative Allocation Fund

     0.59     1.36     0.34     0.93     0.63     0.33     N/A       N/A       0.24

Global Real Asset Fund (consolidated)

     1.25     2.00     0.99     1.49     1.20     0.95     N/A       0.90     0.90

Growth Allocation Fund

     0.54     1.32     0.24     0.86     0.57     0.25     N/A       N/A       0.15

Moderate Allocation Fund

     0.53     1.30     0.25     0.87     0.58     0.26     N/A       N/A       0.17

Multi-Asset Income and Growth Fund

     1.01     1.73     0.69     1.29     1.04     0.74     0.63     0.68     0.62

 

  e)

Sales Charges and Distribution and Service Plan for Class A, C, R3 and R4 Shares – Hartford Funds Distributors, LLC (“HFD”), an indirect subsidiary of The Hartford, is the principal underwriter and distributor of each Fund. For the year ended October 31, 2019, HFD received front-end sales charges and contingent deferred sales charges for each Fund as follows:

 

Fund

   Front-end
Sales Charges
     Contingent Deferred
Sales Charges
 

Balanced Income Fund

   $     8,136,118      $     255.021  

Balanced Retirement Fund

     64,394        3,878  

Checks and Balances Fund

     1,636,146        22,394  

Conservative Allocation Fund

     227,652        750  

Global Real Asset Fund (consolidated)

     32.365        163  

Growth Allocation Fund

     530,909        7,085  

Moderate Allocation Fund

     328,880        3,425  

Multi-Asset Income and Growth Fund

     634,802        17,240  

 

 

 

  138  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

The Board of Directors of the Company has approved the adoption of a separate distribution plan (each a “Plan”) pursuant to Rule 12b-1 under the 1940 Act for each of Class A, C, R3 and R4 shares. Under a Plan, Class A, Class C, Class R3 and Class R4 shares of a Fund, as applicable, bear distribution and/or service fees paid to HFD, some of which may be paid to select broker-dealers. Pursuant to the Class A Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class A shares for distribution financing activities and shareholder account servicing activities. The entire amount of the fee may be used for shareholder servicing expenses and/or distribution expenses. Pursuant to the Class C Plan, a Fund may pay HFD a fee of up to 1.00% of the average daily net assets attributable to Class C shares for distribution financing activities, and up to 0.25% may be used for shareholder account servicing activities. The Class C Plan also provides that HFD will receive all contingent deferred sales charges attributable to Class C shares. Pursuant to the Class R3 Plan, a Fund may pay HFD a fee of up to 0.50% of the average daily net assets attributable to Class R3 shares for distribution financing activities, and up to 0.25% may be used for shareholder account servicing activities. Pursuant to the Class R4 Plan, a Fund may pay HFD a fee of up to 0.25% of the average daily net assets attributable to Class R4 shares for distribution financing activities. The entire amount of the fee may be used for shareholder account servicing activities. Each Fund’s 12b-1 fees are accrued daily and paid monthly or at such other intervals as the Company’s Board of Directors may determine. Any 12b-1 fees attributable to assets held in an account held directly with the Funds’ transfer agent for which there is not a third-party listed as the broker-dealer of record (or HFD does not otherwise have a payment obligation) are generally reimbursed to the applicable Fund. Such amounts are reflected as “Distribution fee reimbursements” on the Statement of Operations.

 

  f)

Other Related Party Transactions – Certain officers of the Company are directors and/or officers of HFMC and/or The Hartford or its subsidiaries. For the year ended October 31, 2019, a portion of the Company’s Chief Compliance Officer’s (“CCO”) compensation was paid by all of the investment companies in the Hartford fund complex. The portion allocated to each Fund, as represented in other expenses on the Statements of Operations, is outlined in the table below.

 

Fund

   CCO Compensation
Paid by Fund
 

Balanced Income Fund

   $     27,661  

Balanced Retirement Fund

     681  

Checks and Balances Fund

     3,607  

Conservative Allocation Fund

     291  

Global Real Asset Fund (consolidated)

     697  

Growth Allocation Fund

     1,444  

Moderate Allocation Fund

     976  

Multi-Asset Income and Growth Fund

     2,269  

Hartford Administrative Services Company (“HASCO”), an indirect subsidiary of The Hartford, provides transfer agent services to each Fund. Each Fund pays HASCO a transfer agency fee payable monthly based on the lesser of (i) the costs of providing or overseeing transfer agency services provided to each share class of such Fund plus a target profit margin or (ii) a Specified Amount (as defined in the table below). Such fee is intended to compensate HASCO for: (i) fees payable by HASCO to DST Asset Manager Solutions, Inc. (“DST”) (and any other designated sub-agent) according to the agreed-upon fee schedule under the sub-transfer agency agreement between HASCO and DST (or between HASCO and any other designated sub-agent, as applicable); (ii) sub-transfer agency fees payable by HASCO to financial intermediaries, according to the agreed-upon terms between HASCO and the financial intermediaries, provided that such payments are within certain limits approved by the Company’s Board of Directors; (iii) certain expenses that HASCO’s parent company, Hartford Funds Management Group, Inc., allocates to HASCO that relate to HASCO’s transfer agency services provided to the Fund; and (iv) a target profit margin.

 

Share Class

   Specified Amount
(as a percentage
average daily
net assets)
 

Class A

     0.25

Class C

     0.25

Class I

     0.20

Class Y

     0.11 %* 

Class R3

     0.22

Class R4

     0.17

Class R5

     0.12

Class R6

     0.004

Class F

     0.004

 

  *

From November 1, 2018 through April 30, 2019, the Specified Amount for all Class Y shares was 0.06%.

Effective March 1, 2019, HASCO has contractually agreed to waive and/or reimburse a portion of the transfer agency fees for the share classes of the Funds listed below to the extent necessary to maintain the transfer agency fees as follows:

 

Fund

   Class Y  

Balanced Income Fund

     0.10

Multi-Asset Income and Growth Fund

     0.06

 

 

 

  139  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

This contractual arrangement for the Balanced Income Fund will remain in effect until February 29, 2020 unless the Board of Directors approves its earlier termination. With respect to the Multi-Asset Income and Growth Fund, this contractual arrangement will remain in effect until May 1, 2020 unless the Board of Directors approves its earlier termination.

Pursuant to a sub-transfer agency agreement between HASCO and DST, HASCO has delegated certain transfer agent, dividend disbursing agent and shareholder servicing agent functions to DST. Each Fund does not pay any fee directly to DST; rather, HASCO makes all such payments to DST. The accrued amount shown in the Statements of Operations reflects the amounts charged by HASCO. These fees are accrued daily and paid monthly.

For the year ended October 31, 2019, the effective rate of compensation paid to HASCO for transfer agency services as a percentage of each Class’ average daily net assets is as follows:

 

Fund

   Class A     Class C     Class I     Class R3     Class R4     Class R5     Class R6     Class Y     Class F  

Balanced Income Fund

     0.08     0.08     0.08     0.19     0.15     0.09     0.00     0.08     0.00

Balanced Retirement Fund

     0.07     0.10     0.08     0.03     0.01     0.01     0.00     0.00     0.00

Checks and Balances Fund

     0.10     0.12     0.09     0.21     0.14     0.12     N/A       N/A       0.00

Conservative Allocation Fund

     0.11     0.13     0.11     0.21     0.17     0.12     N/A       N/A       0.00

Global Real Asset Fund (consolidated)

     0.19     0.22     0.09     0.22     0.17     0.12     N/A       0.07     0.00

Growth Allocation Fund

     0.15     0.18     0.09     0.21     0.17     0.10     N/A       N/A       0.00

Moderate Allocation Fund

     0.12     0.14     0.08     0.21     0.17     0.10     N/A       N/A       0.00

Multi-Asset Income and Growth Fund

     0.14     0.11     0.07     0.22     0.17     0.12     0.00     0.06     0.00

 

8.

Securities Lending:

The Company has entered into a securities lending agency agreement (“lending agreement”) with Citibank, N.A. (“Citibank”). A Fund may lend portfolio securities to certain borrowers in U.S. and non-U.S. markets in an amount not to exceed one-third (33 1/3%) of the value of its total assets. If a Fund security is on loan, under the lending agreement, the borrower is required to deposit cash or liquid securities as collateral at least equal to 100% of the market value of the loaned securities; cash collateral is invested for the benefit of the Fund by the Fund’s lending agent pursuant to collateral investment guidelines. The collateral is marked to market daily, in an amount at least equal to the current market value of the securities loaned.

A Fund is subject to certain risks while its securities are on loan, including the following: (i) the risk that the borrower defaults on the loan and the collateral is inadequate to cover the Fund’s loss; (ii) the risk that the earnings on the collateral invested are not sufficient to pay fees incurred in connection with the loan; (iii) the risk that the principal value of the collateral invested may decline; (iv) the risk that the borrower may use the loaned securities to cover a short sale, which may in turn place downward pressure on the market prices of the loaned securities; (v) the risk that return of loaned securities could be delayed and interfere with portfolio management decisions; and (vi) the risk that any efforts to restrict the securities for purposes of voting may not be effective. These events could also trigger adverse tax consequences for the Fund.

The Funds retain loan fees and the interest on cash collateral investments but are required to pay the borrower a rebate for the use of cash collateral. In cases where the lent security is of high value to borrowers, there may be a negative rebate (i.e., a net payment from the borrower to the Funds). Upon termination of a loan, the Funds are required to return to the borrower an amount equal to the cash collateral, plus any rebate owed to the borrowers. The net income earned on the securities lending (after payment of rebates and Citibank’s fee) is included on the Statements of Operations as Investment Income from securities lending. The Funds also receive payments from the borrower during the period of the loan, equivalent to dividends and interest earned on the securities loaned, which are recorded as Investment Income from dividends or interest, respectively, on the Statements of Operations.

The following table presents the market value of the Funds’ securities on loan, net of amounts available for offset under the master netting arrangements and any related collateral received by the Funds as of October 31, 2019.

 

Fund

   Investment Securities
on Loan, at market
value, Presented on
the Statement of
Assets and
Liabilities(1)
     Collateral Posted
by Borrower(3)
    Net
Amount(2)
 

Balanced Income Fund

   $     13,887,838      $     (13,887,838   $  

Balanced Retirement Fund

     2,454,756        (2,454,756      

Global Real Asset Fund (consolidated)

     4,956,599        (4,956,599      

Multi-Asset Income and Growth Fund

     6,502,535        (6,502,535         —  

 

  (1) 

It is each Fund’s policy to obtain additional collateral from, or return excess collateral to, the borrower by the end of the next business day following the valuation date of the securities loaned. Therefore, the value of the collateral held may be temporarily less than that required under the lending contract.

  (2) 

Net amount represents the net amount receivable due from the counterparty in the event of default.

  (3) 

Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash and non-cash collateral with value of $14,567,918, $2,592,433, $5,316,463, and $6,727,774, respectively, has been received by Balanced Income Fund, Balanced Retirement Fund, Global Real Asset Fund (consolidated), and Multi-Asset Income and Growth Fund, respectively, in connection with securities lending transactions.

 

 

  140  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

9.

Secured Borrowings:

The following tables reflect a breakdown of transactions accounted for as secured borrowings, the gross obligation by the type of collateral pledged, and the remaining contractual maturity of those transactions as of October 31, 2019.

Certain Transfers Accounted for as Secured Borrowings

Remaining Contractual Maturity of the Agreements

 

     Overnight and
Continuous
     <30 days      Between
30 & 90 days
     >90 days      Total  
Balanced Income Fund                                   

Securities Lending Transactions(1)

 

Corporate Bonds

   $ 13,987,254      $      $      $      $ 13,987,254  

Foreign Government Obligations

     580,664                             580,664  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 14,567,918      $      $      $      $ 14,567,918  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $     14,567,918      $     —      $     —      $     —      $     14,567,918  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 14,567,918  
              

 

 

 
Balanced Retirement Fund                                   

Securities Lending Transactions(1)

 

Affiliated Investment Companies

   $ 979,964      $      $      $      $ 979,964  

Corporate Bonds

     5,390                             5,390  

Exchange-Traded Funds

     1,607,079                             1,607,079  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 2,592,433      $      $      $      $ 2,592,433  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 2,592,433      $      $      $      $ 2,592,433  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 2,592,433  
              

 

 

 
Global Real Asset Fund (consolidated)                                   

Securities Lending Transactions(1)

 

Common Stocks

   $ 3,744,459      $      $      $      $ 3,744,459  

Corporate Bonds

     12,762                             12,762  

Exchange-Traded Funds

     838,055                             838,055  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 4,595,276      $      $      $      $ 4,595,276  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 4,595,276      $      $      $      $ 4,595,276  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 4,595,276  
              

 

 

 
Multi-Asset Income and Growth Fund                                   

Securities Lending Transactions(1)

 

Common Stocks

   $     1,281,099      $     —      $     —      $     —      $     1,281,099  

Convertible Bonds

     273,380                             273,380  

Corporate Bonds

     101,813                             101,813  

Exchange-Traded Funds

     4,809,267                             4,809,267  

Municipal Bonds

     90,626                             90,626  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   $ 6,556,185      $      $      $      $ 6,556,185  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Borrowings

   $ 6,556,185      $      $      $      $ 6,556,185  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gross amount of recognized liabilities for securities lending transactions

 

   $ 6,556,185  
              

 

 

 

 

  (1) 

Amount represents the payable for cash collateral received on securities on loan. This will generally be in the “Overnight and Continuous” column as the securities are typically callable on demand.

 

 

  141  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

10.

Affiliate Holdings:

As of October 31, 2019, affiliates of The Hartford had ownership of shares in each Fund as follows:

Percentage of a Class

 

Fund

   Class A      Class C      Class I      Class R3     Class R4     Class R5     Class R6     Class Y      Class F  

Balanced Retirement Fund

                          1     3           100            1

Conservative Allocation Fund

                                            NA       NA        100

Global Real Asset Fund

                                      24     NA               

Growth Allocation Fund

                                            NA       NA        5

Moderate Allocation Fund

                                            NA       NA        5

Multi-Asset Income and Growth Fund

                                            8             

Percentage of Fund by Class

 

Fund

   Class A      Class C      Class I      Class R3     Class R4     Class R5     Class R6     Class Y      Class F  

Balanced Retirement Fund

                          %*      %*            %*             %* 

Conservative Allocation Fund

                                            NA       NA        %* 

Global Real Asset Fund

                                      %*      NA               

Growth Allocation Fund

                                            NA       NA        %* 

Moderate Allocation Fund

                                            NA       NA        %* 

Multi-Asset Income & Growth Fund

                                            %*              

 

  *

Percentage rounds to zero.

