Fantasy-football managers know there is more than one way to build a winning team. Some players provide steady weekly production, some offer league-winning upside, and others may simply be undervalued relative to where they’re being drafted.
And, when it comes to investing, it can work much the same way. There are several strong parallels between fantasy football and factor investing—both reward balancing different strengths in pursuit of better long-term results. Rather than focusing on a single driver of returns, factor investing seeks to identify characteristics that may help build a more diversified portfolio.1
Understanding how different factors have historically behaved can help illustrate the benefits of a multifactor approach. Along the way, we’ll use players from the 2025 season, along with a few potential candidates for 2026, to bring those concepts to life (and perhaps give fantasy managers a few ideas for draft day).
1 Diversification does not ensure a profit or protect against a loss in a declining market.
2 Source: “Buy American, I Am.” The New York Times, 10/16/08
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 and economic developments. These risks may be greater for investments in emerging markets. • Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk.
The views and opinions expressed herein are those of the authors and are not necessarily indicative of those of all Hartford Funds’ portfolio managers and sub-advisers and may not be reflected in the strategies and exchange-traded products that Hartford Funds offers.
This information has been prepared from sources believed reliable but the accuracy and completeness of the information cannot be guaranteed. This material and/or its contents are current at the time of writing and are subject to change without notice.
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