News & Commentary

Fund Manager Commentary
Harbor Capital Appreciation Fund
  • Jennison Associates LLC - 4th Quarter, 2017
  • Equity markets posted a solid finish to a strong 2017
  • Equity markets posted a solid finish to a strong 2017, with broad based gains during the fourth quarter of 2017.
Harbor Strategic Growth Fund
  • Mar Vista Investment Partners, LLC - 4th Quarter, 2017
  • A favorable environment for stocks in the fourth quarter of 2017
  • The stimulative tax reform bill enacted at the end of 2017 pushed the gas pedal further on an already accelerating global economic outlook.
Harbor Mid Cap Growth Fund
  • Wellington Management Company LLP - 4th Quarter, 2017
  • U.S. economic data remained encouraging
  • Although the persistently low rate of inflation growth has been a concern, the Federal Reserve (Fed) continued hiking interest rates in the fourth quarter of 2017, raising the benchmark federal funds rate to a target range of 1.25% to 1.50% as of...
Harbor Small Cap Growth Fund
  • Westfield Capital Management Company, L.P. - 4th Quarter, 2017
  • Fund outperforms as markets advance to close out strong year
  • U.S. equity markets added to gains during the fourth quarter, pushing most major indices to new highs and closing out the best calendar year returns for stocks since 2013.
Harbor Small Cap Growth Opportunities Fund
  • Elk Creek Partners, LLC - 4th Quarter, 2017
  • Tax reform, fundamentals drive strong 2017 for small cap growth
  • In December, the U.S. Congress passed highly anticipated tax reform legislation that will lower corporate and small-business tax rates, and lower federal taxes for most households.
Harbor Large Cap Value Fund
  • Aristotle Capital Management, LLC - 4th Quarter, 2017
  • Fund and market close 2017 on a high note
  • A strong global economy and robust corporate profits—along with low inflation and still-supportive monetary policies globally—provided a steady macroeconomic backdrop, pushing U.S. equities further into record territory during the fourth quarter of 2017.
Harbor Mid Cap Value Fund
  • LSV Asset Management - 4th Quarter, 2017
  • Fourth quarter results positive for mid cap equities
  • U.S. equities posted strong results in the fourth quarter of 2017.
Harbor Small Cap Value Fund
  • EARNEST Partners LLC - 4th Quarter, 2017
  • The Fund outperformed as equities closed out a year of strong gains
  • During the fourth quarter of 2017, equity markets rallied on the prospect of tax reform legislation, which eventually was signed into law to take effect in 2018.
Harbor Small Cap Value Opportunities Fund
  • Sapience Investments, LLC - 4th Quarter, 2017
  • U.S. stocks roll through the end of 2017
  • U.S. equity markets moved higher and volatility remained low during the fourth quarter of 2017.
Harbor International Fund
  • Northern Cross, LLC - 4th Quarter, 2017
  • International stocks finish out 2017 with another strong quarter
  • International equity markets continued their advance in the fourth quarter of 2017, with markets trading upward on optimism regarding global growth.
Harbor Diversified International All Cap Fund
  • Marathon Asset Management LLP (Marathon-London) - 4th Quarter, 2017
  • Improved economic indicators drove markets higher
  • International equity markets appreciated markedly during the fourth quarter of 2017, amid evidence of stronger economic growth, earnings momentum, and a continuation of broadly accommodative monetary policy conditions.
Harbor International Growth Fund
  • Baillie Gifford Overseas Limited - 4th Quarter, 2017
  • Global economies improved in 2017
  • International stock markets continued to rise during the final quarter of the year, bringing to a close a strong year for equity returns.
Harbor International Small Cap Fund
  • Baring International Investment Limited (Barings) - 4th Quarter, 2017
  • Broad economic growth to end 2017
  • The key macro level drivers of international smaller companies for the fourth quarter of 2017 and for the year as a whole proved to be the ongoing and broadly spread trend of improving economic growth across almost every country represented in the MSCI...
Harbor Global Leaders Fund
  • Sands Capital Management, LLC - 4th Quarter, 2017
  • Continued gains in the fourth quarter closed out a strong year for growth stocks
  • In a stark reversal from the market environment that held sway in 2016, shares of fast-growing businesses were rewarded in most global markets in 2017, reflecting improving sentiment over the pace of global economic expansion and accelerating earnings...
Harbor Emerging Markets Equity Fund
  • Oaktree Capital Management, L.P. - 4th Quarter, 2017
  • Emerging market equities continue to beat developed market peers
  • Emerging markets advanced during the fourth quarter of 2017, continuing to outperform developed markets and ending the year on a high note.
Harbor Convertible Securities Fund
  • Shenkman Capital Management, Inc. - 4th Quarter, 2017
  • The U.S. convertible securities market rose during the fourth quarter
  • The U.S. presidential election in 2016 brought about the anticipation of a more business friendly environment for U.S. companies, which culminated in the passage of landmark tax reform legislation during the fourth quarter of 2017 that was reflected by...
Harbor High-Yield Bond Fund
  • Shenkman Capital Management, Inc. - 4th Quarter, 2017
  • U.S. inflation ticked higher, and interest rates increased
  • The U.S. economy continued to experience solid growth in the fourth quarter of 2017.
Harbor High-Yield Opportunities Fund
  • Crescent Capital Group LP - 4th Quarter, 2017
  • New fund seeks attractive income without excess volatility from high yield investments
  • The Harbor High-Yield Opportunities Fund launched on November 1, 2017, managed by Crescent Capital Group, LP.
Harbor Bond Fund
  • Pacific Investment Management Company LLC - 4th Quarter, 2017
  • A relatively flat quarter for bond performance
  • Anticipation for – and passage of – fiscal stimulus in the U.S., as well as an uptick in growth momentum, contributed to tighter credit spreads and allowed U.S. equities to finish the year out strong.
Harbor Real Return Fund
  • Pacific Investment Management Company LLC - 4th Quarter, 2017
  • A strong quarter for the Fund versus its benchmark and the bond market
  • Anticipation for and passage of fiscal stimulus in the U.S., as well as an uptick in growth momentum, contributed to tighter credit spreads and allowed U.S. equities to finish the year out strong.
Harbor Money Market Fund
  • BNP Paribas Asset Management USA, Inc. - 4th Quarter, 2017
  • Economic growth continues as U.S. tax reform buoys investor sentiment
  • The global economic expansion continued during the fourth quarter of 2017, with advanced economies benefiting from policy accommodation.

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.