As of October 31, 2019, affiliated funds of funds and certain 529 plans administered by HFMC in the aggregate owned a portion of the Funds identified below. Therefore, these Funds may experience relatively large purchases or redemptions of their shares from these affiliated funds of funds and certain 529 plans administered by HFMC. Affiliated funds of funds and certain 529 plans administered by HFMC owned shares in the Funds listed below as follows:

 

Fund

   Percentage
of Fund(1)
 

Balanced Income Fund

     %* 

Global Real Asset Fund (consolidated)

     42

 

  (1) 

As of October 31, 2019, the affiliated funds of funds and certain 529 plans administered by HFMC were invested in Class F shares.

  *

Percentage rounds to zero.

 

11.

Affiliate Fund Transactions:

A summary of affiliate fund transactions for the Balanced Retirement Fund, Checks and Balances Fund, Conservative Allocation Fund, Growth Allocation Fund and Moderate Allocation Fund for the year ended October 31, 2019 follows:

 

Affiliated Investment
Companies

  Beginning
Value as of

October 31,
2018
    Purchases
at Cost
    Proceeds
from Sales
    Net
Realized
Gain/(Loss)

on Sales
    Change in
Unrealized

Appreciation/
Depreciation
    Ending
Value as of

October 31, 2019
    Shares as of
October 31, 2019
    Dividend
Income
    Capital Gain
Distributions
 
Balanced Retirement Fund                                                      

Hartford Multifactor Developed Markets (ex-US) ETF

  $     $ 9,255,919     $ 328,589     $ (8,354   $ 152,887     $ 9,071,863       317,420     $     $  

Hartford Multifactor Emerging Markets ETF

          3,297,019       81,434       (6,485     (28,321     3,180,779       139,903              

Hartford Multifactor US Equity ETF

          8,510,454       393,436       (1,113     60,426       8,176,331       251,502       40,553        

The Hartford World Bond Fund, Class F

          17,082,174       2,142,377       3,919       29,448       14,973,164       1,380,015       48,514        
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $   —     $ 38,145,566     $ 2,945,836     $ (12,033   $ 214,440     $ 35,402,137       2,088,840     $ 89,067     $   —  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
Checks and Balances Fund                                                      

Hartford Total Return Bond ETF

  $ 299,115,446     $ 225,451,143     $ 36,518,476     $ 353,338     $ 39,683,103     $ 528,084,554       12,717,268     $ 16,818,274     $  

The Hartford Capital Appreciation Fund, Class F

    500,579,781       108,646,841       92,161,628       (8,669,764     12,299,271       520,694,501       13,940,950       3,595,062       72,625,349  

The Hartford Dividend and Growth Fund, Class F

    510,245,265       88,672,575       90,851,998       (4,297,101     16,646,575       520,415,316       20,186,785       9,909,478       46,181,902  

The Hartford Total Return Bond Fund, Class F

    217,256,603       420,452       217,872,796       (8,686,530     8,882,271                   501,921        
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 1,527,197,095     $ 423,191,011     $ 437,404,898     $ (21,300,057   $ 77,511,220     $ 1,569,194,371       46,845,003     $ 30,824,735     $ 118,807,251  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
Conservative Allocation Fund                                

Hartford Core Equity Fund, Class F

  $ 7,887,858     $ 4,766,946     $ 3,495,964     $ 422,870     $ 728,492     $ 10,310,202       307,584     $ 117,750     $ 388,829  

Hartford Emerging Markets Equity Fund, Class F

          1,523,870       298,191       8,521       30,452       1,264,652       142,096              

Hartford Multifactor Developed Markets (ex-US) ETF

    1,072,911       2,756,319                   184,917       4,014,147       140,453       69,298        

 

 

  142  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Affiliated Investment
Companies

  Beginning
Value as of

October 31,
2018
    Purchases
at Cost
    Proceeds
from Sales
    Net
Realized
Gain/(Loss)

on Sales
    Change in
Unrealized

Appreciation/
Depreciation
    Ending
Value as of

October 31, 2019
    Shares as of
October 31, 2019
    Dividend
Income
    Capital Gain
Distributions
 
Conservative Allocation Fund – (continued)                                

Hartford Multifactor US Equity ETF

  $ 2,873,862     $ 2,335,615     $     $     $ 366,378     $ 5,575,855       171,512     $ 89,115     $  

Hartford Quality Value Fund, Class F

    4,283,119       1,200,969       5,420,974       (197,340     134,226                   94,705       236,042  

Hartford Schroders Emerging Markets Multi-Sector Bond Fund, Class F

    4,673,591       1,225,805       1,934,637       (204,319     389,556       4,149,996       456,043       300,015        

Hartford Schroders International Multi-Cap Value Fund, Class F

    3,386,134       1,411,757       1,384,162       (49,518     120,353       3,484,564       385,035       117,658       90,778  

Hartford Short Duration ETF

    10,141,615                         213,437       10,355,052       253,458       362,236        

Hartford Small Cap Value Fund, Class F (formerly, Hartford Small Cap Core Fund, Class F)

    1,131,168       2,490,577       690,278       (172,549     (15,269     2,743,649       264,321       10,450       317,510  

Hartford Total Return Bond ETF

          15,058,753                   1,017,360       16,076,113       387,143       434,989        

The Hartford Equity Income Fund, Class F

    6,799,943       2,102,994       2,380,574       8,262       266,559       6,797,184       342,083       170,432       555,226  

The Hartford Global All-Asset Fund, Class F

    4,433,502       417,499       4,540,211       (785,437     474,647                   395,451        

The Hartford Global Real Asset Fund, Class F

    2,212,983       860,060       516,739       (2,742     (24,032     2,529,530       286,470       57,241        

The Hartford Growth Opportunities Fund, Class F

    2,225,339       2,509,973       1,149,210       18,937       (74,098     3,530,941       83,930             527,162  

The Hartford Inflation Plus Fund, Class F

    4,665,456       1,240,499       613,198       (26,661     155,523       5,421,619       504,337       193,977        

The Hartford International Opportunities Fund, Class F

    3,966,172       976,945       3,117,310       (232,995     315,124       1,907,936       122,069       76,029       102,928  

The Hartford MidCap Fund, Class F

    2,815,768       1,218,816       979,573       107,918       31,403       3,194,332       101,343             336,404  

The Hartford Quality Bond Fund, Class F

    16,508,931       4,160,314       3,174,251       (172     1,143,762       18,638,584       1,834,506       638,176        

The Hartford Small Company Fund, Class F

          3,259,941       365,214       4,902       (14,165     2,885,464       132,665              

The Hartford Strategic Income Fund, Class F

    7,704,575       2,139,785       1,174,093       (33,144     305,674       8,942,797       1,031,465       565,483        

The Hartford Total Return Bond Fund, Class F

    13,797,301       1,329,944       15,154,122       (544,830     571,707                   222,216        

The Hartford World Bond Fund, Class F

    11,004,769       7,139,555       1,114,633       46,336       191,130       17,267,157       1,591,443       629,268       11,593  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 111,584,997     $ 60,126,936     $ 47,503,334     $ (1,631,961   $ 6,513,136     $ 129,089,774       8,537,956     $ 4,544,489     $ 2,566,472  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
Growth Allocation Fund                                                      

Hartford Core Equity Fund, Class F

  $ 98,202,761     $ 12,182,442     $ 13,421,956     $ 2,269,162     $ 9,180,293     $ 108,412,702       3,234,269     $ 1,066,512     $ 4,055,685  

Hartford Emerging Markets Equity Fund, Class F

          10,571,961                   310,784       10,882,745       1,222,780              

Hartford Multifactor Developed Markets (ex-US) ETF

    24,288,661       17,971,985                   2,461,995       44,722,641       1,564,823       914,301        

Hartford Multifactor US Equity ETF

    44,509,418       8,105,817                   3,471,309       56,086,544       1,725,209       1,048,113        

Hartford Quality Value Fund, Class F

    48,887,330       3,377,050       51,562,265       (2,741,726     2,039,611                   949,523       2,427,527  

Hartford Schroders Emerging Markets Multi-Sector Bond Fund, Class F

    12,230,084       735,560       6,075,575       (648,936     1,081,909       7,323,042       804,730       538,041        

Hartford Schroders International Multi-Cap Value Fund, Class F

    42,570,311       2,414,727       2,985,183       (129,343     608,920       42,479,432       4,693,860       1,381,616       1,033,111  

Hartford Short Duration ETF

    23,442,536             5,829,255       (43,944     380,515       17,949,852       439,354       665,919        

Hartford Small Cap Value Fund, Class F (formerly, Hartford Small Cap Core Fund, Class F)

    23,857,541       12,374,257       2,451,982       (601,797     (4,049,788     29,128,231       2,806,188       185,934       5,813,958  

Hartford Total Return Bond ETF

          14,257,298                   964,189       15,221,487       366,562       411,864        

The Hartford Equity Income Fund, Class F

    74,508,845       7,125,993       14,099,190       273,021       2,638,172       70,446,841       3,545,387       1,686,889       5,439,104  

The Hartford Global All-Asset Fund, Class F

    24,604,674       2,057,240       24,779,301       (4,538,668     2,656,055                   2,057,240        

The Hartford Global Real Asset Fund, Class F

    24,522,708       548,436       3,599,701       (21,022     (376,104     21,074,317       2,386,672       548,436        

The Hartford Growth Opportunities Fund, Class F

    22,934,610       13,506,894       887,297       82,954       (1,066,170     34,570,991       821,749             5,096,459  

The Hartford International Opportunities Fund, Class F

    45,827,484       5,828,014       22,808,200       (1,565,883     3,198,430       30,479,845       1,950,086       869,171       1,176,687  

The Hartford International Small Company Fund, Class F

    6,183,836       905,921       5,899,496       (1,805,064     614,803                   72,632       785,727  

The Hartford MidCap Fund, Class F

    32,012,098       4,039,764       7,418,681       973,463       345,855       29,952,499       950,270             3,568,988  

The Hartford Quality Bond Fund, Class F

    24,437,701       2,019,078       4,907,815       4,515       1,532,247       23,085,726       2,272,217       851,692        

The Hartford Small Company Fund, Class F

          29,422,054                   3,339       29,425,393       1,352,892              

The Hartford Strategic Income Fund, Class F

    6,103,156       1,828,662       912,048       (15,344     252,719       7,257,145       837,041       441,431        

The Hartford World Bond Fund, Class F

    24,430,554       2,433,161       4,102,869       161,814       128,635       23,051,295       2,124,543       1,164,052       22,699  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 603,554,308     $ 151,706,314     $ 171,740,814     $ (8,346,798   $ 26,377,718     $ 601,550,728       33,098,632     $ 14,853,366     $ 29,419,945  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

 

  143  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

Affiliated Investment
Companies

  Beginning
Value as of

October 31,
2018
    Purchases
at Cost
    Proceeds
from Sales
    Net
Realized
Gain/(Loss)

on Sales
    Change in
Unrealized

Appreciation/
Depreciation
    Ending
Value as of

October 31, 2019
    Shares as of
October 31, 2019
    Dividend
Income
    Capital Gain
Distributions
 
Moderate Allocation Fund                                

Hartford Core Equity Fund, Class F

  $ 45,992,576     $ 7,812,360     $ 7,776,488     $ 1,384,709     $ 4,676,440     $ 52,089,597       1,553,986     $ 494,963     $ 1,870,582  

Hartford Emerging Markets Equity Fund, Class F

          6,567,099                   182,386       6,749,485       758,369              

Hartford Multifactor Developed Markets (ex-US) ETF

    12,802,060       10,617,643                   1,289,393       24,709,096       864,559       510,152        

Hartford Multifactor US Equity ETF

    22,501,939       841,725                   1,538,027       24,881,691       765,355       495,268        

Hartford Quality Value Fund, Class F

    24,241,583       1,674,566       25,561,383       (1,308,682     953,916                   470,837       1,203,729  

Hartford Schroders Emerging Markets Multi-Sector Bond Fund, Class F

    11,937,257       682,566       1,481,298       (137,690     596,117       11,596,952       1,274,390       682,565        

Hartford Schroders International Multi-Cap Value Fund, Class F

    21,760,509       2,147,499       3,377,730       (90,487     385,858       20,825,649       2,301,177       687,106       528,091  

Hartford Short Duration ETF

    20,433,399       2,143,836       2,026,050       (15,533     407,735       20,943,387       512,626       708,541        

Hartford Small Cap Value Fund, Class F (formerly, Hartford Small Cap Core Fund, Class F)

    11,762,671       8,055,366       3,077,935       (726,971     (1,434,349     14,578,782       1,404,507       91,672       2,866,502  

Hartford Total Return Bond ETF

          19,969,212                   1,348,726       21,317,938       513,376       576,823        

The Hartford Equity Income Fund, Class F

    37,002,535       3,599,292       6,541,200       83,563       1,337,060       35,481,250       1,785,669       843,727       2,755,565  

The Hartford Global All-Asset Fund, Class F

    21,770,224       1,341,257       21,912,903       (3,550,182     2,351,604                   1,341,255        

The Hartford Global Real Asset Fund, Class F

    12,740,080       289,214       1,019,400       6,081       (206,727     11,809,248       1,337,401       289,214        

The Hartford Growth Opportunities Fund, Class F

    11,716,685       8,135,350       2,505,775       198,658       (291,856     17,253,062       410,104             2,569,300  

The Hartford Inflation Plus Fund, Class F

    10,391,496       403,469       1,469,634       (62,337     290,953       9,553,947       888,739       403,469        

The Hartford International Opportunities Fund, Class F

    23,739,842       1,511,623       11,112,385       (711,218     1,514,931       14,942,793       956,033       415,761       562,859  

The Hartford International Small Company Fund, Class F

    4,302,777       592,286       4,070,991       (1,173,975     349,903                   50,118       542,168  

The Hartford MidCap Fund, Class F

    15,897,385       1,746,164       3,360,394       422,529       200,765       14,906,449       472,920             1,746,164  

The Hartford Quality Bond Fund, Class F

    38,973,973       1,282,366       10,162,077       (31,797     2,295,284       32,357,749       3,184,818       1,282,366        

The Hartford Small Company Fund, Class F

          14,698,878                   32,050       14,730,928       677,284              

The Hartford Strategic Income Fund, Class F

    17,311,243       1,103,048       3,576,348       (110,275     599,250       15,326,918       1,767,811       1,103,048        

The Hartford Total Return Bond Fund, Class F

    21,707,845       315,140       22,066,917       (990,789     1,034,721                   330,403        

The Hartford World Bond Fund, Class F

    30,298,368       7,120,098       4,549,291       210,374       293,609       33,373,158       3,075,867       1,478,132       27,795  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 417,284,447     $ 102,650,057     $ 135,648,199     $ (6,604,022   $ 19,745,796     $ 397,428,079       24,504,991     $ 12,255,420     $ 14,672,755  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

12.

