News & Commentary

Fund Manager Commentary
Harbor Capital Appreciation Fund
  • Jennison Associates LLC - 2nd Quarter, 2016
  • Despite Brexit, U.S. equities advance
  • The second quarter of 2016 came to a tumultuous close as the U.K.'s June vote to exit the European Union briefly halted the gradual, sustained recovery of equity markets from their sharp declines at the beginning of the year.
Harbor Mid Cap Growth Fund
  • Wellington Management Company LLP - 2nd Quarter, 2016
  • U.S. equity markets climbed for the third consecutive quarter
  • A better than feared U.S. corporate earnings season and an encouraging economic backdrop helped sustain the U.S. equity market rally in the second quarter of 2016, and U.S. equity markets climbed for the third consecutive quarter.
Harbor Small Cap Growth Fund
  • Westfield Capital Management Company, L.P. - 2nd Quarter, 2016
  • Equities end higher after a bumpy quarter
  • Major domestic equity indexes closed higher in the second quarter of 2016, but it was a bumpy road to get there.
Harbor Small Cap Growth Opportunities Fund
  • Elk Creek Partners, LLC - 2nd Quarter, 2016
  • Stocks fall following U.K. vote to leave European Union
  • Small cap growth stocks gained in the second quarter of 2016, despite significant volatility near the end of the period following the U.K.'s decision to leave the European Union.
Harbor Large Cap Value Fund
  • Aristotle Capital Management, LLC - 2nd Quarter, 2016
  • At quarter end, a dramatic fall and rebound for stocks
  • As many investors have tried to forget, stocks sold off dramatically at the beginning of the year on concerns over slowing Chinese economic growth and weak oil prices as well as uncertainty regarding global monetary policy.
Harbor Mid Cap Value Fund
  • LSV Asset Management - 2nd Quarter, 2016
  • Mid cap value stocks solid in second quarter
  • Despite some steep losses immediately following the Brexit, the U.K.'s vote to leave the European Union, U.S. equities posted steady gains throughout most of the second quarter of 2016 and finished in positive territory.
Harbor Small Cap Value Fund
  • EARNEST Partners LLC - 2nd Quarter, 2016
  • Strong advance for small cap value stocks
  • During the Federal Reserve Board meeting in June, Chairwoman Janet Yellen decided to rein in previously projected interest rate increases and slow the monetary tightening process to a near halt.
Harbor International Fund
  • Northern Cross, LLC - 2nd Quarter, 2016
  • International stocks finish the quarter down
  • In a continued environment of low rates and weak global economic activity that has penalized businesses dependent on global growth, the Harbor International Fund lost ground in the second quarter of 2016 and underperformed its benchmark.
Harbor Diversified International All Cap Fund
  • Marathon Asset Management LLP (Marathon-London) - 2nd Quarter, 2016
  • U.K. vote leads to equity market volatility
  • The unexpected result of the U.K. referendum to leave the European Union on June 23rd created significant upheaval in equity markets that erased gains made earlier in the second quarter of 2016.
Harbor International Small Cap Fund
  • Baring International Investment Limited (Barings) - 2nd Quarter, 2016
  • A challenging environment for international small caps
  • The major macroeconomic event affecting international small cap equity markets during the second quarter of 2016 was the U.K. referendum on 'Brexit,' Britain's exit from the European Union.
Harbor International Growth Fund
  • Baillie Gifford Overseas Limited - 2nd Quarter, 2016
  • Brexit vote pushed international markets down for the quarter
  • In the United Kingdom, the vote in favor of departing from the European Union (the so-called "Brexit") took center stage during the second quarter of 2016.
Harbor Global Growth Fund
  • Marsico Capital Management, LLC - 2nd Quarter, 2016
  • For global equities, U.S. gains overcame international losses
  • Despite a growing sense that economic momentum had slowed and that inflation worries were misplaced, notions that were reinforced by Brexit, the U.K.'s decision to leave the European Union, global equities advanced overall during the second quarter of...
Harbor Emerging Markets Equity Fund
  • Oaktree Capital Management, L.P. - 2nd Quarter, 2016
  • Emerging markets finish slightly up after a turbulent quarter
  • Markets were buffeted during the second quarter of 2016 by changing expectations for both Federal Reserve tightening and Chinese growth, and finally, by the Brexit vote in the United Kingdom.
Harbor Commodity Real Return Strategy Fund
  • Pacific Investment Management Company LLC - 2nd Quarter, 2016
  • Oil price resurgence drives double-digit gains for commodities
  • Commodities index returns were strong for the second quarter of 2016, with the Energy sector leading the way; oil prices benefited from production issues in several regions as well as continued strong demand.
Harbor Convertible Securities Fund
  • Shenkman Capital Management, Inc. - 2nd Quarter, 2016
  • Market volatility remained muted for most of the second quarter
  • With improvement in energy prices and a somewhat routine first quarter earnings season, the market seemed content to consolidate first quarter gains.
Harbor High-Yield Bond Fund
  • Shenkman Capital Management, Inc. - 2nd Quarter, 2016
  • Positive economic news drives high yield gains
  • High yield bonds posted solid returns in the second quarter of 2016 amid mixed results for other asset classes.
Harbor Bond Fund
  • Pacific Investment Management Company LLC - 2nd Quarter, 2016
  • Brexit pushes yields lower
  • A relatively calm beginning of the second quarter of 2016 was disrupted by the unexpected Brexit result in the U.K.'s historic referendum, in which the British public voted to end the nation's more than 40-year relationship with the E.U.
Harbor Real Return Fund
  • Pacific Investment Management Company LLC - 2nd Quarter, 2016
  • Solid gains for inflation-linked bonds
  • Within the inflation-linked bond (ILB) markets, after seeing a meaningful recovery from February's multi-year lows, U.S. breakeven inflation levels moved lower across the curve on the back of global growth fears and lower-than expected inflation...
Harbor Money Market Fund
  • Fischer Francis Trees & Watts, Inc. - 2nd Quarter, 2016
  • Policymakers recently adopted a more dovish tone
  • U.S. markets traded in a defined range during the second quarter of 2016 before succumbing to global pressures following the Brexit vote.

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.