With much commentary around the possibility of a recession, we think it would be useful to show why we believe a lot of negativity is already priced into the bank-loan market. Further, we’re bullish on the outlook for bank loans based on our view that the bank-loan market could absorb a potential recession.

^* Spreads are the difference in yields between two fixed-income securities with the same maturity, but originating from different investment sectors.

Important Risks: Investing involves risk, including the possible loss of principal. Security prices fluctuate in value depending on general market and economic conditions and the prospects of individual companies. • 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. • Fixed-income security risks include credit, liquidity, call, duration, event and interest-rate risk. As interest rates rise, bond prices generally fall. • Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. • Derivatives are generally more volatile and sensitive to changes in market or economic conditions than other securities; their risks include currency, leverage, liquidity, index, pricing, regulatory, and counterparty risk. • Foreign investments may be more volatile and less liquid than US investments and are subject to the risk of currency fluctuations and adverse political, economic, and regulatory developments. • The Fund’s investments may fluctuate in value over a short period of time. • Integration of environmental, social, and/or governance (ESG) characteristics into the investment process may not work as intended. • Changes related to LIBOR could have an adverse impact on financial instruments that reference this rate.

Additional risks for Hartford Floating Rate High Income Fund:

Restricted securities may be more difficult to sell and price than other securities. • The Fund may have high portfolio turnover, which could increase its transaction costs and an investor’s tax liability.

The Hartford Floating Rate Fund and Hartford Floating Rate High Income Fund should not be considered alternatives to CDs or money market funds. These funds are intended for investors who are looking to complement their traditional fixed-income investments.

The trademarks and service marks for index providers referenced in Hartford Funds’ marketing materials are the property of their respective owners. Third party data providers make no warranties or representations of any kind relating to the accuracy, completeness or timeliness of the data and have no liability for damages of any kind relating to the use of such data.

The views expressed herein are those of Wellington 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. The views and information discussed in this commentary are not a forecast, investment advice or a recommendation to buy or sell any security and are subject to change. 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 Wellington Management or Hartford Funds.