Investment Transactions:

For the year or period ended October 31, 2019, the cost of purchases and proceeds from sales of investment securities (excluding short-term investments) were as follows:

 

Fund

  Cost of Purchases
Excluding U.S.
Government
Obligations
    Sales Proceeds
Excluding U.S.
Government
Obligations
    Cost of Purchases
For U.S.
Government

Obligations
    Sales Proceeds
For U.S.
Government
Obligations
    Total Cost of
Purchases
    Total Sales
Proceeds
 

Balanced Income Fund

  $     5,177,687,359     $     5,080,549,063     $     1,132,703,182     $     1,250,314,000     $     6,310,390,541     $     6,330,863,063  

Balanced Retirement Fund(1)

    178,143,694       121,024,960       50,212,970       33,641,972       228,356,664       154,666,932  

Checks and Balances Fund

    423,191,011       437,404,898                   423,191,011       437,404,898  

Conservative Allocation Fund

    60,126,936       47,503,334                   60,126,936       47,503,334  

Global Real Asset Fund (consolidated)

    437,712,013       447,521,703       78,987,024       92,082,345       516,699,037       539,604,048  

Growth Allocation Fund

    151,706,314       171,740,814                   151,706,314       171,740,814  

Moderate Allocation Fund

    102,650,057       135,648,199                   102,650,057       135,648,199  

Multi-Asset Income and Growth Fund

    649,263,302       791,448,858       92,301,426       50,156,613       741,564,728       841,605,471  

 

  (1) 

With respect to the reorganization of The Hartford Global All-Asset Fund with and into the Balanced Retirement Fund on September 23, 2019, the Balanced Retirement Fund acquired long-term equity securities with a cost of $137,713,156 that are not included in the above non-U.S. Government purchases.

 

 

  144  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

13.

Capital Share Transactions:

The following information is for the year ended October 31, 2019, and the year ended October 31, 2018:

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Balanced Income Fund                    

Class A

                   

Shares Sold

       39,786,869        $ 562,588,329          38,989,719        $ 560,417,398  

Shares Issued for Reinvested Dividends

       15,019,995          202,396,974          11,976,590          173,097,317  

Shares Redeemed

       (42,150,227        (587,900,551        (48,182,103        (691,461,657
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       12,656,637          177,084,752          2,784,206          42,053,058  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       32,397,092        $ 450,357,714          39,169,803        $ 556,665,816  

Shares Issued for Reinvested Dividends

       13,704,425          180,788,912          11,317,577          161,588,478  

Shares Redeemed

       (59,869,644        (824,655,550        (55,798,286        (786,192,687
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (13,768,127        (193,508,924        (5,310,906        (67,938,393
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       81,403,185        $     1,144,106,675          72,425,805        $ 1,043,575,637  

Shares Issued for Reinvested Dividends

       13,234,390          178,757,422          11,073,938          159,966,220  

Shares Redeemed

       (69,135,494        (957,096,008        (86,913,001            (1,243,543,615
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       25,502,081          365,768,089          (3,413,258        (40,001,758
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       1,730,192        $ 24,442,308          2,337,951        $ 33,786,116  

Shares Issued for Reinvested Dividends

       874,989          11,790,845          771,382          11,195,450  

Shares Redeemed

       (3,864,290        (54,339,667        (3,965,344        (56,851,483
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,259,109        (18,106,514        (856,011        (11,869,917
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       1,296,517        $ 18,280,215          3,125,278        $ 44,518,886  

Shares Issued for Reinvested Dividends

       567,014          7,654,873          397,154          5,763,412  

Shares Redeemed

       (3,609,955        (51,596,525        (2,169,581        (31,291,240
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,746,424        (25,661,437        1,352,851          18,991,058  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       1,200,444        $ 16,827,628          1,554,016        $ 22,260,222  

Shares Issued for Reinvested Dividends

       165,696          2,241,276          172,124          2,500,002  

Shares Redeemed

       (2,196,220        (30,638,295        (994,252        (14,287,617
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (830,080        (11,569,391        731,888          10,472,607  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6

                   

Shares Sold

       7,695,203        $ 110,180,521          4,659,599        $ 68,769,166  

Shares Issued for Reinvested Dividends

       554,460          7,617,276          276,257          4,021,864  

Shares Redeemed

       (1,614,041        (23,035,790        (782,721        (11,296,936
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       6,635,622          94,762,007          4,153,135          61,494,094  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       4,850,971        $ 68,796,757          5,164,597        $ 75,162,234  

Shares Issued for Reinvested Dividends

       717,008          9,766,888          505,076          7,369,670  

Shares Redeemed

       (5,906,978        (83,140,688        (3,584,418        (51,827,904
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (338,999        (4,577,043        2,085,255          30,704,000  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       31,513,101        $ 444,867,885          38,725,683        $ 558,594,386  

Shares Issued for Reinvested Dividends

       7,684,924          103,977,990          5,126,410          73,959,942  

Shares Redeemed

       (20,562,273            (287,870,520        (15,738,250            (224,991,431
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       18,635,752          260,975,355          28,113,843          407,562,897  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       45,487,353        $ 645,166,894          29,641,003        $ 451,467,646  
    

 

 

      

 

 

      

 

 

      

 

 

 
Balanced Retirement Fund                                    

Class A

                   

Shares Sold

       488,930        $ 4,373,737          325,413        $ 3,055,087  

Issued in Reorganization

       8,844,589          81,509,965                    

Shares Issued for Reinvested Dividends

       116,679          1,033,298          72,865          681,155  

Shares Redeemed

       (1,792,469        (16,443,674        (185,591        (1,734,963
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       7,657,729          70,473,326          212,687          2,001,279  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  145  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Balanced Retirement Fund – (continued)                                    

Class C

                   

Shares Sold

       400,059        $ 3,581,279          660,354        $ 6,201,735  

Issued in Reorganization

       3,247,905          29,964,519                    

Shares Issued for Reinvested Dividends

       77,520          681,239          43,571          407,322  

Shares Redeemed

       (697,276        (6,349,694        (154,083        (1,446,116
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       3,028,208          27,877,343          549,842          5,162,941  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       1,684,136        $ 15,081,197          1,803,637        $ 17,002,400  

Issued in Reorganization

       2,434,728          22,421,164                    

Shares Issued for Reinvested Dividends

       132,337          1,168,376          95,952          895,915  

Shares Redeemed

       (3,667,186        (33,469,031        (1,015,906        (9,563,834
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       584,015          5,201,706          883,683          8,334,481  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       5,561        $ 51,117                 $  

Issued in Reorganization

       138,704          1,280,088                    

Shares Issued for Reinvested Dividends

       15,940          140,237          12,895          120,685  

Shares Redeemed

       (266,176        (2,456,178                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (105,971        (984,736        12,895          120,685  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       2,312        $ 21,197                 $  

Issued in Reorganization

       35,529          327,621                    

Shares Issued for Reinvested Dividends

       15,884          139,591          13,136          122,877  

Shares Redeemed

       (262,362        (2,419,256                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (208,637        (1,930,847        13,136          122,877  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       89,217        $ 823,482                 $  

Issued in Reorganization

       11,670          107,486                    

Shares Issued for Reinvested Dividends

       16,713          146,932          13,494          126,157  

Shares Redeemed

       (278,363        (2,563,435        (1        (11
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (160,763        (1,485,535        13,493          126,146  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(1)

                   

Shares Sold

       8        $ (226               $  

Issued in Reorganization

       1,111          10,226                    

Shares Issued for Reinvested Dividends

       28          252                    
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,147          10,252                    
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       156,012        $ 1,418,711          51,772        $ 485,012  

Issued in Reorganization

       313,061          2,881,352                    

Shares Issued for Reinvested Dividends

       152,845          1,340,124          159,115          1,487,370  

Shares Redeemed

       (3,122,882        (28,639,263        (5,445        (50,964
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (2,500,964        (22,999,076        205,442          1,921,418  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       1,454        $ 13,467                 $  

Issued in Reorganization

       340,301          3,111,198                    

Shares Issued for Reinvested Dividends

       699          6,382          26          241  

Shares Redeemed

       (178,744        (1,627,543        (1,143        (10,792
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       163,710          1,503,504          (1,117        (10,551
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       8,458,474        $ 77,665,937          1,890,061        $ 17,779,276  
    

 

 

      

 

 

      

 

 

      

 

 

 
Checks and Balances Fund                                    

Class A

                   

Shares Sold

       13,034,796        $ 118,501,810          13,647,976        $ 130,595,113  

Shares Issued for Reinvested Dividends

       13,736,642          117,435,304          17,231,912          166,645,244  

Shares Redeemed

       (23,888,289            (218,089,065        (24,632,663            (239,357,486
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,883,149          17,848,049          6,247,225          57,882,871  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       2,590,443        $ 23,587,069          1,826,905        $ 17,655,502  

Shares Issued for Reinvested Dividends

       1,953,996          16,461,099          3,725,819          35,807,820  

Shares Redeemed

       (8,185,799        (74,336,948        (13,717,967        (130,692,358
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (3,641,360        (34,288,780        (8,165,243        (77,229,036
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  146  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Checks and Balances Fund – (continued)                                    

Class I

                   

Shares Sold

       3,604,755        $ 33,326,470          2,706,536        $ 26,276,349  

Shares Issued for Reinvested Dividends

       703,189          6,031,379          762,800          7,387,825  

Shares Redeemed

       (4,108,288        (37,503,349        (2,363,467        (22,868,401
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       199,656          1,854,500          1,105,869          10,795,773  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       182,353        $ 1,660,427          212,507        $ 2,058,040  

Shares Issued for Reinvested Dividends

       171,251          1,452,360          233,285          2,247,730  

Shares Redeemed

       (453,526        (4,139,863        (497,519        (4,821,060
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (99,922        (1,027,076        (51,727        (515,290
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       45,433        $ 412,333          58,977        $ 568,308  

Shares Issued for Reinvested Dividends

       59,117          503,670          72,587          699,777  

Shares Redeemed

       (49,246        (455,037        (93,792        (903,239
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       55,304          460,966          37,772          364,846  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       531,448        $ 4,827,979          217,070        $ 2,162,578  

Shares Issued for Reinvested Dividends

       4,961          42,828          35,784          347,064  

Shares Redeemed

       (552,055        (5,010,915        (400,829        (3,834,155
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (15,646        (140,108        (147,975        (1,324,513
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       678,348        $ 6,321,547          27,669        $ 273,932  

Shares Issued for Reinvested Dividends

       8,437          75,764          15,522          150,980  

Shares Redeemed

       (61,275        (580,634        (136,447        (1,331,405
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       625,510          5,816,677          (93,256        (906,493
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       6,691        $ (9,475,772        (1,067,335      $ (10,931,842
    

 

 

      

 

 

      

 

 

      

 

 

 
Conservative Allocation Fund                                    

Class A

                   

Shares Sold

       3,066,833        $ 31,594,596          1,549,759        $ 16,111,362  

Shares Issued for Reinvested Dividends

       295,078          2,859,303          239,137          2,498,985  

Shares Redeemed

       (1,858,637        (19,164,980        (1,746,761        (18,321,546
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,503,274          15,288,919          42,135          288,801  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       895,618        $ 9,222,202          653,720        $ 6,744,734  

Shares Issued for Reinvested Dividends

       29,699          286,600          51,671          533,764  

Shares Redeemed

       (1,274,867            (13,255,571        (1,497,403            (15,264,112
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (349,550        (3,746,769        (792,012        (7,985,614
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       98,629        $ 1,005,747          61,799        $ 648,422  

Shares Issued for Reinvested Dividends

       5,150          49,958          4,857          50,753  

Shares Redeemed

       (107,025        (1,107,930        (120,586        (1,265,929
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (3,246        (52,225        (53,930        (566,754
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       80,009        $ 836,343          64,851        $ 680,503  

Shares Issued for Reinvested Dividends

       11,303          109,866          18,111          189,259  

Shares Redeemed

       (193,650        (2,019,808        (333,785        (3,464,341
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (102,338        (1,073,599        (250,823        (2,594,579
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       26,838        $ 278,658          87,318        $ 913,861  

Shares Issued for Reinvested Dividends

       7,278          70,668          7,995          83,543  

Shares Redeemed

       (81,313        (848,402        (108,683        (1,134,029
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (47,197        (499,076        (13,370        (136,625
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       11,041        $ 116,542          30,467        $ 321,375  

Shares Issued for Reinvested Dividends

       6,313          61,359          6,115          64,019  

Shares Redeemed

       (11,764        (121,008        (68,456        (725,770
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       5,590          56,893          (31,874        (340,376
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  147  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Conservative Allocation Fund – (continued)                                    

Class F

                   

Shares Sold

       4,694        $ 50,530                 $  

Shares Issued for Reinvested Dividends

       37          356          34          351  

Shares Redeemed

       (4,695        (50,800                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       36          86          34          351  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       1,006,569        $ 9,974,229          (1,099,840      $ (11,334,796
    

 

 

      

 

 

      

 

 

      

 

 

 
Global Real Asset Fund (consolidated)                                    

Class A

                   

