Multifactor Large Cap Value Index

Objective

Designed to provide value-oriented US equity exposure.
Seeks to enhance return potential while reducing volatility by up to fifteen-percent (relative to initial capitalization-weighted universe) over a complete market cycle.

Description of Methodology

The rules-based proprietary methodology employs a multi-layered risk-controlled approach that seeks to achieve its de-concentration, risk-reduction, and return objectives by selecting companies with favorable diversified risk premia expression, including valuation, momentum, and quality characteristics. The Index seeks to harvest risk premia factors through systematic risk- and factor-weighting twice annually, with a reconstitution occurring in March and September.

download PDF Hartford Multifactor Index Methodologies

Performance

PERFORMANCE %

	CUMULATIVE % (as of 7/31/2021)			AVERAGE ANNUAL TOTAL RETURNS % (as of 7/31/2021)
	YTD	1YR	3YR	5YR	10YR	SI ¹
Multifactor Large Cap Value Index	18.42	33.26	11.39	---	---	12.18

	CUMULATIVE % (as of 6/30/2021)			AVERAGE ANNUAL TOTAL RETURNS % (as of 6/30/2021)
	YTD	1YR	3YR	5YR	10YR	SI¹
Multifactor Large Cap Value Index	16.55	36.47	12.64	---	---	11.96

SI = Since Inception. Index Inception: 04/30/2018

Past performance does not guarantee future results.
Performance reflects cumulative total returns for periods of less than one year and average annual total returns for periods of one year or greater.

Indices are unmanaged and not available for direct investment.

Characteristics

KEY FACTS (as of 3/2/2023)

Ticker	HMLCVX Index
Inception Date	04/30/2018
Current Index Value	1465.62
Last Closing Level	1457.56
Change	8.06
Change %	0.55%
52-Week-High	1589.43
52-Week-Low	1310.27

Holding Characteristics

As of Date	7/31/2021
Price/Book	2.8x
Price/Earnings	17.8x
Return on Equity	14.6%
Nominal Companies	174
Effective Companies	100
Debt to Equity	112.2%
Index Dividend Yield (%)	2.00

Sector Exposure (%)

Financials	21
Industrials	16
Health Care	12
Information Technology	11
Communication Services	9
Consumer Discretionary	7
Materials	6
Real Estate	6
Utilities	5
Consumer Staples	4
Energy	4

Financials	21
Industrials	16
Health Care	12
Information Technology	11
Communication Services	9
Consumer Discretionary	7
Materials	6
Real Estate	5
Utilities	5
Consumer Staples	4
Energy	4

Important Notes

Hartford Multifactor Large Cap Value Index is the exclusive property of Lattice Strategies LLC (a wholly owned subsidiary of Hartford Funds Management Company, LLC) which has contracted with Solactive AG to maintain and calculate the Index. Solactive AG uses its best efforts to ensure that the Index is calculated correctly. Irrespective of its obligations towards Lattice Strategies, Solactive AG has no obligation to point out errors in the Index to third parties.

Index returns do not represent actual fund or portfolio returns. A fund or portfolio may differ significantly from the index. The index does not reflect any management fees, transaction fees, brokerage expenses, or other expenses that may reduce returns. Index returns assume that dividends have been reinvested. Investors cannot invest directly in the Index.

Top Ten Holdings (%)

Nike Inc	3.68
Berkshire Hathaway Inc	3.36
Verizon Communications Inc	3.01
Pfizer Inc	2.04
Exxon Mobil Corp	1.88
AT&T Inc	1.85
Comcast Corp	1.77
Cisco Systems Inc	1.74
JPMorgan Chase & Co	1.41
Public Storage	0.96
Total Portfolio %	21.70

Market Cap Distribution (%)

Market Cap Header3
Less than $2B	0
$2B - $10B	11
$10B - $100B	53
Greater than $100B	36

Investing involves risk, including the possible loss of principal.

Sources for all data: Bloomberg and Hartford Funds.

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