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For the better part of the last decade, there was only one game in town: growth stocks that grew ever more expensive. After a short reprieve in late 2021 through 2022, this trend repeated once again through 2023 as a winner-takes-all market was led by the Magnificent Seven in the US. Consequently, the nascent recovery of value stocks stalled out over the past 12 months when looking at global equities, resulting in wider than normal discounts for value stocks compared to the market and vs. growth stocks. 
 
Despite strong performance for US growth stocks, we think the opportunity for value to excel in non-US equities has only become more attractive in recent months.
 

 

Important Risks: Investing involves risk, including the possible loss of principal. • Foreign investments may be more volatile and less liquid than U.S. investments and are subject to the risk of currency fluctuations and adverse political, economic and regulatory developments. These risks may be greater, and include additional risks, for investments in emerging markets. These risks may also be greater, and there may be additional risks, if the Fund focuses in a particular geographic region or country, such as Japan. • Small- and mid-cap securities can have greater risks and volatility than large-cap securities. • Different investment styles may go in and out of favor, which may cause the Fund to underperform the broader stock market. • Diversification does not ensure a profit or protect against a loss in a declining market.

The views expressed herein are those of Schroders Investment Management, are for informational purposes only, and are subject to change based on prevailing market, economic, and other conditions. The views expressed may not reflect the opinions of Hartford Funds or any other sub-adviser to our funds. They should not be construed as research or investment advice nor should they be considered an offer or solicitation to buy or sell any security. This information is current at the time of writing and may not be reproduced or distributed in whole or in part, for any purpose, without the express written consent of Schroders Investment Management or Hartford Funds.

 

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Insight from our sub-adviser, Schroders Investment Management
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