Shares Sold

       205,230        $ 1,804,259          584,612        $ 5,568,066  

Shares Issued for Reinvested Dividends

       36,782          304,188          56,648          533,621  

Shares Redeemed

       (594,513        (5,156,678        (475,065        (4,514,397
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (352,501        (3,048,231        166,195          1,587,290  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       8,079        $ 69,940          24,069        $ 222,034  

Shares Issued for Reinvested Dividends

       5,384          43,879          14,505          134,313  

Shares Redeemed

       (188,218        (1,634,670        (292,821        (2,721,381
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (174,755        (1,520,851        (254,247        (2,365,034
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       1,550,315        $ 13,600,849          2,418,003        $ 22,917,661  

Shares Issued for Reinvested Dividends

       92,428          762,529          90,742          852,977  

Shares Redeemed

       (1,272,120            (11,275,190        (1,653,192            (15,652,851
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       370,623          3,088,188          855,553          8,117,787  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       954        $ 8,610          5,073        $ 47,869  

Shares Issued for Reinvested Dividends

       211          1,759          249          2,363  

Shares Redeemed

       (4,608        (41,599        (9,990        (95,312
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (3,443        (31,230        (4,668        (45,080
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       6,335        $ 57,030          4,377        $ 42,130  

Shares Issued for Reinvested Dividends

       457          3,789          1,377          12,990  

Shares Redeemed

       (23,086        (200,486        (28,894        (277,486
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (16,294        (139,667        (23,140        (222,366
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       3,499        $ 30,370          9,271        $ 86,900  

Shares Issued for Reinvested Dividends

       37          305          255          2,404  

Shares Redeemed

       (281        (2,465        (15,488        (150,073
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       3,255          28,210          (5,962        (60,769
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

                   

Shares Sold

       955,801        $ 8,339,899          1,539,199        $ 14,573,429  

Shares Issued for Reinvested Dividends

       323,850          2,671,759          435,699          4,095,568  

Shares Redeemed

       (4,681,597        (41,222,354        (834,790        (7,905,380
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (3,401,946        (30,210,696        1,140,108          10,763,617  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       1,533,466        $ 13,391,577          1,802,386        $ 17,036,262  

Shares Issued for Reinvested Dividends

       312,549          2,578,535          421,001          3,953,204  

Shares Redeemed

       (1,622,972        (14,359,432        (1,824,036        (17,382,113
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       223,043          1,610,680          399,351          3,607,353  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (3,352,018      $ (30,223,597        2,273,190        $ 21,382,798  
    

 

 

      

 

 

      

 

 

      

 

 

 
Growth Allocation Fund                                    

Class A

                   

Shares Sold

       3,737,082        $ 45,135,018          6,511,095        $ 80,477,287  

Shares Issued for Reinvested Dividends

       1,611,562          17,870,124          929,183          11,512,571  

Shares Redeemed

       (6,370,770        (77,501,282        (6,456,458        (81,189,891
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,022,126        (14,496,140        983,820          10,799,967  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       395,504        $ 4,737,574          499,510        $ 6,156,978  

Shares Issued for Reinvested Dividends

       101,375          1,122,616          182,505          2,230,210  

Shares Redeemed

       (1,947,917        (23,616,044        (6,920,371        (84,011,273
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (1,451,038        (17,755,854        (6,238,356        (75,624,085
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  148  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Growth Allocation Fund – (continued)                                    

Class I

                   

Shares Sold

       290,719        $ 3,500,562          487,090        $ 6,102,168  

Shares Issued for Reinvested Dividends

       37,928          417,489          21,881          269,350  

Shares Redeemed

       (364,358        (4,382,780        (444,247        (5,576,845
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (35,711        (464,729        64,724          794,673  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       62,207        $ 736,961          92,979        $ 1,148,156  

Shares Issued for Reinvested Dividends

       32,369          350,833          19,315          233,899  

Shares Redeemed

       (455,805        (5,491,552        (182,012        (2,207,354
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (361,229        (4,403,758        (69,718        (825,299
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       45,022        $ 543,667          79,723        $ 998,097  

Shares Issued for Reinvested Dividends

       23,777          262,479          19,968          246,007  

Shares Redeemed

       (302,126        (3,727,153        (295,750        (3,681,689
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (233,327        (2,921,007        (196,059        (2,437,585
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       40,358        $ 493,212          98,933        $ 1,233,696  

Shares Issued for Reinvested Dividends

       19,837          219,881          11,636          144,172  

Shares Redeemed

       (88,384        (1,075,193        (101,267        (1,273,685
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (28,189        (362,100        9,302          104,183  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

                   

Shares Sold

       22,870        $ 286,154                 $  

Shares Issued for Reinvested Dividends

       40          441          25          306  

Shares Redeemed

       (4,116        (52,334                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       18,794          234,261          25          306  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (3,112,826      $ (40,169,327        (5,446,262      $ (67,187,840
    

 

 

      

 

 

      

 

 

      

 

 

 
Moderate Allocation Fund                                    

Class A

                   

Shares Sold

       2,307,920        $ 26,152,391          4,472,687        $ 53,920,906  

Shares Issued for Reinvested Dividends

       2,465,078          26,238,562          1,281,470          15,648,876  

Shares Redeemed

       (5,030,209        (57,327,287        (4,682,922        (57,432,113
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (257,211        (4,936,334        1,071,235          12,137,669  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

                   

Shares Sold

       304,777        $ 3,455,339          435,476        $ 5,245,612  

Shares Issued for Reinvested Dividends

       277,874          2,915,470          324,626          3,893,584  

Shares Redeemed

       (1,548,103            (17,427,939        (4,705,550            (55,582,961
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (965,452        (11,057,130        (3,945,448        (46,443,765
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

                   

Shares Sold

       197,185        $ 2,279,391          443,408        $ 5,457,698  

Shares Issued for Reinvested Dividends

       83,253          889,378          33,452          409,758  

Shares Redeemed

       (386,956        (4,370,137        (294,172        (3,632,357
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (106,518        (1,201,368        182,688          2,235,099  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

                   

Shares Sold

       216,807        $ 2,451,322          199,725        $ 2,414,240  

Shares Issued for Reinvested Dividends

       133,124          1,395,413          83,314          1,002,335  

Shares Redeemed

       (614,892        (6,961,176        (544,423        (6,528,781
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (264,961        (3,114,441        (261,384        (3,112,206
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

                   

Shares Sold

       71,806        $ 797,617          77,974        $ 956,505  

Shares Issued for Reinvested Dividends

       53,988          574,129          29,948          365,425  

Shares Redeemed

       (448,267        (5,233,886        (111,684        (1,357,295
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (322,473        (3,862,140        (3,762        (35,365
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

                   

Shares Sold

       62,443        $ 717,825          66,382        $ 814,389  

Shares Issued for Reinvested Dividends

       41,304          441,322          26,358          322,848  

Shares Redeemed

       (148,828        (1,740,124        (84,189        (1,040,370
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (45,081        (580,977        8,551          96,867  
    

 

 

      

 

 

      

 

 

      

 

 

 

 

 

  149  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

       For the Year Ended
October 31, 2019
       For the Year Ended
October 31, 2018
 
       Shares        Amount        Shares        Amount  
Moderate Allocation Fund – (continued)                                    

Class F

                   

Shares Sold

       34,915        $ 398,154                 $  

Shares Issued for Reinvested Dividends

       87          925          46          566  

Shares Redeemed

       (14,816        (172,767                  
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       20,186          226,312          46          566  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       (1,941,510      $     (24,526,078        (2,948,074      $     (35,121,135
    

 

 

      

 

 

      

 

 

      

 

 

 
Multi-Asset Income and Growth Fund  

Class A

 

Shares Sold

       2,587,153        $ 57,948,852          4,435,877        $ 107,107,255  

Shares Issued for Reinvested Dividends

       2,721,019          59,304,234          335,636          8,103,736  

Shares Redeemed

       (4,290,554        (97,480,858        (3,905,095        (94,687,551
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       1,017,618          19,772,228          866,418          20,523,440  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class C

 

Shares Sold

       994,975        $ 22,046,989          1,059,627        $ 25,679,406  

Shares Issued for Reinvested Dividends

       403,790          8,768,408          40,972          988,792  

Shares Redeemed

       (1,442,000        (32,777,945        (3,652,532        (88,210,392
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (43,235        (1,962,548        (2,551,933        (61,542,194
    

 

 

      

 

 

      

 

 

      

 

 

 

Class I

 

Shares Sold

       2,644,887        $ 58,887,498          1,239,085        $ 30,019,152  

Shares Issued for Reinvested Dividends

       279,242          6,137,078          33,913          819,760  

Shares Redeemed

       (835,315        (18,884,866        (1,108,878        (26,838,319
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,088,814          46,139,710          164,120          4,000,593  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R3

 

Shares Sold

       27,657        $ 633,822          19,256        $ 474,206  

Shares Issued for Reinvested Dividends

       7,276          160,087          959          23,364  

Shares Redeemed

       (32,044        (733,113        (46,512        (1,146,979
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       2,889          60,796          (26,297        (649,409
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R4

 

Shares Sold

       5,752        $ 132,291          53,982        $ 1,334,473  

Shares Issued for Reinvested Dividends

       9,377          205,180          1,001          24,585  

Shares Redeemed

       (71,798        (1,612,256        (4,795        (119,700
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (56,669        (1,274,785        50,188          1,239,358  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R5

 

Shares Sold

       9,610        $ 224,826          1,112        $ 27,224  

Shares Issued for Reinvested Dividends

       725          16,255          93          2,273  

Shares Redeemed

       (1,158        (26,324        (1,456        (36,453
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       9,177          214,757          (251        (6,956
    

 

 

      

 

 

      

 

 

      

 

 

 

Class R6(2)

 

Shares Sold

       8,205        $ 188,895          66,369        $ 1,665,912  

Shares Issued for Reinvested Dividends

       6,292          138,509          269          6,811  

Shares Redeemed

       (75,178        (1,758,783        (427        (10,756
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (60,681        (1,431,379        66,211          1,661,967  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class Y

 

Shares Sold

       200,131        $ 4,661,660          233,732        $ 5,749,511  

Shares Issued for Reinvested Dividends

       68,965          1,527,184          10,464          255,995  

Shares Redeemed

       (354,110        (8,236,472        (137,058        (3,374,077
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       (85,014        (2,047,628        107,138          2,631,429  
    

 

 

      

 

 

      

 

 

      

 

 

 

Class F

 

Shares Sold

       623,204        $ 14,141,474          1,877,283        $ 45,454,244  

Shares Issued for Reinvested Dividends

       433,589          9,457,771          65,261          1,575,435  

Shares Redeemed

       (1,014,416            (23,100,788        (771,319            (18,739,707
    

 

 

      

 

 

      

 

 

      

 

 

 

Net Increase (Decrease)

       42,377          498,457          1,171,225          28,289,972  
    

 

 

      

 

 

      

 

 

      

 

 

 

Total Net Increase (Decrease)

       2,915,276        $ 59,969,608          (153,181      $ (3,851,800
    

 

 

      

 

 

      

 

 

      

 

 

 

 

  (1) 

Inception date was February 28, 2019.

  (2) 

Inception date was February 28, 2018.

 

 

  150  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

 

14.

Fund Reorganizations:

At a meeting held on May 1, 2019, the Board of Directors of the Company approved an Agreement and Plan of Reorganization that provided for the reorganization of The Hartford Global All-Asset Fund (“Global All-Asset Fund”), a series of the Company, with and into the Balanced Retirement Fund, a separate series of the Company (the “Reorganization”).

Pursuant to the terms of the Agreement and Plan of Reorganization, after the close of business on September 20, 2019, the Global All-Asset Fund transferred all of its assets to the Balanced Retirement Fund, in exchange for shares of the Balanced Retirement Fund and the assumption of all of the liabilities of the Global All-Asset Fund by the Balanced Retirement Fund.

After the close of business on September 20, 2019, the consummation of the Reorganization was accomplished by a tax-free exchange of shares of the Balanced Retirement Fund in the following amounts:

 

Share Class

   Net assets of Global
All-Asset Fund as of
the close of business
on September 20, 2019
(“Reorganization Date”)
     Shares of the
Global All-Asset
Fund as of the
Reorganization Date
     Value of Shares
Issued by
Balanced
Retirement Fund
     Shares Issued
By Balanced
Retirement Fund
     Net Assets of the
Balanced Retirement
Fund immediately
after the Reorganization
 

Class A

   $ 81,509,965        8,325,266      $ 81,509,965        8,844,589      $ 97,237,912  

Class C

     29,964,519        3,089,607        29,964,519        3,247,905        43,646,846  

Class I

     22,421,164        2,283,819        22,421,164        2,434,728        32,713,833  

Class R3

     1,280,088        130,499        1,280,088        138,704        3,692,669  

Class R4

     327,621        32,908        327,621        35,529        2,756,837  

Class R5

     107,486        11,051        107,486        11,670        3,253,670  

Class R6

     10,226        1,040        10,226        1,111        20,749  

Class Y

     2,881,352        294,713        2,881,352        313,061        25,649,652  

Class F

     3,111,198        319,920        3,111,198        340,301        3,121,494  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 
   $     141,613,619            14,488,823      $     141,613,619            15,367,598      $     212,093,662  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Each shareholder of a share class of Global All-Asset Fund received shares of the same share class of the Balanced Retirement Fund with the same class designation and at the respective class NAV, as determined on the Reorganization Date.

Some of the investments held by Global All-Asset Fund may have been purchased or sold prior to the Reorganization for the purpose of complying with the anticipated investment policies or limitations of the Balanced Retirement Fund after the Reorganization. The expenses associated with the Reorganization other than brokerage-related expenses, including stamp taxes and other similar transaction costs, were borne by HFMC or its affiliates.

As of the Reorganization Date the Global All-Asset Fund had investments valued at $139,775,017 with a cost basis of $137,713,156. For financial reporting purposes, assets received, liabilities assumed and shares issued by the Balanced Retirement Fund were recorded at fair value; however, the cost basis of the investments received by the Balanced Retirement Fund from Global All-Asset Fund were carried forward to align ongoing reporting of the Balanced Retirement Fund’s realized and unrealized gains and losses with amounts distributable to shareholders for tax purposes.

