Are You Prepared For Duration Risk?

Changing interest rates may have a significant effect on fixed-income investments.

The Bloomberg US Aggregate Bond Index is a widely used proxy for the US bond market. The duration of the Index is currently 6.13 years vs. its long-term average of 4.95 years. Duration measures the sensitivity of bonds to changes in interest rates and can pose a growing risk to bond returns, especially when interest rates are rising. Investors should work with their financial professionals to seek bond funds that have offered attractive yields without significant duration risk.

Duration of the Bloomberg US Aggregate Bond Index (1/1/78-9/30/24)

Indices are unmanaged and not available for direct investment. For illustrative purposes only. Data sources: Barclays Live, Bloomberg, and Hartford Funds, 10/24.

Select Hartford Funds With Short Duration^*

Morningstar ratings for Mutual Fund I-Shares

Hartford Short Duration Fund (HSDIX)

OVERALL

(as of 12/31/2024)

Overall, 4 stars, 3-Year, 4 stars, 5-Year, 4 stars, and 10-Year, 4 stars, rated against 522, 522, 482 and 364 products, respectively. Morningstar Rating^TM is calculated for products with at least a 3-year history, based on a risk-adjusted return measure (excluding any applicable sale charges) and accounts for variations in a product's monthly performance. 5 stars are assigned to the top 10%; 4 stars to the next 22.5%, 3 stars to the next 35%, 2 stars to the next 22.5% and 1 star to the bottom 10%. ETFs and mutual funds are considered a single population. The Overall Rating is derived from a weighted average of the performance figures associated with its 3-, 5-, and 10-year (if applicable) Morningstar Rating metrics. For more information about these ratings, including their methodology, please go to global.morningstar.com/managerdisclosures . Ratings for other share classes may vary and are subject to change monthly. Past performance is no guarantee of future performance.
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522 Products | Short-Term Bond Category

Based on Risk-Adjusted Returns

* Funds listed have a duration of approximately three years or less; duration is subject to change. View the full list of Hartford Funds.

Talk to your financial professional about bond funds that seek to manage duration risk.

Bloomberg US Aggregate Bond Index is composed of securities that cover the US investment-grade fixed-rate bond market, with index components for government and corporate securities, mortgage pass-through securities, and asset-backed securities.

Important Risks: Investing involves risk, including the possible loss of principal. • Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall. • 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. • 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.

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