News & Commentary

Fund Manager Commentary
Harbor Capital Appreciation Fund
  • Jennison Associates LLC - 1st Quarter, 2017
  • Fund outperforms as market rally rolls on
  • Global equity markets advanced broadly in the first quarter of 2017.
Harbor Strategic Growth Fund
  • Mar Vista Investment Partners, LLC - 1st Quarter, 2017
  • Tech stocks drove equity gains in the first quarter
  • Optimism around our newly elected government's commitments to tax reform, deregulation, and infrastructure spending spurred demand for growth-oriented investments.
Harbor Mid Cap Growth Fund
  • Wellington Management Company LLP - 1st Quarter, 2017
  • Fund outperforms as growth beats value in continued market rally
  • U.S. equities rallied during the first quarter of 2017.
Harbor Small Cap Growth Fund
  • Westfield Capital Management Company, L.P. - 1st Quarter, 2017
  • The economic backdrop in the U.S. remained stable
  • After 2016, a year riddled by volatility and macroeconomic events (e.g., Brexit and the U.S. election), equity markets were back to trading largely on fundamental factors in the first quarter of 2017.
Harbor Small Cap Growth Opportunities Fund
  • Elk Creek Partners, LLC - 1st Quarter, 2017
  • Investors generally maintained their good moods that began in late 2016
  • Investors generally maintained their good moods that began in late 2016, and equity returns were broadly positive for the first quarter of 2017.
Harbor Large Cap Value Fund
  • Aristotle Capital Management, LLC - 1st Quarter, 2017
  • Fund beats market as stocks gain on pro-business expectations
  • In the wake of the Presidential election, expectations of changes in tax policy, interest rates, and the regulatory environment lifted markets driving U.S. stocks higher.
Harbor Mid Cap Value Fund
  • LSV Asset Management - 1st Quarter, 2017
  • Markets hit all-time highs amid shift toward growth
  • U.S. equities started the year strong, with the S&P 500 Index reaching all time highs during the first quarter of 2017.
Harbor Small Cap Value Fund
  • EARNEST Partners LLC - 1st Quarter, 2017
  • Strong performance by the Fund amid mixed results for equities
  • The equity markets rallied significantly in January and February, fueled by investors' hope for action by the U.S. government on issues such as health care, infrastructure spending and taxes.
Harbor International Fund
  • Northern Cross, LLC - 1st Quarter, 2017
  • Markets benefited from continued optimism during the first quarter
  • The first quarter of 2017 showed positive returns for both domestic and international stocks, as the optimism for an improving global economy continued from the fourth quarter of 2016.
Harbor Diversified International All Cap Fund
  • Marathon Asset Management LLP (Marathon-London) - 1st Quarter, 2017
  • The first quarter of 2017 was fairly benign from a macroeconomic and geopolitical perspective
  • The first quarter of 2017 was fairly benign from a macroeconomic and geopolitical perspective, certainly compared to events at the end of 2016.
Harbor International Growth Fund
  • Baillie Gifford Overseas Limited - 1st Quarter, 2017
  • Postelection optimism broadens across sectors
  • The initial bout of post-election optimism over the Trump growth agenda, which last year was narrowly focused on financials, commodities and industries associated with infrastructure spending, has broadened, with sectors from technology through to...
Harbor International Small Cap Fund
  • Baring International Investment Limited (Barings) - 1st Quarter, 2017
  • Election results still creating positive economic outlook
  • In the first quarter of 2017, renewed optimism in President Trump's policy agenda, specifically regarding taxation and infrastructure spending, boosted confidence in the outlook for U.S. economic growth and ability to continue growing as benchmark...
Harbor Global Leaders Fund
  • Sands Capital Management, LLC - 1st Quarter, 2017
  • New fund name reflects shift in strategy
  • As of March 1, 2017, Sands Capital Management, LLC began managing the Harbor Global Leaders Fund. Effective the same date, the Fund's name changed from Harbor Global Growth Fund to Harbor Global Leaders Fund, to better reflect Sands Capital's...
Harbor Emerging Markets Equity Fund
  • Oaktree Capital Management, L.P. - 1st Quarter, 2017
  • As U.S. Dollar declined, emerging markets earnings revised higher
  • Market consensus has been broadly negative on emerging markets prospects as investors believed the U.S. Dollar would continue to strengthen and adversely affect emerging markets.
Harbor Commodity Real Return Strategy Fund
  • Pacific Investment Management Company LLC - 1st Quarter, 2017
  • A difficult quarter for commodity strategies
  • Much of the first quarter of 2017 was marked by surging optimism among U.S. businesses and consumers along with solid fundamentals that helped bolster risk appetites.
Harbor Convertible Securities Fund
  • Shenkman Capital Management, Inc. - 1st Quarter, 2017
  • In 2017’s first quarter, the U.S. convertible securities market had a positive return
  • The macroeconomic changes that we saw developing in the fourth quarter of 2016 continued to play out during the first quarter of 2017.
Harbor High-Yield Bond Fund
  • Shenkman Capital Management, Inc. - 1st Quarter, 2017
  • High yield companies continued to meet earnings expectations
  • During the quarter, the Federal Reserve (Fed) continued with its goals of increasing inflation above 2% and reducing unemployment to the mid-4% range.
Harbor Bond Fund
  • Pacific Investment Management Company LLC - 1st Quarter, 2017
  • Optimism tempered by uncertainty in the first quarter
  • Much of the first quarter of 2017 was marked by surging optimism among U.S. businesses and consumers along with solid fundamentals that helped bolster risk appetites.
Harbor Real Return Fund
  • Pacific Investment Management Company LLC - 1st Quarter, 2017
  • The Fund’s U.S. real interest rate strategies drove outperformance in the first quarter
  • Much of the first quarter of 2017 was marked by surging optimism among U.S. businesses and consumers along with solid fundamentals that helped bolster risk appetites.
Harbor Money Market Fund
  • Fischer Francis Trees & Watts, Inc. - 1st Quarter, 2017
  • Fund outperforms as monetary tightening returns
  • Investor sentiment improved dramatically in the first quarter of 2017, with survey based measures indicating that a broad based rebound in global growth was underway.

Performance data shown represents past performance, which is no guarantee of future results. Current performance may be higher or lower than the past performance data shown. Investment returns and the value of an investment will fluctuate, and an investor's shares, when sold, may be worth more or less than their original cost. You can obtain performance data current to the most recent month-end (available within seven business days after the most recent month-end) by calling 800-422-1050 or visiting www.harborfunds.com.

Performance figures discussed reflect that of the institutional class shares.

The views expressed herein are those of the portfolio manager at the time of the interview and may not be reflective of their current opinions or future actions.  These views are not necessarily those of the fund company and should not be construed as such.

This information should not be considered as a recommendation to purchase or sell a particular security and the holdings or sectors mentioned may change at any time and may not represent current or future investments.