The aggregate net assets of the Balanced Retirement Fund immediately after the Reorganization were $212,093,662 which included $2,061,861 of acquired unrealized depreciation.

Assuming the Reorganization had been completed on November 1, 2018, the Balanced Retirement Fund’s pro-forma results of operations for the year ended October 31, 2019 (unaudited) are as follows:

 

Net investment income

   $ 6,576,547  

Net realized and unrealized gain (loss) on investments

   $ 17,219,353  

Net increase (decrease) in net assets from operations

   $     23,795,900  

 

15.

Line of Credit:

Each Fund participates in a committed line of credit pursuant to a credit agreement. Each Fund may borrow under the line of credit for temporary or emergency purposes. The Funds (together with certain other Hartford Funds) may borrow up to $370 million in the aggregate, subject to asset coverage and other limitations specified in the credit agreement. The interest rate on borrowings varies depending on the nature of the loan. The facility also charges a commitment fee, which is allocated to each of the funds participating in the line of credit based on average net assets of the funds. During and as of the year ended October 31, 2019, none of the Funds had borrowings under this facility.

 

16.

Indemnifications:

Under the Company’s organizational documents, the Company shall indemnify its officers and directors to the full extent required or permitted under Maryland General Corporation Law and federal securities laws. In addition, the Company, on behalf of each Fund, may enter into contracts

 

 

  151  

 


Hartford Multi-Strategy Funds

Notes to Financial Statements – (continued)

October 31, 2019

 

 

 

that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, as of the date of these financial statements, the Company has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

 

17.

Recent Accounting Pronouncement:

The FASB recently issued ASU 2017-08 (the “ASU” or “Update”) to amend the amortization period to the earliest call date for purchased callable debt securities held at a premium. The ASU is effective for public entities for fiscal years beginning after December 15, 2018, and will become effective for private entities one year later. Management is currently evaluating the implication, if any, of additional disclosure and its impact on the Funds’ financial statements.

In August 2018, the FASB issued Accounting Standards Update 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). The update introduces new fair value disclosure requirements, eliminates some prior fair value disclosure requirements, and modifies certain existing fair value disclosure requirements.

ASU 2018-13 is effective for fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years, however, an entity is permitted to early adopt either the entire standard or only the provisions that eliminate or modify requirements. Management has elected to early adopt the provisions of ASU 2018-13 that eliminate disclosure requirements effective with the current reporting period. The impact of each Fund’s early adoption of these provisions was limited to changes in the Fund’s financial statement disclosures regarding fair value, primarily those disclosures related to transfers between Level 1 and Level 2 of the fair value hierarchy and the timing of transfers between levels of the fair value hierarchy. Management is currently evaluating the potential impact of adopting the additional provisions of ASU 2018-13.

 

18.

Subsequent Events:

In connection with the preparation of the financial statements of the Funds as of and for the year ended October 31, 2019, events and transactions subsequent to October 31, 2019, through the date the financial statements were issued have been evaluated by the Funds’ management for possible adjustment and/or disclosure. The following subsequent events requiring financial statement disclosure have been identified.

Effective November 1, 2019, the management fee of HFMC set forth in the investment management agreement with respect to the Global Real Asset Fund is as follows: 0.7950% of the first $500 million, 0.7600% of the next $500 million, 0.7300% of the next $1.5 billion, 0.7000% of the next $2.5 billion and 0.6600% in excess of $5 billion annually of the Fund’s average daily net assets.

 

 

  152  

 


Report of Independent Registered Public Accounting Firm

To the Shareholders of

The Hartford Balanced Income Fund, Hartford AARP Balanced Retirement Fund (formerly, Hartford Multi-Asset Income Fund), The Hartford Checks and Balances Fund, The Hartford Conservative Allocation Fund, The Hartford Global Real Asset Fund, The Hartford Growth Allocation Fund, Hartford Moderate Allocation Fund, and Hartford Multi-Asset Income and Growth Fund (formerly, The Hartford Balanced Fund) and the Board of Directors of The Hartford Mutual Funds, Inc.

 

 

 

Opinion on the Financial Statements

We have audited the accompanying statements of assets and liabilities of The Hartford Balanced Income Fund, Hartford AARP Balanced Retirement Fund, The Hartford Checks and Balances Fund, The Hartford Conservative Allocation Fund, The Hartford Global Real Asset Fund (consolidated), The Hartford Growth Allocation Fund, Hartford Moderate Allocation Fund, and Hartford Multi-Asset Income and Growth Fund (collectively referred to as the “Funds”) (eight of the funds constituting The Hartford Mutual Funds, Inc. (the “Company”)), including the schedules of investments, as of October 31, 2019, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds (eight of the funds constituting The Hartford Mutual Funds, Inc.) at October 31, 2019, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended and their financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on each of the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2019, by correspondence with the custodian and others or by other appropriate auditing procedures where replies from others were not received. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

 

LOGO

We have served as the auditor of one or more Hartford investment companies since 2002.

Philadelphia, Pennsylvania

December 30, 2019

 

 

  153  

 


Hartford Multi-Strategy Funds

Directors and Officers of the Company (Unaudited)

 

 

 

The Hartford Mutual Funds, Inc. (the “Company”) is governed by a Board of Directors (the “Directors”). The following tables present certain information regarding the Directors and officers of the Company as of October 31, 2019. For more information regarding the Directors and officers, please refer to the Statement of Additional Information, which is available, without charge, upon request by calling 1-888-843-7824.

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

NON-INTERESTED DIRECTORS

HILARY E. ACKERMANN

(1956)

   Director   Since 2014   Ms. Ackermann served as Chief Risk Officer at Goldman Sachs Bank USA from October 2008 to November 2011. Ms. Ackermann has served as a Director of Vistra Energy Corporation, formerly known as Dynegy, Inc. (an independent power company) since October 2012 and as a Director of Credit Suisse Holdings (USA), Inc. since January 2017.   82    Ms. Ackermann serves as a Director of Vistra Energy Corporation (October 2012 to present) and as a Director of Credit Suisse Holdings (USA), Inc. from January 2017 to present.

ROBIN C. BEERY

(1967)

   Director   Since 2017   Ms. Beery has served as a consultant to ArrowMark Partners (an alternative asset manager) since March of 2015 and since November 2018 has been employed by ArrowMark Partners as a Senior Advisor. Previously, she was Executive Vice President, Head of Distribution, for Janus Capital Group, and Chief Executive Officer and President of the Janus Mutual Funds (a global asset manager) from September 2009 to August 2014.   82    Ms. Beery serves as a Director of UMB Financial Corporation (January 2015 to present).

LYNN S. BIRDSONG

(1946)

   Director and Chair of the Board   Director since 2003; Chair of the Board since August 2019   Mr. Birdsong currently serves as a Director of Aberdeen Global and Aberdeen Global II (investment funds) (since September 2014), Aberdeen Islamic SICAV and Aberdeen Liquidity Fund (investment funds) (since 2016), and Aberdeen Alpha Fund (since December 2017). Mr. Birdsong served as an Independent Director of Nomura Partners Funds, Inc. (formerly, The Japan Fund) (April 2003 to February 2015) and as a Director of the Sovereign High Yield Investment Company (April 2010 to June 2014). From 2003 to March 2005, Mr. Birdsong was an Independent Director of the Atlantic Whitehall Funds. From 1979 to 2002, Mr. Birdsong was a Managing Director of Zurich Scudder Investments, an investment management firm. During his employment with Scudder, Mr. Birdsong was an Interested Director of The Japan Fund. From January 1981 through December 2013, Mr. Birdsong was a partner in Birdsong Company, an advertising specialty firm.   82    None

CHRISTINE R. DETRICK

(1958)

   Director   Since 2016   Ms. Detrick has served as a Director of Reinsurance Group of America since January 2014. Previously, she was a director of Forest City Realty Trust (a real estate company) from November 2014 to March 2018, a Director of Forethought Financial Group, Inc. (a financial services company) from January 2012 to January 2014, and a Senior Partner/Advisor at Bain & Company (a management consulting firm) from September 2002 to December 2012.   82    Ms. Detrick serves as a Director of Reinsurance Group of America (January 2014 to present).

DUANE E. HILL

(1945)

   Director   Since 2001   Mr. Hill is a Partner of TSG Ventures L.P., a private equity investment company. Mr. Hill is a former partner of TSG Capital Group, a private equity investment firm that served as sponsor and lead investor in leveraged buyouts of middle market companies.   82    None

 

 

  154  

 


Hartford Multi-Strategy Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

PHILLIP O. PETERSON(4)

(1944)

   Director   Since 2002   Mr. Peterson is a mutual fund industry consultant. He was a partner of KPMG LLP (an accounting firm) until July 1999. From February 2007 to February 2018, Mr. Peterson served as a member of the Board of Trustees of the William Blair Funds. From February 2012 to February 2014, Mr. Peterson served as a Trustee of Symetra Variable Mutual Funds. From January 2004 to April 2005, Mr. Peterson served as Independent President of the Strong Mutual Funds.   82    None

LEMMA W. SENBET

(1946)

   Director   Since 2005   Dr. Senbet currently serves as the William E. Mayer Chair Professor of Finance, and previously was the Founding Director, Center for Financial Policy, in the Robert H. Smith School of Business at the University of Maryland. He was chair of the Finance Department Robert H. Smith School of Business at the University of Maryland from 1998 to 2006. In June 2013, he began a sabbatical from the University to serve as Executive Director of the African Economic Research Consortium which focuses on economic policy research and training, which he completed in 2018. Previously, he was a chaired professor of finance at the University of Wisconsin-Madison. Also, he was a Director of the Fortis Funds from March 2000 to July 2002. Dr. Senbet served as Director of the American Finance Association and President of the Western Finance Association. In 2006, Dr. Senbet was inducted Fellow of Financial Management Association International for his career-long distinguished scholarship and professional service.   82    None

DAVID SUNG

(1953)

   Director   Since 2017   Mr. Sung has served as a Director of Nippon Wealth Bank since April 2015 and CITIC-Prudential Fund Management Company, Inc. since January 2016. Mr. Sung is an Independent Director of seven investment funds, including two closed-end registered investment companies, sponsored by Ironwood Capital Management. Previously, he was a Partner at Ernst & Young LLP from October 1995 to July 2014.   82    Mr. Sung serves as a Trustee of Ironwood Institutional Multi-Strategy Fund, LLC and Ironwood Multi-Strategy Fund, LLC (October 2015 to present) (2 portfolios).
OFFICERS AND INTERESTED DIRECTORS

JAMES E. DAVEY(5)

(1964)

   Director, President and Chief Executive Officer   President and Chief Executive Officer since 2010; Director since 2012   Mr. Davey serves as Executive Vice President of The Hartford Financial Services Group, Inc. Additionally, Mr. Davey serves as Chairman of the Board, Manager, and Senior Managing Director of Hartford Funds Distributors, LLC (“HFD”). He also currently serves as Director, Chairman of the Board, President and Senior Managing Director of Hartford Administrative Services Company (“HASCO”). Mr. Davey also serves as President, Manager, Chairman of the Board, and Senior Managing Director for Hartford Funds Management Company, LLC (“HFMC”), and Director, Chairman, President, and Senior Managing Director for Hartford Funds Management Group, Inc. (“HFMG”). Mr. Davey also serves as Manager, Chairman of the Board, and President of Lattice Strategies LLC (since July 2016). Mr. Davey has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Davey joined The Hartford in 2002.   82    None

 

 

  155  

 


Hartford Multi-Strategy Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

ANDREW S. DECKER

(1963)

   AML Compliance Officer   Since 2015   Mr. Decker serves as Chief Compliance Officer and AML Compliance Officer of HASCO (since April 2015) and Vice President of HASCO (since April 2018). Mr. Decker serves as AML Officer of HFD (since May 2015). Mr. Decker also serves as Vice President of HFMG (since April 2018). Prior to joining The Hartford, Mr. Decker served as Vice President and AML Officer at Janney Montgomery Scott (a broker dealer) from April 2011 to January 2015. Mr. Decker served as AML Compliance and Sanctions Enforcement Officer at SEI Investments from December 2007 to April 2011.   N/A    N/A

AMY N. FURLONG

(1979)

   Vice President and Treasurer   Since 2018   Ms. Furlong serves as Vice President and Assistant Treasurer of HFMC (since September 2019). Ms. Furlong has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Ms. Furlong joined The Hartford in 2004. Prior to joining The Hartford, Ms. Furlong worked at KPMG LLP in audit services.   N/A    N/A

WALTER F. GARGER

(1965)

   Vice President and Chief Legal Officer   Since 2016   Mr. Garger serves as Secretary, Managing Director and General Counsel of HFD, HASCO, HFMC and HFMG (since 2013). Mr. Garger also serves as Secretary and General Counsel of Lattice Strategies LLC (since July 2016). Mr. Garger has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Garger joined The Hartford in 1995.   N/A    N/A

ALBERT Y. LEE

(1979)

   Vice President and Assistant Treasurer   Since 2017   Mr. Lee serves as Head of Systemic Strategies and ETF Operations and Senior Vice President of HFMG (since July 2016). Mr. Lee also serves as Senior Vice President of Lattice Strategies LLC (since June 2017). Previously, Mr. Lee served as Managing Director and Chief Operating Officer, Lattice Strategies LLC (2009-2016); Chief Operating Officer at Avicenna Capital Management (2007-2009); and Chief Financial Officer at Steeple Capital LP (2005-2007).   N/A    N/A

THEODORE J. LUCAS

(1966)

   Vice President   Since 2017   Mr. Lucas serves as Executive Vice President of HFMG (since July 2016) and as Executive Vice President of Lattice Strategies LLC (since June 2017). Previously, Mr. Lucas served as Managing Partner of Lattice Strategies LLC (2003 to 2016).   N/A    N/A

JOSEPH G. MELCHER

(1973)

   Vice President and Chief Compliance Officer   Since 2013   Mr. Melcher serves as Executive Vice President of HFD (since December 2013) and has served as President (from April 2018 to June 2019) and Chief Executive Officer (from April 2018 to June 2019) of HFD. He also serves as Executive Vice President of HFMG and HASCO (since December 2013). Mr. Melcher also serves as Executive Vice President (since December 2013) and Chief Compliance Officer (since December 2012) of HFMC. Mr. Melcher also serves as Executive Vice President and Chief Compliance Officer of Lattice Strategies, LLC (since July 2016). Mr. Melcher has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds since joining The Hartford in 2012. Prior to joining The Hartford, Mr. Melcher worked at Touchstone Investments, a member of the Western & Southern Financial Group, where he held the position of Vice President and Chief Compliance Officer from 2010 through 2012 and Assistant Vice President, Compliance from 2005 to 2010.   N/A    N/A

 

 

  156  

 


Hartford Multi-Strategy Funds

Directors and Officers of the Company (Unaudited) – (continued)

 

 

 

NAME, YEAR OF BIRTH
AND ADDRESS(1)

  

POSITION
HELD WITH
THE COMPANY

 

TERM OF
OFFICE(2) AND
LENGTH OF
TIME SERVED

 

PRINCIPAL OCCUPATION(S)
DURING PAST 5 YEARS

  NUMBER OF
PORTFOLIOS
IN FUND
COMPLEX(3)
OVERSEEN
BY DIRECTOR
  

OTHER DIRECTORSHIPS
FOR PUBLIC COMPANIES
AND OTHER REGISTERED
INVESTMENT COMPANIES
HELD BY DIRECTOR

VERNON J. MEYER

(1964)

   Vice President   Since 2006   Mr. Meyer serves as Managing Director and Chief Investment Officer of HFMC and Managing Director of HFMG (since 2013). Mr. Meyer has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Mr. Meyer joined The Hartford in 2004.   N/A    N/A

ALICE A. PELLEGRINO

(1960)

   Vice President   Since 2016   Ms. Pellegrino serves as Vice President of HFMG (since December 2013). Ms. Pellegrino also serves as Vice President and Assistant Secretary of Lattice Strategies LLC (since June 2017). Ms. Pellegrino is a Senior Counsel and has served in various positions within The Hartford and its subsidiaries in connection with the operation of the Hartford Funds. Ms. Pellegrino joined The Hartford in 2007.   N/A    N/A

THOMAS R. PHILLIPS

(1960)

   Vice President and Secretary   Since 2017   Mr. Phillips currently serves as Vice President (since February 2017) and Assistant Secretary (since June 2017) for HFMG. Mr. Phillips is Deputy General Counsel for HFMG. Prior to joining HFMG in 2017, Mr. Phillips was a Director and Chief Legal Officer of Saturna Capital Corporation from 2014-2016. Prior to that, Mr. Phillips was a Partner and Deputy General Counsel of Lord, Abbett & Co. LLC.   N/A    N/A

 

(1)

The address for each officer and Director is c/o Hartford Funds 690 Lee Road, Wayne, PA 19087.

(2) 

Each Director holds an indefinite term until the earlier of (i) the election and qualification of his or her successor or (ii) when the Director turns 75 years of age. Each officer shall serve until his or her successor is elected and qualifies.

(3)

The portfolios of the “Fund Complex” are series of The Hartford Mutual Funds, Inc., The Hartford Mutual Funds II, Inc., Hartford Series Fund, Inc., Hartford HLS Series Fund II, Inc., Hartford Funds Master Fund, Lattice Strategies Trust, Hartford Funds Exchange-Traded Trust, Hartford Funds NextShares Trust, and Hartford Schroders Opportunistic Income Fund.

(4)

Effective December 5, 2019, Mr. Peterson is retiring from the Company.

(5)

“Interested person,” as defined in the 1940 Act, of the Company because of the person’s affiliation with, or equity ownership of, HFMC, HFD or affiliated companies.

 

 

  157  

 


Hartford Multi-Strategy Funds

 

 

 

 

HOW TO OBTAIN A COPY OF EACH FUND’S PROXY VOTING POLICIES AND VOTING RECORDS (UNAUDITED)

A description of the policies and procedures that each Fund uses to determine how to vote proxies relating to portfolio securities and information about how each Fund voted proxies relating to portfolio securities during the most recent twelve-month period ended June 30 are available (1) without charge, upon request, by calling 888-843-7824 and (2)  on the SEC’s website at http://www.sec.gov.

QUARTERLY PORTFOLIO HOLDINGS INFORMATION (UNAUDITED)

Each Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. Each Fund’s Form N-PORT reports are available (1) without charge, upon request, by calling 888-843-7824 and (2) on the SEC’s website at http://www.sec.gov.

 

 

  158  

 


Hartford Multi-Strategy Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited)

 

 

 

The Hartford Mutual Funds, Inc.

Hartford AARP Balanced Retirement Fund (formerly, Hartford Multi-Asset Income Fund)

The Hartford Balanced Income Fund

The Hartford Checks and Balances Fund

The Hartford Conservative Allocation Fund

The Hartford Global Real Asset Fund

The Hartford Growth Allocation Fund

Hartford Moderate Allocation Fund

Hartford Multi-Asset Income and Growth Fund (formerly, The Hartford Balanced Fund)

Section 15(c) of the Investment Company Act of 1940, as amended (the “1940 Act”), requires that each mutual fund’s board of directors, including a majority of those directors who are not “interested persons” of the mutual fund, as defined in the 1940 Act (the “Independent Directors”), annually review and consider the continuation of the mutual fund’s investment advisory and sub-advisory agreements. At its meeting held on August 6-7, 2019, the Board of Directors (the “Board”) of The Hartford Mutual Funds, Inc. (“HMF”), including each of the Independent Directors, unanimously voted to approve (i) the continuation of an investment management agreement by and between Hartford Funds Management Company, LLC (“HFMC”) and each of HMF, on behalf of each of its funds listed above (each a “Fund” and collectively, the “Funds”), and The Hartford Mutual Funds II, Inc. (“HMF II”), on behalf of its series (the “Management Agreement”); and (ii) the continuation of an investment sub-advisory agreement (the “Sub-Advisory Agreement” and collectively with the Management Agreement, the “Agreements”) between HFMC and the Fund’s sub-adviser, Wellington Management Company LLP (the “Sub-adviser,” and together with HFMC, the “Advisers”), with respect to each of Hartford AARP Balanced Retirement Fund, The Hartford Balanced Income Fund, The Hartford Global Real Asset Fund, and Hartford Multi-Asset Income and Growth Fund (each a “Sub-Advised Fund” and collectively, the “Sub-Advised Funds”).

In the months preceding the August 6-7, 2019 meeting, the Board requested and reviewed written responses from the Advisers to questions posed to the Advisers on behalf of the Independent Directors and supporting materials relating to those questions and responses. In addition, the Board considered such additional information as it deemed reasonably necessary to evaluate the Agreements, as applicable, with respect to each Fund, which included information furnished to the Board at its meetings throughout the year, as well as information specifically prepared in connection with the approval of the continuation of the Agreements that was presented at the Board’s meetings held on June 18, 2019 and August 6-7, 2019. Information provided to the Board at its meetings throughout the year included, among other things, reports on Fund performance, legal, compliance and risk management matters, sales and marketing activity, shareholder services, and the other services provided to each Fund by the Advisers and their affiliates. The Board also considered the materials and in-person presentations by Fund officers and representatives of HFMC received at the Board’s meetings on June 18, 2019 and August 6-7, 2019 concerning the Agreements.

The Independent Directors, advised by independent legal counsel throughout the evaluation process, engaged service providers to assist them with evaluating the Agreements with respect to each Fund, as applicable. Broadridge Financial Solutions, Inc. (“Broadridge”), an independent provider of investment company data, was retained to provide the Board with reports on how each Fund’s contractual management fees, actual management fees, transfer agency and other non-management fees, overall expense ratios and investment performance compared to those of comparable mutual funds with similar investment objectives. The Independent Directors also engaged an independent financial services consultant (the “Consultant”) to assist them in evaluating each Fund’s management fees, if any, transfer agency and other non-management fees, overall expense ratios and investment performance. In addition, the Consultant reviewed the profitability methodologies utilized by HFMC in connection with the continuation of the Management Agreement.

In determining whether to continue the Agreements for a Fund, the members of the Board reviewed and evaluated information and factors they believed to be relevant and appropriate through the exercise of their reasonable business judgment. While individual members of the Board may have weighed certain factors differently, the Board’s determination to continue the Agreements was based on a comprehensive consideration of all information provided to the Board throughout the year and specifically with respect to the continuation of the Agreements. The Board was also furnished with an analysis of its fiduciary obligations in connection with its evaluation of the Agreements and, throughout the evaluation process, the Board was assisted by counsel for the Funds. The Independent Directors were also separately assisted by independent legal counsel throughout the evaluation process. A more detailed summary of the important, but not necessarily all, factors the Board considered with respect to its approval of the continuation of the Agreements is provided below.

Nature, Extent and Quality of Services Provided by the Advisers

The Board requested and considered information concerning the nature, extent and quality of the services provided to each Fund by the Advisers. The Board considered, among other things, the terms of the Agreements and the range of services provided by the Advisers. The Board considered the Advisers’ professional personnel who provide services to the Funds, including each Adviser’s ability and experience in attracting and retaining qualified personnel to service the Funds. The Board considered each Adviser’s reputation and overall financial strength, as well as its willingness to consider and implement organizational and operational changes designed to enhance services to the funds managed by HFMC and its affiliates (the “Hartford Funds”). In addition, the Board considered the quality of each Adviser’s communications with the Board and responsiveness to Board inquiries and requests made from time to time with respect to the Funds and other Hartford Funds.

 

 

  159  

 


Hartford Multi-Strategy Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

The Board also requested and evaluated information concerning each Adviser’s regulatory and compliance environment. In this regard, the Board requested and reviewed information about each Adviser’s compliance policies and procedures, compliance history, and a report from the Funds’ Chief Compliance Officer about each Adviser’s compliance with applicable laws and regulations, including responses to regulatory developments and any compliance or other issues raised by regulators. The Board also noted the Advisers’ support of the Funds’ compliance control structure, as applicable, and, in particular, the resources devoted by the Advisers in support of the Funds’ obligations pursuant to Rule 38a-1 under the 1940 Act and the Funds’ liquidity risk management program, as well as the efforts of the Advisers to combat cybersecurity risks and invest in business continuity planning.

With respect to HFMC, the Board noted that, under the Management Agreement, HFMC is responsible for the management of the Funds, including oversight of fund operations and service providers, and the provision of administrative and investment advisory services in connection with selecting, monitoring and supervising the Sub-adviser for the Sub-Advised Funds. In this regard, the Board evaluated information about the nature and extent of responsibilities retained and risks assumed by HFMC that were not delegated to or assumed by the Sub-adviser. The Board noted that HFMC directly manages The Hartford Checks and Balances Fund, The Hartford Conservative Allocation Fund, The Hartford Growth Allocation Fund, and Hartford Moderate Allocation Fund (collectively, the “Allocation Funds”), which do not employ a sub-adviser. The Board considered HFMC’s ongoing monitoring of people, process and performance, including its quarterly reviews of each of the Hartford Funds, semi-annual meetings with the leaders of each Fund’s portfolio management team, and oversight of the Hartford Funds’ portfolio managers. The Board recognized that HFMC has demonstrated a record of initiating changes to the portfolio management and/or investment strategies of the Hartford Funds when warranted. The Board considered HFMC’s periodic due diligence reviews of the Sub-adviser and ongoing oversight of the Sub-adviser’s investment approach and results, process for monitoring best execution of portfolio trades and other trading operations by the Sub-adviser, and approach to risk management with respect to the Funds and the service providers to the Funds. The Board considered HFMC’s oversight of the securities lending program and noted the income earned by the Funds that participate in such program. The Board also considered HFMC’s day-to-day oversight of each Fund’s compliance with its investment objective and policies as well as with applicable laws and regulations, noting that regulatory and other developments had over time led to an increase in the scope of HFMC’s services in this regard. Moreover, the Board considered HFMC’s oversight of potential conflicts of interest between the Funds’ investments and those of other funds or accounts managed by the Funds’ portfolio management personnel.

In addition, the Board considered HFMC’s ongoing commitment to review and rationalize the Hartford Funds product line-up and the expenses that HFMC had incurred, as well as the risks HFMC had assumed, in connection with the launch of new funds and changes to existing Hartford Funds in recent years. The Board considered that HFMC is responsible for providing the Funds’ officers.

With respect to the Sub-adviser, which provides certain day-to-day portfolio management services for the Sub-Advised Funds, subject to oversight by HFMC, and HFMC, which provides the day-to-day portfolio management services for the Allocation Funds, the Board considered, among other things, the Sub-adviser’s investment personnel, its investment philosophy and process, its investment research capabilities and resources, its performance record, its trade execution capabilities and its experience. With respect to The Hartford Global Real Asset Fund, the Board also considered the Sub-adviser’s flexibility in implementing the inflation hedge overlay in a low inflation environment. The Board considered the quality and experience of each Fund’s portfolio manager(s), the number of accounts managed by the portfolio manager(s), and the Sub-adviser’s method for compensating the portfolio manager(s). The Board also considered the Sub-adviser’s succession planning to ensure continuity of portfolio management services provided to the Funds.

The Board considered the benefits to shareholders of being part of the Hartford Funds family of funds, including, with respect to certain share classes, the right to exchange investments between the same class of shares without a sales charge, the ability to reinvest Fund dividends into other Hartford Funds, and the ability to combine holdings in a Fund with holdings in other Hartford Funds to obtain a reduced sales charge. The Board considered HFMC’s efforts to provide investors in the Hartford Funds with a broad range of investment styles and asset classes and the assumption of entrepreneurial and other risks by HFMC in sponsoring new funds to expand these opportunities for shareholders.

Based on these considerations, the Board concluded that it was satisfied with the nature, extent and quality of the services provided to each Fund by HFMC and, as applicable, the Sub-adviser.

Performance of each Fund and the Advisers

The Board considered the investment performance of each Fund. In this regard, the Board reviewed the performance of each Fund over different time periods presented in the materials and evaluated HFMC’s analysis of the Fund’s performance for these time periods. The Board considered information and materials provided to the Board by the Advisers concerning Fund performance, as well as information from Broadridge comparing the investment performance of each Fund to an appropriate universe of peer funds. The Board also noted that, for The Hartford Global Real Asset Fund, Hartford Multi-Asset Income and Growth Fund and Hartford AARP Balanced Retirement Fund, there existed no peer group with a strong correlation to the Fund’s investment strategy. For each of these Funds, the Board considered supplemental performance evaluation information. For details regarding each Fund’s performance, see the Fund-by-Fund synopsis below.

The Board considered the detailed investment analytics reports provided by HFMC’s Investment Advisory Group throughout the year, including in connection with the approval of the continuation of the Agreements. These reports included, among other things, information on each Fund’s gross returns and net returns, the Fund’s investment performance relative to an appropriate benchmark and peer group (if available), various statistics

 

 

  160  

 


Hartford Multi-Strategy Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

concerning the Fund’s portfolio, a narrative summary of various factors affecting Fund performance and commentary of the effect of current and recent market conditions. The Board considered the Advisers’ cooperation with the Investment Committee, which assists the Board in evaluating the performance of each Fund at periodic meetings throughout the year and specifically with respect to the approval of the continuation of the Agreements. The Board also considered the analysis provided by the Consultant relating to each Fund’s performance track record.

In light of all the considerations noted above, the Board concluded that it had continued confidence in HFMC’s and the Sub-adviser’s overall capabilities to manage the Funds.

Costs of the Services and Profitability of the Advisers

The Board reviewed information regarding HFMC’s cost to provide investment management and related services to each Fund and HFMC’s profitability, both overall and for each Fund, on a pre-tax basis without regard to distribution expenses. The Board also requested and reviewed information about the profitability to HFMC and its affiliates from all services provided to each Fund and all aspects of their relationship with the Fund, including information regarding profitability trends over time. In connection with these considerations, the Board took into account that the Hartford AARP Balanced Retirement Fund does not pay a management fee for the portion of the Fund’s assets invested in investment companies for which HFMC or its affiliates serve as investment manager. The Board also requested and received information relating to the operations and profitability of the Sub-adviser. The Board considered representations from HFMC and the Sub-adviser that the Sub-adviser’s fees were negotiated at arm’s length on a Fund-by-Fund basis and that the sub-advisory fees are paid by HFMC and not the Sub-Advised Funds. Accordingly, the Board concluded that the profitability of the Sub-adviser is a less relevant factor with respect to the Board’s consideration of the Sub-Advisory Agreement.

The Board considered the Consultant’s review of the methodologies and estimates used by HFMC in calculating profitability in connection with the continuation of the Management Agreement, including a description of the methodology used to allocate certain expenses. The Board noted the Consultant’s view that HFMC’s process for calculating and reporting Fund profitability is reasonable and consistent with the process previously reviewed by the Consultant. In this regard, the Board noted that the Consultant had previously performed a full review of this process and reported that such process is sound and consistent with common industry practice.

Based on these considerations, the Board concluded that the profits realized by the Advisers and their affiliates from their relationships with the Funds were not excessive.

Comparison of Fees and Services Provided by the Advisers

The Board considered the comparative information that had been provided at meetings on June 18, 2019 and August 6-7, 2019 with respect to the services rendered to and the management fees to be paid by each Fund to HFMC and the total expense ratios of the Fund. The Board also considered comparative information with respect to the sub-advisory fees to be paid by HFMC to the Sub-adviser with respect to each Sub-Advised Fund. In this regard, the Board requested and reviewed information from HFMC and the Sub-adviser relating to the management and sub-advisory fees, including the sub-advisory fee schedule for each Sub-Advised Fund and the amount of the management fee retained by HFMC, and total operating expenses for each Fund. The Board also reviewed information from Broadridge comparing each Fund’s contractual management fees, actual management fees and total expense ratios relative to an appropriate group of funds selected by Broadridge, in consultation with the Consultant. For details regarding each Fund’s expenses, see the Fund-by-Fund synopsis below.

While the Board recognized that comparisons between a Fund and its peer funds may be imprecise given, among other differences, the different service levels and characteristics of mutual funds and the different business models and cost structures of the Advisers, the comparative information provided by Broadridge assisted the Board in evaluating the reasonableness of each Fund’s fees and total operating expenses. In addition, the Board considered the analysis and recommendations of the Consultant relating to each Fund’s fees and total operating expenses.

The Board received information regarding fees charged by the Sub-adviser to any other clients with investment strategies similar to those of the Funds, including institutional separate account clients and registered fund clients for which the Sub-adviser serves as either primary investment adviser or sub-adviser. The Board considered the explanations provided by the Sub-adviser about any differences between the Sub-adviser’s services to the Funds and the services it provides to other types of clients. In this regard, the Board reviewed information about the generally broader scope of services and compliance, reporting and other legal burdens and risks of managing registered funds compared with those associated with managing assets of non-registered fund clients such as institutional separate accounts.

The Board also considered that the management fees paid by the Allocation Funds are for services provided in addition to, and are not duplicative of, services provided under the investment management agreement(s) of the underlying funds in which the Allocation Funds may invest.

Based on these considerations, the Board concluded that each Fund’s fees and total operating expenses, in conjunction with the information about quality of services, profitability, economies of scale, and other matters considered, were reasonable in light of the services provided.

Economies of Scale

The Board considered information regarding the extent to which economies of scale may be realized as a Fund grows and whether fee levels reflect these economies of scale for the benefit of shareholders of the Fund. The Board reviewed the breakpoints in the management fee schedule for each

 

 

  161  

 


Hartford Multi-Strategy Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Fund, if any, which reduce fee rates as the Fund’s assets grow over time. The Board recognized that a Fund with assets beyond the highest breakpoint level will continue to benefit from economies of scale because additional assets are charged the lowest breakpoint fee resulting in lower overall effective management fee rates. The Board also recognized that a fee schedule that reaches a breakpoint at a lower asset level quickly provides shareholders with the benefit of anticipated or potential economies of scale. The Board considered that expense limitations and fee waivers that reduce a Fund’s expenses at all asset levels can have the same effect as breakpoints in sharing economies of scale with shareholders and provide protection from an increase in expenses if the Fund’s assets decline. In addition, the Board considered that initially setting competitive fee rates, pricing the Funds to scale at inception and making additional investments intended to enhance services available to shareholders are other means of sharing anticipated or potential economies of scale with shareholders. The Board also considered that HFMC has been active in managing expenses, which has resulted in benefits being realized by shareholders as assets within the Hartford Funds have grown over time, including through lower operating expenses. The Board also noted that, for Hartford AARP Balanced Retirement Fund, the Fund’s current low asset levels have kept the Fund from fully realizing the benefits of anticipated or potential economies of scale.

The Board reviewed and evaluated materials from Broadridge and the Consultant showing how management fee schedules of peer funds reflect economies of scale for the benefit of shareholders as a peer fund’s assets hypothetically increase over time. Based on information provided by HFMC, Broadridge, and the Consultant, the Board recognized that there is no uniform methodology for establishing breakpoints or uniform pattern in asset levels that trigger breakpoints or the amounts of breakpoints triggered.

After considering all of the information available to it, the Board concluded that it was satisfied with the extent to which economies of scale would be shared for the benefit of each Fund’s shareholders based on currently available information and the effective management fees and total expense ratios for the Fund at its current and reasonably anticipated asset levels. The Board noted, however, that it would continue to monitor future growth in each Fund’s assets and the appropriateness of additional management fee breakpoints or other methods to share benefits from economies of scale.

Other Benefits

The Board considered other benefits to the Advisers and their affiliates from their relationships with the Funds.

The Board noted that HFMC receives fees for fund accounting and related services from the Funds, and the Board considered information on profits to HFMC for such services. The Board also considered that each Fund pays a transfer agency fee to Hartford Administrative Services Company (“HASCO”), an affiliate of HFMC, equal to the lesser of: (i) the actual costs incurred by HASCO in connection with the provisions of transfer agency services, including payments made to sub-transfer agents, plus a reasonable target profit margin; or (ii) a specified amount as set forth in the Transfer Agency and Service Agreement by and between HMF, on behalf of its Funds, HMF II, on behalf of its series, and HASCO. The Board reviewed information about the profitability to HASCO of the Funds’ transfer agency function. The Board considered information provided by HASCO indicating that the transfer agency fees charged by HASCO to the Funds were fair and reasonable based on publicly available information. The Board also noted that HFMC and HASCO had delegated certain fund accounting services and transfer agency services, respectively, to external service providers.

The Board also considered that Hartford Funds Distributors, LLC (“HFD”), an affiliate of HFMC, serves as principal underwriter of the Funds. The Board noted that, as principal underwriter, HFD receives distribution and service fees from the Funds and receives all or a portion of the sales charges on sales or redemptions of certain classes of shares.

The Board considered the benefits, if any, to the Sub-adviser from any use of a Fund’s brokerage commissions to obtain soft dollar research.

Fund-by-Fund Factors

For purposes of the Fund-by-Fund discussion below, Fund performance is referred to as “in line with” a Fund’s benchmark where it was 0.5% above or below the benchmark return, and each Fund’s performance relative to its benchmark reflects the net performance of the Fund’s Class I shares as of March 31, 2019.

Hartford AARP Balanced Retirement Fund

 

 

The Board noted that the Fund’s performance was in the 2nd quintile of its performance universe for the 1- and 3-year periods. The Board also noted that the Fund’s performance was below its custom blended benchmark for the 1-year period and in line with its custom blended benchmark for the 3-year period. The Board noted that certain changes had recently been made to the Fund’s name, investment objective, principal investment strategy, portfolio management team and benchmarks.

 

 

The Board noted that the Fund’s contractual management fee and actual management fee were in the 1st quintile of its expense group, while its total expenses (less 12b-1 and shareholder service fees) were in the 2nd quintile. In considering the Fund’s expenses, the Board noted the shareholder savings expected to result from a contractual investment management fee reduction implemented July 10, 2019. The Board noted that effective July 10, 2019, the contractual expense cap for Class A shares of the Fund was lowered to 0.96% through February 28, 2021.

 

 

  162  

 


Hartford Multi-Strategy Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

The Hartford Balanced Income Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1- and 5-year periods and the 3rd quintile for the 3-year period. The Board also noted that the Fund’s performance was above its custom blended benchmark for the 1-year period and in line with its benchmark for the 3- and 5-year periods. The Board noted upcoming changes to the Fund’s portfolio management team.

 

 

The Board noted that the Fund’s contractual management fee and actual management fee were in the 3rd quintile and its total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.10% through February 29, 2020.

The Hartford Checks and Balances Fund

 

 

The Board noted that the Fund’s performance was in the 1st quintile of its performance universe for the 1-year period and the 2nd quintile for the 3- and 5-year periods. The Board also noted that the Fund’s performance was in line with its custom blended benchmark for the 1- and 3-year periods and below its benchmark for the 5-year period.

 

 

The Board noted that the Fund’s total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile of its expense group.

The Hartford Conservative Allocation Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-year period, the 2nd quintile for the 3-year period and the 5th quintile for the 5-year period. The Board also noted that the Fund’s performance was below its custom blended benchmark for the 1- and 5-year periods and in line with its custom blended benchmark for the 3-year period. In considering the Fund’s performance record, the Board noted that HFMC terminated the Fund’s sub-advisory agreement with the Sub-adviser in 2015.

 

 

The Board noted that the Fund’s total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile of its expense group. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.19% through February 29, 2020, and that HFMC had reimbursed the Fund for certain expenses.

The Hartford Global Real Asset Fund

 

 

The Board noted that the Fund’s performance was in the 5th quintile of its performance universe for the 1- and 5-year periods and the 2nd quintile for the 3-year period. The Board also noted that the Fund’s performance was below its custom blended benchmark for the 1-, 3- and 5-year periods.

 

 

The Board noted that the Fund’s contractual management fee and total expenses (less 12b-1 and shareholder service fees) were in the 4th quintile of its expense group, while its actual management fee was in the 2nd quintile. The Board noted that Class A shares of the Fund have a contractual expense cap of 1.25% through February 29, 2019, which resulted in HFMC reimbursing the Fund for certain expenses. In considering the Fund’s expenses, the Board noted that the Fund’s contractual investment management fee will be lowered effective November 1, 2019; however, the Board noted that this reduction in the contractual investment management fee was not expected to impact the Fund’s net expenses.

The Hartford Growth Allocation Fund

 

 

The Board noted that the Fund’s performance was in the 3rd quintile of its performance universe for the 1-year period, the 2nd quintile for the 3-year period and the 5th quintile for the 5-year period. The Board also noted that the Fund’s performance was below its custom blended benchmark for the 1-, 3- and 5-year periods. In considering the Fund’s performance record, the Board noted that HFMC terminated the Fund’s sub-advisory agreement with the Sub-adviser in 2014.

 

 

The Board noted that the Fund’s total expenses (less 12b-1 and shareholder service fees) were in the 1st quintile of its expense group.

Hartford Moderate Allocation Fund

 

 

The Board noted that the Fund’s performance was in the 4th quintile of its performance universe for the 1-year period, the 2nd quintile for the 3-year period and the 5th quintile for the 5-year period. The Board also noted that the Fund’s performance was below its benchmark for the 1- and 5-year periods and in line with its benchmark for the 3-year period. In considering the Fund’s performance record, the Board noted that HFMC terminated the Fund’s sub-advisory agreement with the Sub-adviser in 2015.

 

 

The Board noted that the Fund’s total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile of its expense group.

 

 

  163  

 


Hartford Multi-Strategy Funds

Approval of Investment Management and Investment Sub-Advisory Agreements (Unaudited) – (continued)

 

 

 

Hartford Multi-Asset Income and Growth Fund

 

 

The Board noted that the Fund’s performance was in the 2nd quintile of its performance universe for the 1-year period, the 4th quintile for the 3-year period and the 3rd quintile for the 5-year period. The Board also noted that the Fund’s performance was below its custom blended benchmark for the 1-, 3- and 5-year periods. The Board noted that certain changes had recently been made to the Fund’s name, investment objective, principal investment strategy, and benchmarks.

 

 

The Board noted that the Fund’s contractual management fee and actual management fee were in the 2nd quintile of its expense group, while its total expenses (less 12b-1 and shareholder service fees) were in the 3rd quintile. The Board noted that Class Y shares of the Fund have a contractual transfer agency expense cap of 0.06% through May 1, 2020.

* * * *

Based upon its review of these various factors, among others, the Board concluded that it is in the best interests of each Fund and its shareholders for the Board to approve the continuation of the Management Agreement and, with respect to the Sub-Advised Funds, the Sub-Advisory Agreement, for an additional year. In reaching this decision, the Board did not assign relative weights to the factors discussed above or deem any one or group of them to be controlling in and of themselves. In connection with their deliberations, the Independent Directors met separately in executive session on several occasions, with independent legal counsel and the Consultant, to review the relevant materials and consider their responsibilities under relevant laws and regulations.

 

 

  164  

 


THIS PRIVACY POLICY IS NOT PART OF THIS REPORT

CUSTOMER PRIVACY NOTICE

The Hartford Financial Services Group, Inc. and its Affiliates*

(herein called “we, our, and us”)

This Privacy Policy applies to our United States Operations

 

We value your trust. We are committed to the responsible:

a) management;

b) use; and

c) protection;

of Personal Information.

This notice describes how we collect, disclose, and protect Personal Information.

We collect Personal Information to:

a) service your Transactions with us; and

b) support our business functions.

We may obtain Personal Information from:

a) You;

b) your Transactions with us; and

c) third parties such as a consumer-reporting agency.

Based on the type of product or service You apply for or get from us, Personal Information such as:

a) your name;

b) your address;

c) your income;

d) your payment; or

e) your credit history;

may be gathered from sources such as applications, Transactions, and consumer reports.

To serve You and service our business, we may share certain Personal Information. We will share Personal Information, only as allowed by law, with affiliates such as:

a) our insurance companies;

b) our employee agents;

c) our brokerage firms; and

d) our administrators.

As allowed by law, we may share Personal Financial Information with our affiliates to:

a) market our products; or

b) market our services;

to You without providing You with an option to prevent these disclosures.

We may also share Personal Information, only as allowed by law, with unaffiliated third parties including:

a) independent agents;

b) brokerage firms;

c) insurance companies;

d) administrators; and

e) service providers;

who help us serve You and service our business.

When allowed by law, we may share certain Personal Financial Information with other unaffiliated third parties who assist us by performing services or functions such as:

a) taking surveys;

b) marketing our products or services; or

c) offering financial products or services under a joint agreement between us and one or more financial institutions.

We, and third parties we partner with, may track some of the pages You visit through the use of:

a) cookies;

b) pixel tagging; or

c) other technologies;

and currently do not process or comply with any web browser’s “do not track” signal or other similar mechanism that indicates a request to disable online tracking of individual users who visit our websites or use our services.

For more information, our Online Privacy Policy, which governs information we collect on our website and our affiliate websites, is available at https://www.thehartford.com/online-privacy-policy.

We will not sell or share your Personal Financial Information with anyone for purposes unrelated to our business functions without offering You the opportunity to:

a) “opt-out;” or

b) “opt-in;”

as required by law.

We only disclose Personal Health Information with:

a) your authorization; or

b) as otherwise allowed or required by law.

Our employees have access to Personal Information in the course of doing their jobs, such as:

a) underwriting policies;

b) paying claims;

c) developing new products; or

d) advising customers of our products and services.

We use manual and electronic security procedures to maintain:

a) the confidentiality; and

b) the integrity of;

Personal Information that we have. We use these procedures to guard against unauthorized access.

Some techniques we use to protect Personal Information include:

a) secured files;

b) user authentication;

c) encryption;

d) firewall technology; and

e) the use of detection software.

 


 

 

We are responsible for and must:

a) identify information to be protected;

b) provide an adequate level of protection for that data; and

c) grant access to protected data only to those people who must use it in the performance of their job-related duties.

Employees who violate our privacy policies and procedures may be subject to discipline, which may include termination of their employment with us.

We will continue to follow our Privacy Policy regarding Personal Information even when a business relationship no longer exists between us.

As used in this Privacy Notice:

Application means your request for our product or service.

Personal Financial Information means financial information such as:

a) credit history;

b) income;

c) financial benefits; or

d) policy or claim information.

Personal Financial Information may include Social Security Numbers, Driver’s license numbers, or other government-issued identification numbers, or credit, debit card, or bank account numbers.

Personal Health Information means health information such as:

a) your medical records; or

b) information about your illness, disability or injury.

Personal Information means information that identifies You personally and is not otherwise available to the public. It includes:

a) Personal Financial Information; and

b) Personal Health Information.

Transaction means your business dealings with us, such as:

a) your Application;

b) your request for us to pay a claim; and

c) your request for us to take an action on your account.

You means an individual who has given us Personal Information in conjunction with:

a) asking about;

b) applying for; or

c) obtaining;

a financial product or service from us if the product or service is used mainly for personal, family, or household purposes.

 

If you have any questions or comments about this privacy notice, please feel free to contact us at The Hartford – Law Department, Privacy Law, One Hartford Plaza, Hartford, CT 06155, or at CorporatePrivacyOffice@thehartford.com.

This Customer Privacy Notice is being provided on behalf of The Hartford Financial Services Group, Inc. and its affiliates (including the following as of March 2019), to the extent required by the Gramm-Leach-Bliley Act and implementing regulations.

1stAGChoice, Inc.; Access CoverageCorp, Inc.; Access CoverageCorp Technologies, Inc.; Business Management Group, Inc.; Cervus Claim Solutions, LLC; First State Insurance Company; FTC Resolution Company LLC; Hart Re Group L.L.C.; Hartford Accident and Indemnity Company; Hartford Administrative Services Company; Hartford Casualty General Agency, Inc.; Hartford Casualty Insurance Company; Hartford Fire General Agency, Inc.; Hartford Fire Insurance Company; Hartford Funds Distributors, LLC; Hartford Funds Management Company, LLC; Hartford Funds Management Group, Inc.; Hartford Group Benefits Holding Company; Hartford Holdings, Inc.; Hartford Insurance Company of Illinois; Hartford Insurance Company of the Midwest; Hartford Insurance Company of the Southeast; Hartford Insurance, Ltd.; Hartford Integrated Technologies, Inc.; Hartford Investment Management Company; Hartford Life and Accident Insurance Company; Hartford Life, Ltd.; Hartford Lloyd’s Corporation; Hartford Lloyd’s Insurance Company; Hartford Management, Ltd.; Hartford of Texas General Agency, Inc.; Hartford Residual Market, L.C.C.; Hartford Specialty Insurance Services of Texas, LLC; Hartford STAG Ventures LLC; Hartford Strategic Investments, LLC; Hartford Underwriters General Agency, Inc.; Hartford Underwriters Insurance Company; Heritage Holdings, Inc.; Heritage Reinsurance Company, Ltd.; HIMCO Distribution Services Company; HLA LLC; HL Investment Advisors, LLC; Horizon Management Group, LLC; HRA Brokerage Services, Inc.; Lattice Strategies LLC; Maxum Casualty Insurance Company; Maxum Indemnity Company; Maxum Specialty Services Corporation; MPC Resolution Company LLC; New England Insurance Company; New England Reinsurance Corporation; New Ocean Insurance Co., Ltd.; Nutmeg Insurance Agency, Inc.; Nutmeg Insurance Company; Pacific Insurance Company, Limited; Property and Casualty Insurance Company of Hartford; Renato Acquisition Co.; Sentinel Insurance Company, Ltd; Trumbull Flood Management, L.L.C.; Trumbull Insurance Company; Twin City Fire Insurance Company; Y-Risk, LLC.

Revised March 2019


This report is submitted for the general information of the shareholders of the Funds referenced in this report. It is not authorized for distribution to persons who are not shareholders of one or more Funds referenced in this report unless preceded or accompanied by a current prospectus for the relevant Funds. Nothing herein contained is to be considered an offer of sale or a solicitation of an offer to buy shares of any Fund listed in this report. Such offering is only made by prospectus, which includes details as to the offering price and other material information.

The information cannot be used or relied upon for the purpose of avoiding IRS penalties. These materials are not intended to provide tax, accounting or legal advice. As with all matters of a tax or legal nature, you should consult your own tax or legal counsel for advice.

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

The Funds are distributed by Hartford Funds Distributors, LLC (HFD), Member FINRA. Hartford Funds Management Company, LLC (HFMC) is the Funds’ investment manager. The Hartford Balanced Income Fund, Hartford AARP Balanced Retirement Fund (formerly, Hartford Multi-Asset Income Fund), The Hartford Global Real Asset Fund and Hartford Multi-Asset Income and Growth Fund (formerly, The Hartford Balanced Fund) are sub-advised by Wellington Management Company LLP (Wellington). HFD and HFMC are not affiliated with Wellington.

MFAR-MS19    12/19    214072    Printed in U.S.A.

 

LOGO


Item 2. Code of Ethics.

The registrant, as of the end of the period covered by this report, has adopted a code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party. There have been no amendments, during the period covered by this report, to a provision of the code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, and that relates to any element of the code of ethics description. The registrant has not granted any waivers, including an implicit waiver, from a provision of the code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, that relates to one or more of the items set forth in paragraph (b) of this item’s instructions. A copy of the code of ethics is filed herewith.

Item 3.  Audit Committee Financial Expert.

The Board of Directors of the registrant (the “Board”) designated Phillip Peterson as an Audit Committee Financial Expert. Mr. Peterson, an independent director, retired from the Board effective December 5, 2019. The Board also designated David Sung as an Audit Committee Financial Expert effective November 7, 2019. Mr. Sung is considered by the Board to be an independent director.

Item 4. Principal Accountant Fees and Services.

 

  (a)

Audit Fees: The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the registrant’s annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years were:

 

    

$923,500 for the fiscal year ended October 31, 2018; $891,000 for the fiscal year ended October 31, 2019.

 

  (b)

Audit Related Fees: The aggregate fees billed in each of the last two fiscal years for assurance and related services by the principal accountant that are reasonably related to the performance of the audit of the registrant’s financial statements and are not reported under paragraph (a) of this Item were:

 

    

$32,500 for the fiscal year ended October 31, 2018; $34,000 for the fiscal year ended October 31, 2019. Audit-related services are principally in connection with consents for the registration statements relating to Fund mergers.

 

  (c)

Tax Fees: The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice, and tax planning were:

 

    

$279,843 for the fiscal year ended October 31, 2018; $275,931 for the fiscal year ended October 31, 2019. Tax-related services are principally in connection with, but not limited to, general tax services, excise tax and Passive Foreign Investment Company (PFIC) analysis.


  (d)

All Other Fees: The aggregate fees billed in each of the last two fiscal years for products and services provided by the principal accountant, other than the services reported in paragraphs (a) through (c) of this Item were:

 

    

$0 for the fiscal year ended October 31, 2018; $0 for the fiscal year ended October 31, 2019.

 

  (e)

(1) The Pre-Approval Policies and Procedures (the “Policy”) adopted by the Audit Committee of the registrant (also, the “Fund”) sets forth the procedures pursuant to which services performed by the independent registered public accounting firm for the registrant may be pre-approved. The following are some main provisions from the Policy.

 

  1.

The Audit Committee must pre-approve all audit services and non-audit services that the independent registered public accounting firm provides to the Fund.

 

  2.

The Audit Committee must pre-approve any engagement of the independent registered public accounting firm to provide non-audit services to any Service Affiliate (which is defined to include any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the Fund) during the period of the independent registered public accounting firm’s engagement to provide audit services to the Fund, if the non-audit services to the Service Affiliate directly impact the Fund’s operations and financial reporting.

 

  3.

The Audit Committee shall pre-approve certain non-audit services to the Fund and its Service Affiliates pursuant to procedures set forth in the Policy.

 

  4.

The Audit Committee, from time to time, may designate one or more of its members who are Independent Directors (each a “Designated Member”) to consider, on the Audit Committee’s behalf, any non-audit services, whether to the Fund or to any Service Affiliate, that have not been pre-approved by the Audit Committee. The Designated Member also shall review, on the Audit Committee’s behalf, any proposed material change in the nature or extent of any non-audit services previously approved. In considering any requested non-audit services or proposed material change in such services, the Designated Member shall not authorize services which would exceed $50,000 in fees for such services.

 

  5.

The independent registered public accounting firm may not provide specified prohibited non-audit services set forth in the Policy to the Fund, the Fund’s investment adviser, the Service Affiliates or any other member of the investment company complex.

 

  (e)

(2) One hundred percent of the services described in items 4(b) through 4(d) were approved in accordance with the Audit Committee’s Pre-Approval Policy. As a result, none of such services was approved pursuant to paragraph (c) (7) (i) (c) of Rule 2-01 of Regulation S-X.

 

  (f)

Not applicable


  (g)

The aggregate non-audit fees billed by the registrant’s accountant for services rendered to the registrant, and rendered to the registrant’s investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for each of the last two fiscal years of the registrant were:

 

    

Non-Audit Fees: $352,343 for the fiscal year ended October 31, 2018; $309,931 for the fiscal year ended October 31, 2019.

 

  (h)

The registrant’s audit committee of the board of directors has considered whether the provision of non-audit services that were rendered to the registrant’s investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence.

Item 5. Audit Committee of Listed Registrants.

Not applicable.

Item 6. Investments.

 

  (a)

The Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the annual report filed under Item 1 of this form.

  (b)

Not applicable.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders.

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s board of directors since the registrant last provided disclosure in response to this requirement.


Item 11. Controls and Procedures.

 

  (a)

The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are generally effective to provide reasonable assurance, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)).

 

  (b)

There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the period covered by this report that have materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12.     Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not applicable.

Item 13. Exhibits.

 

  (a)(1)

Code of Ethics is filed herewith.

  (a)(2)

Separate certifications for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto.

  (a)(3)

Not applicable.

  (a)(4)

Response to Item 13(a)(4) is filed herewith.

  (b)

Certifications pursuant to Rule 30a-2(b) under the 1940 Act and Section 906 of the Sarbanes-Oxley Act of 2002 are attached hereto.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

    THE HARTFORD MUTUAL FUNDS, INC.
Date: January 9, 2020     By:   /s/ James E. Davey
      James E. Davey
      President and Chief Executive Officer

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

Date: January 9, 2020     By:   /s/ James E. Davey
      James E. Davey
      President and Chief Executive Officer

 

Date: January 9, 2020     By:   /s/ Amy N. Furlong
      Amy N. Furlong
      Treasurer
      (Principal Financial Officer and Principal Accounting Officer)